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


REVENUE LAWS AMENDMENT BILL 2018

                       Western Australia


      Revenue Laws Amendment Bill 2018

                           Contents

         Part 1 -- Preliminary
1.       Short title                                               2
2.       Commencement                                              2
         Part 2 -- Duties Act 2008 amended
3.       Act amended                                               3
4.       Section 3 amended                                         3
5.       Section 3A inserted                                       4
         3A.      Term used: land                            4
6.       Section 6 amended                                         6
7.       Section 11 amended                                        7
8.       Section 13 amended                                        7
9.       Section 14 amended                                        7
10.      Section 16 amended                                        9
11.      Section 17 amended                                       10
12.      Section 18 amended                                       10
13.      Section 18A inserted                                     11
         18A.     Things fixed to land that are to be
                  permanently removed                        11
14.      Section 28 amended                                       13
15.      Section 36 amended                                       13
16.      Section 36A inserted                                     14
         36A.     Determining unencumbered value: fixtures
                  and mining tenement fixtures               14
17.      Section 39 amended                                       16
18.      Section 42 amended                                       16
19.      Section 43 amended                                       17
20.      Section 57 amended                                       17
21.      Section 61 amended                                       18
22.      Section 66 amended                                       18
23.      Section 67 amended                                       19


                               113--2                              page i
Revenue Laws Amendment Bill 2018



Contents



      24.    Section 68 amended                                             19
      25.    Section 70 amended                                             19
      26.    Section 72 amended                                             20
      27.    Section 73 amended                                             20
      28.    Section 77 amended                                             21
      29.    Section 78 replaced                                            22
             78.       Dutiable value of transfer of dutiable
                       property to retiring partner                    22
             78A.      Certain retained property taken to be
                       transferred to retiring partner                 24
      30.    Section 79 amended                                             25
      31.    Section 80 amended                                             26
      32.    Section 81 amended                                             26
      33.    Section 87 amended                                             26
      34.    Chapter 2 Part 5 Divisions 7 and 8 inserted                    27
             Division 7 -- Rights relating to fixed infrastructure
             91A.      Terms used                                      27
             91B.      Some transactions involving fixed
                       infrastructure statutory licences to be
                       taken to be agreements for transfer             28
             91C.      Which transactions as to fixed
                       infrastructure access rights and fixed
                       infrastructure statutory licences are
                       dutiable                                        29
             91D.      Dutiable value of fixed infrastructure
                       statutory licences                              31
             Division 8 -- Derivative mining rights
             91E.      Agreement for transfer of mining tenement
                       conditional on grant of derivative mining
                       right to transferor                             32
             91F.      Agreement for transfer of mining tenement
                       conditional on grant of derivative mining
                       right to current right holder                   32
             91G.      Transfer or agreement for transfer of
                       mining tenement to holder of derivative
                       mining right                                    33
             91H.      Acquisition of derivative mining right
                       substantially the same as was held in
                       relation to previous mining tenement            34
             91I.      Failure to grant, or surrender of, derivative
                       mining right after transfer of mining
                       tenement                                        35
      35.    Section 96B amended                                            36
      36.    Section 99 amended                                             37
      37.    Section 100 amended                                            37
      38.    Section 101 amended                                            38

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39.   Section 102 amended                                             38
40.   Section 102A inserted                                           40
      102A.    Related entities for s. 102                    40
41.   Section 105 amended                                             41
42.   Section 107 amended                                             41
43.   Section 113A inserted                                           42
      113A.    Certain incorporated association
               transactions                                   42
44.   Section 116 amended                                             43
45.   Section 118 replaced                                            43
      118.     Transfers to and from bare trustee             43
      118A.    Transfers to and from bare trustee: failure
               to lodge subsequent transfer                   45
46.   Chapter 2 Part 6 Division 2 Subdivision 1A
      inserted                                                        46
      120A.    Transfers to facilitate subdivision of land    46
      120B.    Land retained by transferee following
               transfer to facilitate subdivision             47
      120C.    Transfers to facilitate subdivision: failure
               to lodge subsequent transfer within
               5 years                                        48
      120D.    Subdivisions of land excluded from
               s. 120A and 120B                               49
      120E.    References to transfer of land back to
               person                                         49
47.   Section 139 amended                                             50
48.   Section 139A inserted                                           50
      139A.    Some transfers and vestings under orders
               made under Guardianship and
               Administration Act 1990                        50
49.   Section 141 amended                                             52
50.   Section 142A amended                                            52
51.   Section 142 amended                                             52
52.   Section 146 amended                                             53
53.   Section 147A amended                                            54
54.   Section 147D amended                                            54
55.   Section 147F amended                                            55
56.   Section 148 amended                                             55
57.   Section 149 amended                                             56
58.   Section 149A inserted                                           57
      149A.    Determining entitlement to land assets:
               fixtures and mining tenement fixtures          57
59.   Section 150 amended                                             58
60.   Section 152 amended                                             59


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      61.    Section 153 amended                                           59
      62.    Sections 153A and 153B inserted                               60
             153A.    References to interest in, or held by,
                      trustee of discretionary trust                  60
             153B.    References to interest in, or held by,
                      partnership                                     61
      63.    Section 154 amended                                           61
      64.    Sections 154A and 154B inserted                               62
             154A.    Calculating total direct or indirect interest
                      in entity                                       62
             154B.    Determining interest in entity:
                      uncompleted agreements                          63
      65.    Section 155 amended                                           64
      66.    Section 156 amended                                           66
      67.    Section 156A inserted                                         67
             156A.    Linked entities: acquisitions forming one
                      arrangement                                     67
      68.    Section 157 amended                                           69
      69.    Sections 158 and 159 deleted                                  70
      70.    Section 160 amended                                           70
      71.    Section 160A inserted                                         70
             160A.    Acquisition of interest by merger of
                      corporations                                    70
      72.    Section 161 amended                                           71
      73.    Section 162 amended                                           71
      74.    Sections 163 and 164 replaced                                 73
             163.     Relevant acquisitions                           73
      75.    Sections 167 and 168 replaced                                 74
             167.     Exemption or reduction of duty if nominal
                      duty would be chargeable on transfer            74
             168.     Exemption or reduction of duty if transfer
                      duty would not be chargeable                    76
      76.    Section 171 amended                                           77
      77.    Section 172 amended                                           79
      78.    Section 173 amended                                           80
      79.    Section 174 amended                                           81
      80.    Section 176 amended                                           81
      81.    Section 177 amended                                           82
      82.    Section 179 amended                                           83
      83.    Section 180 amended                                           83
      84.    Section 185 amended                                           83
      85.    Section 186 amended                                           84
      86.    Section 187 amended                                           84
      87.    Section 189 amended                                           84

