Victorian Numbered Acts

PAYROLL TAX ACT 2007 (NO. 26 OF 2007) - NOTES

No. 26 of 2007

__________________

Victoria

Payroll Tax Act 2007^[†]

No. 26 of 2007

[Assented to 26 June 2007]

^[†]     Minister's second reading speech—

    Legislative Assembly: 23 May 2007

    Legislative Council: 7 June 2007

    The long title for the Bill for this Act was "A Bill for an Act to re-enact and modernise the law relating to payroll tax, to harmonise payroll tax law with New South Wales, to repeal the Pay-roll Tax Act 1971, to amend the Taxation Administration Act 1997 and other Acts and for other purposes."

INDEX

Subject	Section
Accommodation allowances	30
Act
amendments to other Acts	109–116
amendments to Taxation Administration Act 1997	104–107
amendment to this Act	108
commencement	2
Crown bound by	5
provisions specific to Victoria	100, Sch. 2
purposes	1
read with Taxation Administration Act 1997	4
regulations	43, 101
repeals	102, 103
transitional provisions	117, Sch. 3
Administrators	90, 94
Adoption leave
wages exempt from payroll tax	53, 54
Agents
application of Division 1 Part 8	88
definition	3
duties, rights and liabilities	89–92
winding up businesses	97
Ambulance services See Health care service providers
Associated persons	73, 76
Australian-American Fulbright Commission
exemptions from payroll tax	66
Businesses
controlling interests and group employers	72
definition	67
winding up of	97, 99
Charities See Non-profit organisations
Commissioner of State Revenue
powers regarding
agreements to avoid liability for payroll tax	47
deceased estates	94
designation of group employers	80
employers with fluctuating wage payments	85
employment agency contracts	42
exclusion of persons from groups	79
motor vehicle allowances	29
recovery of tax payable	91–95, 99
refunds of tax	83
registration	86
relevant contracts	32, 35
returns	16, 87
superannuation benefits
Subject	Section
Commonwealth Act (def.)	12
Commonwealth places
payroll tax in	12
Community Development Employment Project	50
Community health centres See Health care service providers
Companies
definition	3
directors	3, 24, 46
educational companies	48
payments by or to third parties	46
winding up of	99
Consular and non-diplomatic representatives	64
Contractors
definitions	31
employees under	34
liability for payroll tax	36
services provided not relevant contracts	32
See also Relevant contracts
Controlling interests
of educational institutions in companies	48
of group members	72–78
Corporations
controlling interests and group employers	70–78
definition	3
Deductions	12, Sch. 2
Defence personnel
exemptions from payroll tax	62
Definitions	3, 10, 12–14, 17–19, 23, 24, 26–32, 37, 44, 46, 48, 50, 51, 67, 69, 73, 76–78, 82, 84, 96, Schs 1–3
Denominational hospitals See Health care service providers
Door-to-door sales
services provided not relevant contracts	32
Educational institutions	49, Sch. 2
Emergency service volunteers
exemptions from payroll tax	56
annual leave	57
long service leave	57
sick leave	57
Employees
superannuation contributions	17
under employment agency contracts	39
under relevant contracts	32–34
Subject	Section
Employers
ceasing to be during financial year	84
constituting a group	69–74
death of	93, 94
definition	3
elections regarding fringe benefits tax	16
employment agents deemed to be	38
exemptions from payroll tax	48–66, Sch. 2
fluctuations in wages paid by	85
liability for payment of payroll tax	7, 36
registration	86
returns	16, 87
shares, options granted by	18–20
superannuation contributions paid by	17, 43
under relevant contracts	33
Employment agents and agencies
agreements to avoid, reduce liability of tax	42
deemed to be employers	38
definition of contract, employment agency contract	37
not relevant contracts	32
payment of payroll tax by	40, 41
Executors	90, 94
Exemptions	48–66, Sch. 2
Financial year	3, 82, Sch. 1
Firefighters See Volunteer firefighters
