Migration (Visa Pre-application Process) Charge Bill 2023 (the Charge Bill) imposes different charges (which may be nil) for different ballots, and for different classes of people, prescribed by Regulations, who register as a participant in a ballot.
The Charge Bill allows regulations to be made prescribing the amount of charge with the ability to prescribe different amounts for different ballots, and for different classes of persons. Importantly, the Charge Bill establishes a ceiling for the maximum amount of charge ($100) that may be prescribed under the regulations for a particular ballot. The Charge Bill also provides a mechanism for indexing this ceiling in accordance with annual movements in the Consumer Price Index. Regulations prescribing a charge would be disallowable by the Parliament. However, the amount prescribed in regulations for a particular ballot may be nil
The Charge Bill is necessary because there is a possibility that the proposed charges may amount to a tax rather than a fee for service. Therefore, it is rational to legislate the charge on the basis that it is, or may be, a tax because it is not possible to determine the relationship between the amount of the charge and the cost of conducting the ballot.
A small charge for participation in a ballot is likely to be necessary in most ballots to ensure that those who register are genuine and have given serious consideration to their capacity to take up a relevant visa, should they be successful in being selected in the ballot. Without this small charge, ballots may become bloated with participants who do not follow through by applying for the relevant visa. This will result in an inefficient process that may not deliver the annual program target for grants of the relevant visa.
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