Jacqui Lambie (Tasmania, Jacqui Lambie Network) Share this | Hansard source

First of all, I don't know where Senator Hanson's living. Honestly, I don't. She's out there campaigning. That's what she's doing in Queensland. She'd better go and talk to some of those small businesses, I'll tell you that now. I don't know what's going on in Queensland, but in Tasmania those small businesses want to be paid within 30 days. They are not surviving. That is the truth of the matter. There is no way the Jacqui Lambie Network will support that amendment.

Question agreed to.

by leave—I move amendments (1) to (4) on sheet 8972 together:

(1) Clause 1, page 1 (line 8), after "Reporting", insert "and Enforcement".

(2) Clause 3, page 2 (after line 23), at the end of the clause, add:

  ; and (c) to enforce the payment of small business invoices by a reporting entity within 21 days of issue.

(3) Clause 4, page 3 (after line 9), after the paragraph beginning "A reporting entity", insert:

A reporting entity must pay a small business invoice within 21 days of the issue of the invoice.

(4) Page 21 (after line 26), after Part 3, insert:

Part 3A—Enforcing payments

Division 1—Introduction

27A Simplified outline of this Part

This Part imposes an obligation on a reporting entity to pay a small business invoice within 21 days of the issue of the invoice.

A civil penalty applies to a reporting entity that fails to do so.

If a reporting entity is ordered to pay a pecuniary penalty, the Regulator must pay to the issuer of the invoice an amount equal to the penalty.

A small business supplier may request the Regulator to apply to a court for the imposition of a civil penalty under this Part.

Division 2—Payment of small business invoices

27B Reporting entities must pay small business invoices within 21 days

(1) A reporting entity must pay a small business invoice in full before the end of the period of 21 days beginning on the day the invoice was issued.

Civil penalty

(2) A reporting entity is liable to a civil penalty if:

  (a) the entity is required to pay a small business invoice; and

  (b) the entity fails to comply with the requirement in subsection (1); and

  (c) the entity is not a volunteering entity.

Civil penalty:   200 penalty units.

(3) For the purposes of subsection (2), the reference in paragraph 82(5)(a) of the Regulatory Powers Act to 5 times the pecuniary penalty specified for the civil penalty provision has effect as if it were a reference to an amount equal to the lesser of:

  (a) either:

     (i) if the invoice is paid in full before the day that the order to pay the penalty is made—5% of the total amount of the small business invoice multiplied by the number of days in the period beginning on the 22nd day after the invoice was issued and ending on the day the invoice was paid in full; or

     (ii) if the invoice is not paid in full before the day that the order to pay the penalty is made—5% of the total amount of the small business invoice multiplied by the number of days in the period beginning on the 22nd day after the invoice was issued and ending on the day the order is made; or

  (b) 0.2% of the total income for the person for the income year in which the contravention occurred.

  Note: This subsection modifies the maximum pecuniary penalty that a body corporate can be ordered to pay for a contravention of subsection (2).

(4) If an order is made for the reporting entity to pay a pecuniary penalty for the contravention of subsection (2) in relation to a particular small business invoice or particular small business invoices, the Regulator must pay an amount to the small business supplier that issued the invoice or invoices that is equal to the amount of the penalty.

(5) Amounts payable under subsection (4) are to be paid from money appropriated by the Parliament for the purposes of this section.

27C Requests for Regulator to apply to court for the imposition of a civil penalty

(1) A small business supplier may request the Regulator to apply to a court for the imposition of a civil penalty under section 27B.

(2) A request under subsection (1) must be in such form and be accompanied by such information as is required by the Regulator.

(3) Subject to subsection (4), if the Regulator is satisfied that the reporting entity has failed to comply with the requirement in subsection 27B(1), the Regulator must either:

  (a) notify the reporting entity of its obligations under this Part and its liability for a penalty (issue a warning); or

  (b) apply to a court for the imposition of a civil penalty under subsection 27B(2).

(4) If the Regulator has already issued a warning to the reporting entity on 3 separate occasions in the 3 years preceding the request, the Regulator must apply to a court for the imposition of a civil penalty under section 27B.

  Note: The Regulator may apply to a court for the imposition of a civil penalty even if the Regulator has not already issued a warning to the reporting entity on 3 separate occasions over a period of 3 years.

(5) The Regulator must notify the small business supplier of the action that the Regulator has decided to take as soon as practicable, but in any case by not longer than 4 weeks after the request is made.

Question negatived.