the Wine Equalisation Tax New Zealand Producer Rebate Foreign Exchange Conversion Determination 2006
Reference: EXC 2006/2
Document type: Legislative Instrument
Enabling act: A New Tax System (Wine Equalisation Tax) Act 1999
Date of issue: 23 March 2006
Signatory: Stephen Neil Olesen Deputy Commissioner and Delegate of the Commissioner
Registration number: F2006L00923
Registration date: 24 March 2006

Commencement: 2. This determination commences on 1 July 2006 or the commencement of Schedule 4 to the Tax Laws Amendment (2005 Measures No. 4) Act 2005 , whichever is the later. | Application of determination: 3. This determination applies to approved New Zealand participants that are required to calculate the approved selling price of their wine in Australian currency, when one or more components of the approved selling price are expressed in a currency other than Australian currency. Note: For approved New Zealand participants, the amount of a WET producer rebate is calculated using the approved selling price of their wine. | Definitions: (a) that is a RBA business day, then the RBA rate is the unit of foreign currency per $A calculated by the RBA at 4:00pm Australian Eastern time on that RBA business day, and (b) that is not a RBA business day, then the RBA rate is the unit of foreign currency per $A calculated by the RBA at 4:00pm Australian Eastern time of the previous RBA business day. | (a) the day on which any of the consideration is received by the New Zealand participant for the supply of the wine (the receipt date); or (b) the invoice date. | (2) Other terms in this determination have the same meaning as in the A New Tax System (Wine Equalisation Tax) Act 1999. | 6. You must use your particular exchange rate and conversion option consistently.

5. Option 1 - conversion for components expressed in any foreign currency: In working out the value of the component used to determine the approved selling price, you convert the value of the component expressed in a foreign currency (including New Zealand currency) on a conversion day in accordance with the following formula: Value of component expressed in a foreign currency * [1/the New Zealand participant's particular exchange rate on the conversion day] Value of component expressed in a foreign currency * [1/the New Zealand participant's particular exchange rate on the conversion day] where, • the New Zealand participant's particular exchange rate is the RBA rate or the New Zealand participant's agreed rate , whichever is applicable; and • the conversion day is the date that the foreign currency is converted into Australian currency for wine equalisation tax purposes. • the New Zealand participant's particular exchange rate is the RBA rate or the New Zealand participant's agreed rate , whichever is applicable; and • the conversion day is the date that the foreign currency is converted into Australian currency for wine equalisation tax purposes. Option 2 - additional option for components expressed in New Zealand currency Where the value of the component used to determine the approved selling price is expressed in New Zealand currency, then in working out the value of that component you have the option of converting the value on a conversion day in accordance with the following formula: Value of component expressed in New Zealand currency ($NZ) * average yearly RBNZ rate Value of component expressed in New Zealand currency ($NZ) * average yearly RBNZ rate where, • average yearly RBNZ rate is the total of the average monthly RBNZ rates for each month in the Australian financial year in which the conversion day occurs, divided by twelve; and • the conversion day is the date that the New Zealand currency is converted into Australian currency for wine equalisation tax purposes. • average yearly RBNZ rate is the total of the average monthly RBNZ rates for each month in the Australian financial year in which the conversion day occurs, divided by twelve; and • the conversion day is the date that the New Zealand currency is converted into Australian currency for wine equalisation tax purposes.