DICTIONARY Regulation 3DICTIONARY Regulation 3

 Statutory Rules 1998 No. 1801 \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ Telecommunications Universal Service Obligation (Eligible Revenue) Regulations 1998 I, WILLIAM PATRICK DEANE, Governor\-General of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, make the following Regulations under the Telecommunications Act 1997. Dated 30 June 1998. WILLIAM DEANE Governor-General By His Excellency’s Command, Richard alston Minister for Communications, the Information Economy and the Arts \_\_\_\_\_\_\_\_\_\_\_\_ PART 1—PRELIMINARY Name of Regulations 1. These Regulations are the Telecommunications Universal Service Obligation (Eligible Revenue) Regulations 1998. Commencement 2. These Regulations commence on gazettal. Definitions—the dictionary 3. (1) The dictionary at the end of these Regulations defines certain words and expressions, and includes signpost definitions to words and phrases used in these Regulations. > Note A signpost definition of a word or expression is included in the dictionary only if the definition is used outside the section defining the word or expression. (2) The dictionary also includes certain words and expressions used in these Regulations that are defined in the Act. (3) The dictionary is part of these Regulations. (4) A definition in these Regulations applies to each use of the word or expression in the Regulations unless the contrary intention appears. PART 2—WHAT IS ELIGIBLE REVENUE Universal service regime 4. (1) Part 7 of the Act establishes a universal service regime for Australian telecommunications. (2) Under subsection 149 (1) of the Act, the universal service obligation is the obligation: (a) to ensure that standard telephone services are reasonably accessible to all people in Australia on an equitable basis, wherever they reside or carry on business; and (b) to ensure that payphones are reasonably accessible to all people in Australia on an equitable basis, wherever they reside or carry on business; and (c) to ensure that prescribed carriage services are reasonably accessible to all people in Australia on an equitable basis, wherever they reside or carry on business. (3) The key elements of the universal service regime are as follows: (a) the specification of the universal service obligation; (b) the declaration of universal service providers; (c) the carrying out of universal service plans; (d) the regulation of universal service charges; (e) the assessment, collection, recovery and distribution of the levy imposed by the Telecommunications (Universal Service Levy) Act 1997. Purpose of eligible revenue 5. (1) The universal service regime is supported by a universal service levy imposed on all participating carriers. (2) The universal service levy is worked out using a number of factors, including a participating carrier’s eligible revenue. (3) The participating carrier’s eligible revenue is also used in working out the amount of levy that the carrier is required to pay to support the National Relay Service mentioned in Part 7A of the Act. (4) Under section 147 of the Act, the eligible revenue of a participating carrier for a financial year is the amount that, under the regulations, is taken to be the participating carrier’s eligible revenue for the financial year. (5) These Regulations explain how to work out a participating carrier’s eligible revenue for a financial year. PART 3—ACCOUNTING ARRANGEMENTS Purpose of Part 3 6. (1) This Part applies if: (a) 2 or more participating carriers have the same ultimate Australian parent entity; and (b) the entity’s audited annual consolidated financial statements include the carriers’ sales revenue, with or without including revenue from the other entities. (2) This Part explains how these carriers may make calculations required by these Regulations. Participating carriers with the same ultimate Australian parent entity 7. (1) Each carrier may make all of the calculations required by these Regulations in its own right, identifying and accounting for its own revenue and deductions in accordance with these Regulations. (2) However, carriers with the same ultimate Australian parent entity may make all of the calculations required by these Regulations on a group basis, identifying and accounting for revenue and deductions as a whole in accordance with these Regulations. > Note Although carriers would be able to make calculations on a group basis, the final stage of the eligible revenue process requires carriers to identify their revenue on an individual basis: see regulation 39. PART 4—HOW TO WORK OUT GROSS TELECOMMUNICATIONS SALES REVENUE Division 1—Purpose of Part 4 Purpose 8. (1) Under these Regulations, the source of a participating carrier’s eligible revenue for a financial year is its gross telecommunications sales revenue for the financial year. (2) This Part explains how to work out gross telecommunications sales revenue. Division 