Waste Reduction and Recycling Act 2011

The operator of a waste disposal site is eligible for a credit (a bad debt credit) for the waste levy amount payable by the operator on an amount of waste delivered to the site if—

the operator was the operator of the site when the waste was delivered; and

the waste was delivered to the site by another person (the customer) for consideration in money; and

the operator included the waste in a summary data return for the site for the levy period in which the waste was delivered; and

the operator paid the waste levy amount; and

the operator issued an invoice to the customer for the delivery within 30 days after the waste was delivered to the site and—

the invoice expressly included a service delivery charge for the operator’s obligation to pay waste levy on the waste when delivered to the site; and

the service delivery charge, excluding any component for GST, was not more than the waste levy amount; and

the customer failed to pay the operator all or part of the amount due for delivery of the waste within 30 days after being given an invoice for the amount; and

the customer became insolvent within 12 months after the delivery of the waste to the site; and

the operator has been unable to recover the amount owing from the customer despite having taken reasonable steps to do so; and

the operator has offset against the amount owing by the customer any amount owed by the operator to the customer that may be set off against that amount; and

the operator has reduced the amount owing by the value of any enforceable security the operator holds in relation to the customer but an amount remains outstanding in relation to the delivery; and

the operator has submitted all the waste data returns and paid all waste levy owing by the operator when applying for the bad debt credit.

However, the operator is not eligible for the bad debt credit if—

the operator and the customer are, or were when the waste was delivered, related entities; or

it is for an amount of waste delivered to the site while the customer continued to owe the operator an amount, for a previous delivery of waste, more than 30 days after being given an invoice for the previous delivery; or

the operator has previously received a bad debt credit for the relevant delivery of the waste.

A person is a related entity for another person if—

for individuals—they are members of the same family; or

for an individual and a corporation—the individual or a member of the individual’s family—

is a majority shareholder, director or secretary of the corporation or a related body corporate of the corporation; or

has an interest of 50% or more in the corporation; or

for an individual and a trustee of a trust—the individual or a related entity under another provision of this section is a beneficiary of the trust; or

for corporations—they are related bodies corporate; or

for a corporation and a trustee of a trust—the corporation or a related entity under another provision of this section is a beneficiary of the trust; or

for trustees of 2 or more trusts—

a person is a beneficiary of both trusts; or

a person is a beneficiary of 1 trust and a related entity under another provision of this section is a beneficiary of the other trust.

In this section—

the person’s spouse; or

a parent of the person or the person’s spouse; or

a grandparent of the person or the person’s spouse; or

a brother, sister, nephew or niece of the person or the person’s spouse; or

a child of the person or the person’s spouse; or

a grandchild of the person; or

the spouse of any person mentioned in paragraphs (b) to (f).