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                                                                     Contents



88.    Section 193 amended                                             85
89.    Section 195A amended                                            85
90.    Chapter 3 Part 6 Division 6 heading replaced                    86
       Division 6 -- Assessment or reassessment of
              liability for landholder duty if uncompleted
              agreements terminated or completed
91.    Sections 195B and 195C inserted                                 86
       195B.     Assessment of duty where s. 149(1) or
                 154B applied at acquisition time               86
       195C.     Assessment of duty where s. 176(2)
                 applied at acquisition time                    88
92.    Section 195 amended                                             88
93.    Section 196 replaced                                            89
       196.      Reassessment of duty where s. 176(2)
                 applied                                        89
94.    Section 197 amended                                             90
95.    Section 197A inserted                                           90
       197A.     Expired put and call options taken to be
                 terminated                                     90
96.    Section 200 amended                                             91
97.    Section 201 amended                                             93
98.    Section 203 amended                                             93
99.    Section 204 amended                                             93
100.   Chapter 3 Part 7 inserted                                       94
       Part 7 -- Application of this Chapter to certain
              acquisitions
       Division 1 -- Rights relating to fixed infrastructure
       204A.     When fixed infrastructure access rights
                 are taken into account in determining
                 entitlement to land assets                     94
       204B.     When fixed infrastructure statutory
                 licences are treated as land assets in
                 calculating duty                               95
       204C.     Unencumbered value of fixed
                 infrastructure statutory licences treated as
                 land assets                                    97
       204D.     Associated entities for s. 204A and 204B       97
       Division 2 -- Derivative mining rights
       204E.     Unencumbered value of mining tenement
                 subject to derivative mining right             98
       Division 3 -- Acquisitions forming one arrangement
       204F.     Acquisitions in 2 or more entities forming
                 one arrangement                                99




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Revenue Laws Amendment Bill 2018



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             204G.     Modified application of s. 176 if entity
                       becomes landholder because of
                       acquisitions forming one arrangement       100
             204H.     Reassessment of landholder duty if
                       amount of duty chargeable changes
                       because of acquisitions forming one
                       arrangement                                101
      101.   Section 205A amended                                       102
      102.   Section 205E amended                                       102
      103.   Section 205P amended                                       103
      104.   Section 205RA inserted                                     103
             205RA.    Foreign transfer duty on deemed
                       transaction under s. 120B(2)               103
      105.   Section 205S amended                                       103
      106.   Section 205W amended                                       104
      107.   Section 205ZB amended                                      104
      108.   Section 205ZD amended                                      105
      109.   Section 205ZE amended                                      106
      110.   Section 205ZG amended                                      108
      111.   Sections 205ZH and 205ZI replaced                          108
             205ZH.    Foreign landholder acquisitions            108
      112.   Section 205ZKA inserted                                    110
             205ZKA. Modified application of s. 176 if entity
                     becomes residential landholder because
                     of acquisitions forming one arrangement      110
      113.   Section 205ZM amended                                      111
      114.   Section 205ZP amended                                      113
      115.   Section 205ZS amended                                      114
      116.   Section 205ZT amended                                      114
      117.   Section 244A amended                                       115
      118.   Section 257 amended                                        116
      119.   Section 259 amended                                        117
      120.   Section 260 amended                                        118
      121.   Section 260A inserted                                      119
             260A.     Consideration provided as loan             119
      122.   Section 261 amended                                        119
      123.   Section 263 amended                                        120
      124.   Section 264 amended                                        120
      125.   Section 264A inserted                                      121
             264A.     Automatic revocation of exemption          121
      126.   Section 265 amended                                        123
      127.   Section 266 amended                                        123
      128.   Sections 266A to 266D inserted                             124


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       266A.     Reduction of duty following automatic
                 revocation or refusal of exemption           124
       266B.     Reduction of duty following automatic
                 revocation or refusal of exemption
                 resulting from relevant acquisition          126
       266C.     Property in relation to which landholder
                 duty taken to be chargeable for s. 266B      128
       266D.     Application of s. 266B and 266C to foreign
                 transfer duty and foreign landholder duty    129
129.   Section 277 amended                                           130
130.   Schedule 1 amended                                            131
131.   Schedule 3 clause 1 amended                                   131
132.   Schedule 3 Division 9 inserted                                131
       Division 9 -- Provisions for Revenue Laws
              Amendment Act 2018
       46.       Terms used                                   131
       47.       Application of amendments made by
                 Revenue Laws Amendment Act 2018              132
       48.       Definition of land taken always to have
                 included pastoral leases                     133
       49.       Validation of administration agreements
                 entered into before commencement day         134
       50.       Transfers of vehicle licences between
                 spouses between 1 July 2014 and
                 commencement day                             134
       51.       Provisions relating to exemptions for
                 connected entities                           135
       52.       Provisions about validated assessments       136
       53.       Application of s. 195B and 195 to
                 acquisitions before commencement day         137

       Part 3 -- Land Tax Assessment
            Act 2002 amended
       Division 1 -- Act amended
133.   Act amended                                                   138
       Division 2 -- Amendments commencing on day
             after Royal Assent
134.   Section 18A inserted                                          138
       18A.      Taxable value of land subject to partial
                 exemption                                    138
135.   Section 26A amended                                           139
136.   Section 29 amended                                            140
137.   Section 46 amended                                            140
138.   Schedule 1 Division 6 inserted                                140


