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Deposit Takers Act 2023

Miscellaneous - Levy for Crown to recover cost of public support of deposit taker in financial distress or other difficulties

470: Levy regulations

You could also call this:

"Rules about charging fees to some businesses to help cover costs"

Illustration for Deposit Takers Act 2023

The Governor-General can make rules about levies on the Minister's advice. You need to know that the Minister must talk to the Bank and follow sections 471 and 472 before giving this advice. The Minister decides how much of some costs should be covered by levies.

Levies must cover some costs, such as a portion of the expenses or money the Crown has spent, and the costs of collecting the levy money. When deciding how much of these costs should be covered by levies, the Minister thinks about whether the Crown has already recovered some of these costs. The Minister also considers whether spending this money was necessary or desirable.

The rules can say which types of licensed deposit takers must pay a levy, and how much they must pay. The rules can also say how the levies will be paid and collected, and whether any interest will be charged. You can find more information about how these rules are published 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=LMS704771.

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Part 8Miscellaneous
Levy for Crown to recover cost of public support of deposit taker in financial distress or other difficulties

470Levy regulations

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

  2. Before making a recommendation under this section, the Minister must—

  3. consult the Bank; and
    1. comply with sections 471 and 472.

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

      2. a portion of the costs to the Crown of expenses or capital expenditure that has been incurred or a capital injection that has been made as referred to in section 471(1)(a), where the size of the portion to be met by levies under this subpart is determined by the Minister under subsection (4); and
        1. the costs of collecting the levy money.

          1. In determining the portion, the Minister must take into account the following:

          2. any recovery of the costs to the Crown that has occurred or is likely to occur (other than under this subpart):
            1. the extent to which incurring the expenses or capital expenditure or making the capital injection was necessary or desirable for either or both of the purposes referred to in section 471(1)(b)(i) and (ii).

              1. The regulations may—

              2. specify the class or classes of licensed deposit taker that are required to pay a levy:
                1. provide for different levies for different classes of licensed deposit taker:
                  1. specify the amount of levies, or the method of calculating or ascertaining the amount of levies for each class:
                    1. include in levies, or provide for the inclusion in levies of, any shortfall in recovering the costs referred to in subsection (3):
                      1. provide for the payment and collection of levies (which may include providing for instalment payments):
                        1. provide for interest under section 469:
                          1. provide for waivers, discounts, or refunds of the whole or any part of a levy for any case or class of cases.

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

                            Notes