2—Working out gross telecommunications sales revenue Gross telecommunications sales revenue 9. A participating carrier’s gross telecommunications sales revenue for a financial year is worked out using the steps in Schedule 1. Division 3—Revenue of a declared related party Purpose of Division 3 10. (1) To work out the gross telecommunications sales revenue of a participating carrier, it may be appropriate to treat some or all of the telecommunications sales revenue of another entity as the carrier’s gross telecommunications sales revenue. > Note The sales revenue of a consolidated related party will already be included in the audited consolidated financial statements mentioned in Schedule 1. (2) This Division explains when another entity’s telecommunications sales revenue needs to be treated as a carrier’s gross telecommunications sales revenue. Declared related party 11. (1) The ACA may, in writing: (a) specify a participating carrier and 1 or more entities other than a consolidated related party; and (b) declare that each entity is a declared related party for the carrier. (2) The ACA may, in writing: (a) specify 1 or more kinds of entities other than a consolidated related party; and (b) declare that each entity is a declared related party for 1 or more participating carriers, or for all participating carriers. Declarations about declared related party 12. (1) The telecommunications sales revenue of a declared related party is part of the gross telecommunications sales revenue of the participating carrier for which the party is a declared related party. (2) However, the ACA may make any of the following declarations in writing for: (a) 1 or more declared related parties specified in the declaration; or (b) a specified kind of declared related party. (3) The ACA may declare that the declared related party’s telecommunications sales revenue is not part of the gross telecommunications sales revenue. (4) The ACA may declare that only a specified proportion of the declared related party’s telecommunications sales revenue is part of the gross telecommunications sales revenue. (5) The ACA may declare that only a proportion of the declared related party’s telecommunications sales revenue, worked out in a specified way, is part of the gross telecommunications sales revenue. (6) The ACA may declare that the value of a benefit or service of a declared related party is: (a) telecommunications sales revenue; and (b) part of the gross telecommunications sales revenue. (7) The ACA may declare that a specified proportion of the value of a benefit or service of a declared related party is: (a) telecommunications sales revenue; and (b) part of the gross telecommunications sales revenue. (8) The ACA may declare that a proportion of the value of a benefit or service of a declared related party, worked out in a specified way, is: (a) telecommunications sales revenue; and (b) part of the gross telecommunications sales revenue. (9) The ACA must explain in the declaration how it worked out: (a) the value of any benefit or service mentioned in the declaration; and (b) any proportion of revenue or value mentioned in the declaration. > Note The effect of a declaration is that a participating carrier must include the telecommunications sales revenue of a declared related party, as mentioned in the declaration, as part of its gross telecommunications sales revenue. > Note: The ACA will accept the telecommunications sales revenue of a declared related party as part of gross telecommunications sales revenue if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept the telecommunications sales revenue of a declared related party as part of the gross telecommunications sales revenue if it was not worked out on the basis of a declaration. Division 4—Unbundling of a declared related party’s telecommunications sales revenue Bundled revenue of declared related party 13. (1) To work out the telecommunications sales revenue of a declared related party, it may be appropriate: (a) to separate telecommunications sales revenue, or a kind of telecommunications sales revenue, from other amounts received by the party with which the revenue is bundled; and (b) to deal only with the telecommunications sales revenue, adding it to the gross telecommunications sales revenue of a participating carrier. (2) An amount of money is bundled revenue if it: (a) comes from different sources or acts; and (b) is received in a way that does not show how much of the amount came from the individual sources or acts. (3) Bundled revenue may also include the value of a benefit or service. > Note: Examples of bundled revenue > Note: 1. Revenue from providing telecommunications, electricity, gas or water connections. > Note: 2. Revenue from selling telecommunications services, and revenue from selling electricity, gas or water. (4) If a participating carrier is required to account for the telecommunications sales revenue of a declared