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This is a Bill, not an Act. For current law, see the Acts databases.
Western Australia Revenue Laws Amendment Bill 2012 CONTENTS Part 1 -- Preliminary 1. Short title 2 2. Commencement 2 Part 2 -- Duties Act 2008 amended 3. Act amended 3 4. Section 28 amended 3 5. Section 42 amended 3 6. Section 42 amended 3 7. Section 43 amended 4 8. Section 127 replaced 5 127. Some transfers etc. of dutiable property from superannuation fund to member, dependant or representative 5 9. Section 138 amended 5 10. Section 148 amended 6 11. Section 161 amended 6 12. Section 164 amended 6 13. Section 166 amended 6 14. Sections 167 and 168 replaced 7 167. Exemption if nominal duty would be chargeable on transfer 7 168. Exemption if transfer duty would not be chargeable 7 15. Section 176 amended 8 16. Section 179 amended 8 17. Section 184 amended 9 18. Section 186 amended 9 19. Section 187 amended 9 20. Section 188 amended 10 21. Sections 189 to 192 replaced 10 284--1 page i Revenue Laws Amendment Bill 2012 Contents 189. Reduction for s. 188 10 22. Section 189 amended 11 23. Section 204 amended 12 24. Section 250 amended 12 25. Schedule 3 clause 13 deleted 12 Part 3 -- First Home Owner Grant Act 2000 amended 26. Act amended 13 27. Section 7A amended 13 28. Section 7B amended 13 29. Section 28 amended 14 30. Section 29A inserted 15 29A. Relationship with Duties Act 2008 and Taxation Administration Act 2003 15 31. Section 30A inserted 18 30A. Time limit for making decision on objection 18 32. Section 31 amended 20 Part 4 -- Land Tax Assessment Act 2002 amended 33. Act amended 21 34. Glossary clause 6 amended 21 Part 5 -- Pay-roll Tax Assessment Act 2002 amended 35. Act amended 23 36. Section 30 amended 23 37. Section 32 amended 23 38. Section 33 amended 23 39. Section 34 amended 24 40. Section 38 amended 24 41. Section 41C inserted 25 41C. Exempt wages -- DSC disability support and disability wages subsidy 25 42. Section 45 amended 27 43. Glossary clause 1 amended 27 page ii Western Australia LEGISLATIVE ASSEMBLY Revenue Laws Amendment Bill 2012 A Bill for An Act to amend -- • the Duties Act 2008; and • the First Home Owner Grant Act 2000; and • the Land Tax Assessment Act 2002; and • the Pay-roll Tax Assessment Act 2002. The Parliament of Western Australia enacts as follows: page 1 Revenue Laws Amendment Bill 2012 Part 1 Preliminary s. 1 1 Part 1 -- Preliminary 2 1. Short title 3 This is the Revenue Laws Amendment Act 2012. 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 (assent day); 8 (b) Part 2, other than sections 5, 6, 7, 12, 15, 18, 22 and 25, 9 is deemed to have come into operation on 1 July 2008; 10 (c) Part 4 is deemed to have come into operation on 11 1 July 2009; 12 (d) Part 5 -- 13 (i) comes into operation on 1 July 2012, 14 immediately after the Pay-roll Tax Assessment 15 Amendment Act 2010 Part 2 Division 3 comes 16 into operation, if assent day is not later than 17 1 July 2012; or 18 (ii) is deemed to have come into operation on 19 1 July 2012, immediately after the Pay-roll Tax 20 Assessment Amendment Act 2010 Part 2 21 Division 3 comes into operation, if assent day is 22 later than 1 July 2012; 23 (e) the rest of the Act -- on the day after assent day. page 2 Revenue Laws Amendment Bill 2012 Duties Act 2008 amended Part 2 s. 3 1 Part 2 -- Duties Act 2008 amended 2 3. Act amended 3 This Part amends the Duties Act 2008. 4 4. Section 28 amended 5 In section 28(6) delete "127(b)," and insert: 6 7 127(2)(d), 8 9 5. Section 42 amended 10 (1) Delete section 42(2)(b) and insert: 11 12 (b) the agreement is duty endorsed on the basis that 13 duty has been paid or is payable at the general 14 or a concessional rate (that is, under Schedule 2 15 Division 1 or 2); and 16 (c) duty would, but for this section, be chargeable 17 on the transfer of the property at the rate at 18 which duty was chargeable on the agreement. 19 20 (2) After section 42(3) insert: 21 22 (4A) If, but for this subsection, subsections (1) and (3) 23 would both apply to the transfer of dutiable property, 24 subsection (1) does not apply. 