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This is a Bill, not an Act. For current law, see the Acts databases.


BETTING TAX ASSESSMENT BILL 2018

                     Western Australia


      Betting Tax Assessment Bill 2018

                        Contents

       Part 1 -- Preliminary
1.     Short title                                            2
2.     Commencement                                           2
3.     Relationship with other Acts                           2
4.     Terms used                                             2
5.     Betting operations                                     5
       Part 2 -- Taxable betting revenue
6.     References to WA bets                                  6
7.     Taxable betting revenue                                6
8.     Particular payments excluded in working out
       eligible payments                                      7
9.     Betting revenue: WA betting exchange bets              9
10.    Betting revenue and eligible payments: WA pooled
       bets                                                   9
11.    Betting revenue and eligible payments: WA
       general bets                                          10
12.    Amount of bets generally                              10
13.    Free components                                       11
14.    Betting operator to identify location of individual
       or principal place of business                        11
       Part 3 -- Liability and assessment
15.    Betting tax payable on taxable betting revenue        13
16.    Time for payment of betting tax                       13
17.    Betting operator liable to pay betting tax            13
18.    Annual reconciliation                                 14




                           94--2                              page i
Betting Tax Assessment Bill 2018



Contents



              Part 4 -- Registration and returns
      19.     Application for registration                                 16
      20.     Registration                                                 16
      21.     Cancellation of registration                                 16
      22.     Returns                                                      17
      23.     Exemption from lodging monthly returns                       17
              Part 5 -- Miscellaneous
      24.     Arrangements for avoidance may be disregarded                19
      25.     Keeping records                                              20
      26.     Regulations                                                  21
              Part 6 -- Transitional provisions
      27.     First assessment period and threshold amount                 22
      28.     Betting revenue relating to bets placed before
              1 January 2019                                               22
      29.     Eligible payments relating to bets placed before
              1 January 2019                                               22
              Part 7 -- Repeals
      30.     Bookmakers Betting Levy Act 1954 repealed                    23
      31.     Racing and Wagering Western Australia Tax
              Act 2003 repealed                                            23
              Part 8 -- Other Acts amended
              Division 1 -- Amendments commencing on
                    1 January 2019
              Subdivision 1 -- Betting Control Act 1954 amended
      32.     Act amended                                                  24
      33.     Section 27E amended                                          24
      34.     Part 6 inserted                                              24
              Part 6 -- Transitional provisions for Betting Tax
                     Assessment Act 2018
              34.       Application of s. 14, 15 and 16 on or after
                        1 January 2019                                24
              35.       Application of s. 18A on or after
                        1 January 2019                                25




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                                    Betting Tax Assessment Bill 2018



                                                                   Contents



      Subdivision 2 -- Racing and Wagering Western
            Australia Act 2003 amended
35.   Act amended                                                    25
36.   Section 68 amended                                             25
37.   Section 77 amended                                             25
38.   Section 102 amended                                            25
39.   Section 106 amended                                            26
40.   Section 107B inserted                                          26
      107B.    Allocation and distribution of proportion of
               funds from betting tax                         26
41.   Part 9 inserted                                                 27
      Part 9 -- Transitional provisions for Betting Tax
             Assessment Act 2018
      123.      Application of s. 102 on or after
                1 January 2019                                27
      124.      Application of s. 107 on or after
                1 January 2019                                27
      Subdivision 3 -- Racing and Wagering Western
            Australia Tax Act 2003 amended
42.   Act amended                                                    27
43.   Section 3 amended                                              28
      Subdivision 4 -- Taxation Administration Act 2003
            amended
44.   Act amended                                                    28
45.   Section 3 amended                                              28
46.   Section 17 amended                                             28
47.   Section 114 amended                                            28
      Division 2 -- Amendments commencing on
            proclamation
      Subdivision 1 -- Betting Control Act 1954 amended
48.   Act amended                                                    30
49.   Long title amended                                             30
50.   Section 4 amended                                              30
51.   Section 11E amended                                            30
52.   Section 12 amended                                             30
53.   Section 13 amended                                             31
54.   Section 14A amended                                            32
55.   Sections 14B to 16 deleted                                     32
56.   Section 17 amended                                             33
57.   Section 17A amended                                            33
58.   Sections 18 and 18A deleted                                    33

                                                                    page iii
Betting Tax Assessment Bill 2018



Contents



      59.     Section 18B amended                                   34
      60.     Section 19 deleted                                    35
      61.     Section 33 amended                                    36
      62.     Part 6 deleted                                        36
              Subdivision 2 -- Gaming and Wagering Commission
                    Act 1987 amended
      63.     Act amended                                           36
      64.     Section 7 amended                                     36
      65.     Section 9 amended                                     36
      66.     Section 110A amended                                  36
              Subdivision 3 -- Racing and Wagering Western
                    Australia Act 2003 amended
      67.     Act amended                                           37
      68.     Section 68 amended                                    37
      69.     Section 77 amended                                    37
      70.     Section 102 deleted                                   37
      71.     Section 105 deleted                                   37
      72.     Section 106 amended                                   37
      73.     Section 107 deleted                                   37
      74.     Section 114 deleted                                   38
      75.     Part 9 deleted                                        38
              Subdivision 4 -- Racing Penalties (Appeals) Act 1990
                    amended
      76.     Act amended                                           38
      77.     Section 24 amended                                    38
              Defined terms




page iv
                           Western Australia


                     LEGISLATIVE ASSEMBLY

              (As amended during consideration in detail)

           Betting Tax Assessment Bill 2018

                               A Bill for


An Act --
•  relating to the assessment and collection of tax on taxable betting
   revenue; and
•  to repeal the Bookmakers Betting Levy Act 1954 and the Racing
   and Wagering Western Australia Tax Act 2003; and
•  to make consequential and other amendments to various Acts.



The Parliament of Western Australia enacts as follows:




                                                              page 1
     Betting Tax Assessment Bill 2018
     Part 1         Preliminary

     s. 1



1                             Part 1 -- Preliminary
2    1.         Short title
3               This is the Betting Tax Assessment Act 2018.