related party, that has been bundled with other revenue, when working out its gross telecommunications sales revenue, the carrier must identify: (a) the total amount of the bundled revenue; and (b) the amount of the bundled revenue it is treating as part of its gross telecommunications sales revenue; and (c) how it worked out the amount. Declarations about bundled revenue of a declared related party 14. (1) The ACA may, in writing, declare that a specified amount, or kind of amount, is bundled revenue of a declared related party. (2) If the ACA makes a declaration, it must also declare that: (a) a specified amount or proportion of the bundled revenue of the declared related party is telecommunications sales revenue, and is to be added to the gross telecommunications sales revenue of the participating carrier; or (b) the amount of the bundled revenue of the declared related party that is telecommunications sales revenue, and is to be added to the gross telecommunications sales revenue of the participating carrier, should be worked out in a specified way. (3) The ACA must also state, in writing, how it worked out the value of a benefit or service included in the bundled revenue. > Note The ACA will accept an amount from bundled revenue as a declared related party’s telecommunications sales revenue if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept an amount from bundled revenue as the party’s telecommunications sales revenue if it was not worked out on the basis of a declaration. Division 5—Non-telecommunications sales revenue Non-telecommunications sales revenue 15. (1) To work out the gross telecommunications sales revenue of a participating carrier, it may be necessary: (a) to identify revenue that is not from telecommunications sales (non-telecommunications sales revenue); and (b) to deduct the non-telecommunications sales revenue from the total amount of revenue before identifying the gross telecommunications sales revenue. > Note See step 2 in Schedule 1. (2) This Division explains when revenue may be treated as non-telecommunications sales revenue. Declarations about non-telecommunications revenue 16. (1) The ACA may, in writing, declare that a specified amount, or kind of amount, is non-telecommunications sales revenue. > Note: Example of non-telecommunications revenue > Note: Revenue from the supply of electricity, gas or water. (2) The amount may include the value of a benefit or service. (3) The ACA must also state, in writing, how it worked out the value of a benefit or service declared to be non‑telecommunications sales revenue. > Note The ACA will accept an amount as non-telecommunications sales revenue if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept an amount as non‑telecommunications sales revenue if it was not worked out on the basis of a declaration. Division 6—Unbundling non-telecommunications sales revenue Deducting bundled revenue 17. (1) To work out an amount of non-telecommunications sales revenue to be deducted, it may be appropriate: (a) to separate the deductible revenue, or a kind of deductible revenue, from other amounts with which the deductible revenue is bundled; and (b) to deal only with the deductible revenue. (2) An amount of money is bundled revenue if it: (a) comes from different sources or acts; and (b) is received in a way that does not show how much of the amount came from the individual sources or acts. (3) Bundled revenue may also include the value of a benefit or service. (4) If a participating carrier separates bundled non-telecommunications sales revenue from other amounts for this Part, the carrier must identify: (a) the total amount of the bundled revenue; and (b) the amount of bundled non-telecommunications sales revenue it is deducting; and (c) how it worked out the deductible amount. Declarations about deducting bundled non-telecommunications sales revenue 18. (1) The ACA may, in writing, declare that a specified amount, or kind of amount, is bundled revenue. (2) If the ACA makes a declaration, it must also declare that: (a) a specified amount or proportion of the bundled revenue is deductible non-telecommunications sales revenue; or (b) the amount of the bundled revenue that is deductible non-telecommunications sales revenue should be worked out in a specified way. (3) The ACA must also state, in writing, how it worked out the value of a benefit or service included in the bundled revenue. > Note The ACA will accept an amount from bundled revenue as a deduction of bundled non-telecommunications sales revenue if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept an amount from bundled revenue as a deduction of bundled non-telecommunications sales revenue if it was not worked out on the basis of a declaration. Division 7—ACA declarations about gross telecommunications sales revenue Declarations about revenue 19. (1) The ACA may declare, in writing, that a specified amount is part of a participating carrier’s