These regulations are the Injury Prevention, Rehabilitation, and Compensation (Residual Claims Levy) Regulations 2006.

These regulations come into force on 1 April 2006.

In these regulations,—

(1) The Schedule—

• (a) lists industries or risk classes (called classification units); and

• (b) ascribes a classification unit number to each item listed; and

• (c) specifies the rates of the residual claims levy for each classification unit.

(2) Rates of levy are expressed as dollars per $100 of earnings.

(1) The following periods are prescribed for the purposes of section 193(3) of the Act:

• (a) the period commencing on 1 April 2006 and ending with the close of 31 March 2007; and

• (b) every later period commencing on 1 April in any year and ending with the close of 31 March in the next year.

(2) The residual claims levy relates to the periods prescribed by subclause (1).

(1) For the purposes of determining the rate of levy payable under regulation 7, the Corporation must classify each employer and self-employed person in the classification unit that most accurately describes their activity.

(2) The rate of levy payable for each $100 of earnings is the rate specified in the Schedule opposite the classification unit in which the employer or self-employed person has been classified.

(1) Every employer must pay to the Corporation a residual claims levy in respect of earnings paid to each employee during—

• (a) the 2005/06 tax year, in respect of levies payable for the period referred to in regulation 5(1)(a); and

• (b) the tax year ending immediately before the commencement of any period referred to in regulation 5(1)(b).

(2) Every self-employed person must pay to the Corporation a residual claims levy in respect of earnings received by the person during—

• (a) the 2005/06 tax year, in respect of levies payable for the period referred to in regulation 5(1)(a); and

• (b) the tax year ending immediately before the commencement of any period referred to in regulation 5(1)(b).

(1) The maximum amount of earnings (paid or received in the 2005/06 tax year or any later tax year) on which an employer or a self-employed person must pay a residual claims levy is $94,226.

(2) The maximum amount of earnings on which an employer must pay a levy refers to the earnings paid to each employee.

(3) Subclause (2) is for the avoidance of doubt.

(1) This regulation applies to a self-employed person who, in a tax year,—

• (a) works for an average of more than 30 hours per week, whether or not as an employee; and

• (b) earns less than—

  • (i) $18,720, for a person who is aged 18 or over on the last day of the tax year; or

  • (ii) $14,976, for a person who is under the age of 18 on the last day of the tax year.

(2) The person must pay a residual claims levy calculated using the following formula:

where—

• a is the relevant amount specified in subclause (1)(b)(i) or (ii)

• b is the earnings received by the person, as an employee, during the year

• c is the levy rate (calculated for each $100 of earnings) for the classification unit in which the self-employed person has been classified.

The levies calculated in accordance with these regulations are exclusive of goods and services tax.

For the purposes of section 244 of the Act, the relevant exempt amount for any invoice that is issued to an employer or a self-employed person for the purposes of the Act and that includes the residual claims levy is set,—

• (a) in the case of an employer, at $20; and

• (b) in the case of a self-employed person, at $50.

(1) The Injury Prevention, Rehabilitation, and Compensation (Residual Claims Levy) Regulations 2005 (SR 2005/64) are revoked.

(2) Despite subclause (1), the Injury Prevention, Rehabilitation, and Compensation (Residual Claims Levy) Regulations 2005 continue to apply in respect of the period commencing on 1 April 2005 and ending with the close of 31 March 2006 as if they had not been revoked.