25 26 6. Section 42 amended 27 Before section 42(4) insert: 28 29 (4B) If an agreement for the transfer of dutiable property is 30 duty endorsed, duty is not chargeable on the transfer of page 3 Revenue Laws Amendment Bill 2012 Part 2 Duties Act 2008 amended s. 7 1 the property under the agreement to the purchaser in 2 the purchaser's capacity as -- 3 (a) a trustee of a unit trust scheme if -- 4 (i) the purchaser is an individual and is the 5 sole unit holder in the unit trust; or 6 (ii) the purchaser is a unit holder in the unit 7 trust and is related, as referred to in 8 section 43(1)(a), (b), (c), (d) or (e), to 9 each of the other unit holders; 10 or 11 (b) a trustee, other than a trustee of a discretionary 12 trust or a unit trust scheme, if the beneficiary 13 and the purchaser are related as referred to in 14 section 43(1)(a), (b), (c), (d) or (e). 15 (4C) A reference in subsection (4B) to a unit holder or to a 16 beneficiary is limited to a reference to a unit holder or 17 beneficiary whose interest in the scheme or trust is a 18 beneficial interest. 19 20 7. Section 43 amended 21 In section 43(4)(c) delete "unless the beneficiary and the trustee 22 are also related." and insert: 23 24 unless -- 25 (i) the purchaser and the transferee are 26 related as referred to in 27 subsection (1)(a), (b), (c), (d) or (e); and 28 (ii) the purchaser and the beneficiary are 29 related as referred to in 30 subsection (1)(a), (b), (c), (d) or (e). 31 page 4 Revenue Laws Amendment Bill 2012 Duties Act 2008 amended Part 2 s. 8 1 8. Section 127 replaced 2 Delete section 127 and insert: 3 4 127. Some transfers etc. of dutiable property from 5 superannuation fund to member, dependant or 6 representative 7 (1) In this section, each of these terms has the meaning 8 given in the Commonwealth Act section 10(1) -- 9 dependant 10 legal personal representative 11 (2) Nominal duty is chargeable in respect of a transfer of, 12 or an agreement for the transfer of, dutiable property 13 from the trustee of a superannuation fund to -- 14 (a) a member of the fund; or 15 (b) where the member has died -- a dependent of, 16 or the legal personal representative of, the 17 member, 18 if -- 19 (c) the member was a member of the fund when 20 the property first became part of the fund; and 21 (d) the unencumbered value of the property 22 transferred does not exceed the value of the 23 member's interest in the fund; and 24 (e) there is, or will be, no consideration for the 25 transfer or agreement. 26 27 9. Section 138 amended 28 In section 138(1) after "the same" insert: 29 30 or other 31 page 5 Revenue Laws Amendment Bill 2012 Part 2 Duties Act 2008 amended s. 10 1 10. Section 148 amended 2 In section 148 insert in alphabetical order: 3 4 related person has the meaning given in section 162; 5 6 11. Section 161 amended 7 In section 161 delete the definition of related person. 8 Note: The heading to section 161 is to read: 9 Term used 10 12. Section 164 amended 11 In section 164: 12 (a) in paragraph (a)(ii) delete "interest;" and insert: 13 14 interest; or 15 16 (b) after paragraph (a)(ii) insert: 17 18 (iii) the interest of a related person is a 19 significant interest; 20 21 13. Section 166 amended 22 In section 166(b): 23 (a) delete "(3), 189(2), 190(2) or 191(2)" and insert: 24 25 (3) 26 27 (b) delete "190(1) or 192." and insert: 28 29 189. 30 page 6 Revenue Laws Amendment Bill 2012 Duties Act 2008 amended Part 2 s. 14 1 14. Sections 167 and 168 replaced 2 Delete sections 167 and 168 and insert: 3 4 167. Exemption if nominal duty would be chargeable on 5 transfer 6 (1) An acquisition, by a person (the acquiring person) of 7 an interest in a landholder, is exempt if nominal duty 8 would be chargeable on the transfer, at the time of the 9 acquisition, by the person from whom the interest in 10 the landholder was acquired (the relinquishing person) 11 to the acquiring person of land of the landholder, or of 12 a linked entity in respect of the landholder, as if the 13 land were that of the relinquishing person. 14 (2) If the acquiring person did not acquire the interest in 15 the landholder from another person, the reference to the 16 person from whom the interest in the landholder was 17 acquired is to be read (according to what is relevant) as 18 a reference to the or a person -- 19 (a) whose interest in the landholder is decreased 20 because of the acquisition; or 21 (b) whose interest in the landholder decreased 22 resulting in the acquisition. 