gross telecommunications sales revenue for a financial year. (2) The ACA may declare, in writing, that a specified kind of amount is part of a participating carrier’s gross telecommunications sales revenue for a financial year. > Note: Examples of amounts that may be declared > Note: 1. Revenue from sales of goods and assets. > Note: 2. Revenue from leases and rentals (including rental of leased lines and telephone handsets). > Note: 3. Revenue from interest and dividends. > Note These examples represent revenue sources that might not be included in the audited consolidated or other financial statements to be used by a participating carrier under the title of “sales revenue”, or revenue sources that a participating carrier might try to omit improperly from its gross telecommunications sales revenue. > Note: The ACA’s power to declare a revenue source will allow it to make it clear, in a disagreement with a carrier, that the ACA regards the revenue as gross telecommunications sales revenue. The ACA’s power will also allow it to take account of revenue that is not sales revenue, but should, in the ACA’s view, still be included in the carrier’s gross telecommunications sales revenue. Declarations about value of benefit or service 20. (1) The ACA may declare, in writing, that the value of a specified benefit or service is part of a participating carrier’s gross telecommunications sales revenue for a financial year. (2) The ACA may declare, in writing, that the value of a specified kind of benefit or service is part of a participating carrier’s gross telecommunications sales revenue for a financial year. (3) The ACA must also state, in writing, how it worked out the value of the benefit or service. > Note The benefit or service, or kind of benefit or service, includes: > Note: a benefit or service received by a participating carrier (for example, a payment in kind); and > Note: a benefit or service provided by the participating carrier without receiving remuneration for it at reasonable market rates (for example, a subsidy in kind). PART 5—HOW TO WORK OUT NET TELECOMMUNICATIONS SALES REVENUE Division 1—Purpose of Part 5 Purpose 21. (1) After a participating carrier has worked out its gross telecommunications sales revenue for a financial year, it may be able to deduct amounts from its gross telecommunications sales revenue. (2) The revenue left is the participating carrier’s net telecommunications sales revenue for the financial year. > Note A participating carrier is not required to deduct an amount from its gross telecommunications sales revenue. (3) This Part explains how to work out amounts that may be deducted from the gross telecommunications sales revenue. > Note If a participating carrier’s gross telecommunications sales revenue includes the telecommunications sales revenue of a consolidated or declared related party, the deductions are available for that revenue. Division 2—Working out net telecommunications sales revenue Net telecommunications sales revenue 22. A participating carrier’s net telecommunications sales revenue for a financial year is worked out using the steps in Schedule 2. Division 3—Specific kinds of deductible revenue Acts outside Australia 23. (1) The participating carrier may deduct from its gross telecommunications sales revenue an amount earned from an act that was: (a) carried out in a place outside Australia; and (b) part of the participating carrier’s activities outside Australia in the telecommunications industry. > Note Although satellites, cables and other facilities may be located outside Australia, their use may be related to the participating carrier’s Australian operations. Revenue earned from these operations would not generally be deductible. (2) However, the participating carrier may not use subregulation (1) to deduct an amount earned from supplying an international listed carriage service to or from Australia. > Note: Examples of revenue from supplying international listed carriage service > Note: 1. Customer charges for international telephone calls. > Note: 2. Settlement payments made to the carrier by a foreign carrier. Acts in Australia for services outside Australia 24. The participating carrier may deduct from its gross telecommunications sales revenue an amount earned from an act: (a) carried out in Australia; and (b) done solely for the supply of a carriage service originating and terminating outside Australia. > Note: Example > Note: Revenue from providing in Australia management, switching or transit carriage services for a carriage service originating and terminating outside Australia. Selling customer equipment 25. The participating carrier may deduct from its gross telecommunications sales revenue an amount earned from selling customer equipment. Levy credit balance 26. The participating carrier may deduct from its gross telecommunications sales revenue a payment of levy credit balance it received under section 214 of