Document ID: chunk:federal_register_of_legislation:C2004A00603:clause:1_63a
Version: federal_register_of_legislation:C2004A00603
Segment Type: clause
Provision Reference: sch 1 cl 63A
Character Range: 3708–4640

63A  Tax‑equivalent payments

 (1) EFIC must pay to the Commonwealth a tax‑equivalent payment in respect of each financial year.

 (2) The amount of the tax‑equivalent payment to be made in respect of a financial year is to be determined in writing by the Minister, having regard to the purpose of ensuring that EFIC does not enjoy a net competitive advantage over other insurers because of the operation of section 63 in relation to its short‑term insurance contracts.

 (3) The amount determined under subsection (2) in respect of a financial year must not be greater than the amount, or the sum of the amounts, of tax that EFIC would, but for section 63, have been liable to pay in respect of that year in relation to its short‑term insurance contracts.

 (4) EFIC must pay to the Commonwealth the amount determined under subsection (2) in respect of a financial year in accordance with the written directions of the Minister.