4    2.         Commencement
5               This Act comes into operation as follows --
6                (a) Part 1 -- on the day on which this Act receives the
7                      Royal Assent;
8                (b) Part 7 and Part 8 Division 2 -- on a day fixed by
9                      proclamation;
10               (c) the rest of the Act -- on 1 January 2019.

11   3.         Relationship with other Acts
12        (1)   The Betting Tax Act 2018 and the Taxation Administration
13              Act 2003 are to be read with this Act as if they formed a single
14              Act.
15        (2)   A term has the same meaning in this Act as it has in the
16              Taxation Administration Act 2003 unless the contrary intention
17              appears in this Act.

18   4.         Terms used
19              In this Act --
20              assessment period means each financial year beginning on or
21              after 1 July 2019;
22              bet does not include a bet that is part of --
23                (a) a permitted amusement with prizes, permitted bingo,
24                       permitted gaming, a permitted lottery or permitted
25                       two-up as those terms are defined in the Gaming and
26                       Wagering Commission Act 1987 section 3(1); or
27                (b) a lottery conducted under the Lotteries Commission
28                       Act 1990; or


     page 2
                                    Betting Tax Assessment Bill 2018
                                           Preliminary        Part 1

                                                                 s. 4



1     (c)    a game conducted or played in a casino as defined in the
2            Casino Control Act 1984 section 3(1); or
3      (d) an interstate game; or
4      (e) another game or lottery, similar to a game or lottery
5            mentioned in paragraph (a), (b), (c) or (d), that is
6            prescribed;
7    betting exchange --
8      (a) means a facility, electronic or otherwise, that enables a
9            person --
10              (i) to place or accept, through the operator of the
11                   facility, a bet with another person; or
12             (ii) to place with the operator of the facility a bet
13                   that, on acceptance, is matched with an opposing
14                   bet placed with and accepted by the operator;
15           but
16     (b) does not include a facility, electronic or otherwise, that
17           enables a person to place a bet only with a betting
18           operator;
19   betting exchange bet means a bet placed or accepted by means
20   of a betting exchange;
21   betting operations has the meaning given in section 5;
22   betting operator means a person who --
23     (a) is authorised, under a licence or other authority under a
24           law of this State, another State or the Commonwealth, to
25           conduct betting operations from a place in Australia; or
26     (b) under a law of this State, another State or the
27           Commonwealth, is exempt from the authorisation
28           requirements that would otherwise apply for conducting
29           betting operations from a place in Australia;
30   betting revenue has the meaning given in section 7(2);
31   betting tax means the tax imposed by the Betting Tax Act 2018
32   section 4;


                                                              page 3
     Betting Tax Assessment Bill 2018
     Part 1         Preliminary

     s. 4



1             betting tax rate means the rate of betting tax imposed by the
2             Betting Tax Act 2018 section 4;
3             eligible payments has the meaning given in section 7(3);
4             free component means an amount, used to place all or part of a
5             bet or as consideration for, or in relation to, all or part of a bet,
6             that --
7               (a) is provided to the person placing the bet by the betting
8                     operator with whom the bet is placed; and
9               (b) is not immediately redeemable by the person for cash;
10            general bet means a bet other than a betting exchange bet or a
11            pooled bet;
12            interstate game means any of the following games conducted
13            by a person under a licence or other authority under a law of
14            another State or the Commonwealth --
15              (a) a lottery (including a raffle) or the supply of lottery
16                    tickets (including raffle tickets);
17              (b) a game commonly known as keno, bingo, a Calcutta
18                    sweep, lucky envelopes, two-up or an art union;
19              (c) a promotional game or trade promotion lottery;
20              (d) another game or lottery that is prescribed;
21            lay-off bet means a bet placed with a betting operator, if the bet
22            is placed --
23              (a) for the purpose of reducing the liability of another
24                    betting operator; and
25              (b) by that other betting operator;
26            pool means a pool of pooled bets;
27            pooled bet means a bet in a system in which --
28              (a) all bets are placed in a pool from which a betting
29                    operator's fee or commission is taken; and
30              (b) dividends, prizes or winnings are paid out of the pool;
31            prescribed means prescribed by regulations made under this
32            Act;

     page 4
                                         Betting Tax Assessment Bill 2018
                                                Preliminary        Part 1

                                                                      s. 5



1         registered means registered under section 20(1) or (2);
2         return means a return lodged under Part 4;
3         return period, in relation to a betting operator, means --
4           (a) a month; or
5           (b) if the betting operator is exempt under section 23 from
6                 lodging a return for each month, the period for which
7                 the betting operator is required to lodge a return;
8         taxable betting revenue has the meaning given in section 7(1);
9         threshold amount means $150 000.

10   5.   Betting operations
11        A person conducts betting operations if the person, whether in
12        person or through an agent or a telecommunication device --
13          (a) receives bets; or
14          (b) pays, negotiates or settles bets; or
15          (c) operates a betting exchange.




                                                                   page 5
     Betting Tax Assessment Bill 2018
     Part 2         Taxable betting revenue

     s. 6



1                    Part 2 -- Taxable betting revenue
2    6.         References to WA bets
3         (1)   A reference in this Part to a WA bet, or a WA bet of a particular
4               type, is a reference to a bet, or a bet of that type, placed by --
5                 (a) an individual located in Western Australia at the time of
6                        placing the bet; or
7                 (b) a body corporate whose principal place of business is
8                        located in Western Australia at the time of placing the
9                        bet.
10        (2)   For the purposes of subsection (1)(a), if a betting operator
11              complies with section 14(1), but is unable to identify the
12              location of the individual placing the bet, the individual is taken
13              to be located at the individual's residential address.
14        (3)   When determining if a lay-off bet is a WA bet under
15              subsection (1), it does not matter whether or not the liability the
16              betting operator seeks to reduce by placing the lay-off bet relates to
17              WA bets placed with the betting operator.

