Subject to sections 6, 7, and 19, there is hereby imposed and shall be paid in accordance with this Act, for the use of the Crown, a levy on all natural gas and coal produced in New Zealand at any time on or after 1 January 1977.

Subject to section 5, the rate of levy shall be—

The person liable to pay the levy payable on any natural gas shall be the person who, at the time the natural gas was produced, held the licence relating to the land from which the natural gas was produced.

The person liable to pay the levy payable on any coal (including lignite) shall be the person who, at the time the coal was produced, was the owner of the coal mine from which the coal was produced.

Nothing in subsections (3) and (4) shall in any way derogate from Part 6.

The Governor-General may from time to time, by Order in Council, reduce or increase any or all of the rates of levy specified in subsection (2) of section 4:

provided that no such rate may be increased under this subsection to such an extent that it would exceed the rate specified in that subsection (2).

The explanatory note of an Order in Council made under section 5(1) must indicate that—

Notwithstanding section 4, the levy shall not be payable on—

Notwithstanding section 4,—

The Governor-General may, from time to time and in respect of any particular energy resource that in his opinion would not be produced if a levy at the rate specified in section 4, or, as the case may be, in an Order in Council under section 5, were payable thereon, prescribe by Order in Council that, subject to such conditions as are specified in the Order in Council,—

and every such Order in Council shall have effect according to its tenor. The Governor-General may in like manner vary or revoke any such Order in Council.

Subject to this section, every person who is liable to pay a levy on any energy resource shall, within 20 days after the end of the month during which the energy resource was produced, furnish to the Secretary a return (in the form prescribed pursuant to section 32) stating the amount of the energy resource, the amount of the levy payable thereon, and such other particulars reasonably incidental thereto as the form may require.

The Secretary, in his discretion, may, for the purpose of meeting the special circumstances (including those relating to the time between production and weighing or measurement of any energy resource) of any case or class of cases, extend for so long and subject to such conditions as he thinks fit the time within which a person is required to furnish a return pursuant to subsection (1). In every such case the provisions of this section shall apply as so varied, and that person shall furnish a return accordingly.

The exercise by the Secretary of his discretion under subsection (2) shall not in any case exempt a person from his liability to pay any levy, notwithstanding that it may have the effect of extending the time for payment thereof.

In addition to the returns required by section 8, the Secretary may require any person to furnish (whether on his own behalf or as an agent or a trustee) to the Secretary such further or other returns as the Secretary requires for the purposes of this Act, and that person shall, within a reasonable time, furnish any such further or other returns accordingly.

A return purporting to be furnished by or on behalf of any person shall for all purposes be deemed to have been furnished by that person or by his authority, as the case may be, unless the contrary is proved.

Subject to this section and section 12(5), every person who is liable to pay a levy on any energy resource shall pay that levy to the Secretary within the time within which he is required by section 8 to furnish a return relating to that energy resource.

The Secretary, in his discretion, may, for the purpose of meeting the special circumstances of any case or class of cases, extend for so long and subject to such conditions (including payment of interest) as he thinks fit the time within which a person is required to pay a levy pursuant to subsection (1). In every such case the provisions of this section shall apply as so varied, and that person shall pay the levy accordingly.

Where the Secretary finds in any case that a levy or further levy is payable by any person, the Secretary may make an assessment of the energy resource on which that levy or further levy is payable and of the amount of that levy or further levy.

Where—

the Secretary may make an assessment of the energy resource on which, in his judgment, a levy or further levy ought to be paid and of the amount of that levy or further levy, and that person shall be liable to pay the levy or further levy so assessed, save in so far as he establishes on appeal under section 14 that the assessment is excessive or that he is not liable to pay the levy or further levy.

Subject to section 13, the Secretary may from time to time and at any time make all such alterations in or additions to an assessment made under this section as he thinks necessary to ensure the correctness thereof, notwithstanding that a levy or further levy already assessed may have been paid.

As soon as conveniently may be after an assessment or amended assessment is made under this section, the Secretary shall cause notice of the assessment or amended assessment to be given to the person liable to pay the levy or further levy:

provided that the omission to give any such notice shall not invalidate the assessment or amended assessment or in any manner affect the operation thereof.

Where any levy or further levy is assessed under an assessment or amended assessment made under this section the person liable to pay the levy or further levy shall pay the amount thereof to the Secretary within the time within which he is required by section 8 to furnish a return relating to the energy resource on which the levy or further levy is payable:

provided that where the Secretary is satisfied that the person has not been guilty of wilful neglect or default in making due and complete returns under this Act in respect of that energy resource, the Secretary may, in any case where he considers that the circumstances warrant it, specify in the notice of the assessment or amended assessment, or in any subsequent notice, such date (being later than the last date for furnishing the return in accordance with section 8) as he, in his discretion, determines for the payment of that levy or further levy; and, in that event, the date so determined shall be the due date for payment of that levy or further levy.