the Act in the financial year for which the gross telecommunications sales revenue is being used to calculate eligible revenue. Content services 27. (1) The participating carrier may deduct from its gross telecommunications sales revenue an amount earned for the content of a content service. > Note: Examples of content of a content service > Note: 1. The programming of a broadcasting service, including a subscription broadcasting service. > Note: 2. A message on a 0055 telephone service. (2) However, the participating carrier may not use subregulation (1) to deduct an amount earned from carrying a content service. Exempt base station 28. The participating carrier may deduct from its gross telecommunications sales revenue an amount earned from the use of an exempt base station in the financial year. > Note: Example of using an exempt base station > Note: Using the station to distribute a subscription broadcasting service by microwave or other radiocommunications means. Division 4—Deduction entitlements Suspension of deduction entitlements 29. (1) The ACA may, in writing, declare that 1 or more participating carriers specified in the declaration are not entitled to deduct a specified amount or payment under Division 3. (2) The ACA must state that the declaration is to have effect: (a) for any financial year mentioned in the declaration; or (b) while the declaration is in force. Division 5—ACA declarations Declarations about deductible revenue 30. (1) The ACA may declare, in writing, that a specified amount of a participating carrier’s gross telecommunications sales revenue may be deducted. (2) The ACA may declare, in writing, that a specified kind of amount in a participating carrier’s gross telecommunications sales revenue may be deducted. > Note The amount may include the value of a benefit or service. Division 6—Unbundling deductible revenue Deducting bundled revenue 31. (1) To work out an amount to be deducted, it may be appropriate: (a) to separate deductible revenue, or a kind of deductible revenue, from other amounts with which the deductible revenue is bundled; and (b) to deal only with the deductible revenue. (2) An amount of money is bundled revenue if it: (a) comes from different sources or acts; and (b) is received in a way that does not show how much of the amount came from the individual sources or acts. (3) Bundled revenue may also include the value of a benefit or service. (4) If a participating carrier separates bundled deductible revenue from other amounts for this Part, the carrier must identify: (a) the total amount of the bundled revenue; and (b) the amount of the bundled revenue it is deducting; and (c) how it worked out the deductible amount. Declarations about deducting bundled revenue 32. (1) The ACA may, in writing, declare that a specified amount, or kind of amount, is bundled revenue. (2) If the ACA makes a declaration, it must also declare that: (a) a specified amount or proportion of the bundled revenue is deductible revenue; or (b) the amount of the bundled revenue that is deductible should be worked out in a specified way. (3) The ACA must also state, in writing, how it worked out the value of a benefit or service included in the bundled revenue. > Note The ACA will accept an amount from bundled revenue as a deduction if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept an amount from bundled revenue as a deduction if it was not worked out on the basis of a declaration. PART 6—HOW TO WORK OUT ELIGIBLE REVENUE Division 1—Purpose of Part 6 Purpose 33. (1) After a participating carrier has worked out its net telecommunications sales revenue for a financial year, it must work out its eligible revenue. (2) To do this, the participating carrier may: (a) deduct amounts from its net telecommunications sales revenue; and (b) attribute eligible revenue where it is being worked out on a group basis. > Note A participating carrier is not required to deduct an amount from its net telecommunications sales revenue. (3) This Part explains: (a) how to work out amounts that may be deducted from the net telecommunications sales revenue; and (b) how eligible revenue is to be attributed where it is being worked out on a group basis. Division 2—General Eligible revenue 34. A participating carrier’s eligible revenue for a financial year is worked out using the steps in Schedule 3. Input payments made to other carriers 35. (1) A participating carrier may deduct an amount from its net telecommunications sales revenue if: (a) the amount (an inter-carrier input payment) has been incurred by the participating carrier for an act done by another participating carrier, or a consolidated related party or a declared related party for the other carrier; and (b) the act allows the participating carrier that incurred the amount, or a consolidated related party or a declared related party for the carrier, to provide a listed carriage service; and (c) the participating