From 1 July 2017, tea tree oil that is produced in Australia and sold by a producer, or that is exported, will attract a levy or charge. The tea tree oil levy and charge rate comprises Emergency Plant Pest Response (EPPR) and research and development (R&D), as shown in the table below:
|Levy and charge component||Levy and charge rate|
|R&D||$0.25 per kilogram|
|Total||$0.25 per kilogram|
The charge on tea tree oil is not payable if the levy has already been applied to the tea tree oil prior to export. GST is not applied to Australian Government levies and charges.
Purpose of the tea tree oil levy and charge
The introduction of the tea tree oil levy and charge will provide the Australian tea tree oil industry with a reliable source of funding to undertake high priority R&D and biosecurity preparedness activities.
Who is affected by the introduction of a tea tree oil levy and charge?
A producer of tea tree oil, the person who owns the tea tree oil immediately before it is first sold in Australia or at the time it is exported, is liable to pay the levy or charge.
A producer of tea tree oil is not liable to pay the tea tree oil levy if the tea tree oil is sold by retail sale by the producer and the total amount of levy the producer would be liable to pay in a financial year would be less than $25.
If you buy, sell or export tea tree oil you must submit a return and make a payment to the department.
Information about how the tea tree oil levy and charge may apply to you, including when you may need to submit your tea tree oil return, is available at: Levy rates and commodity details. Alternatively, you can contact the Levies Helpdesk on the free call number: 1800 020 619 or email: Levies Management.