58AHMeaning of SPF consumer

58AH Meaning of SPF consumer

(1) An SPF consumer, of a regulated service, is any of the following:

(a) a natural person, or a small business operator, who is or may be provided or purportedly provided the service in Australia;

(b) a natural person who:

(i) is ordinarily resident in Australia; and

(ii) is or may be provided or purportedly provided the service outside of Australia by a regulated entity that satisfies the residency requirements in subsection (2).

(2) The regulated entity satisfies the residency requirements if it:

(a) is an Australian resident (within the meaning of the Income Tax Assessment Act 1997); or

(b) is so providing or purportedly providing the service through a permanent establishment (within the meaning of the Income Tax Assessment Act 1997) in Australia.

Note 1: For paragraph (1)(a), a person who is a small business operator at the time the person is impacted by a scam continues to be an SPF consumer for that time even if the business later has 100 or more employees.

Note 2: Sections 58GA to 58GC extend the meaning of person for partnerships, unincorporated associations and trusts.

(3) Subsection (1) includes the provision or purported provision of a regulated service:

(a) directly or indirectly to the person; or

(b) whether or not under a contract, arrangement or understanding with the person; or

(c) whether or not the regulated entity providing the service knows that the person is:

(i) a natural person; or

(ii) a small business operator; or

(d) that involves the supply of goods.

Note: This is not an exhaustive list.

(4) However, the person is not an SPF consumer of the regulated service if a condition prescribed by the SPF rules applies to the person in relation to regulated services of that kind.

(5) In this section:

annual turnover has the same meaning as in the Corporations Act 2001.

related body corporate has the same meaning as in the Corporations Act 2001.

small business operator means a person who carries on a business if:

(a) in the case of the person being a body corporate:

(i) the sum of the person’s employees, and the employees of any body corporate related to the person, is less than 100 employees; and

(ii) the person’s annual turnover during the last financial year is less than $10 million; and

(b) in the case of the person not being a body corporate:

(i) the person has less than 100 employees; and