carrier that incurred the amount believes that the other participating carrier is required to include the amount in its gross telecommunications sales revenue. (2) A participating carrier may deduct an amount from its net telecommunications sales revenue if: (a) the amount (an inter-carrier input payment) has been incurred by a consolidated related party or a declared related party for the carrier for an act done by another participating carrier, or a consolidated related party or a declared related party for the other carrier; and (b) the act allows the consolidated related party or declared related party that incurred the amount, or the carrier for which it is a party, to provide a listed carriage service; and (c) the consolidated related party or declared related party that incurred the amount believes that the other participating carrier is required to include the amount in its gross telecommunications sales revenue. (3) The amount deducted must not be more than the amount of the input payment. > Note A payment for an input obtained from another carrier, for producing a product, can be called an “input payment”. > Note: Examples of inter-carrier input payments > Note: 1. A payment for interconnection. > Note: 2. A payment for a carriage or other service for which access has been declared under Part XIC of the Trade Practices Act 1974. > Note: 3. A payment for a carriage or other service bought on a wholesale basis. > Note: 4. A payment for a retail carriage or other service that the participating carrier buys from the other participating carrier for the purpose of resale. Declarations about inter-carrier input payments 36. The ACA may, in writing, declare that a specified amount, or kind of amount, is an inter-carrier input payment. Other input amounts 37. A participating carrier may deduct an amount from its net telecommunications sales revenue if it is an input amount declared by the ACA. Declarations about other input amounts 38. (1) The ACA may, in writing, declare that a specified input cost or amount, other than an inter-carrier input amount, is an input amount. (2) The ACA may, in writing, declare that a specified kind of input cost or amount, other than an inter-carrier input amount, is an input amount. > Note: Example of other input amount > Note: The cost to the participating carrier of providing its own services of a kind that would create an inter-carrier input amount if another carrier had supplied them. Division 3—Participating carriers with the same ultimate Australian parent entity Purpose 39. (1) This Division applies if: (a) the audited annual consolidated financial statements of an ultimate Australian parent entity include the sales revenue of 2 or more participating carriers for which the entity is the parent entity; and (b) a carrier is working out its eligible revenue as the member of a group. > Note See regulation 7. (2) This Division explains how eligible revenue is attributed to individual carriers when it is being worked out by the carrier as a member of a group. Attribution of group revenue 40. (1) After working out the eligible revenue on a group basis, each participating carrier must state: (a) how much of the eligible revenue is its own eligible revenue; and (b) how much of the eligible revenue is the eligible revenue of the other participating carrier or carriers for which the entity is the parent entity; and (c) how it worked out the amounts. (2) The ACA may, in writing, declare that the eligible revenue of the carrier is to be attributed in a particular way when it is being worked out by the carrier as a member of a group. > Note The ACA will accept an amount as eligible revenue if it was worked out on the basis of a declaration. > Note: The ACA cannot guarantee that it will accept an amount as eligible revenue if it was not worked out on the basis of a declaration. PART 7—ACA DECLARATIONS Declarations of general application 41. (1) This regulation applies if the ACA proposes to make a declaration mentioned in Schedule 4 (a declaration of general application). (2) Before the ACA makes the declaration, it must consult each participating carrier. (3) The ACA must: (a) give the participating carrier a notice that the ACA proposes to make the declaration; and (b) invite the carrier to comment on the proposal, and make submissions. (4) The ACA must allow the carrier at least 14 days after the date of the notice to comment and make submissions. (5) If the ACA makes a declaration after consulting each participating carrier, the ACA must give the carrier a notice stating that: (a) it has made the declaration; and (b) the declaration is available from the ACA, and may also be inspected on the ACA’s Internet site. Other declarations 42. (1) This regulation applies if the ACA proposes to make a declaration that is not a declaration of general application. (2) Before the ACA makes the declaration, it must consult each participating carrier to which