18   7.         Taxable betting revenue
19        (1)   The taxable betting revenue of a betting operator for a period is
20              the betting revenue of the betting operator for the period less the
21              eligible payments of the betting operator for the period.
22        (2)   The betting revenue of a betting operator for a period is the
23              total of --
24                (a) the amount worked out under section 9 for the period in
25                       relation to WA betting exchange bets placed with the
26                       betting operator; and
27                (b) the amount worked out under section 10(1) for the
28                       period in relation to WA pooled bets placed with the
29                       betting operator; and




     page 6
                                               Betting Tax Assessment Bill 2018
                                           Taxable betting revenue       Part 2

                                                                              s. 8



1                (c)    the amount worked out under section 11(1) for the
2                       period in relation to WA general bets placed with the
3                       betting operator; and
4                (d)    any amounts the betting operator became entitled to
5                       retain during the period on account of unclaimed
6                       winnings in relation to WA bets; and
7                (e)    any other amounts the betting operator became entitled
8                       to receive during the period as consideration for, or in
9                       relation to, WA bets placed with the betting operator;
10                      and
11                (f)   any other amount that is prescribed for bets generally or
12                      for a bet of a particular type.
13        (3)   The eligible payments of a betting operator for a period are the
14              total of --
15                (a) the amount worked out under section 10(3) for the
16                       period in relation to WA pooled bets placed with the
17                       betting operator; and
18                (b) the amount worked out under section 11(2) for the
19                       period in relation to WA general bets placed with the
20                       betting operator; and
21                (c) any other amount that is prescribed for bets generally or
22                       for a bet of a particular type.

23   8.         Particular payments excluded in working out eligible
24              payments
25        (1)   In working out an amount mentioned in section 7(3)(a), (b)
26              or (c) the following cannot be taken into account --
27                (a) the provision or granting by the betting operator of any
28                       non-cash reward, however described;
29                (b) the payment of an amount to a person other than a
30                       person who placed a bet with the betting operator;




                                                                           page 7
     Betting Tax Assessment Bill 2018
     Part 2         Taxable betting revenue

     s. 8



1              (c)   the payment of an amount that --
2                       (i) is placed at the discretion of the betting operator;
3                           or
4                      (ii) results in a person who placed a bet with the
5                           betting operator receiving an amount that is more
6                           than the amount the person is legally entitled to
7                           receive under the terms on which the bet was
8                           placed with the betting operator;
9              (d)   the payment of an amount as part of an arrangement
10                   under which --
11                      (i) the betting operator offers an opportunity for a
12                          person (a participant) to win, at no or a nominal
13                          cost to the participant, an amount by betting on
14                          the outcome of a stated event or contingency or a
15                          stated series of events or contingencies; and
16                     (ii) the total of all amounts payable by the betting
17                          operator in relation to bets placed by the
18                          participant may reasonably be expected to
19                          exceed the total of any amounts received by the
20                          betting operator for bets placed under the
21                          arrangement; and
22                    (iii) the betting operator's primary purpose is to
23                          attract or encourage a participant to bet with the
24                          betting operator, or to promote its betting
25                          operations to a participant, beyond the
26                          arrangement;
27             (e)   the payment of any other amount that is prescribed.
28      (2)   Subsection (1)(a) does not apply to the provision or granting by
29            the betting operator of a non-cash reward, if --
30              (a) the reward is the refund of a free component; and
31              (b) the person who placed the bet is legally entitled to
32                    receive the reward under the terms on which the bet was
33                    placed with the betting operator; and


     page 8
                                                 Betting Tax Assessment Bill 2018
                                             Taxable betting revenue       Part 2

                                                                                     s. 9



1                  (c)    the reward is not given at the discretion of the betting
2                         operator.
3          (3)   Subsection (1)(b) does not apply to the payment of an amount
4                that discharges, wholly or partly, a legal obligation of the
5                betting operator to pay an amount in relation to a WA bet to the
6                person who placed the bet with the betting operator.
7          (4)   In working out an amount mentioned in section 7(3)(a) or (c)
8                the payment of an amount by the betting operator into a pool on
9                account of a free component cannot be taken into account.

10   9.          Betting revenue: WA betting exchange bets
11               For the purposes of section 7(2)(a), the amount is the total
12               amount of all fees and commissions the betting operator
13               received during the period in relation to WA betting exchange
14               bets placed with the betting operator.

15   10.         Betting revenue and eligible payments: WA pooled bets
16         (1)   For the purposes of section 7(2)(b), the amount is the total
17               revenue from pools that the betting operator received during the
18               period.
19         (2)   For the purposes of subsection (1), the revenue from a pool for a
20               betting operator is the amount worked out using the formula --
                             D
                   (1 −           ) × (A − W)
                          (T − R)
21                 where --
22                 D      is the total amount of dividends, prizes or winnings paid
23                        or payable out of the pool;
24                 T      is the total amount of pooled bets in the pool;
25                 R      is the total amount of refunds paid in respect of the
26                        pool;



                                                                              page 9
     Betting Tax Assessment Bill 2018
     Part 2         Taxable betting revenue

     s. 11



1                  A      is the total amount of WA pooled bets placed with the
2                         betting operator in the pool;
3                  W      is the total amount of refunds paid in respect of WA
4                         pooled bets placed with the betting operator in the pool.
5          (3)   For the purposes of section 7(3)(a), the amount is the total of --
6                 (a) all amounts paid by the betting operator during the
7                        period into a pool; and
8                 (b) all amounts paid by the betting operator during the
9                        period to a person who placed a pooled bet with the
10                       betting operator as additional dividends, prizes or
11                       winnings to the dividends, prizes or winnings payable
12                       out of a pool.

13   11.         Betting revenue and eligible payments: WA general bets
14         (1)   For the purposes of section 7(2)(c), the amount is the total
15               amount of all WA general bets placed with the betting operator
16               during the period.
17         (2)   For the purposes of section 7(3)(b), the amount is the total of all
18               amounts paid by the betting operator during the period in
19               relation to WA general bets placed with the betting operator.

