Wheat levy

Processing in relation to wheat does not mean wheat that has been treated with a pesticide or other preserving agent before or during storage, or grading solely for seed purposes.

The sale value of the seed grain is determined as if it were not seed grain for sowing and had been sold at the market price of the day the grain was delivered.

The wheat levy rate comprises Emergency Plant Pest Response (EPPR), NRS testing, PHA membership and research and development (R&D), and as set out in the table below:

The wheat levy rate is calculated as a percentage of the sale value of the wheat – that is, the price or amount paid for the wheat net of GST, handling, storage, transport and free on board (FOB) costs. This may also be known as farm gate value.

GST is not applied to Australian Government levies.

Example: for wheat for sowing, the amount that would be the sale price of the wheat if it were not wheat for sowing and if it had been sold at the market price on the day the wheat was delivered.

Example: for wheat in a pool, the amount of each payment made for the wheat.

Example: in any other case, the sale price of the wheat according to the sales invoice or other sales documents for the wheat unless there are no sales invoices or sales documents for the wheat and the amount that would be the sale price of the wheat if that wheat had been sold at the market price on the day the wheat was delivered.

A producer, the person who owns the wheat immediately after harvest is liable to pay the levy.

As an intermediary, including as a first purchaser, buying agent, selling agent, receiver or processor, you must lodge a return and make a payment to the department. An intermediary can recover from the producer the amount of levy paid to the department by offset or otherwise.

If you produce wheat and you permit the wheat to be delivered to another person, or to be taken by another person out of your possession or control, you are taken to have delivered the wheat to the other person.

Wheat is taken to have been delivered to a receiver if the purpose of the person receiving the wheat is to not carry the wheat to a further destination. If the ownership of wheat passes from the producer to a person, or to a number of persons in succession, without any delivery of the wheat, the producer is that person or the last of those persons.

If you produce wheat and use your wheat for your own commercial purposes, for example in a feedlot or piggery, you must lodge a return and make a payment to the department as the grain is used.

If you produce wheat and you process and sell your own wheat, for example if you are a registered or certified seed grower, you must lodge a return and make a payment to the department as the grain is sold.

A producer of wheat is not liable to pay the wheat levy if the total quantity of wheat that is delivered to a person in a financial year amounts to less than $25 of levy.

If you produce and process your own wheat and you use the wheat for your own purposes on farm and not for commercial purposes, you are exempt from paying the wheat levy.

If you produce wheat and your wheat is processed by another person and the processed grain or all of the products and by-products from the processing are returned to you for your own purposes on farm and not for commercial purposes, you are exempt from paying the wheat levy.

You must register with the department to receive a unique LRS number before you can lodge your first return.

To lodge your return online, access Levies Online. Alternatively, you can complete a manual grain return form.

IMPORTANT: If you pay your levy late you will incur a penalty that is calculated daily at a compounding rate of 2 per cent of the unpaid amount each month, including any penalties you have already accrued until you have paid the outstanding amount in full.

The wheat levy is based on a financial year.

Quarterly returns and payments must be lodged with the department within 28 days of the end of the quarters of March, June, September and December.

Example: for the quarter ending 30 September—if you delivered, received, bought, sold or processed wheat in the months of July, August and September— your quarterly return and payment is due to the department on or before 28 October.

As a producer of wheat who sold, processed or had wheat processed on your behalf for a commercial purpose in a quarter, your return for that quarter must include:

1. Your personal details, including:
   1. Full name
   2. Business or residential address, not the address of a post office box or post office bag
   3. Post office box or post office bag, and
   4. Australian Business Number (ABN), or if you are a company the Australian Company Number (ACN)
2. Period to which the return relates
3. Sale value of the wheat that you processed or had processed on your behalf by another person
4. Sale value of the wheat delivered or sold
5. State or States where the wheat was produced
6. Sale value of the wheat delivered or sold in each State, and
7. Total amount of levy payable.

As a first purchaser, receiver, buying agent or selling agent of wheat who had wheat delivered or sold to you in a quarter, your return for a quarter must include:

1. Your personal details, including:
   1. Full name
   2. Business or residential address, not the address of a post office box or post office bag
   3. Post office box or post office bag, and
   4. ABN, or if you are a company the ACN
2. Period to which the return relates
3. Sale value of any wheat that purchased, sold or received
4. State or States where the wheat was produced
5. Sale value of the wheat delivered or sold in each State, and
6. Total amount of levy payable for the wheat.

Your return must also include, for each producer from or for whom you bought or sold wheat, the:

1. 1. Person’s full name, address, contact details, and ABN, if any, and if the person is a company and does not have an ABN – its ACN
   2. Total quantity (in tonnes) of wheat produced in each State
   3. Sale value of the wheat for each State, and
   4. Amount of levy paid for the wheat for each State.

Please note: For wheat in a pool, the amount of levy payable must be calculated using the quantity of wheat (in tonnes) that corresponds with the percentage of each pool payment. The amount of levy payable must be calculated using the quantity of wheat (in tonnes) that corresponds with the percentage of each pool payment.

As a producer of wheat, you must keep records for five (5) years showing for each quarter, the:

1. Sale value of the wheat delivered or sold
2. Quantity of wheat processed by or on your behalf that would be used for a commercial purpose
3. State or States where the wheat was produced, and
4. Quantity of wheat kept by you for your own purposes on farm.

As a first purchaser, receiver, buying agent or selling agent of wheat, you must keep records for five (5) years showing for each quarter, the:

1. Sale value of the wheat purchased, sold or received
2. State or States where the wheat was produced
3. Sale value of the wheat purchased, sold or delivered in each State, and
4. Any amount deducted from a payment made to a producer for an amount of levy or penalty payable for the wheat.

The wheat levy is legislated for under the:

Primary Industries (Excise) Levies Act 1999

Primary Industries Levies and Charges Collection Act 1991, and

National Residue Survey (Excise) Levy Act 1998.

This information is a guide only. If you are required to lodge a return and make a payment to the department it is your responsibility to remain aware of your obligations under legislation.