the declaration would apply. (3) The ACA must: (a) give the participating carrier a notice that the ACA proposes to make the declaration; and (b) invite the carrier to comment on the proposal, and make submissions. (4) The ACA must allow the carrier at least 14 days after the date of the notice to comment and make submissions. (5) If the ACA makes a declaration after consulting the participating carrier, the ACA must give the carrier a notice stating that: (a) it has made the declaration; and (b) the declaration is available from the ACA, and may also be inspected on the ACA’s Internet site. (6) The ACA: (a) may consult other participating carriers, to which the declaration would not apply, about the declaration; and (b) is not required to comply with subregulations (3), (4) and (5) when consulting the other carriers. Review of decisions 43. Application may be made to the Administrative Appeals Tribunal for review of a decision set out in a declaration that is not a Declaration of general application. PART 8—REGULATIONS CEASE TO HAVE EFFECT Operation of Regulations 44. These Regulations apply to working out eligible revenue for each financial year in the period starting on 1 July 1997 and ending on 30 June 2002. ## DICTIONARY Regulation 3 > Act means the Telecommunications Act 1997. > Australia has the meaning given by section 139 of the Act. > bundled revenue see subregulations 13 (2), 17 (2) and 31 (2). > consolidated related party, for a participating carrier, means an entity other than the carrier whose revenue is included in the annual audited consolidated statements of the carrier’s ultimate Australian parent entity. > content service see sections 7 and 15 of the Act. > customer equipment see sections 7 and 21 of the Act. > declaration of general application see regulation 41. > declared related party see regulation 11. > entity has the meaning given in the accounting standards mentioned in subsection 294A (3) of the Corporations Law. > exempt base station see section 34 of the Act. > gross telecommunications sales revenue see regulation 9. > international listed carriage service means a carriage service mentioned in paragraph 16 (1) (b) or (c) of the Act. > listed carriage service see section 16 of the Act. > net telecommunications sales revenue see regulation 21. > non-telecommunications sales revenue see regulation 15. > participating carrier see section 146 of the Act. > subscription broadcasting service see section 16 of the Broadcasting Services Act 1992. > DICTIONARY—continued > telecommunications industry see section 7 of the Act. > telecommunications sales revenue means sales revenue earned from an activity in the telecommunications industry. > ultimate Australian parent entity means an entity described in that capacity under accounting methods commonly used in Australia. ## SCHEDULE 1 Regulation 9 STEPS FOR WORKING OUT A PARTICIPATING CARRIER’S GROSS TELECOMMUNICATIONS SALES REVENUE STEP 1 The participating carrier identifies sales revenue as follows: A. If the participating carrier’s financial year ends on 30 June, and its revenue is included in the audited annual consolidated financial statements of an ultimate Australian parent entity, the carrier identifies the amount that: (a) is described as sales revenue for the financial year in the entity’s annual consolidated financial statements; or (b) is likely to be described as sales revenue for the financial year when the entity’s annual consolidated financial statements are prepared and audited. > Note For a carrier that is not a public body (see Act, s 52), the description of sales revenue should be based on audited statements for the financial year, prepared using information and accounting methods that comply with Corporations Law accounting standards. > Note: The participating carrier must give the ACA a return of its eligible revenue within 90 days after the end of the financial year (see Act, s 191). However, the audited statements may not be completed within the 90 days. SCHEDULE 1—continued B. If the participating carrier’s financial year ends on 30 June, and its revenue is not included in the audited annual consolidated financial statements of an ultimate Australian parent entity, the carrier identifies the amount that: (a) is described as sales revenue for the financial year in its annual financial statements; or (b) is likely to be described as sales revenue for the financial year when its annual consolidated financial statements are prepared and audited. > Note For a carrier that is not a public body (see Act, s 52), the description of sales revenue should be based on audited statements for the financial year, prepared using information and accounting methods that comply with Corporations Law accounting standards. > Note: The participating carrier must give the ACA a return of its eligible revenue within 90 days after the end of the financial year (see Act, s 191). However, the audited statements