23 Note: An acquiring person may acquire an interest in a company by the 24 company issuing shares to the person, or buying back shares of 25 another person. 26 168. Exemption if transfer duty would not be chargeable 27 (1) An acquisition, by a person (the acquiring person) of 28 an interest in a landholder, is exempt if no duty would 29 be chargeable, other than under Chapter 6, on the 30 transfer, at the time of the acquisition, by the person 31 from whom the interest in the landholder was acquired 32 (the relinquishing person) to the acquiring person of 33 land of the landholder, or of a linked entity in respect page 7 Revenue Laws Amendment Bill 2012 Part 2 Duties Act 2008 amended s. 15 1 of the landholder, as if the land were that of the 2 relinquishing person. 3 (2) If the acquiring person did not acquire the interest in 4 the landholder from another person, the reference to the 5 person from whom the interest in the landholder was 6 acquired is to be read (according to what is relevant) as 7 a reference to the or a person -- 8 (a) whose interest in the landholder is decreased 9 because of the acquisition; or 10 (b) whose interest in the landholder decreased 11 resulting in the acquisition. 12 Note: An acquiring person may acquire an interest in a company by the 13 company issuing shares to the person, or buying back shares of 14 another person. 15 (3) This section does not apply to an acquisition to which 16 section 171 applies. 17 18 15. Section 176 amended 19 After section 176(3) insert: 20 21 (4A) An entity referred to in subsection (3) may be a 22 landholder as a result of another application of 23 subsection (2). 24 25 16. Section 179 amended 26 In section 179(2)(d) delete "190(1) or 192." and insert: 27 28 189. 29 page 8 Revenue Laws Amendment Bill 2012 Duties Act 2008 amended Part 2 s. 17 1 17. Section 184 amended 2 In section 184(2) delete "188(1), 189(2) or 191(2)," and insert: 3 4 188(1) or 189(1), 5 6 18. Section 186 amended 7 (1) In section 186(1)(a) and (b) delete "land and chattels" and 8 insert: 9 10 land, chattels or land and chattels (whichever is relevant) 11 12 (2) After section 186(1) insert: 13 14 (2A) For the purposes of subsection (1)(b), the percentage of 15 the landholder's interest in a linked entity that is not 16 entitled to land in Western Australia is the percentage 17 (of the landholder's interest in the linked entity) that 18 would be used in section 157 if it were to be used to 19 determine the value of the linked entity's entitlement to 20 chattels in Western Australia. 21 22 19. Section 187 amended 23 In section 187(1)(a) delete "191(3); and" and insert: 24 25 189(3); and 26 page 9 Revenue Laws Amendment Bill 2012 Part 2 Duties Act 2008 amended s. 20 1 20. Section 188 amended 2 In section 188(1) delete "deduction is made under section 189 3 or 191." and insert: 4 5 reduction is made under section 189. 6 7 21. Sections 189 to 192 replaced 8 Delete sections 189, 190, 191 and 192 and insert: 9 10 189. Reduction for s. 188 11 (1) The amount calculated under section 188(1) is to be 12 reduced by an amount determined by applying the 13 appropriate rate of duty under section 184(1) to the 14 value of the excluded interest or the sum of the values 15 of each excluded interest. 16 (2) An excluded interest is an interest of the acquirer in the 17 landholder concerned that is -- 18 (a) an interest, other than one which cannot be 19 excluded because of subsection (4), that was 20 held by the person or a related person, or by the 21 person and a related person, before the day that 22 is 3 years before the day on which the relevant 23 acquisition occurred; or 24 (b) an interest acquired by a relevant acquisition 25 that occurred on or after the day first referred to 26 in paragraph (a) if duty was chargeable in 27 respect of that acquisition, but only to the 28 extent to which the interest is held immediately 29 before the relevant acquisition referred to in 30 section 188; or 31 (c) an interest in the landholder concerned acquired 32 by an acquisition if immediately before the page 10 Revenue Laws Amendment Bill 2012 Duties Act 2008 amended Part 2 s. 22 1 acquisition neither the landholder nor a linked 2 entity in respect of the landholder was entitled 3 to land in Western Australia. 