Fringe benefits
definition	3
exempt benefits not included in wages	14
inclusion in returns	16
taxable value of	15
Group members as employers
constitution of groups	68–74
corporations	70
definitions	67
designated group employers	80
exclusion of persons from group	79
liability for, assessment of payroll tax	81
registration	86
returns	87
tracing of interests in corporations	75–78
Health care service providers
exemptions from payroll tax	51, 52, Sch. 2
Hospitals See Health care service providers
Liquidators	3, 99
Local government business entities	59, 60
Maternity leave
wages exempt from payroll tax	53, 54
Subject	Section
Motor vehicle allowances	29, Sch. 1
Municipal councils
exemptions from and liability for payroll tax	58, 60
Non-profit organisations
exemptions from payroll tax	48
Offences	97, 99
Options See Shares, options
Partnerships
controlling interests and group members	72, 73
Payroll tax
agreements for avoiding, evading payment of	32
annual adjustments	83, 84
Commonwealth places	12
correct amount of payroll tax (def.)	82
deductions	12
definition	3
exemptions from payment of	48–66, Sch. 2
imposition of	6
indemnity for payments	96
liability for payment of
administrators	90, 94
agents	89–92
employers	7, 36
employment agents	40, 41
executors	90, 94
group members	81
liquidators	99
persons acting for absentees	96
trustees	91
provisions specific to Victoria	Sch. 2
rate of	8, Schs 1, 2
recovery of amounts by Commissioner	91–95, 99
recovery of amounts paid on behalf of others	98
refunds	83
relevant contracts	32–36
time for payment of	9
Public hospitals See Health care service providers
Refunds	83
Registration	86
Regulations	43, 101
Related bodies corporate	72
Relevant contracts	31–33
Religious institutions
exemptions from payroll tax	48
Repeals	102, 103
Subject	Section
Returns
employers' duties	87
inclusion of fringe benefits in	16
return period (def.)	3
School councils
exemptions from payroll tax	49, Sch. 2
Schools See Educational institutions
Shares, options
contractors	35
determination of value	18–20, 23, 25
directors' remuneration payable as	24
included in wages	18, 19, 26, 46
excluded from wages	22
option (def.)	3
relevant contracts	35
rescission, cancellation, exchange before vesting date	21
share (def.)	3
vesting date (def.)	19
voting shares (def.)	3
Sporting clubs	Sch. 3
State Governors
exemptions from payroll tax	61
Superannuation contributions	17, 35, 43
Supply of goods or services See Relevant contracts
Taxation Administration Act 1997	4, 104–107
Termination payments	27, 28
Trade commissioners	65
Training schemes, organisations
exemptions from payroll tax in certain cases	49, Sch. 2
Transitional provisions	117, Sch. 3
Travel allowances See Accommodation allowances
Treasurer	Sch. 2
Trusts and trustees
application of Division 1 Part 8	88
controlling interests and group members	72, 73
trustees' duties, rights, liabilities	89–92, Sch. 2
trustees of deceased estates	93, 94
Victorian Institute of Forensic Mental Health See Health care service providers
Volunteer emergency service workers See Emergency service volunteers
Volunteer firefighters
exemptions from payroll tax	55
annual leave	57
long service leave	57
sick leave	57
Subject	Section
Wages
adoption leave	53, 54
definitions
Commonwealth place wages	12
exempt wages	3
interstate wages	3
taxable wages	10, 11
wages	13
exempt from payroll tax	48–66, Sch. 2
fluctuations in	85
fringe benefits included in	14–16
GST not included in	44
included in larger payments	35
maternity leave	53, 54
paid by group employers	45
paid by or to third parties	46
paid for services performed interstate, overseas	10
payroll tax on	6–8, Schs 1, 2
shares, options included as	18
superannuation contributions included in	17, 43
termination payments	27, 28
under employment agency contracts	40
under relevant contracts	35
War Graves Commission
exemptions from payroll tax	63