1. Travelling Allowances within Australia
Travelling allowances have been adjusted following Taxation Ruling 2001/14 by the Australian Taxation Office (ATO) and the new rates are to be effective on and from 1 July 2001 for each group of officers.

Note: The ATO Ruling has reduced a number of travelling allowances (indicative upper limits) in the attached table from the allowances outlined in Premier's Circular No. 2001-01.

Chief Executive Officers and Senior Executive Service Officers paid a total remuneration package of $173,407 pa and above, and Statutory Officers (unless other arrangements are in place) receiving a cash salary of $125,720 pa and above claim actual expenses (not to be paid as allowances) which are treated as indicative upper limits under 'A' that are listed in the attached table.

Officers who claim actual expenses (not to be paid as allowances) which are treated as indicative upper limits under 'B' are listed in the attached table. These rates apply to the following officers:

• all other SES Officers paid a total remuneration package below $173,407 pa;
• Statutory Officers on a cash salary above or equal to $90,074 pa ($91,875 pa from 1 January 2002) and below a cash salary of $125,720 pa

All other officers on a cash salary below $90,074 pa ($91,875 pa from 1 January 2002) are to be paid travelling allowances at the rates under 'C' that are listed in the attached table. Refer to Premier's Department Circular No. 2001 - 35 'Review of meal, travelling and related allowances'.

All non-SES officers, including Senior Officers and Skill Shortage allowance employees are eligible to be paid the travelling allowance as specified in 'C' in accordance with the Crown Employees (Public Service Conditions of Employment 1997) Award. Actual expenses are paid where reasonably and properly incurred costs exceed the allowance.

Officers in agencies who are covered by enterprise awards/agreements are able to claim the travelling allowance as specified for 'all other officers' unless an agreement specifically excludes the Award.

Part-time members of Government boards
The amounts available to part-time chairpersons and members of Government boards for travel within Australia, depend on the category of the board as categorised in Premier's Memorandum No. 99-3.

Category D - advisory committees will continue to claim actual expenses with an indicative upper limit as specified in 'C'. The relevant Minister has discretion to decide which rate should apply for members of Category B - governing boards and Category C advisory boards. As the total annual salary of part time board members may not be known to the Minister (the Minister may only be aware of the payments associated with the particular board and not any other work the part time board member may have) it will be necessary to ensure that the board members are aware of the limits set in Taxation Ruling 2001/14 and keep any receipts necessary for their tax records.

Meal Allowances for travel not involving an overnight stay for officers have been increased to the following rates:

Description Amount
___________________________________________________________
 
Capital cities and high cost country centres
Breakfast $16.65 
Lunch $18.55 
Dinner $31.95 
 
Tier 2 and other country centres (see Table)
Breakfast $14.80 
 Lunch $16.95 
Dinner $29.25 
__________________________________________________________

It might be noted that the ATO regards meal allowances for one-day journeys as assessable income for employees and requires these amounts to be taxed and shown on employees' group certificates.

Classes of Air Travel
The entitlement for business class air travel (Premier's Department Circular No. 99-60 Official Travel - Consolidation of Guidelines) will be increased from the current amount of $90,074 pa to $91,875 pa and above from 1 January 2002.

2. Overseas Travelling Allowances

2.1 Less than 35 days in one location
Chief Executive Officers are reminded that the appropriate Minister must approve all official overseas travel by officers (Premier's Department Circular 99-60).

As advised in Premier's Department Circular No. 2000-25 agencies who have officers travelling overseas on official business need to subscribe directly to ECA Asia Pacific to obtain daily travelling allowances in the currency of the country being visited:

ECA Asia Pacific Sydney
P.O. Box 1786
Rozelle NSW 2039

Contacts:
Rosalyn Pursey [email protected]
Gyllian McNaught [email protected]
Phone: (02) 9555 5422
Fax: (02) 9555 4347

The travel allowance rates for meals and incidentals are calculated using cost of living information from the relevant country. The rates are intended to be a fair and reasonable recompense for the expenses incurred when travelling overseas.

Sets of travel allowance information are compiled by ECA Asia Pacific once a year, usually in February or March. The current set of Travel Rates were effective from 12 April 2001, and it is expected that a new set of rates will be available in March 2002. When the new rates are available, agencies that currently receive the travel rates will be contacted and given the opportunity to update their information.

Agencies can elect to receive the travel allowance information at any point during the year. The cost for a global set of travel rates is $828.85 including GST, and for individual countries is $139.15 including GST. Please inquire about the discount available for agencies with limited usage.

The Premier's Department, due to copyright provisions relating to accessing this information, is no longer able to provide these rates. The Premier's Department will however, continue to advise on overseas travel policy issues.

The remuneration levels for various officers for determining appropriate daily allowance rates are detailed as follows:

Position Category
____________________________________________________________
 
Chief Executive Officers and Senior Department Head Rate
Executive Service Officers paid a (Part A - Secretaries of Departments)
total remuneration package of
$173,407 pa and above, and Statutory
Officers receiving a cash salary of
$125,720 pa and above
____________________________________________________________
 
All other Senior Executive Officers paid Executive Rate
a total remuneration package below (Part B - Senior Executive
$173,407 pa, and Statutory Officers on Service Officers and Senior Officers)
a cash salary of $90,074 pa and above
($91,875 pa from 1 January 2002) and
below a cash salary of $125,720 pa 
_____________________________________________________________
 
Officers on a cash salary below (Part C - Other Officers) 
($90,074 pa ($91,875 pa from
1 January 2002)
_____________________________________________________________

When a part-time chairperson or member is required to travel overseas, the person is to be paid allowances at the discretion of the relevant Minister, with payment being within the above three (3) categories. Please refer to the possible taxation issues noted in the earlier paragraph - Part-time members of Government boards.

The daily allowance rates are designed to include the cost of meals and incidental expenses but not the cost of accommodation, which is paid on the basis of actual reasonable expenses incurred. Incidental expenses would include, for example, laundry and dry cleaning, taxi fares (other than for official business), newspapers and magazines, private telephone calls and gratuities.

Where the travelling allowance payable to an officer is insufficient to cover actual expenses incurred, the Chief Executive/Minister, where appropriate, may approve the payment necessary to meet those expenses. Justification for the expenses must be in respect of the entire period of travel overseas and not only in respect of particular segments of the journey.

Where an officer's itinerary in Australia or overseas includes 'free meals', for example, meals provided at conferences and seminars, departments are required to make a judgement as to whether an officer's daily allowance should be discounted for such unpaid meals.

For further details please see the Personnel Handbook website: http://www.dpc.nsw.gov.au Chapter 7, Section 13 - Overseas travelling allowances.

2.2 Reduction in daily allowance after 35 days in one location
The daily meal and incidental allowance rates should be reduced to 70 per cent of the daily rates after a person has been in the one location overseas for a period in excess of 35 days.

The intention is that officers should be paid the full daily allowance for the first 35 days. Once, however, an officer is in one set of accommodation then after 35 days their allowance will be reduced.

C Gellatly
Director-General

Supersedes C96-25; C2000-03; C2001-01; M90-12; M90-40.
Superseded by C2002-42  ___________________________________________________________

Table 3