4 (3) The value of an excluded interest is the same 5 percentage of the value of the landholder concerned as 6 the percentage of all interests in the landholder that is 7 represented by the excluded interest. 8 (4) An interest in the landholder acquired by an acquisition 9 (the earlier acquisition) cannot be excluded under 10 subsection (2)(a) if the relevant acquisition in respect 11 of which duty is to be calculated under 12 section 188(1) -- 13 (a) is described in section 163; and 14 (b) was made under an arrangement entered into 15 during the prescribed period in respect of the 16 earlier acquisition. 17 (5) The reference in subsection (4) to the prescribed period 18 in respect of the earlier acquisition is to the period 19 beginning on the day that is 3 years before the day on 20 which the earlier acquisition occurred and ending on 21 the day that is 3 years after the day on which the earlier 22 acquisition occurred. 23 24 22. Section 189 amended 25 After section 189(5) insert: 26 27 (6) Despite subsections (4) and (5), an interest that was 28 held by the person or a related person, or by the person 29 and a related person, before 1 July 2008 (the earlier 30 acquisition) is an excluded interest unless the relevant 31 acquisition in respect of which duty is to be calculated page 11 Revenue Laws Amendment Bill 2012 Part 2 Duties Act 2008 amended s. 23 1 under section 188(1) was made pursuant to an 2 arrangement entered into -- 3 (a) during the prescribed period in respect of the 4 earlier acquisition; and 5 (b) in the opinion of the Commissioner, for a 6 purpose of avoiding or reducing the amount of 7 duty payable. 8 9 23. Section 204 amended 10 In section 204(d) delete "190(1) or 192." and insert: 11 12 189. 13 14 24. Section 250 amended 15 (1) In section 250(2)(a) delete "116" and insert: 16 17 116, 117 18 19 (2) After section 250(2) insert: 20 21 (3A) For the purposes of subsection (2), section 116 has 22 effect as if the requirement in section 116(2)(a) that the 23 declaration of trust be duty endorsed or an exempt 24 transaction were instead a requirement that duty under 25 this Chapter was paid on the transfer of the licence for 26 the vehicle to the trustee or was not chargeable on that 27 transfer. 28 29 25. Schedule 3 clause 13 deleted 30 Delete Schedule 3 clause 13. page 12 Revenue Laws Amendment Bill 2012 First Home Owner Grant Act 2000 amended Part 3 s. 26 1 Part 3 -- First Home Owner Grant Act 2000 amended 2 26. Act amended 3 This Part amends the First Home Owner Grant Act 2000. 4 27. Section 7A amended 5 (1) In section 7A: 6 (a) delete "A person" and insert: 7 8 (1) A person 9 10 (b) delete "if, on the commencement date of the transaction 11 to which the application relates," and insert: 12 13 if 14 15 (2) At the end of section 7A insert: 16 17 (2) The amendments to this section in the Revenue Laws 18 Amendment Act 2012 section 27(1) do not have effect 19 in relation to a transaction with a commencement date 20 prior to the day on which that section came into 21 operation. 22 23 28. Section 7B amended 24 (1) In section 7B: 25 (a) delete "A person" and insert: 26 27 (1) A person 28 page 13 Revenue Laws Amendment Bill 2012 Part 3 First Home Owner Grant Act 2000 amended s. 29 1 (b) delete "if, on the commencement date of the transaction 2 to which the application relates --" and insert: 3 4 if -- 5 6 (2) At the end of section 7B insert: 7 8 (2) The amendments to this section in the Revenue Laws 9 Amendment Act 2012 section 28(1) do not have effect 10 in relation to a transaction with a commencement date 11 prior to the day on which that section came into 12 operation. 