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This is a Bill, not an Act. For current law, see the Acts databases.
2019-2021
The Parliament of the
Commonwealth of Australia
THE SENATE
Presented and read a first time
Coronavirus Economic Response
Package Amendment (Ending Jobkeeper
Profiteering) Bill 2021
(Senator McKim)
A Bill for an Act to amend the
Coronavirus
Economic Response Package (Payments and
Benefits) Act 2020
, and for related purposes
No. , 2021
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--Amendments
3
Coronavirus Economic Response Package (Payments and Benefits)
Act 2020
3
No. , 2021
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
1
A Bill for an Act to amend the
Coronavirus
1
Economic Response Package (Payments and
2
Benefits) Act 2020
, and for related purposes
3
The Parliament of Australia enacts:
4
1 Short title
5
This Act is the
Coronavirus Economic Response Package
6
Amendment (Ending Jobkeeper Profiteering)
Act 2021
.
7
2 Commencement
8
(1) Each provision of this Act specified in column 1 of the table
9
commences, or is taken to have commenced, in accordance with
10
column 2 of the table. Any other statement in column 2 has effect
11
according to its terms.
12
2
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
No. , 2021
1
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. The whole of
this Act
The day after this Act receives the Royal
Assent.
Note:
This table relates only to the provisions of this Act as originally
2
enacted. It will not be amended to deal with any later amendments of
3
this Act.
4
(2) Any information in column 3 of the table is not part of this Act.
5
Information may be inserted in this column, or information in it
6
may be edited, in any published version of this Act.
7
3 Schedules
8
Legislation that is specified in a Schedule to this Act is amended or
9
repealed as set out in the applicable items in the Schedule
10
concerned, and any other item in a Schedule to this Act has effect
11
according to its terms.
12
Amendments
Schedule 1
No. , 2021
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
3
Schedule 1--Amendments
1
2
Coronavirus Economic Response Package (Payments and
3
Benefits) Act 2020
4
1 Section 6
5
Insert:
6
annual turnover
of an entity for a financial year is the total of the
7
following that is earned in the year in the course of the entity's
8
business:
9
(a) the proceeds of sales of goods and/or services;
10
(b) commission income;
11
(c) repair and service income;
12
(d) rent, leasing and hiring income;
13
(e) government bounties and subsidies;
14
(f) interest, royalties and dividends;
15
(g) other operating income.
16
jobkeeper payment
means a payment under the jobkeeper scheme.
17
jobkeeper scheme
means the scheme for the Coronavirus economic
18
response payment known as the jobkeeper payment provided for in
19
rules made for the purposes of subsection 7(1) in relation to the
20
period 1 March 2020 to 28 March 2021.
21
2 After section 19
22
Insert:
23
19A Profiteering from jobkeeper payments
24
When this section applies
25
(1) This section applies if, during a financial year:
26
(a) an entity received one or more jobkeeper payments; and
27
(b) the entity carried on a business in Australia; and
28
(c) the entity's annual turnover for the financial year was more
29
than $50 million; and
30
Schedule 1
Amendments
4
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
No. , 2021
(d) one or more of the following apply:
1
(i) the entity made a profit;
2
(ii) the entity paid dividends to shareholders of the entity;
3
(iii) the entity paid a bonus to an executive of the entity.
4
(2) This section also applies if, during a financial year:
5
(a) an entity received one or more jobkeeper payments; and
6
(b) the entity carried on a business in Australia; and
7
(c) the entity is a member of a group of entities that is a group of
8
a kind prescribed by the rules; and
9
(d) the annual turnover for the financial year of any of the
10
entities in the group, or the group of entities together, was
11
more than $50 million; and
12
(e) one or more of the following apply:
13
(i) any entity in the group made a profit;
14
(ii) any entity in the group paid dividends to its
15
shareholders;
16
(iii) any entity in the group paid a bonus to any of its
17
executives.
18
Deferred entitlement to input tax credits
19
(3) If:
20
(a) the entity; or
21
(b) in the case of a group of entities as referred to in
22
paragraph (2)(c)--any other entity in the group;
23
is or would be entitled to an input tax credit in relation to a
24
creditable acquisition or a creditable importation that occurs on or
25
after the commencement of this section, the entitlement to the input
26
tax credit does not apply in relation to the entity, or any other entity
27
in the group (if applicable), until after the earlier of the following:
28
(c) the last day of the 10 year period that begins on the day this
29
section commences;
30
(d) the day on which this section ceases to apply to the entity
31
(see subsection (6)).
