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Financial Markets Authority Act 2011

Miscellaneous provisions - Fees, charges, costs, and levies

68: Levy of financial markets participants and other persons registered or incorporated under Acts referred to in Schedule 1

You could also call this:

"Paying a levy if you're involved in financial markets"

Illustration for Financial Markets Authority Act 2011

You have to pay a levy if you are in a certain group of people. The government decides who has to pay and how much they have to pay. You can find more information about this in the regulations. You are a specified person if you are a financial markets participant or if you are registered under certain Acts, such as those referred to in Part 2 of Schedule 1. The Governor-General can make regulations about levies on the recommendation of the Minister. These regulations can say who has to pay a levy and how much they have to pay. The levies help pay for the costs of the Financial Markets Authority (FMA) and the costs of collecting the levies. If you are in two or more groups that have to pay different levies, you have to pay each of those levies. You can pay your levy into a Crown Bank Account. If you do not pay your levy, the FMA can take you to court to get the money. The FMA has to make sure that levy payments are paid into a Crown Bank Account and accounted for separately. You can learn more about secondary legislation, such as the regulations under this section, in Part 3 of the Legislation Act 2019.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM3231763.

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Part 4Miscellaneous provisions
Fees, charges, costs, and levies

68Levy of financial markets participants and other persons registered or incorporated under Acts referred to in Schedule 1

  1. Every person that is included in a prescribed class of specified persons must pay to the Crown, or a prescribed person on behalf of the Crown, a levy prescribed by regulations.

  2. In this section and section 69, specified persons means—

  3. financial markets participants; and
    1. every other person registered or incorporated, or who makes an application for the registration or incorporation of a person, under an Act referred to in Part 2 of Schedule 1.

      1. The Governor-General may, by Order in Council made on the recommendation of the Minister, make regulations providing for the levies.

      2. Levies must be prescribed on the basis that the following costs should be met fully out of the levies:

      3. a portion of the costs of the FMA in performing or exercising its functions, powers, and duties under this Act and any other enactment, where the size of the portion to be met by levies under this Act is determined by the Minister; and
        1. the costs of collecting the levy money.

          1. Levies may be prescribed on the basis that any actual cost that could have been, but has not been, recovered as a levy shortfall for a year may be recovered (along with any financing charge) over any period of up to 5 years.

          2. The regulations may—

          3. specify the class or classes of specified persons that are required to pay a levy:
            1. specify the amount of levies, or method of calculating or ascertaining the amount of levies:
              1. include in levies, or provide for the inclusion in levies of, any shortfall in recovering the actual costs:
                1. refund, or provide for refunds of, any over-recovery of the actual costs:
                  1. provide for the payment and collection of levies:
                    1. provide different levies for different classes of specified persons:
                      1. specify the financial year or part financial year to which a levy applies, and apply that levy to that financial year or part financial year and each subsequent financial year until the levy is revoked or replaced:
                        1. for the first financial year to which a levy applies, include in a levy amount or method the costs relating to establishing the FMA, disestablishing the Securities Commission, and the FMA performing or exercising its functions, duties, and powers under any enactment:
                          1. require payment of a levy for a financial year or part financial year, irrespective of the fact that the regulations may be made after that financial year has commenced:
                            1. provide for waivers or refunds of the whole or any part of a levy for any case or class of cases.

                              1. If a person is in 2 or more classes of specified persons in respect of which different levies have been prescribed, the person must pay each of those levies (unless the regulations provide otherwise).

                              2. A levy for a financial year that starts after the FMA begins to carry out any additional function under any enactment may recover the costs of performing that additional function, irrespective of the fact that the regulations may be made and come into effect after the start of the financial year.

                              3. The amount of any unpaid levy is recoverable in any court of competent jurisdiction as a debt due to the FMA, or to any other person prescribed for the purposes of this subsection, on behalf of the Crown.

                              4. The FMA, or any other person prescribed for the purposes of this subsection, must ensure that—

                              5. each levy payment is paid into a Crown Bank Account and is separately accounted for; or
                                1. by the 20th day of the month after the month in which the FMA or other person receives a levy payment, the levy payment is paid into a Crown Bank Account.

                                  1. Regulations under this section are secondary legislation (see Part 3 of the Legislation Act 2019 for publication requirements).

                                  2. If regulations authorise a person to grant waivers or refunds referred to in subsection (6)(j),—

                                  3. an instrument granting a waiver or refund is secondary legislation (see Part 3 of the Legislation Act 2019 for publication requirements), unless it applies only to 1 or more named persons; and
                                    1. the regulations must contain a statement to that effect.

                                      Notes
                                      • Section 68(10): replaced, on , by section 71 of the Financial Markets (Repeals and Amendments) Act 2013 (2013 No 70).
                                      • Section 68(11): inserted, on , by section 3 of the Secondary Legislation Act 2021 (2021 No 7).
                                      • Section 68(12): inserted, on , by regulation 52 of the Legislation Act (Amendments to Legislation) Regulations 2021 (LI 2021/247).