13 14 29. Section 28 amended 15 (1) In section 28(2) delete "objector," and insert: 16 17 applicant, 18 19 (2) Delete section 28(3) and insert: 20 21 (3) An application for an extension of time -- 22 (a) must be made within 12 months after the day 23 on which the objection was to have been lodged 24 under subsection (1), but may be made before 25 or after that day; and 26 (b) must set out in detail the grounds on which the 27 applicant asks for an extension of time. 28 page 14 Revenue Laws Amendment Bill 2012 First Home Owner Grant Act 2000 amended Part 3 s. 30 1 30. Section 29A inserted 2 After section 28 insert: 3 4 29A. Relationship with Duties Act 2008 and Taxation 5 Administration Act 2003 6 (1) If, in relation to an application and a decision on the 7 application -- 8 (a) the Commissioner reassesses the amount of 9 duty chargeable under the Duties Act 2008 on 10 the transfer of the dutiable property to which 11 the application relates on the basis that the 12 transfer is not chargeable at a concessional rate 13 of duty (under the Duties Act 2008 Chapter 2 14 Part 6 Division 3); and 15 (b) notice of the reassessment is issued on a day 16 that is after the day on which notice of the 17 decision under this Act is given, 18 the 60 day period referred to in section 28(1) of this 19 Act and the 12 month period referred to in 20 section 28(3) of this Act are to be increased by the 21 number of days in the period commencing on the day 22 after the day on which notice of the decision under this 23 Act was given and ending on the day on which notice 24 of the reassessment was issued. 25 (2) If, in relation to an application and a decision on the 26 application -- 27 (a) an applicant has made an objection to the 28 decision under section 27; and 29 (b) the Commissioner reassesses the amount of 30 duty chargeable under the Duties Act 2008 on 31 the transfer of the dutiable property to which 32 the application relates on the basis that the 33 transfer is not chargeable at a concessional rate page 15 Revenue Laws Amendment Bill 2012 Part 3 First Home Owner Grant Act 2000 amended s. 30 1 of duty (under the Duties Act 2008 Chapter 2 2 Part 6 Division 3), 3 the applicant is taken to have lodged an objection under 4 the Taxation Administration Act 2003 to the 5 reassessment. 6 (3) If an applicant is, by subsection (2), taken to have 7 lodged an objection under the Taxation Administration 8 Act 2003, the objection is -- 9 (a) taken to comply with the requirements of 10 section 35 and section 36(1) or (2) of that Act; 11 and 12 (b) taken to have been lodged on the later of -- 13 (i) the day on which the objection to the 14 Commissioner's decision on the 15 application is lodged under this Act; and 16 (ii) the day on which notice of a 17 reassessment of duty chargeable under 18 the Duties Act 2008 on the transfer is 19 issued. 20 (4) If, in relation to an application and a decision on the 21 application -- 22 (a) an applicant has made an application under 23 section 28(2) of this Act for an extension of 24 time for lodging an objection to the decision; 25 and 26 (b) the decision means that the transfer of the 27 dutiable property to which the application 28 relates is not chargeable at a concessional rate 29 of duty (under the Duties Act 2008 Chapter 2 30 Part 6 Division 3), 31 then, if the extension of time is granted, and the 32 applicant makes an objection to the decision under 33 section 27 of this Act, subsection (2) has effect in page 16 Revenue Laws Amendment Bill 2012 First Home Owner Grant Act 2000 amended Part 3 s. 30 1 relation to the Duties Act 2008 and the Taxation 2 Administration Act 2003 despite the applicant not 3 having made an application under the Taxation 4 Administration Act 2003 section 36(5) for an extension 5 of time for lodging an objection to any reassessment 6 that the Commissioner has made, or will make, of duty 7 chargeable on the transfer. 8 (5) If, in relation to an application and a decision on the 9 application -- 10 (a) an applicant has made an objection to the 11 decision under section 27; and 12 (b) the Commissioner reassesses the amount of 13 duty chargeable under the Duties Act 2008 on 14 the transfer of the dutiable property to which 15 the application relates on the basis that the 16 transfer is not chargeable at a concessional rate 17 of duty (under the Duties Act 2008 Chapter 2 18 Part 6 Division 3); and 19 (c) notice of the reassessment is issued on a day 20 that is after the day on which the applicant 21 made the objection referred to in paragraph (a), 22 the 90 day and 120 day periods referred to in 23 section 30A are to be increased by the number of days 24 in the period commencing on the day after the day on 25 which the objection was lodged with the Commissioner 26 under this Act and ending on the day on which notice 27 of the reassessment was issued. 