38Collection cost

38 Collection cost

38 Collection cost

(1) The collection cost for the levy in a financial year is the amount calculated by the Treasurer in accordance with this section.

(2) The Treasurer is to calculate the collection cost for a financial year using the following formula:

where:

CCt is the collection cost for the financial year (represented by “t”).

ECt is the estimated collection cost for the financial year.

ACt-2 is the actual collection cost for the financial year that commenced 2 years before the period “t” (represented as “t-2”).

ECt-2 is the estimated collection cost for the financial year that commenced 2 years before the period “t” (represented as “t-2”).

(3) The Treasurer must, before 30 April in each year, prepare and adopt an estimate of the collection cost for the next financial year (which is the estimated collection cost for that financial year).

(4) The estimated collection cost for a financial year is the Treasurer’s estimate of the total of the following:

(a) the collection payments that will be made to councils during the financial year,

(b) the costs that will be incurred by or on behalf of the Crown in exercising functions under this Act during the financial year.

(5) The actual collection cost for a financial year is the amount certified by the Treasurer to be the total of the following:

(a) all collection payments that were made to councils during the financial year,

(b) all costs that were incurred by or on behalf of the Crown in exercising functions under this Act during the financial year.

(6) For the 2017/2018 financial year and the 2018/2019 financial year, ACt-2−ECt-2 is taken to be zero.