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Contents



             Division 6 -- Provisions for Revenue Laws
                    Amendment Act 2018
             20.       Application of section 30D to land held in
                       trust for assessment year 2019/20              140
             Division 3 -- Amendments commencing on
                    1 July 2019
      139.   Part 3 Division 2 Subdivision 1 heading inserted               141
             Subdivision 1 -- Exemptions and rebates for private
                   residential property
      140.   Part 3 Division 2 Subdivision 2 inserted:                      141
             Subdivision 2 -- Application of private residential
                   exemptions to subdivided land
             28A.     Terms used                                      141
             28B.     Application of certain private residential
                      exemptions to property subdivided during
                      exemption period                                142
             28C.     Application of requirements relating to
                      sale or disposal of subdivided property         144
             28D.     Application of 2-year private residential
                      exemptions if property subdivided during
                      first year                                      144
             28E.     Ownership of land during period when
                      land subdivided but certificates of title not
                      issued                                          145
      141.   Schedule 1 amended                                             146
             21.       Application of amendments relating to
                       subdivision of land                            146
      142.   Glossary clause 2 amended                                      146
             Division 4 -- Amendment commencing when
                   Community Titles Act 2018 s. 219(3)
                   commences
      143.   Glossary clause 2 amended                                      147
             Part 4 -- Pay-roll Tax Assessment
                  Act 2002 amended
      144.   Act amended                                                    148
      145.   Section 9FA amended                                            148




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                           Western Australia


                     LEGISLATIVE ASSEMBLY

              (As amended during consideration in detail)

        Revenue Laws Amendment Bill 2018

                               A Bill for


An Act to amend --
•  the Duties Act 2008; 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 2018
     Part 1        Preliminary

     s. 1



1                           Part 1 -- Preliminary
2    1.       Short title
3             This is the Revenue Laws Amendment 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 (assent day);
8              (b) Part 2 --
9                       (i) if the Duties Amendment (Additional Duty for
10                          Foreign Persons) Act 2018 section 3 comes into
11                          operation on or before assent day -- on the day
12                          after assent day; or
13                     (ii) otherwise -- when that section comes into
14                          operation;
15             (c) Part 3 Division 3 -- on 1 July 2019;
16             (d) Part 3 Division 4 --
17                      (i) if the Community Titles Act 2018 section 219(3)
18                          comes into operation on or before 1 July 2019 --
19                          on 1 July 2019; or
20                     (ii) otherwise -- when that section comes into
21                          operation;
22             (e) the rest of the Act -- on the day after assent day.




     page 2
                                              Revenue Laws Amendment Bill 2018
                                          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 3 amended
5         (1)   In section 3 delete the definition of land.
6         (2)   In section 3 insert in alphabetical order:
7

8                     derivative mining right means an authorisation of a
9                     kind described in the Mining Act 1978 section 118A
10                    (whether or not the authorisation purports to be made
11                    under that section);
12                    fixed infrastructure has the meaning given in
13                    section 91A;
14                    fixed infrastructure access right has the meaning
15                    given in section 91A;
16                    fixed infrastructure control right has the meaning
17                    given in section 91A;
18                    fixed infrastructure statutory licence has the meaning
19                    given in section 91A;
20                    land has a meaning affected by section 3A;
21                    pastoral lease has the meaning given in the Land
22                    Administration Act 1997 section 3(1);
23                    pastoral lessee has the meaning given in the Land
24                    Administration Act 1997 section 3(1);
25                    public float has the meaning given in section 257;
26                    relocatable home means a relocatable home as defined
27                    in the Residential Parks (Long stay Tenants) Act 2006
28                    Glossary;




                                                                         page 3
     Revenue Laws Amendment Bill 2018
     Part 2        Duties Act 2008 amended

     s. 5



1                     residential park site means a site (as defined in the
2                     Residential Parks (Long stay Tenants) Act 2006
3                     Glossary) in a residential park (as defined in that
4                     Glossary);
5

6         (3)   In section 3 in the definition of chattel after paragraph (g)
7               insert:
8

9                      (ga)   a thing that is land to which section 3A(1)(f)
10                            applies;
11

12        (4)   In section 3 in the definition of discretionary trust after
13              paragraph (c) insert:
14

15                     (ca)   a unit trust scheme; or
16


17   5.         Section 3A inserted
18              After section 3 insert:
19


20          3A.       Term used: land
21              (1)   In this Act, land includes the following --
22                      (a) an estate or interest in land;
23                      (b) a mining tenement;
24                      (c) an estate or interest in a mining tenement;
25                      (d) a pastoral lease;
26                      (e) an interest of a pastoral lessee under a pastoral
27                            lease;
28                       (f) anything fixed to land (including land the
29                            subject of a mining tenement or pastoral lease),
30                            whether or not the thing --
31                              (i) constitutes a fixture at law; or

     page 4
                                  Revenue Laws Amendment Bill 2018
                              Duties Act 2008 amended       Part 2

                                                                     s. 5



1                   (ii)  is owned separately from the land; or
2                  (iii)  is notionally severed or considered to be
3                         legally separate from the land as a result
4                         of the operation of any law of the State
5                         or the Commonwealth;
6           (g)   an estate or interest in a thing to which
7                 subsection (1)(f) applies.
8    (2)   In this Act, land does not include --
9            (a) a carbon right or a carbon covenant registered
10                 under the Carbon Rights Act 2003; or
11           (b) a derivative mining right.
12   (3)   Without limiting subsection (1)(f), a thing is taken to
13         be fixed to land if it has a physical connection to the
14         land or is buried or partly buried under the surface of
15         the land.
16   (4)   Subsection (1)(f) does not apply to the following --
17          (a) a thing that is fixed to land on a temporary
18                basis and only for the purpose of being used in
19                construction works;
20          (b) a thing that does not constitute a fixture at law
21                and that is held or used in connection with the
22                business of primary production;
23          (c) a relocatable home fixed to a residential park
24                site, or an addition or structure fixed or attached
25                to the home or site for the use or enjoyment of
26                the occupier of the home, that does not
27                constitute a fixture at law;
28          (d) a thing of a kind prescribed for the purposes of
29                this paragraph.
30   (5)   A paragraph of subsection (1) is not to be taken into
31         account in determining the meaning of land when used
32         in another paragraph of subsection (1).
33