28 (6) If, in relation to an application and a decision on the 29 application, an applicant -- 30 (a) makes an objection to the decision under 31 section 27; and 32 (b) makes an objection under the Taxation 33 Administration Act 2003 to any reassessment 34 that the Commissioner has made, or will make, page 17 Revenue Laws Amendment Bill 2012 Part 3 First Home Owner Grant Act 2000 amended s. 31 1 of duty chargeable under the Duties Act 2008 2 on the transfer of the dutiable property to which 3 the application relates, 4 the objection under the Taxation Administration 5 Act 2003 is taken to have been lodged on the day 6 determined under subsection (3)(b). 7 (7) If a term used in this section is given a meaning in the 8 Duties Act 2008 or the Taxation Administration 9 Act 2003, it has the same meaning in this section unless 10 the contrary intention appears. 11 (8) In this section, a reference to the transfer of dutiable 12 property includes a reference to an agreement for the 13 transfer of the property. 14 15 31. Section 30A inserted 16 After section 29 insert: 17 18 30A. Time limit for making decision on objection 19 (1) The Commissioner must make a decision on an 20 objection within the decision period calculated under 21 subsection (2). 22 (2) The decision period is the initial period of 90 days 23 beginning on the day the objection is lodged with the 24 Commissioner, plus the number of days equal to the 25 number of days the Commissioner needs (whether the 26 needed days fall during or after the initial 90 day 27 period) -- 28 (a) to obtain from the objector information that the 29 Commissioner reasonably requires to make a 30 decision on the objection; or page 18 Revenue Laws Amendment Bill 2012 First Home Owner Grant Act 2000 amended Part 3 s. 31 1 (b) to consider any information provided by the 2 objector after the objection was lodged; or 3 (c) to obtain any advice and assistance from an 4 external agency that the Commissioner 5 reasonably requires to make a decision on the 6 objection. 7 (3) The Commissioner must notify the objector, before the 8 end of the initial 90 day period, of any periods by 9 which the decision period has been extended up to the 10 time of notification and, if further delays extending the 11 decision period occur after the initial notification, must 12 keep the objector reasonably informed about the extent 13 and the reasons for the further delays. 14 (4) If the Commissioner fails to make a decision on an 15 objection within 120 days after the day that the 16 objection was lodged with the Commissioner, the 17 objector may, by written notice given to the 18 Commissioner, require the Commissioner to apply to 19 the State Administrative Tribunal for directions as to 20 any or all of the matters referred to in this section, 21 including but not limited to -- 22 (a) the length of the decision period; 23 (b) the time for the objector to comply with a 24 request for information; 25 (c) the information to be provided by the objector; 26 (d) the time for the Commissioner to seek advice 27 and assistance from an external agency. 28 (5) On receiving a request under subsection (4), the 29 Commissioner must apply to the State Administrative 30 Tribunal for those directions within 14 days after the 31 day on which the Commissioner was given the written 32 notice. page 19 Revenue Laws Amendment Bill 2012 Part 3 First Home Owner Grant Act 2000 amended s. 32 1 (6) Non-compliance with subsection (1) does not 2 invalidate a decision on an objection. 3 4 32. Section 31 amended 5 (1) In section 31(1): 6 (a) delete "An objector" and insert: 7 8 A person 9 10 (b) after "objection" insert: 11 12 or on an application for an extension of time for lodging 13 an objection 14 15 (2) In section 31(2): 16 (a) delete "on the objection"; 17 (b) delete "the objector." and insert: 18 19 the person. 