The validity of an assessment or an amended assessment shall not be affected by reason that any of the provisions of this Act have not been complied with.

Except in proceedings on appeal under section 14 against an assessment or an amended assessment, no assessment or amended assessment made by the Secretary shall be disputed in any court or in any proceedings on any ground; and, except as aforesaid, every such assessment or amended assessment and all the particulars thereof shall be conclusively deemed and taken to be correct, and the liability of the person so assessed shall be determined accordingly.

Where any person has made a return in respect of any energy resource and has paid, or has been assessed for, a levy or further levy thereon, it shall not be lawful for the Secretary—

after the expiration of 4 years from the day on which the return was made.

Notwithstanding subsection (1), in any case where, in the opinion of the Secretary, the return so made is fraudulent or wilfully misleading, it shall be lawful for the Secretary—

Where any person is dissatisfied with any assessment or amended assessment made by the Secretary under this Act, the person may appeal to the High Court against that assessment or amended assessment:

provided that, except as otherwise expressly provided in this Act, there shall be no right of appeal with respect to any matter which by any provision of this Act is left to the discretion, judgment, opinion, approval, consent, decision, or determination of the Governor-General, the Minister of Finance, or the Chief Inspector of Coal Mines.

Every appeal under subsection (1) shall be made by giving notice of appeal within 2 months after the date on which the appellant was notified of the assessment or amended assessment appealed against or within such further time as the court may allow on application made either before or after the expiration of those 2 months.

In its determination of any appeal the court may confirm, modify, or reverse the assessment or amended assessment appealed against.

Subject to this section, the procedure in respect of any such appeal shall be in accordance with rules of court.

The obligation to pay and the right to receive and recover any levy shall not be suspended by any appeal; but, if the appellant succeeds, the amount (if any) of the levy received by the Secretary in excess of the amount which, according to the decision on the appeal, was properly payable shall forthwith be refunded to him by the Secretary.

Subject to subsections (3) and (4), if any levy or further levy or part thereof payable under this Act (whether or not assessed under section 12) is not paid within the time specified for payment thereof under section 11 or section 12(5), as the case may be, an amount calculated in accordance with subsection (2) shall be and be deemed to be added to the levy or further levy by way of an additional levy and shall be payable accordingly.

For the purposes of subsection (1), any amount payable thereunder as additional levy shall be calculated at the rate of 2% of the unpaid levy or further levy or part thereof, as the case may be, for every period of 28 days or part thereof between the date by which the levy or further levy or part thereof should have been paid under this Act and the date the levy or further levy or part thereof is paid.

On application for relief made in writing by or on behalf of any person who has become liable under this section for the payment of any additional levy that does not exceed $500, the Secretary, if having regard to the circumstances of the case he thinks it equitable to do so, may grant relief to the person—

On application for relief made in writing by or on behalf of any person who has become liable under this section for the payment of any additional levy that exceeds $500, the Minister of Finance, if having regard to the circumstances of the case he thinks it equitable to do so, may grant relief to the person—

Any amount imposed by way of additional levy under this section shall be in addition to any other penalty to which the person may be liable, and shall for all purposes be deemed to be of the same nature as the unpaid levy in respect of which it is imposed, and shall, except to the extent that relief is granted in respect thereof under subsection (3) or subsection (4), be recoverable accordingly.

All money payable to the Secretary under this Act shall constitute a debt due to the Crown.

The right to recover any levy as a Crown debt shall not be affected by the fact that a bond or security has been given for the payment of the levy or that no proper assessment of the levy has been made in due course or that a deficient assessment of the levy has been made.

Without in any way derogating from the Income Tax Act 2007 or the Tax Administration Act 1994, the provisions of section RA 7 of the Income Tax Act 2007, and sections 156 and 158 to 164 of the Tax Administration Act 1994, as far as they are applicable and with the necessary modifications, shall have effect as if they formed part of this Act and as if—

All money paid to or recovered by the Secretary under this Act shall be paid into a Crown Bank Account.

Where the Secretary is satisfied that any levy paid by a person is in excess of the levy properly payable by him, the Secretary shall refund the amount paid in excess:

provided that no refund shall be made under this section after the expiration of the period of 8 years immediately after the date on which the levy was paid by him, unless written application for the refund is made by or on behalf of the person before the expiration of that period.

