[AusNOG] From Commsday - Small carriers to get levies break

[Grahame Lynch]

www.commsday.com actually :-)

On 3 May 2011 06:30, Skeeve Stevens <Skeeve at eintellego.net> wrote:

>
> Small carriers to get levies break
>
>
> The majority of Australian carriers would be exempt from paying universal
> service and national relay service levies under draft legislation put
> forward by communications minister Stephen Conroy, while most could also be
> exempt from the annual carrier licence charge in future.
>
>
> The proposals come in the draft Telecommunications (Participating Persons)
> Determination 2011, which has now been released for public consultation.
> According to the minister, the aim of the draft determination is to remove
> unnecessary regulatory red tape for small telecommunications carriers.
>
>
> In the current regulatory regime, telcos pay USO and NRS levies based on
> their eligible revenue. However, under the proposed draft, an eligible
> revenue threshold of $25 million would be set. Accord- ing to the Australian
> Communication and Media Authority’s 2008–09 eligible revenue assessment, 170
> of 194 carriers had eligible revenue of less than $25 million and would be
> exempt under the proposed draft changes.
>
>
> Conroy said the move was part of the government's commitment to
> streamlining the eligible revenue assessment process. “It will reduce the
> regulatory compliance costs for smaller carriers as well as reduce
> administrative costs for the ACMA,” he noted.
>
>
> As well as the levies, the minister said the government would also take
> steps to exempt smaller carri- ers from paying the annual carrier licence
> charge.
>
>
> To calculate eligible revenue, carriers are required to submit an eligible
> revenue return to the ACMA at the end of each financial year, which includes
> a form and supporting documents including an inde- pendent auditors report.
> The ACMA then uses the information to assess each carrier’s eligible
> revenue, which is used to calculate a carrier’s contribution to the USO and
> NRS levies.
>
>
> The ACMA also currently uses eligible revenue to calculate the variable
> component of a carrier’s an- nual carrier licence charge. The annual carrier
> licence charge also includes a fixed component.
>
>
> However, according to the draft, for smaller carriers the cost of preparing
> and submitting their eligi- ble revenue return will often exceed their
> actual contribution to the levies.
>
>
> The draft also noted that a $25 million eligible revenue threshold has been
> selected because it would align more closely with reporting processes
> mandated for Australian businesses under Commonwealth legislation and
> regulations. It will allow the ACMA to align its requirements with the
> Corporations Act so that a company required to submit a return under the act
> would be required to submit a return to the ACMA.
>
>
> The communications minister will also issue a direction to the ACMA to make
> necessary changes under the Telecommunications (Carrier Licence Charges) Act
> 1997 to exempt carriers with eligible reve- nue of less than $25 million
> from paying the annual carrier licence charges. The ACMA is expected to
> consult on this at a later time.
>
>
> Comments on the draft ministerial directive are due on May 16.
>
>
> ---
>
>
> From Commsday 10220503.  Check them out @ www.commsday.com.au and get the
> news before other people do.
>
>
>
>  ...Skeeve
>
>
>
> --
>
> Skeeve Stevens, CEO - eintellego Pty Ltd - The Networking Specialists
>
> skeeve at eintellego.net ; www.eintellego.net
>
> Phone: 1300 753 383 ; Fax: (+612) 8572 9954
>
> Cell +61 (0)414 753 383 ; skype://skeeve
>
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>
> twitter.com/networkceoau ; www.linkedin.com/in/skeeve
>
> PO Box 7726, Baulkham Hills, NSW 1755 Australia
>
>
> --
>
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>
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>
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