                                                                 page 5
     Revenue Laws Amendment Bill 2018
     Part 2        Duties Act 2008 amended

     s. 6



1    6.         Section 6 amended
2         (1)   At the beginning of section 6 insert:
3

4               (1)   In this section --
5                     step-child, of a person, means a child of a spouse or
6                     de facto partner of the person.
7

8         (2)   In section 6 delete "In determining whether" and insert:
9

10              (2)   In determining whether
11

12        (3)   At the end of section 6 insert:
13

14              (3)   In determining for the purposes of section 43(1)(c) or
15                    (ca), 87(6)(a), (c) or (h) or 100(1)(a) or (c) whether a
16                    person is a child or remoter lineal descendant of
17                    another person, a step-child of a person is to be treated
18                    as a child.
19              (4)   In determining for the purposes of section 162(1)(b)
20                    whether the relationship between individuals is that of
21                    parent and child, a step-child of a person is to be
22                    treated as a child.
23

24              Note: The heading to amended section 6 is to read:
25                    Determining family relationships




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                                               Revenue Laws Amendment Bill 2018
                                           Duties Act 2008 amended       Part 2

                                                                                     s. 7



1    7.         Section 11 amended
2               After section 11(2) insert:
3
4               (3)     Subsection (2)(a) does not apply to a right referred to
5                       in section 16(1)(h), (i) or (j) or (3)(aa).
6               (4)     Subsection (2)(b) does not apply to a pastoral lease.
7

8    8.         Section 13 amended
9               In section 13(1):
10                (a) in paragraph (a) delete "right to exploit" and insert:
11

12                       derivative mining right in relation to
13

14               (b)     in paragraph (c)(ii) delete "a right to exploit, or an
15                       entitlement to a right to exploit," and insert:
16

17                       a derivative mining right, or an entitlement to a
18                       derivative mining right, in relation to
19

20                (c)    in paragraph (d) delete "right to exploit the mining
21                       tenement," and insert:
22

23                       derivative mining right,
24

25   9.         Section 14 amended
26        (1)   In section 14(1) delete "subsection (2)," and insert:
27

28              subsections (2) and (3),
29




                                                                                  page 7
     Revenue Laws Amendment Bill 2018
     Part 2        Duties Act 2008 amended

     s. 9



1       (2)   After section 14(2) insert:
2

3             (3)   A transaction referred to in subsection (1) is a dutiable
4                   transaction if --
5                     (a) there is a relevant acquisition for the purposes
6                           of Chapter 3 or an agreement for the making of
7                           such an acquisition; and
8                     (b) the transaction and the acquisition or agreement
9                           together form, evidence, give effect to or arise
10                          from what is, substantially one arrangement.
11            (4)   Without limiting subsection (3), unless the
12                  Commissioner is satisfied to the contrary, a transaction
13                  and an acquisition or agreement together form,
14                  evidence, give effect to or arise from what is,
15                  substantially one arrangement if --
16                    (a) the transaction has taken place, and the
17                         acquisition or agreement has been made, within
18                         12 months; and
19                    (b) in respect of both the transaction and the
20                         acquisition or agreement, the person liable to
21                         pay duty is the same person (whether that
22                         person is the only person liable to pay duty or is
23                         liable to pay duty with the same or different
24                         persons).
25            (5)   A reference in subsection (4) to a person liable to pay
26                  duty on the transaction is a reference to a person that
27                  would be liable to pay duty if the transaction were a
28                  dutiable transaction.
29

30            Note: The heading to amended section 14 is to read:
31                  Transactions as to chattels alone not usually dutiable




     page 8
                                                Revenue Laws Amendment Bill 2018
                                            Duties Act 2008 amended       Part 2

                                                                                       s. 10



1    10.         Section 16 amended
2          (1)   In section 16(1):
3                  (a) in paragraph (g) delete "property." and insert:
4

5                        property;
6

7                 (b)    after paragraph (g) insert:
8

9                        (h)    a fixed infrastructure control right;
10                        (i)   a fixed infrastructure access right;
11                        (j)   a fixed infrastructure statutory licence.
12

13         (2)   In section 16(2) after "right" insert:
14

15               referred to in subsection (1)(a) to (g)
16

17         (3)   In section 16(3):
18                 (a) after paragraph (a) insert:
19

20                      (aa)    a derivative mining right;
21

22                (b)    after paragraph (b) insert:
23

24                      (ba)    a part of, or an interest in, a right referred to in
25                              subsection (1) or this subsection;
26

27         (4)   After section 16(3) insert:
28

29               (4)    Subsection (1)(a) to (g) do not apply to a right to the
30                      extent that the right is a fixed infrastructure control


                                                                                 page 9
     Revenue Laws Amendment Bill 2018
     Part 2        Duties Act 2008 amended

     s. 11



1                        right, a fixed infrastructure access right or a fixed
2                        infrastructure statutory licence.
3
4    11.         Section 17 amended
5          (1)   After section 17(1)(b)(ii) insert:
6

7                                (iia)   a fixed infrastructure control right;
8                                (iib)   a fixed infrastructure access right;
9                                (iic)   a derivative mining right;
10

11         (2)   In section 17(2):
12                 (a) in paragraph (c) delete "a lease" and insert:
13

14                        a lease (other than a pastoral lease)
15

16                (b)     after paragraph (c) insert:
17

18                       (ca)    a pastoral lease, or an interest of a pastoral
19                               lessee under a pastoral lease, if the grant of the
20                               lease under the Land Administration Act 1997
21                               section 101 is not subject to the payment of a
22                               sale price;
23

24                 (c)    delete paragraph (e).