20   12.         Amount of bets generally
21         (1)   If all or part of a bet is placed other than in cash, the amount of
22               the bet includes the monetary value of the non-cash
23               consideration comprising the bet when the bet is placed.
24         (2)   If an amount of a bet is expressed in a currency other than
25               Australian currency, the amount is the amount expressed in
26               Australian currency according to the buy rate of exchange
27               reported by the Reserve Bank of Australia and applicable in
28               Australia on --
29                  (a) the day on which the bet is placed; or




     page 10
                                                 Betting Tax Assessment Bill 2018
                                             Taxable betting revenue       Part 2

                                                                                s. 13



1                 (b)    if the rate is not obtainable for Australia on that day --
2                        the last earlier day on which the rate was obtainable for
3                        Australia.

4    13.         Free components
5          (1)   A reference in this Act to an amount paid by a betting operator
6                is, if the amount is paid or partly paid with a free component,
7                taken to be or include a reference to the amount of the free
8                component.
9          (2)   If a free component is used to place all or part of a WA bet, the
10               amount of the bet is taken to be or include the free component.
11         (3)   If a free component is used as consideration for, or in relation
12               to, all or part of a WA bet, the consideration is taken to be or
13               include the free component.
14         (4)   If a free component is used to place all or part of a WA bet or as
15               consideration for, or in relation to, all or part of a WA bet, the
16               free component is taken to be an amount received by the betting
17               operator.
18         (5)   If a free component is used to place all or part of a betting
19               exchange bet, any fee or commission received by the operator of
20               the betting exchange in relation to the bet is taken to be
21               calculated as if the free component is cash.
22         (6)   If a free component is used to place all or part of a pooled bet,
23               the free component is taken to be an amount placed into the
24               pool.

25   14.         Betting operator to identify location of individual or
26               principal place of business
27         (1)   A betting operator must, before accepting a bet from an
28               individual, take all reasonable steps to identify the location of
29               the individual at the time the bet was placed.
30               Penalty for this subsection: a fine of $20 000.



                                                                             page 11
    Betting Tax Assessment Bill 2018
    Part 2         Taxable betting revenue

    s. 14



1      (2)    A betting operator must, before accepting a bet from a body
2             corporate, take all reasonable steps to identify the principal
3             place of business of the body corporate at the time the bet was
4             placed.
5             Penalty for this subsection: a fine of $20 000.




    page 12
                                                   Betting Tax Assessment Bill 2018
                                            Liability and assessment         Part 3

                                                                                 s. 15



1                      Part 3 -- Liability and assessment
2    15.         Betting tax payable on taxable betting revenue
3                Betting tax is payable, in accordance with this Act, the Betting
4                Tax Act 2018 and the Taxation Administration Act 2003, on the
5                taxable betting revenue of a betting operator.

6    16.         Time for payment of betting tax
7                Betting tax is due for payment on the last day for lodging the
8                return specifying the taxable betting revenue on which the
9                betting tax is payable.

10   17.         Betting operator liable to pay betting tax
11         (1)   In this section --
12               previous return period, in relation to another return period,
13               means a return period that occurs before, and in the same
14               assessment period as, the other return period.
15         (2)   A betting operator is liable to pay betting tax for a return period
16               if --
17                  (a) the total of the taxable betting revenue of the betting
18                       operator for the return period and any previous return
19                       period exceeds the threshold amount; and
20                 (b) the amount worked out under subsection (3) is more
21                       than zero.
22         (3)   The amount of betting tax a betting operator is liable to pay for
23               a return period is worked out using the formula --
24                 ((R − T) × B) − P
25                 where --
26                 R      is the total of the taxable betting revenue of the betting
27                        operator for the return period and any previous return
28                        period;


                                                                             page 13
     Betting Tax Assessment Bill 2018
     Part 3         Liability and assessment

     s. 18



1                  T     is the threshold amount;
2                  B     is the betting tax rate expressed as a decimal;
3                  P     is any betting tax paid or payable by the betting
4                        operator for any previous return period.
5          (4)   The Commissioner is not required to make a refund of betting
6                tax paid at the end of a return period, if the amount worked out
7                under subsection (3) is less than zero.

8    18.         Annual reconciliation
9          (1)   If, at the end of an assessment period, the sum of the amounts of
10               betting tax that a betting operator is liable to pay under
11               section 17 for the return periods in the assessment period is
12               greater than the amount of betting tax that the betting operator is
13               liable to pay for the assessment period, the betting operator is
14               entitled to a refund or rebate of the difference.
15         (2)   The amount of betting tax that a betting operator is liable to pay
16               for an assessment period is --
17                 (a) if the taxable betting revenue of the betting operator for
18                       the assessment period exceeds the threshold amount --
19                       the amount worked out under subsection (3); or
20                 (b) if the taxable betting revenue of the betting operator for
21                       the assessment period is less than or equal to the
22                       threshold amount -- nil.
23         (3)   For the purposes of subsection (2)(a), the amount is worked out
24               using the formula --
25                 ((R − T) × B)
26                 where --
27                 R     is the taxable betting revenue of the betting operator for
28                       the assessment period;
29                 T     is the threshold amount;


     page 14
                                           Betting Tax Assessment Bill 2018
                                    Liability and assessment         Part 3

                                                                       s. 18



1           B     is the betting tax rate expressed as a decimal.
2   (4)   Subject to the Taxation Administration Act 2003 section 17, the
3         Commissioner must make any reassessment necessary to give
4         effect to this section.




                                                                    page 15
     Betting Tax Assessment Bill 2018
     Part 4         Registration and returns

     s. 19



1                    Part 4 -- Registration and returns
2    19.         Application for registration
3          (1)   A betting operator who is not registered must, in accordance
4                with subsection (2), apply to the Commissioner for registration
5                if the taxable betting revenue of the betting operator for an
6                assessment period exceeds the threshold amount.
7                Penalty for this subsection: a fine of $20 000.
8          (2)   The application must be made --
9                 (a) in an approved form; and
10                (b) within 7 days after the end of the month in which the
11                      criterion in subsection (1) is satisfied.

12   20.         Registration
13         (1)   On receiving an application under section 19, the Commissioner
14               must register the applicant if it appears to the Commissioner
15               that the betting operator is liable to pay betting tax.
16         (2)   The Commissioner may register a betting operator, although the
17               betting operator has not applied for registration under
18               section 19, if it appears to the Commissioner that the betting
19               operator is, or is likely to become, liable to pay betting tax.
20         (3)   If the Commissioner registers a betting operator, the
21               Commissioner must give the betting operator notice of the
22               registration.