20 page 20 Revenue Laws Amendment Bill 2012 Land Tax Assessment Act 2002 amended Part 4 s. 33 1 Part 4 -- Land Tax Assessment Act 2002 amended 2 33. Act amended 3 This Part amends the Land Tax Assessment Act 2002. 4 34. Glossary clause 6 amended 5 (1) In the Glossary clause 6(3) delete "was subdivided in the financial 6 year immediately before that year." and insert: 7 8 was, in the financial year immediately before that year, subdivided, 9 except if the or each subdivision in that financial year was carried out 10 solely for the purpose of defining an area of land to be compulsorily 11 taken or resumed. 12 13 (2) In the Glossary after clause 6(3) insert: 14 15 (4A) The reference in subclause (3) to the compulsory taking or 16 resumption of land is a reference to the taking or resumption 17 of land under an enactment relating to the compulsory 18 acquisition of land, regardless of whether the owner of the 19 land agreed to the taking or resumption. 20 21 (3) In the Glossary after clause 6(4) insert: 22 23 (5) For the purposes of subclause (4)(b), if -- 24 (a) the land is a lot that was created when land was 25 subdivided in the financial year immediately before 26 the year (the previous financial year); and 27 (b) the capped value of the lot can be used in 28 determining the taxable value of the lot for the year, 29 then, in determining the capped value -- 30 (c) the unimproved value of the land at midnight on 31 30 June 2008 referred to in subclause (4)(b)(i) is to page 21 Revenue Laws Amendment Bill 2012 Part 4 Land Tax Assessment Act 2002 amended s. 34 1 be reduced to the same proportion that the area of 2 the lot represents of the area of the land as at that 3 time; and 4 (d) the taxable value of the land for the previous 5 financial year referred to in subclause (4)(b)(ii) is to 6 be reduced to the same proportion that the area of 7 the lot represents of the area of the land as at the 8 beginning of 1 July in the previous financial year. 9 page 22 Revenue Laws Amendment Bill 2012 Pay-roll Tax Assessment Act 2002 amended Part 5 s. 35 1 Part 5 -- Pay-roll Tax Assessment Act 2002 amended 2 35. Act amended 3 This Part amends the Pay-roll Tax Assessment Act 2002. 4 36. Section 30 amended 5 In section 30: 6 (a) delete "2"; 7 (b) delete "to each other within the meaning of section 50 of 8 the Corporations Act." and insert: 9 10 bodies corporate. 11 12 37. Section 32 amended 13 Delete section 32(1). 14 38. Section 33 amended 15 (1) After section 33(1) insert: 16 17 (2A) A person has, or persons have together, a controlling 18 interest in a business carried on by a body corporate or 19 unincorporate if the person or persons constitute more 20 than 50% of the board of management (by whatever 21 name called) of the body or control the composition of 22 that board. 23 24 (2) In section 33(4) delete "carried on by" and insert: 25 26 carried on under 27 page 23 Revenue Laws Amendment Bill 2012 Part 5 Pay-roll Tax Assessment Act 2002 amended s. 39 1 (3) Delete section 33(7) and insert: 2 3 (7) If -- 4 (a) 2 corporations are related bodies corporate; and 5 (b) one of the corporations has a controlling 6 interest in a business, 7 the other corporation has a controlling interest in the 8 business. 9 10 39. Section 34 amended 11 In section 34(1) and (2) delete "discretion" and insert: 12 13 discretion, or a failure to exercise the power or discretion, 14 15 40. Section 38 amended 16 (1) In section 38(1): 17 (a) delete "Commissioner may" and insert: 18 19 Commissioner may, by written notice, 20 21 (b) delete "35A(3)" and insert: 22 23 35A(4) 24 25 (2) Delete section 38(2) and insert: 26 27 (2) However, a corporation cannot be excluded from a 28 group if it and another corporation which is a member 29 of the group are related bodies corporate. 