25   12.         Section 18 amended
26               In section 18:
27                 (a) in paragraph (c) delete "lease," and insert:
28

29                        lease (other than a pastoral lease),
30




     page 10
                                                Revenue Laws Amendment Bill 2018
                                            Duties Act 2008 amended       Part 2

                                                                                   s. 13



1                 (b)    after paragraph (g) insert:
2

3                       (ga)    a fixed infrastructure control right, if
4                               consideration is paid, or agreed to be paid, for
5                               the surrender of the right;
6                       (gb)    a fixed infrastructure access right, if
7                               consideration is paid, or agreed to be paid, for
8                               the surrender of the right;
9                       (gc)    a derivative mining right, if consideration is
10                              paid, or agreed to be paid, for the surrender of
11                              the right;
12


13   13.     Section 18A inserted
14           At the end of Chapter 2 Part 3 Division 2 insert:
15


16         18A.         Things fixed to land that are to be permanently
17                      removed
18           (1)        Despite section 3A(1)(f) and (g), a thing fixed to land,
19                      or an estate or interest in such a thing, is taken not to be
20                      land in relation to a particular transaction if --
21                        (a) the transaction is the transfer, or an agreement
22                              for the transfer, of the thing or the estate or
23                              interest in the thing; and
24                        (b) none of the following are transferred as part of
25                              the transaction or another transaction that is
26                              aggregated with the transaction under
27                              section 37 --
28                                 (i) the land, or an estate or interest in the
29                                      land, to which the thing is fixed;
30                                (ii) if the land to which the thing is fixed is
31                                      land the subject of a mining
32                                      tenement -- the mining tenement, or an


                                                                              page 11
     Revenue Laws Amendment Bill 2018
     Part 2        Duties Act 2008 amended

     s. 13



1                                    estate or interest in the mining
2                                    tenement;
3                            and
4                      (c)   there is an agreement, arrangement or
5                            understanding relating to the transaction under
6                            which the thing is to be permanently removed
7                            from the land.
8              (2)   Subsection (1) applies whether or not the thing
9                    constitutes a fixture at law.
10             (3)   If subsection (1) applies to a thing fixed to land, or an
11                   estate or interest in such a thing, the thing is taken to be
12                   a chattel for the purposes of this Act.
13             (4)   Subsection (1) ceases to apply to a thing fixed to land,
14                   or an estate or interest in such a thing, if the thing is not
15                   permanently removed from the land within --
16                     (a) the period of 90 days after the day on which the
17                           transfer referred to in subsection (1)(a) occurs;
18                           or
19                     (b) any longer period allowed, on application
20                           within the period referred to in paragraph (a),
21                           by the Commissioner on any conditions the
22                           Commissioner thinks fit.
23             (5)   If a failure to remove a thing as referred to in
24                   subsection (4) occurs, the transferee must lodge a
25                   notice of the failure in the approved form within
26                   2 months after the last day of the period that applies
27                   under subsection (4)(a) or (b).
28                   Penalty for this subsection: a fine of $20 000.
29             (6)   Subject to the Taxation Administration Act section 17,
30                   the Commissioner must make any reassessment
31                   necessary as a result of the operation of subsection (4).
32




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                                                                                       s. 14



1    14.          Section 28 amended
2          (1)    In section 28(4) after "grant of a lease" insert:
3

4                 (other than a pastoral lease)
5

6          (2)    After section 28(4) insert:
7

8                (4A)     The dutiable value of a dutiable transaction that is the
9                         grant of a pastoral lease is the sale price subject to the
10                        payment of which the lease is granted under the Land
11                        Administration Act 1997 section 101.
12


13   15.          Section 36 amended
14         (1)    In section 36(4):
15                  (a) in paragraph (ca)(ii) delete "ascribed;" and insert:
16

17                         ascribed.
18

19                  (b)    after paragraph (ca) delete "and";
20                  (c)    delete paragraph (c).
21         (2)    After section 36(4) insert:
22

23                (5)     When determining the unencumbered value of property
24                        that is land --
25                          (a) if the land is the subject of an agreement for
26                                 transfer, any improvement made to the land at
27                                 the expense of the purchaser or transferee
28                                 before the date liability to duty arises on the
29                                 agreement is to be taken not to have been made
30                                 to the land; and


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     s. 16



1                      (b)    if the land is the subject of a transfer, any
2                             improvement made to the land at the expense of
3                             the transferee before the land is transferred is to
4                             be taken not to have been made to the land; and
5                       (c)   the value is to be determined having regard to
6                             the use of the land that would best enhance its
7                             commercial value; and
8                      (d)    the value is to be determined having regard to
9                             commercial advantages (such as goodwill)
10                            that --
11                               (i) attach to the location or other aspects of
12                                     the land; and
13                              (ii) would affect the price that a reasonable
14                                     purchaser would be willing to pay for
15                                     the land;
16                            and
17                      (e)   if section 36A applies, the value is to be
18                            determined having regard to that section.
19

20             Note: The heading to amended section 36 is to read:
21                   Determining unencumbered value of property

22   16.       Section 36A inserted
23             At the end of Chapter 2 Part 4 Division 5 Subdivision 3 insert:
24

25           36A.    Determining unencumbered value: fixtures and
26                   mining tenement fixtures
27             (1)   In this section --
28                   mining tenement fixture, in relation to a mining
29                   tenement, means a thing that --
30                     (a) under the authority (whether direct or indirect)
31                            of the mining tenement, is fixed to land that is
32                            the subject of the mining tenement; and