23   21.         Cancellation of registration
24         (1)   The Commissioner must cancel the registration of a person if --
25                (a) the Commissioner is aware that the person has ceased to
26                     be a betting operator; and
27                (b) the person has lodged all returns the person is required
28                     to lodge; and
29                (c) the person has paid the betting tax the person is liable to
30                     pay in relation to those returns.

     page 16
                                                 Betting Tax Assessment Bill 2018
                                            Registration and returns       Part 4

                                                                                 s. 22



1          (2)   The Commissioner may cancel the registration of a person,
2                during an assessment period, on the Commissioner's initiative
3                or on the application of the person, if --
4                  (a) the Commissioner is satisfied that the taxable betting
5                        revenue of the person for the assessment period will not
6                        exceed the threshold amount; and
7                  (b) the person has lodged all returns the person is required
8                        to lodge; and
9                  (c) the person has paid the betting tax the person is liable to
10                       pay in relation to those returns.
11         (3)   As soon as practicable after cancelling the registration of a
12               person, the Commissioner must give the person a notice
13               stating --
14                 (a) that the registration has been cancelled; and
15                 (b) the day on which the registration was cancelled.

16   22.         Returns
17         (1)   A betting operator who is registered or required to apply for
18               registration must, in accordance with subsection (2), lodge a
19               return for each month specifying the taxable betting revenue of
20               the betting operator for the month.
21               Penalty for this subsection: a fine of $5 000.
22         (2)   The betting operator must lodge the return --
23                (a) in an approved form; and
24                (b) within 28 days after the end of the month or within any
25                      further period allowed by the Commissioner.

26   23.         Exemption from lodging monthly returns
27         (1)   The Commissioner may, on the Commissioner's initiative or on
28               the application of a betting operator, by notice given to the
29               betting operator, exempt the betting operator from the
30               requirement to lodge a return for each month.



                                                                            page 17
     Betting Tax Assessment Bill 2018
     Part 4         Registration and returns

     s. 23



1       (2)    The notice --
2               (a) must include a condition requiring the betting operator
3                     to lodge a return for each period stated in the notice
4                     specifying the taxable betting revenue of the betting
5                     operator for that period; and
6               (b) must include a condition requiring the betting operator
7                     to lodge the return within a period stated in the notice;
8                     and
9               (c) may include any other condition the Commissioner
10                    considers appropriate.
11      (3)    An exemption continues in force until it is revoked.
12      (4)    The Commissioner may amend or revoke an exemption by
13             giving the betting operator notice of the amendment or
14             revocation.
15      (5)    An exemption does not exempt the betting operator from any
16             liability to pay betting tax, even if it has the effect of postponing
17             the time for payment of betting tax.
18      (6)    A betting operator who is given an exemption must lodge
19             returns in accordance with the conditions included in the notice.
20             Penalty for this subsection: a fine of $5 000.




     page 18
                                                 Betting Tax Assessment Bill 2018
                                                     Miscellaneous         Part 5

                                                                               s. 24



1                            Part 5 -- Miscellaneous
2    24.         Arrangements for avoidance may be disregarded
3          (1)   This section applies if a person enters into an agreement,
4                transaction or arrangement, whether in writing or otherwise, that
5                has the effect of reducing, postponing or avoiding the liability of
6                any person to the assessment, imposition or payment of betting
7                tax or penalty tax.
8          (2)   The Commissioner may do either or both of the following --
9                 (a) decide to disregard the agreement, transaction or
10                     arrangement for 1 or more periods;
11                (b) decide 1 or more of the matters mentioned in
12                     subsection (3).
13         (3)   The matters are the following --
14                (a) that the betting revenue of a betting operator for a
15                     particular period is taken to include an additional
16                     amount;
17                (b) that an amount included in the eligible payments of a
18                     betting operator for a particular period is to be
19                     disregarded;
20                (c) that, because of a decision made in respect of a matter
21                     mentioned in paragraph (a) or (b), the taxable betting
22                     revenue of a betting operator for a particular period is
23                     taken to include an additional amount;
24                (d) that a bet placed with a betting operator --
25                        (i) is taken to have been placed by a person other
26                              than the person who purportedly placed the bet
27                              or at a place other than the place where the bet
28                              was purportedly placed; and
29                       (ii) if applicable, is a WA bet within the meaning of
30                              section 6 for the purpose of working out the
31                              taxable betting revenue of the betting operator
32                              for a particular period;

                                                                           page 19
     Betting Tax Assessment Bill 2018
     Part 5         Miscellaneous

     s. 25



1                  (e)   that --
2                           (i) a party to the agreement, transaction or
3                               arrangement is taken to be a betting operator; and
4                          (ii) a payment placed in respect of the agreement,
5                               transaction or arrangement is taken to be taxable
6                               betting revenue of the party for a particular
7                               period.
8          (4)   If the Commissioner makes a decision under subsection (2)
9                about a betting operator or another party to the agreement,
10               transaction or arrangement, the Commissioner must give the
11               betting operator or party a notice that states the decision and the
12               reasons for the decision.

13   25.         Keeping records
14         (1)   A betting operator who is registered or required to apply for
15               registration must keep --
16                 (a) the records that are prescribed for the purposes of this
17                       section (if any); and
18                 (b) any other records necessary to enable the Commissioner
19                       to determine the betting operator's liability to pay
20                       betting tax.
21               Penalty for this subsection: a fine of $20 000.
22         (2)   Despite the Taxation Administration Act 2003 section 87, the
23               betting operator must retain the records for at least 5 years, or
24               for any longer period that is prescribed, after the bet to which
25               the records relate is placed.
26               Penalty for this subsection: a fine of $20 000.
27         (3)   Despite the Taxation Administration Act 2003 section 89(1), the
28               records may be kept in another State.
29         (4)   The betting operator must keep the records in Australia.
30               Penalty for this subsection: a fine of $20 000.



     page 20
                                                Betting Tax Assessment Bill 2018
                                                    Miscellaneous         Part 5

                                                                            s. 26



1          (5)   The Commissioner may recover as a debt, from a betting
2                operator, costs reasonably incurred by the Commissioner as a
3                result of the betting operator's failure to comply with
4                subsection (4).