32
(4) Subsection (3) applies despite the
A New Tax System (Goods and
33
Services Tax) Act 1999
or any
other law of the Commonwealth.
34
However, to the extent that:
35
Amendments
Schedule 1
No. , 2021
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
5
(a) Division 93 of that Act limits the period within which an
1
input tax credit can be claimed or otherwise applied in
2
relation to an entity; and
3
(b) the limit would prevent an input tax credit affected by
4
subsection (3) from applying in relation to an entity after
5
whichever of the days in paragraph (3)(c) or (d) is applicable;
6
that Division applies as if the limit on the period were extended
7
until the end of 6 months after that day.
8
(5) In subsections (3) and (4),
input tax credit
,
creditable acquisition
9
and
creditable importation
have the same meaning as in the
A New
10
Tax System (Goods and Services Tax) Act 1999
.
11
Circumstances in which this section ceases to apply
12
(6) This section ceases to apply to an entity if the entity:
13
(a) voluntarily pays the Commonwealth an amount equal to:
14
(i) the total amount of jobkeeper payments received by the
15
entity in respect of the financial year or financial years
16
for which subsection (1) or (2) applies to the entity; or
17
(ii) the relevant profit amount (see subsection (7)) for the
18
entity, if that amount is less than the total amount of
19
jobkeeper payments in subparagraph (i); and
20
(b) gives the Commissioner a written notice that states that the
21
entity has made that payment, the amount of the payment and
22
the date on which the payment was made.
23
(7) For the purposes of subparagraph (6)(a)(ii), the
relevant profit
24
amount
for an entity is:
25
(a) if subsection (1) applies--the sum of the following amounts
26
(as applicable) in respect of the financial year or financial
27
years for which that subsection applies to the entity:
28
(i) if the entity made a profit as referred to in
29
subparagraph (1)(d)(i)--the total amount of the profit;
30
(ii) if the entity paid dividends as referred to in
31
subparagraph (1)(d)(ii)--the total amount of those
32
dividends;
33
(iii) if the entity paid bonuses as referred to in
34
subparagraph (1)(d)(iii)--the total amount of those
35
bonuses; or
36
Schedule 1
Amendments
6
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
No. , 2021
(b) if subsection (2) applies--the sum of the following amounts
1
(as applicable) in respect of the financial year or financial
2
years for which that subsection applies to the entity:
3
(i) if any entities in the group made a profit as referred to in
4
subparagraph (2)(e)(i)--the total of the amounts of the
5
profits made by those entities;
6
(ii) if any entities in the group paid any dividends as
7
referred to in subparagraph (2)(e)(ii)--the total of the
8
amounts of the dividends paid by those entities;
9
(iii) if any entities in the group paid any bonuses as referred
10
to in subparagraph (2)(e)(iii)--the total of the amount of
11
the bonuses paid by those entities.
12
However, to the extent that amounts of dividends in
13
subparagraph (a)(ii) or (b)(ii) would already be included in the total
14
amount of profit in subparagraph (a)(i) or (b)(i) respectively, those
15
dividend amounts are to be disregarded.
16
(8) To avoid doubt, the reference in paragraph (6)(a) to an entity
17
paying an amount to the Commonwealth includes the following:
18
(a) another entity paying an amount on the entity's behalf;
19
(b) the payment of amounts by instalments;
20
(c) payments that were made before the commencement of this
21
section.
22
19B Commissioner must publish information about entities that
23
received jobkeeper payments
24
(1) The Commissioner must publish the following information about
25
each entity covered by subsection (2) that received a jobkeeper
26
payment:
27
(a) the name of the entity and the entity's ABN (within the
28
meaning of the
A New Tax System (Australian Business
29
Number) Act 1999
);
30
(b) the total amount of jobkeeper payments received by the
31
entity;
32
(c) if the entity gives a notice to the Commissioner under
33
paragraph 19A(6)(b) about a voluntary payment--the details
34
of that payment, including the amount of the payment and the
35
date on which the payment was made;
36
Amendments
Schedule 1
No. , 2021
Coronavirus Economic Response Package Amendment (Ending
Jobkeeper Profiteering) Bill 2021
7
(d) such other information (if any) prescribed by the rules.
1
(2) An entity is covered by this subsection if the annual turnover of the
2
entity for a financial year in which the entity received a jobkeeper
3
payment is more than $50 million.
4
(3) The information must be published as soon as practicable after the
5
commencement of this section on a publicly available website
6
maintained by the Commissioner.
7