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1           (b)    would be part of that land as a fixture if the
2                  mining tenement were a freehold estate in the
3                  land.
4    (2)   In determining the unencumbered value of dutiable
5          property that is land, anything that is part of the land as
6          a fixture is to be taken into account even if the dutiable
7          transaction does not, or purports not to, apply to the
8          fixture as well as the land.
9    (3)   Subsection (2) does not apply if the value of the fixture
10         would, apart from that subsection, be taken into
11         account separately in determining the dutiable value of
12         the dutiable transaction relating to the land or another
13         dutiable transaction that is aggregated with that
14         dutiable transaction under section 37.
15   (4)   In determining the unencumbered value of dutiable
16         property that is a mining tenement or an estate or
17         interest in a mining tenement, anything that is a mining
18         tenement fixture in relation to the mining tenement is
19         to be taken into account even if the dutiable transaction
20         does not, or purports not to, apply to the mining
21         tenement fixture as well as the mining tenement or the
22         estate or interest in the mining tenement.
23   (5)   Subsection (4) does not apply if the value of the mining
24         tenement fixture would, apart from that subsection, be
25         taken into account separately in determining the
26         dutiable value of the dutiable transaction relating to the
27         mining tenement or the estate or interest in the mining
28         tenement or another dutiable transaction that is
29         aggregated with that dutiable transaction under
30         section 37.
31   (6)   In this section, a reference to land does not include
32         anything that is land under section 3A(1)(b), (c), (f) or
33         (g).
34



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

4                 (4)   This section does not apply to a transaction if
5                       section 78 or 78A applies to the transaction or if the
6                       transaction is a subsequent transfer referred to in
7                       section 120A.
8


9    18.          Section 42 amended
10         (1)    Delete section 42(4B) and insert:
11

12               (4B)   If an agreement is for the transfer of dutiable property
13                      to a purchaser acting in the purchaser's own capacity,
14                      but the property is transferred to the purchaser acting in
15                      a capacity as a trustee of a trust, subsection (1) does not
16                      apply to the transfer of the property unless --
17                        (a) the purchaser is an individual and the trust is a
18                              unit trust scheme in which the purchaser is the
19                              sole unit holder; or
20                        (b) the trust is a unit trust scheme in which the
21                              purchaser is a unit holder and each of the other
22                              unit holders are related, as referred to in
23                              section 43(1)(a), (b), (c), (ca), (cb), (d) or (e), to
24                              the purchaser; or
25                        (c) the trust is not a discretionary trust or a unit
26                              trust scheme and each beneficiary of the trust is
27                              related, as referred to in section 43(1)(a), (b),
28                              (c), (ca), (cb), (d) or (e), to the purchaser.




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1          (2)   In section 42(4C) delete "whose interest in the scheme or trust is
2                a beneficial interest." and insert:
3

4                acting in their own capacity and not as agent, trustee or
5                otherwise on behalf of any other person.
6


7    19.         Section 43 amended
8          (1)   Delete section 43(1)(c) and insert:
9
10                       (c)   a child or remoter lineal descendant of the
11                             purchaser;
12                      (ca)   a spouse or de facto partner of a child, or
13                             remoter lineal descendant, of the purchaser;
14                      (cb)   a spouse or de facto partner of a parent, or
15                             remoter lineal ancestor, of the purchaser;
16

17         (2)   In section 43(4)(c)(i) and (ii) after "(c)," insert:
18
19               (ca), (cb),
20


21   20.         Section 57 amended
22         (1)   In section 57(2) delete "Section 156 applies" and insert:
23

24               Sections 156 and 156A apply
25

26         (2)   In section 57(3) delete "section 156, the trustee of the
27               discretionary trust is the main entity, despite section 152(2)."
28               and insert:
29

30               sections 156 and 156A, the trustee of the discretionary trust is
31               the main entity, despite section 152(2) and (3).
32


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1    21.         Section 61 amended
2                Delete section 61(b)(i) and (ii) and insert:
3

4                                (i)   to land assets were a reference to
5                                      dutiable property; and
6                               (ii)   to the main entity's total direct or
7                                      indirect interest in the linked entity
8                                      calculated under section 154A were a
9                                      reference to the total direct or indirect
10                                     interest that the trustee of the
11                                     discretionary trust has in the linked
12                                     entity, calculated under section 154A(2)
13                                     to (5) as if the trustee of the
14                                     discretionary trust were a higher entity
15                                     referred to in that section.
16


17   22.         Section 66 amended
18         (1)   In section 66(2) delete "Section 156 applies" and insert:
19

20               Sections 156 and 156A apply
21

22         (2)   In section 66(3) delete "section 156, the corporate trustee is the
23               main entity, despite section 152(2)." and insert:
24

25               sections 156 and 156A, the corporate trustee is the main entity,
26               despite section 152(2) and (3).
27




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1    23.   Section 67 amended
2          In section 67(1) delete "results in a change in the beneficial
3          ownership of" and insert:
4

5          results, or will or may result, in a change in any beneficial
6          interest, whether vested or contingent, in
7


8    24.   Section 68 amended
9          Delete section 68(2)(a) and (b) and insert:
10

11                 (a)   to land assets were a reference to dutiable
12                       property; and
13                 (b)   to the main entity's total direct or indirect
14                       interest in the linked entity calculated under
15                       section 154A were a reference to the total direct
16                       or indirect interest that the corporate trustee has
17                       in the linked entity, calculated under
18                       section 154A(2) to (5) as if the corporate
19                       trustee were a higher entity referred to in that
20                       section.
21


22   25.   Section 70 amended
23         In section 70 in the definition of dutiable property:
24           (a) in paragraph (b) delete "Australia." and insert:
25

26                 Australia;
27

28          (b)    after paragraph (b) insert:
29

30                 (c)   a fixed infrastructure control right;
31                 (d)   a fixed infrastructure access right;


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1                         (e)   a fixed infrastructure statutory licence;
2                         (f)   a derivative mining right.
3

4    26.         Section 72 amended
5                Delete section 72(b) and insert:
6

7                        (b)    a fixed infrastructure control right; or
8                        (c)    a fixed infrastructure access right; or
9                        (d)    a derivative mining right; or
10                       (e)    an indirect interest in property referred to in
11                              paragraph (a), (b), (c) or (d).
12

13   27.         Section 73 amended
14         (1)   Delete section 73(1) and insert:
15

16               (1)   A partnership holds an indirect interest in property of a
17                     kind referred to in section 72(a), (b), (c) or (d) if an
18                     entity linked to the partnership is entitled to property of
19                     that kind.
20