may not be completed within the 90 days. C. If the participating carrier’s financial year does not end on 30 June, and its revenue is included in the audited annual consolidated financial statements of an ultimate Australian parent entity, the carrier identifies the amount that is described as sales revenue for the financial year in: (a) the entity’s last completed and audited annual consolidated financial statements; or (b) another audited consolidated statement approved by the ACA. SCHEDULE 1—continued D. If the participating carrier’s financial year does not end on 30 June, and its revenue is not included in the audited annual consolidated financial statements of an ultimate Australian parent entity, the carrier identifies the amount that is described as sales revenue for the financial year in: (a) its last completed and audited financial statements; or (b) another audited financial statement approved by the ACA. STEP 2 The participating carrier deducts from the sales revenue any amount that is earned from an activity outside the telecommunications industry. > Note The deductions include amounts of non-telecommunications revenue (see Division 6 of Part 4), which may also include non‑telecommunications revenue unbundled from bundled revenue (see Division 6 of Part 5). > Note: Example of non-telecommunications revenue > Note: The supply of electricity, gas or water. STEP 3 The participating carrier adds any amount of telecommunications sales revenue that: (a) has not been identified under step 1; and (b) would reasonably be described as its telecommunications sales revenue for the financial year. STEP 4 The participating carrier adds any amount that: (a) has not been identified under steps 1 and 3; and (b) is to be treated as part of its gross telecommunications sales revenue for the financial year under Part 4. SCHEDULE 1—continued STEP 5 The result is the participating carrier’s gross telecommunications sales revenue for the financial year. > Note Part 5 deals with deducting amounts from the gross telecommunications sales revenue. ## SCHEDULE 2 Regulation 22 STEPS FOR WORKING OUT A PARTICIPATING CARRIER’S NET TELECOMMUNICATIONS SALES REVENUE STEP 1 The participating carrier adds up all of the amounts mentioned in Divisions 3 and 5 of Part 5 that it wishes to deduct from its gross telecommunications sales revenue. STEP 2 The participating carrier deducts the total from its gross telecommunications sales revenue. STEP 3 The result is the participating carrier’s net telecommunications sales revenue for the financial year. ## SCHEDULE 3 Regulation 34 STEPS FOR WORKING OUT A PARTICIPATING CARRIER’S ELIGIBLE REVENUE STEP 1 The participating carrier adds up all of the amounts mentioned in Part 6 that it wishes to deduct from its net telecommunications sales revenue. STEP 2 The participating carrier deducts the total from its net telecommunications sales revenue. STEP 3 If the revenue has been worked out on a group basis, the carrier identifies the amount of eligible revenue that is its own revenue. STEP 4 The result is the participating carrier’s eligible revenue for the financial year. ## SCHEDULE 4 Regulation 41 ACA DECISIONS OF GENERAL APPLICATION 1. A declaration under subregulation 11 (2) that a specified kind of person is a declared related party for all participating carriers. 2. A declaration under regulation 12 for a specified kind of declared related party. 3. A declaration under subregulation 14 (1) that a specified kind of amount is bundled revenue for all declared related parties. 4. A declaration under regulation 16 that a specified kind of amount is non-telecommunications sales revenue for all participating carriers. 5. A declaration under subregulation 17 (2) that a specified kind of amount is part of the gross telecommunications sales revenue for all participating carriers. 6. A declaration under subregulation 20 (2) that the value of a specified kind of benefit or service is part of gross telecommunications sales revenue for all participating carriers. 7. A declaration under subregulation 29 (1) that all participating carriers are not entitled to deduct a specific payment or amount under Division 3 of Part 5. 8. A declaration under subregulation 30 (2) that a specified kind of amount in any participating carrier’s gross telecommunications sales revenue may be deducted. 9. A declaration under subregulation 32 (1) that a specified kind of amount is bundled revenue for all participating carriers. SCHEDULE 4—continued 10. A declaration under regulation 36 that a specified kind of amount is an inter-carrier input payment for all participating carriers. 11. A declaration under regulation 38 that a specified kind of amount, other than an inter-carrier input payment, is an input amount for all participating carriers. \_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_\_ > Note: NOTE > Note: 1. Notified in the Commonwealth of Australia Gazette on 30 June 1998.