In any case where it is shown to the satisfaction of the Minister of Finance that any person who has become liable to pay a levy has suffered such loss or is in such circumstances that the exaction of the full amount of the levy would entail or has entailed serious hardship, the Minister of Finance may release the person wholly or in part from his liability to pay the levy and may take such steps as are necessary for that purpose; and the Minister of Finance may, if the levy or any part thereof has already been paid, refund the whole or any part of the amount paid.

Any refund of a levy or an additional levy under this Act may be paid from public money without further appropriation than this section.

Every person commits an offence against this Act who—

Every person who commits an offence against this Act for which no other penalty is prescribed shall be liable on conviction to a fine not exceeding $1,000.

Any charging document may charge the defendant with any number of offences against this Act, if those offences are founded on the same set of facts, or form or are part of a series of offences of the same or a similar character.

Where any charging document charges more than 1 such offence, particulars of each offence charged shall be set out separately in the charging document.

All such charges shall be heard together, unless the court, either before or at any time during the hearing, considers it just that any charge should be heard separately and makes an order to that effect.

Despite anything to the contrary in section 25 of the Criminal Procedure Act 2011, the limitation period in respect of an offence against this Act or any regulations made under it ends on the date that is 10 years after the date on which the offence was committed.

For the purposes of this Part—

The Secretary may from time to time, for the purposes of this Act, declare any person to be the agent of any other person in respect of any energy resource.

Where the Secretary is satisfied that any person in New Zealand (in this section called the agent) is so far under the control of any other person in New Zealand or elsewhere (in this section called the principal) that the relation between them is in effect that of agent and principal, he may require returns to be made, and may make assessments, accordingly and the principal and agent shall be liable for a levy accordingly.

Without in any way derogating from the Income Tax Act 2007, section HD 15 of that Act, as far as it is applicable and with the necessary modifications, shall have effect as if it formed part of this Act and as if every reference therein to land tax or to income tax or to tax were a reference to a levy.

Every person who has the possession, control, or management of a licence held or coal mine owned by any other person who is an absentee shall, for the purposes of this Act, be the agent of that other person in respect of any energy resource produced from land to which that licence relates or from that coal mine, as the case may be, and shall make returns and shall be chargeable with, and assessable and liable for, any levy payable thereon accordingly.

With respect to every agent, the following provisions shall apply:

Nothing in this Act relating to an agent shall be so construed as to release the principal from liability to make returns and to be chargeable with, and assessable and liable for, a levy.

No assessment of the agent shall preclude an assessment of the principal for the same levy, not shall an assessment of the principal preclude an assessment of the agent for the same levy, and the principal and agent shall be jointly and severally liable for any levy for which the agent is liable.

Where 2 or more persons are chargeable as agents with the same levy, they shall be jointly and severally liable therefor.

Notwithstanding any other enactment or rule of law, every agreement, for the sale of an energy resource in respect of which a levy is payable, that has been made at any time before the day on which this Act receives the Governor-General’s assent shall (unless the parties to the agreement otherwise agree or express provision to the contrary is made by the agreement or the amount of the levy has been specifically allowed for in the agreed price) be deemed to be modified by adding to the agreed price for the energy resource the amount of the levy payable in respect thereof.

Notwithstanding any other enactment or rule of law, if any alteration of any or all of the rates of levy is made by Order in Council, or by expiration of an Order in Council, pursuant to section 5, every agreement, for the sale of an energy resource in respect of which a levy at an altered rate is payable, that has been made at any time before the day the Order in Council is made or expires, as the case may be, shall (unless the parties to the agreement otherwise agree or express provision to the contrary is made by the agreement or the alteration has been specifically allowed for in the agreed price) be deemed to be modified in accordance with the following provisions, namely:

Notwithstanding any other enactment, where an agreement for the sale of an energy resource in respect of which a levy is payable or has been paid is made at any time on or after the day on which this Act receives the Governor-General’s assent, the price payable under that agreement for that energy resource may be an amount not exceeding the total of—

Notwithstanding any other enactment, rule of law, deed, or agreement, where a person is liable to pay to any other person a royalty, rent, tribute, or fine on any energy resource produced and the amount of that royalty, rent, tribute, or fine is a percentage of or calculated by reference to the selling price of that energy resource, the selling price for the purposes of calculating the royalty, rent, tribute, or fine payable shall be the amount that the selling price would have been had this Act not been passed, unless both those persons otherwise agree.

Section 74A(1) of the Property Law Act 2007 applies to any money paid by a purchaser to a seller in excess of the amount payable under this section (despite section 74A(2) of that Act).

In this section—

For the purposes of this Act the Secretary may from time to time prescribe any forms that are not otherwise specifically prescribed.