21         (2)   In section 73(2) delete "Section 156 applies" and insert:
22

23               Sections 156 and 156A apply
24

25         (3)   In section 73(3) delete "section 156, the partnership is the main
26               entity, despite section 152(2)." and insert:
27

28               sections 156 and 156A, the partnership is the main entity,
29               despite section 152(2) and (3).
30

31               Note: The heading to amended section 73 is to read:
32                     When partnership holds indirect interest in property


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                                                                               s. 28



1    28.          Section 77 amended
2          (1)    Delete section 77(1)(b)(i) and (ii) and insert:
3

4                                 (i)   to land assets were a reference to
5                                       dutiable property; and
6                                (ii)   to the main entity's total direct or
7                                       indirect interest in the linked entity
8                                       calculated under section 154A were a
9                                       reference to the total direct or indirect
10                                      interest that the partnership has in the
11                                      linked entity, calculated under
12                                      section 154A(2) to (5) as if the
13                                      partnership were a higher entity referred
14                                      to in that section.
15

16         (2)    In section 77(2) after "on its formation" insert:
17

18                (other than any joint property)
19

20         (3)    After section 77(2) insert:
21

22               (2A)   In determining the value of a partnership interest the
23                      subject of a new partner's partnership acquisition on
24                      formation of a partnership, the value determined under
25                      subsections (1) and (2) is to be reduced, for each
26                      interest in joint property the new partner contributed to
27                      the partnership on its formation, by --
28                        (a) the unencumbered value, when liability for duty
29                               on the transaction arises, of that interest; or
30                        (b) if the amount determined under paragraph (a) is
31                               greater than the amount (the cap amount)
32                               determined by applying the new partner's
33                               partnership interest to the total unencumbered

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1                                value, when liability for duty on the transaction
2                                arises, of the joint property to which that
3                                interest relates -- the cap amount.
4                (2B)    For the purposes of subsections (2) and (2A), joint
5                        property is property held by the new partner jointly
6                        with 1 or more other partners.
7

8          (4)     In section 77(3) delete "subsection (2)," and insert:
9

10                 subsections (2) and (2A),
11
12   29.           Section 78 replaced
13                 Delete section 78 and insert:
14


15           78.         Dutiable value of transfer of dutiable property to
16                       retiring partner
17                 (1)   This section applies if --
18                        (a) a person (the retiring partner) ceases to be a
19                              partner in a partnership because of the retiring
20                              partner's retirement from the partnership or its
21                              dissolution; and
22                        (b) on the retirement or dissolution, dutiable
23                              property (the transfer property) of the
24                              partnership is transferred or agreed to be
25                              transferred to the retiring partner; and
26                        (c) the transfer property is, or is an interest in, a
27                              particular item of dutiable property (the
28                              relevant partnership property) held by the
29                              partnership immediately before the retirement
30                              or dissolution.




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                                                                    s. 29



1    (2)   In determining the dutiable value of the dutiable
2          transaction that is the transfer or agreement referred to
3          in subsection (1)(b), the unencumbered value of the
4          transfer property is to be determined as follows --
5            (a) first, the aggregate unencumbered value of the
6                  following is to be determined --
7                     (i) the transfer property;
8                    (ii) if the transfer property is an interest in
9                          the relevant partnership property --
10                         relevant retained property (if any) in
11                         relation to the transfer property;
12           (b) second, the value determined in accordance
13                 with paragraph (a) is to be reduced by an
14                 amount calculated by applying the retiring
15                 partner's partnership interest in the partnership
16                 to the unencumbered value, immediately before
17                 the retirement or dissolution, of the relevant
18                 partnership property.
19   (3)   Property is relevant retained property in relation to the
20         transfer property for the purposes of
21         subsection (2)(a)(ii) if --
22           (a) the property is also an interest in the relevant
23                 partnership property; and
24           (b) immediately before the retirement or
25                 dissolution, the retiring partner was the legal
26                 owner of the property and held it for the
27                 partnership; and
28           (c) immediately after the retirement or dissolution,
29                 the retiring partner remains the legal owner of
30                 the property but no longer holds it for the
31                 partnership.
32   (4)   This section does not apply to a transfer that is taken to
33         occur under section 78A(2).


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1            78A.    Certain retained property taken to be transferred to
2                    retiring partner
3              (1)   This section applies if --
4                     (a) a person (a retiring partner) ceases to be a
5                           partner in a partnership because of the retiring
6                           partner's retirement from the partnership or its
7                           dissolution; and
8                     (b) immediately before the retirement or
9                           dissolution, the retiring partner was the legal
10                          owner of dutiable property (the retained
11                          property) and held the property for the
12                          partnership; and
13                    (c) immediately after the retirement or dissolution,
14                          the retiring partner remains the legal owner of
15                          the retained property but no longer holds it for
16                          the partnership; and
17                    (d) the retained property is, or is an interest in, a
18                          particular item of dutiable property (the
19                          relevant partnership property) held by the
20                          partnership immediately before the retirement
21                          or dissolution; and
22                    (e) the retained property is or includes property
23                          referred to in section 72(a) to (d).
24             (2)   When the retirement or dissolution occurs, there is
25                   taken to be a dutiable transaction consisting of the
26                   transfer of the retained property to the retiring partner.
27             (3)   In determining the dutiable value of a dutiable
28                   transaction under subsection (2) (a deemed
29                   transaction), the unencumbered value of the retained
30                   property is to be determined as follows --
31                     (a) first, the unencumbered value of the retained
32                           property when liability for duty on the deemed
33                           transaction arises is to be determined;


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1                 (b)    second, the value determined in accordance
2                        with paragraph (a) is to be reduced by an
3                        amount calculated by applying the retiring
4                        partner's partnership interest in the partnership
5                        to the unencumbered value, immediately before
6                        the retirement or dissolution, of the relevant
7                        partnership property.
8          (4)   This section does not apply to retained property if the
9                unencumbered value of the retained property is to be
10               taken into account in determining the dutiable value of
11               a transaction to which section 78 applies.
12


13   30.   Section 79 amended
14         In section 79 delete the definition of business licence and insert:
15