5    26.         Regulations
6          (1)   The Governor may make regulations prescribing matters --
7                 (a) required or permitted by this Act to be prescribed; or
8                 (b) necessary or convenient to be prescribed for giving
9                      effect to this Act.
10         (2)   Regulations may be expressed to apply to taxable betting
11               revenue for a period before the day on which the regulations
12               come into operation if the application of the regulations to the
13               taxable betting revenue would not adversely affect a person who
14               is or may be liable to pay betting tax on the taxable betting
15               revenue.




                                                                         page 21
     Betting Tax Assessment Bill 2018
     Part 6         Transitional provisions

     s. 27



1                      Part 6 -- Transitional provisions
2    27.         First assessment period and threshold amount
3          (1)   Despite the definition of assessment period in section 4, the first
4                assessment period is the period beginning on 1 January 2019
5                and ending on 30 June 2019.
6          (2)   Despite the definition of threshold amount in section 4, the
7                threshold amount for the first assessment period is $75 000.

8    28.         Betting revenue relating to bets placed before
9                1 January 2019
10               In working out an amount mentioned in section 7(2)(d) or (f) an
11               amount the betting operator becomes entitled to retain on
12               account of unclaimed winnings that relate to a bet placed before
13               1 January 2019 cannot be taken into account.

14   29.         Eligible payments relating to bets placed before
15               1 January 2019
16               In working out an amount mentioned in section 7(3)(a), (b)
17               or (c) the payment of an amount that is made on or after
18               1 January 2019 and relates to a bet placed before
19               1 January 2019 cannot be taken into account.




     page 22
                                       Betting Tax Assessment Bill 2018
                                                 Repeals         Part 7

                                                                  s. 30



1                        Part 7 -- Repeals
2   30.   Bookmakers Betting Levy Act 1954 repealed
3         The Bookmakers Betting Levy Act 1954 is repealed.

4   31.   Racing and Wagering Western Australia Tax Act 2003
5         repealed
6         The Racing and Wagering Western Australia Tax Act 2003 is
7         repealed.




                                                               page 23
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 1     Amendments commencing on 1 January 2019
     s. 32



1                       Part 8 -- Other Acts amended
2      Division 1 -- Amendments commencing on 1 January 2019
3                Subdivision 1 -- Betting Control Act 1954 amended

4    32.         Act amended
5                This Subdivision amends the Betting Control Act 1954.

6    33.         Section 27E amended
7                After section 27E(2)(a) insert:
8

9                       (aa)   for the purpose of the Commissioner (as
10                             defined in the Taxation Administration
11                             Act 2003 Glossary clause 1) performing the
12                             Commissioner's functions in relation to betting
13                             tax (as defined in the Betting Tax Assessment
14                             Act 2018 section 4); or
15


16   34.         Part 6 inserted
17               After section 33 insert:
18


19         Part 6 -- Transitional provisions for Betting Tax
20                      Assessment Act 2018
21         34.         Application of s. 14, 15 and 16 on or after
22                     1 January 2019
23                     Sections 14, 15 and 16 do not apply to or in relation to
24                     a bet made on or after 1 January 2019.




     page 24
                                             Betting Tax Assessment Bill 2018
                                           Other Acts amended          Part 8
                       Amendments commencing on 1 January 2019    Division 1
                                                                         s. 35



1          35.         Application of s. 18A on or after 1 January 2019
2                      Section 18A does not apply to or in relation to a race
3                      meeting conducted on or after 1 January 2019 or a bet
4                      made on or after 1 January 2019.
5


6          Subdivision 2 -- Racing and Wagering Western Australia
7                           Act 2003 amended

8    35.         Act amended
9                This Subdivision amends the Racing and Wagering Western
10               Australia Act 2003.

11   36.         Section 68 amended
12               In section 68(3) delete "section 107A(2)." and insert:
13

14               sections 107A(2) and 107B(3).
15


16   37.         Section 77 amended
17               In section 77(2)(da) delete "section 107A(2); and" and insert:
18

19               sections 107A(2) and 107B(3); and
20


21   38.         Section 102 amended
22               In section 102(2)(a)(ii) after "paid" insert:
23

24               or payable
25




                                                                          page 25
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 1     Amendments commencing on 1 January 2019
     s. 39



1    39.       Section 106 amended
2              After section 106(1)(g) insert:
3

4                    (ga)    any amount of betting tax payable under the
5                            Betting Tax Assessment Act 2018 section 15;
6


7    40.       Section 107B inserted
8              After section 107A insert:
9


10         107B.     Allocation and distribution of proportion of funds
11                   from betting tax
12             (1)   Each month the Treasurer must pay to RWWA an
13                   amount equal to 30% of the amount of betting tax
14                   imposed by the Betting Tax Act 2018 section 4 that was
15                   credited to the Consolidated Account in the previous
16                   month.
17             (2)   Payments under subsection (1) must be --
18                    (a) charged to the Consolidated Account which is
19                         appropriated accordingly; and
20                    (b) credited to an account (the betting tax account)
21                         maintained under section 88 for the sole
22                         purpose of dealing with those payments under
23                         this section.
24             (3)   The funds in the betting tax account must be paid or
25                   credited by RWWA, in such amounts as it determines,
26                   to --
27                     (a) thoroughbred racing clubs registered with
28                           RWWA; and
29                     (b) harness racing clubs registered with RWWA;
30                           and



     page 26
                                           Betting Tax Assessment Bill 2018
                                         Other Acts amended          Part 8
                     Amendments commencing on 1 January 2019    Division 1
                                                                       s. 41



1                      (c)   greyhound racing clubs registered with
2                            RWWA.
3


4    41.       Part 9 inserted
5              After section 122 insert:
6


7           Part 9 -- Transitional provisions for Betting Tax
8                        Assessment Act 2018
9           123.     Application of s. 102 on or after 1 January 2019
10                   Section 102 does not apply to or in relation to a wager
11                   made on or after 1 January 2019.