30 page 24 Revenue Laws Amendment Bill 2012 Pay-roll Tax Assessment Act 2002 amended Part 5 s. 41 1 41. Section 41C inserted 2 At the end of Part 5 insert: 3 4 41C. Exempt wages -- DSC disability support and 5 disability wages subsidy 6 (1) In this section -- 7 Disability Services Commission means the Disability 8 Services Commission referred to in the Disability 9 Services Act 1993 section 6; 10 disability wages subsidy means -- 11 (a) a wages subsidy provided by the 12 Commonwealth to employers who employ 13 persons with a disability, under the Wages 14 Subsidy Scheme carried on in accordance with 15 the deed entitled "Disability Employment 16 Services Deed 2010-2012"; or 17 (b) a wages subsidy provided by the 18 Commonwealth (directly or indirectly) to 19 employers who employ persons with a 20 disability, that is prescribed for the purposes of 21 this definition; 22 DSC disability support means a disability service, 23 within the meaning of paragraph (a) of the definition of 24 disability service in the Disability Services Act 1993 25 section 3, provided by or under an arrangement with 26 the Disability Services Commission; 27 new employee has the meaning given in subsection (4). 28 (2) Wages paid or payable to or in relation to a new 29 employee in respect of a period during the 24 months 30 commencing on the day on which the employee first 31 commenced employment with the employer are, or are page 25 Revenue Laws Amendment Bill 2012 Part 5 Pay-roll Tax Assessment Act 2002 amended s. 41 1 to be treated as if they were, exempt from pay-roll tax 2 if -- 3 (a) the employer received or was entitled to receive 4 a disability wages subsidy in respect of the 5 employee on or before the day on which the 6 employee first commenced employment with 7 the employer; or 8 (b) the employee was eligible for some form of 9 DSC disability support on the day on which the 10 employee first commenced employment with 11 the employer, and the following apply -- 12 (i) the employee was, on that day, of or 13 above the minimum age necessary to 14 engage in that employment; 15 (ii) the employee is employed and 16 remunerated in accordance with a 17 binding award or other industrial 18 determination or order or an industrial 19 agreement. 20 (3) If the Commissioner is satisfied that the employer 21 dismissed or reduced the working hours of an 22 employee solely or primarily in anticipation of, or as a 23 consequence of, employing the new employee -- 24 (a) subsection (2) is taken not to have applied to 25 the wages paid or payable to or in relation to 26 the new employee; and 27 (b) the Commissioner must make any reassessment 28 necessary to give effect to this subsection. 29 (4) An employee of an employer is a new employee if the 30 employee -- 31 (a) commences employment with the employer on 32 or after 1 July 2012; and 33 (b) was not an employee of the employer, or of any 34 other employer in a group of which the page 26 Revenue Laws Amendment Bill 2012 Pay-roll Tax Assessment Act 2002 amended Part 5 s. 42 1 employer is a member, at any time prior to the 2 commencement of employment referred to in 3 paragraph (a). 4 (5) Regulations prescribing a wages subsidy for the 5 purposes of the definition of disability wages subsidy 6 in subsection (1) may be made and published during a 7 year for which the prescription is expressed to have 8 effect. 9 10 42. Section 45 amended 11 After section 45(3) insert: 12 13 (4) Regulations may be expressed to apply to wages paid 14 or payable before the day on which the regulations 15 come into operation if the application of the regulations 16 to the wages would not adversely affect a person who 17 is or may be liable to pay pay-roll tax on the wages. 18 19 43. Glossary clause 1 amended 20 In the Glossary clause 1 delete the definition of business and 21 insert: 22 23 business includes -- 24 (a) a profession or trade; and 25 (b) any other activity carried on for fee, gain or reward; 26 and 27 (c) the activity of employing one or more persons who 28 perform duties for or in connection with another 29 business; and 30 (d) the carrying on of a trust (including a dormant 31 trust); and page 27 Revenue Laws Amendment Bill 2012 Part 5 Pay-roll Tax Assessment Act 2002 amended s. 43 1 (e) the activity of holding any money or property used 2 for or in connection with another business, 3 whether carried on by one person or 2 or more persons 4 together; 5
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