The production of any document under the hand of the Secretary purporting to be a prescribed form or an extract from a prescribed form, or a copy of any such form or extract, shall in all courts and in all proceedings be sufficient evidence of the fact that the form or extract was prescribed; and all courts shall in all proceedings take judicial notice of the signature of the Secretary either to the prescribed form or to any such extract or copy.

The production of any document under the hand of the Secretary purporting to be a copy of or extract from any return or assessment shall in all courts and in all proceedings be sufficient evidence of the original, and the production of the original shall not be necessary, and all courts shall in all proceedings take judicial notice of the signature of the Secretary either to the original or to any such copy or extract.

In proceedings for an offence against this Act and in proceedings in the course of which the Secretary has the burden of proving any such offence, any book or document, or entry in any book or document, kept or made in the regular course of business by any person (not being a bank as defined in section 2 of the Banking Act 1982) in carrying on any business shall be admissible as evidence of the transactions, dealings, matters, and amounts therein disclosed.

A copy of any book or document, or of an entry in any book or document, that would be admissible in evidence under subsection (3), or a copy of any such copy, shall be admissible as evidence of the book or document or entry and of the transactions, dealings, matters, and amounts therein disclosed, whether or not notice to produce the book or document or entry or copy has been given.

In subsections (3) and (4) the term business means any business, profession, trade, manufacture, occupation, or calling of any kind; and includes the activities of any department of State or of any organisation or society.

Notwithstanding anything in any other Act, the Secretary, or any officer or employee of the responsible department of State authorised by him in that behalf, shall at all reasonable times have full and free access to all lands, buildings, and places, and to all books and documents, whether in the custody or under the control of a public officer or a body corporate or any other person whatsoever, for the purpose of inspecting any books and documents and any property, process, or matter which the Secretary, officer, or employee considers necessary or relevant for the purpose of collecting any levy under this Act, or considers likely to provide any information otherwise required for the purposes of this Act, and may, without fee or reward, make extracts from or copies of any such books or documents.

The Secretary or any authorised officer or employee may for the purposes of any investigation under this section require the owner or manager of any property or business which is being investigated, or any other person employed, or previously employed, in connection with the property or business, to give him all reasonable assistance in the investigation and to answer all proper questions relating to any such investigation either orally or, if the Secretary or officer or employee so requires, in writing, or by statutory declaration, and for that purpose may require the owner or manager or, in the case of a company, any officer of the company to attend at the premises with him.

Every person (including any officer employed in or in connection with any department of the Government or by any public authority, and any other public officer) shall, when required by the Secretary or by any authorised officer or employee, furnish in writing any information and produce for inspection any books and documents (including copies of statements of financial position and of profit and loss accounts and other accounts, and statements of assets and liabilities) that the Secretary or officer or employee considers necessary or relevant for any purpose relating to the administration or enforcement of this Act.

The Secretary or any authorised officer or employee may, if he considers it reasonable to do so, remove and retain any books or documents produced for inspection under subsection (3) for so long as is necessary for a full and complete inspection of such books and documents; and may, without fee or reward, make extracts from or copies of any such books or documents.

Any person producing any books or documents which are retained by the Secretary or any authorised officer or employee pursuant to subsection (4) shall, at all reasonable times and subject to such reasonable conditions as may be determined by the Secretary or that officer or employee, be entitled to inspect the retained books or documents and to obtain copies thereof at his own expense.

The Secretary or any authorised officer or employee may require that any written information or particulars furnished under this section shall be verified by statutory declaration or otherwise.

Where there is disagreement between the Secretary and any person as to whether any substance is lignite for the purposes of this Act, the Chief Inspector of Coal Mines (appointed under section 8 of the Coal Mines Act 1979), or a person appointed by him for the purpose, shall decide whether or not the substance is lignite, and his decision shall be final.

Every person who is liable to pay a levy on any energy resource shall ensure that it is weighed or measured for the purposes of this Act in accordance with regulations made under this Act or, in default of any such regulations or so far as such regulations do not extend, in such manner as the Minister may prescribe.

Every person who is liable to pay a levy shall, for the purposes of this Act, keep sufficient books and documents to enable his liability to be readily ascertained by the Secretary or any officer or employee authorised by the Secretary in that behalf, and shall retain all such books and documents for a period of at least 10 years after he has paid the levy:

provided that this subsection shall not require the retention of any books and documents in respect of which the Secretary has notified the person that retention is not required.

The Governor-General may from time to time, by Order in Council, make regulations for all or any of the following purposes:

Any regulations made under this section may provide that they shall come into force or shall be deemed to have come into force on a date to be specified therein, whether that date is before or after the date of the making of the regulations.