12          124.     Application of s. 107 on or after 1 January 2019
13             (1)   Section 107 does not apply to moneys received by
14                   RWWA in respect of totalisator or fixed odds wagering
15                   if the wagering occurs on or after 1 January 2019.
16             (2)   For the purposes of subsection (1) wagering occurs
17                   when a wager is placed.
18


19         Subdivision 3 -- Racing and Wagering Western Australia Tax
20                             Act 2003 amended

21   42.       Act amended
22             This Subdivision amends the Racing and Wagering Western
23             Australia Tax Act 2003.




                                                                        page 27
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 1     Amendments commencing on 1 January 2019
     s. 43



1    43.       Section 3 amended
2              In section 3 in the definition of gross revenue paragraph (b)
3              after "paid" insert:
4

5              or payable
6


7          Subdivision 4 -- Taxation Administration Act 2003 amended

8    44.       Act amended
9              This Subdivision amends the Taxation Administration Act 2003.

10   45.       Section 3 amended
11             After section 3(1)(jb) insert:
12

13                    (jc)      the Betting Tax Act 2018;
14                    (jd)      the Betting Tax Assessment Act 2018;
15

16   46.       Section 17 amended
17             In section 17(3) after "pay-roll tax" insert:
18

19             or betting tax
20


21   47.       Section 114 amended
22             In section 114(3):
23               (a) in paragraph (c)(ii) delete "Treasurer;" and insert:
24

25                     Treasurer; or
26




     page 28
                                 Betting Tax Assessment Bill 2018
                               Other Acts amended          Part 8
           Amendments commencing on 1 January 2019    Division 1
                                                             s. 47



1    (b)    after paragraph (c)(ii) insert:
2

3                  (iii)   an officer of the department of the
4                          Public Service principally assisting in
5                          the administration of the Betting
6                          Control Act 1954, the Gaming and
7                          Wagering Commission Act 1987 or the
8                          Racing and Wagering Western Australia
9                          Act 2003;
10




                                                             page 29
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 2     Amendments commencing on proclamation
     s. 48



1          Division 2 -- Amendments commencing on proclamation
2                Subdivision 1 -- Betting Control Act 1954 amended

3    48.         Act amended
4                This Subdivision amends the Betting Control Act 1954.

5    49.         Long title amended
6                In the long title delete "levy on money paid or promised to
7                bookmakers, other betting operators or RWWA as
8                consideration for bets;" and insert:
9

10               racing bets levy on the gross revenue or turnover of betting
11               operators;
12


13   50.         Section 4 amended
14               In section 4(1) delete the definition of fixed odds bet and insert:
15

16                     fixed odds bet means a fixed odds wager as defined in
17                     the RWWA Act section 3(1);
18


19   51.         Section 11E amended
20               In section 11E(4)(a) delete "or bookmakers' betting levy".

21   52.         Section 12 amended
22         (1)   In section 12(5)(c)(ii) delete "number; and" and insert:
23

24               number.
25

26         (2)   Delete section 12(5)(c)(iii) and (iv).



     page 30
                                             Betting Tax Assessment Bill 2018
                                           Other Acts amended          Part 8
                          Amendments commencing on proclamation   Division 2
                                                                         s. 53



1    53.          Section 13 amended
2          (1)    Before section 13(1) insert:
3

4                (1A)   In this section --
5                       total turnover means the aggregate of the turnover that
6                       relates to bets made under this Act;
7                       turnover --
8                         (a) means the amount of money paid or promised
9                                as the consideration for bets made by a
10                               bookmaker, whether the bets are --
11                                  (i) made by the bookmaker as a party to the
12                                       bet; or
13                                 (ii) negotiated by the bookmaker as agent
14                                       for another person;
15                               but
16                        (b) does not include any money promised or paid
17                               by a bookmaker as the consideration for a bet
18                               made by the bookmaker on the bookmaker's
19                               own behalf in the capacity of a backer but not
20                               in the capacity of a bookmaker.
21               (1B)   For the purposes of the definition of turnover in
22                      subsection (1A), the Commission has an absolute
23                      discretion to decide what is and what is not a bet made
24                      by a bookmaker on the bookmaker's own behalf in the
25                      capacity of a backer but not in the capacity of a
26                      bookmaker.
27

28         (2)    Delete section 13(2).




                                                                           page 31
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 2     Amendments commencing on proclamation
     s. 54



1    54.       Section 14A amended
2              In section 14A(3):
3                (a) in paragraph (a) delete "bookmaker's betting levy" and
4                      insert:
5

6                     annual licence fee
7

8               (b)   in paragraph (b) delete "operator." and insert:
9

10                    operator; and
11

12              (c)   after paragraph (b) insert:
13

14                    (c)   to a penalty fee were a reference to an
15                          additional racing bets levy; and
16                    (d)   to money due in respect of an annual licence
17                          fee were a reference to money due as racing
18                          bets levy; and
19                    (e)   to an assessment to be made of the amount of
20                          fee due were a reference to an assessment to be
21                          made of the amount on which, in the judgment
22                          of the Commission, racing bets levy ought to be
23                          levied.
24


25   55.       Sections 14B to 16 deleted
26             Delete sections 14B to 16.




     page 32
                                                Betting Tax Assessment Bill 2018
                                              Other Acts amended          Part 8
                             Amendments commencing on proclamation   Division 2
                                                                            s. 56



1    56.          Section 17 amended
2                 In section 17:
3                   (a) delete "payment of --" and insert:
4

5                           payment of an annual licence fee in respect of --
6

7                   (b)     delete paragraphs (a) and (b) and insert:
8

9                           (a)    a bookmaker's licence; or
10                          (b)    an authorisation to possess and operate a
11                                 totalisator,
12

13                Note: The heading to amended section 17 is to read:
14                        Effect on annual licence fee of not being entitled to receive or
15                        retain consideration

16   57.          Section 17A amended
17         (1)    Before section 17A(1) insert:
18

19               (1A)     In this section --
20                        total turnover has the meaning given in
21                        section 13(1A);
22                        turnover has the meaning given in section 13(1A).
23

24         (2)    Delete section 17A(2).

