Australian Capital Territory
Taxation Administration (Amounts payable – Utilities (Network Facilities Tax)) Determination 2015 (No 1)
Disallowable instrument DI2015-46
made under the  
Taxation Administration Act 1999, s139 (Determination of amounts payable under tax laws)
EXPLANATORY STATEMENT

1.	This instrument is the Taxation Administration (Amounts payable – Utilities (Network Facilities Tax)) Determination 2015 (No 1).

2.	This instrument commences the day after notification.

3.	The purpose of this instrument is to revoke DI2014-17, notified on 27 February 2014, and to determine a new rate for the calculation of Utilities (Network Facilities Tax) payable under the Utilities (Network Facilities Tax) Act 2006 (the UNFT Act).

4.	The Utilities Network Facilities Tax (UNFT) is payable to the ACT Government by the owners of utilities network infrastructure that is located in the ACT.  The UNFT applies to telecommunication, gas, electricity, water and sewerage network providers.   The tax is calculated by multiplying the determined rate by the total network route length, measured in kilometres.

5.	Section 139 of the Taxation Administration Act 1999 (the TAA) empowers the Minister to determine amounts for taxes, duties and levies payable under a tax law, including the UNFT Act.

6.	Utility network owners must lodge an annual return for each year ending 31 March.  The 2014-15 return is for the period 1 April 2014 to 31 March 2015, and is payable by 30 May 2015.

7.	The 2014-15 Budget announced that future UNFT determinations would be indexed by 5 per cent for 2014-15 and in each of the forward years.

8.	Based on a 5 per cent indexation, the UNFT rate will increase from $945 per kilometre for the year ending 31 March 2014, to $992 per kilometre for the year ending 31 March 2015 (a $47 increase, representing 5 per cent rounded to the nearest whole dollar).  

9.	This instrument determines that, for the purposes of section 8 of the UNFT Act, the determined rate will be $992 per kilometre of network route length. 

Authorised by the Treasurer 
Andrew Barr MLA