(1) Subject to subsections (2) and (3), the law of a State or Territory relating to the commencement of sentences and of non - parole periods applies to a person who is sentenced in that State or Territory for a federal offence in the same way as it applies to a person who is sentenced in that State or Territory for a State or Territory offence.
(2) Where the law of a State or Territory has the effect that a sentence imposed on a person for an offence against the law of that State or Territory or a non - parole period fixed in respect of that sentence:
(a) may be reduced by the period that the person has been in custody for the offence; or
(b) is to commence on the day on which the person was taken into custody for the offence;
the law applies in the same way to a federal sentence imposed on a person in that State or Territory or to a non - parole period fixed in respect of that sentence.
(3) Where the law of a State or Territory does not have the effect mentioned in subsection (2), a court (including a federal court) in that State or Territory that imposes a federal sentence on a person or fixes a non - parole period in respect of such a sentence must take into account any period that the person has spent in custody in relation to the offence concerned.