25   58.          Sections 18 and 18A deleted
26                Delete sections 18 and 18A.




                                                                                     page 33
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 2     Amendments commencing on proclamation
     s. 59



1    59.         Section 18B amended
2          (1)   In section 18B(1):
3                  (a) delete "fee, or any bookmakers' betting levy or further
4                        levy" and insert:
5

6                       fee
7

8                 (b)   in paragraph (a) delete "fee or any bookmakers' betting
9                       levy; and" and insert:
10

11                      fee; and
12

13                (c)   in paragraph (b) delete "or levy".
14         (2)   In section 18B(2):
15                 (a) in paragraph (a) delete "or as bookmaker's betting levy
16                       or further levy";
17                 (b) in paragraph (b) delete "fee or any bookmakers' betting
18                       levy," and insert:
19

20                      fee,
21

22                (c)   delete "due or upon which, in the judgement of the
23                      Commission, bookmakers' betting levy or further levy
24                      ought to be levied." and insert:
25

26                      due.
27




     page 34
                                               Betting Tax Assessment Bill 2018
                                             Other Acts amended          Part 8
                            Amendments commencing on proclamation   Division 2
                                                                           s. 60



1          (3)   In section 18B(3):
2                  (a) in paragraph (a) delete "fee, or the bookmakers' betting
3                        levy or further levy, and of any additional levy" and
4                        insert:
5

6                          fee
7

8                  (b)     in paragraph (b) delete "fee, or of the bookmakers'
9                          betting levy or further levy, and any additional levy,"
10                         and insert:
11

12                         fee
13

14         (4)   In section 18B(5):
15                 (a) delete "in respect of an annual licence fee or any
16                       bookmakers' betting levy or further levy" and insert:
17

18                         an amount in respect of an annual licence fee
19

20                 (b)     delete "or additional bookmakers' betting levy, an
21                         amount equal to the amount of the fee or levy" and
22                         insert:
23

24                         an amount equal to the amount of the fee
25

26                 (c)     delete "or the additional levy,".
27               Note: The heading to amended section 18B is to read:
28                       Assessment of annual licence fee

29   60.         Section 19 deleted
30               Delete section 19.




                                                                             page 35
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 2     Amendments commencing on proclamation
     s. 61



1    61.         Section 33 amended
2                In section 33(1)(b)(xv) delete "the assessment, payment and
3                recovery of bookmakers' betting tax or of bookmakers' betting
4                levy,".

5    62.         Part 6 deleted
6                Delete Part 6.

7           Subdivision 2 -- Gaming and Wagering Commission Act 1987
8                                  amended

9    63.         Act amended
10               This Subdivision amends the Gaming and Wagering
11               Commission Act 1987.

12   64.         Section 7 amended
13               Delete section 7(1)(ea).

14   65.         Section 9 amended
15         (1)   In section 9(2) delete "which, subject to subsection (2a)," and
16               insert:
17

18               which
19

20         (2)   Delete section 9(2a).

21   66.         Section 110A amended
22         (1)   In section 110A(1) delete "or 107".
23         (2)   Delete section 110A(2).




     page 36
                                              Betting Tax Assessment Bill 2018
                                            Other Acts amended          Part 8
                           Amendments commencing on proclamation   Division 2
                                                                          s. 67



1     Subdivision 3 -- Racing and Wagering Western Australia Act 2003
2                               amended

3    67.         Act amended
4                This Subdivision amends the Racing and Wagering Western
5                Australia Act 2003.

6    68.         Section 68 amended
7                In section 68(2)(b) delete "sections 105(5) and" and insert:
8

9                section
10


11   69.         Section 77 amended
12               In section 77(2)(c) delete "sections 105(5) and" and insert:
13

14               section
15


16   70.         Section 102 deleted
17               Delete section 102.

18   71.         Section 105 deleted
19               Delete section 105.

20   72.         Section 106 amended
21         (1)   Delete section 106(1)(f).
22         (2)   In section 106(1)(g) delete "or 107".

23   73.         Section 107 deleted
24               Delete section 107.



                                                                           page 37
     Betting Tax Assessment Bill 2018
     Part 8         Other Acts amended
     Division 2     Amendments commencing on proclamation
     s. 74



1    74.       Section 114 deleted
2              Delete section 114.

3    75.       Part 9 deleted
4              Delete Part 9.

5          Subdivision 4 -- Racing Penalties (Appeals) Act 1990 amended

6    76.       Act amended
7              This Subdivision amends the Racing Penalties (Appeals)
8              Act 1990.

9    77.       Section 24 amended
10             In section 24(4)(a):
11               (a) delete "105(1)(h) or";
12               (b) delete "105 or".

13




     page 38
                                                                 Betting Tax Assessment Bill 2018



                                                                                                       Defined terms



                                         Defined terms
      [This is a list of terms defined and the provisions where they are defined.
                             The list is not part of the law.]
Defined term                                                                                               Provision(s)
assessment period ................................................................................................. 4
bet ......................................................................................................................... 4
betting exchange ................................................................................................... 4
betting exchange bet ............................................................................................. 4
betting operations .............................................................................................. 4, 5
betting operator ..................................................................................................... 4
betting revenue ............................................................................................. 4, 7(2)
betting tax ............................................................................................................. 4
betting tax rate ...................................................................................................... 4
eligible payments ......................................................................................... 4, 7(3)
free component ..................................................................................................... 4
general bet ............................................................................................................. 4
interstate game ...................................................................................................... 4
lay-off bet.............................................................................................................. 4
participant ................................................................................................ 8(1)(d)(i)
pool ....................................................................................................................... 4
pooled bet.............................................................................................................. 4
prescribed.............................................................................................................. 4
previous return period .................................................................................... 17(1)
registered............................................................................................................... 4
return ..................................................................................................................... 4
return period.......................................................................................................... 4
taxable betting revenue ................................................................................ 4, 7(1)
threshold amount................................................................................................... 4




                                                                                                                page 39

 


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