16               business licence --
17                (a) means a licence, permit or authority which is
18                      issued, granted or given under --
19                         (i) a written law and which is required by a
20                              written law to be held by a person
21                              carrying out an activity for gain or
22                              reward; or
23                        (ii) a law of the Commonwealth and which
24                              is required by a law of the
25                              Commonwealth to be held by a person
26                              carrying out an activity in Western
27                              Australia for gain or reward;
28                      but
29                (b) does not include a fixed infrastructure access
30                      right, a fixed infrastructure control right or a
31                      fixed infrastructure statutory licence;
32




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     s. 31



1    31.       Section 80 amended
2              In section 80 delete "to transfer a Western Australian business
3              asset and is liable to duty accordingly." and insert:
4

5              for the transfer to the other person of the business licence that is
6              to be relinquished or is not to be renewed.
7

8              Note: The heading to amended section 80 is to read:
 9                     Some transactions involving business licences to be taken to be
10                     agreements for transfer

11   32.       Section 81 amended
12             In section 81(3) delete "business asset" and insert:
13

14             business asset, a fixed infrastructure control right, a fixed
15             infrastructure access right or a fixed infrastructure statutory
16             licence,
17


18   33.       Section 87 amended
19             In section 87(6):
20               (a) in paragraph (c) after "brother or sister of the person or"
21                     insert:
22

23                       a child or
24

25               (b)     in paragraph (f) delete "(a),";
26               (c)     in paragraph (g) delete "(d)," and insert:
27

28                       (d); or
29




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1                 (d)    after paragraph (g) insert:
2

3                        (h)   a child or remoter lineal descendant of a former
4                              spouse or former de facto partner of a person,
5


6    34.     Chapter 2 Part 5 Divisions 7 and 8 inserted
7            At the end of Chapter 2 Part 5 insert:
8
9                 Division 7 -- Rights relating to fixed infrastructure
10         91A.         Terms used
11           (1)        In this Division --
12                      fixed infrastructure means dutiable property that is
13                      land in Western Australia that is a thing to which
14                      section 3A(1)(f) applies;
15                      fixed infrastructure access right means a licence or
16                      other right that authorises access to or use of any land
17                      for --
18                        (a) a purpose related to the control, operation, use,
19                              construction, inspection, testing, maintenance
20                              or repair of fixed infrastructure or of things
21                              used in conjunction with fixed infrastructure; or
22                        (b) any other purpose associated with fixed
23                              infrastructure;
24                      fixed infrastructure control right --
25                        (a) means a lease, licence or other right that
26                              enables the holder to have the day-to-day
27                              control, and the operation or use, of fixed
28                              infrastructure; but
29                        (b) does not include --
30                                 (i) a security interest; or
31                                (ii) a fixed infrastructure statutory licence;



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1                    fixed infrastructure statutory licence means a licence,
2                    permit or authority that is issued, granted or given
3                    under a written law or a law of the Commonwealth (the
4                    issuing law) if --
5                      (a) the licence, permit or authority authorises the
6                            ownership, control, operation or use of a thing
7                            (the relevant activity); and
8                      (b) the issuing law prohibits a person that does not
9                            hold such a licence, permit or authority from
10                           engaging in the relevant activity; and
11                     (c) the thing referred to in paragraph (a) is fixed
12                           infrastructure;
13                   landholder has the meaning given in section 148(1);
14                   linked entity has the meaning given in section 148(1).
15             (2)   In the definition of fixed infrastructure access right in
16                   subsection (1), a reference to land does not include
17                   anything that is land under section 3A(1)(f) or (g).
18             (3)   Despite subsection (1), anything that is land is not a
19                   fixed infrastructure control right, fixed infrastructure
20                   access right or fixed infrastructure statutory licence.
21             (4)   The regulations may prescribe classes of right that,
22                   despite subsection (1), are excluded from the definition
23                   of fixed infrastructure access right, fixed
24                   infrastructure control right or fixed infrastructure
25                   statutory licence in that subsection.

26           91B.    Some transactions involving fixed infrastructure
27                   statutory licences to be taken to be agreements for
28                   transfer
29                   When a person agrees to relinquish a fixed
30                   infrastructure statutory licence held by that person, or
31                   agrees not to apply for a renewal of such a fixed
32                   infrastructure statutory licence, so that it, or another,
33                   can be issued, granted or given to another person, that

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1            agreement is taken to be an agreement for the transfer
2            to the other person of the fixed infrastructure statutory
3            licence that is to be relinquished or is not to be
4            renewed.

5    91C.    Which transactions as to fixed infrastructure access
6            rights and fixed infrastructure statutory licences
7            are dutiable
8      (1)   For the purposes of this section, a transaction (the fixed
9            infrastructure transaction) is not a dutiable transaction
10           to the extent that the fixed infrastructure transaction
11           relates to dutiable property that consists of a fixed
12           infrastructure access right or a fixed infrastructure
13           statutory licence unless subsection (2), (3) or (4)
14           applies.
15     (2)   This subsection applies if the dutiable property to
16           which the fixed infrastructure transaction relates also
17           includes any of the following --
18             (a) fixed infrastructure (relevant fixed
19                  infrastructure) to which the fixed infrastructure
20                  access right or fixed infrastructure statutory
21                  licence relates;
22             (b) an estate or interest in relevant fixed
23                  infrastructure;
24             (c) a fixed infrastructure control right that relates to
25                  relevant fixed infrastructure.
26     (3)   This subsection applies if --
27            (a) there is another transaction that is a dutiable
28                  transaction and that relates to any dutiable
29                  property referred to in subsection (2)(a), (b) or
30                  (c); and
31            (b) the fixed infrastructure transaction and the
32                  other transaction together form, evidence, give



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1                            effect to or arise from what is, substantially one
2                            arrangement.
3              (4)   This subsection applies if --
4                     (a) there is a relevant acquisition of an interest in a
5                           landholder for the purposes of Chapter 3 or an
6                           agreement for the making of such an
7                           acquisition; and
8                     (b) the landholder, or a linked entity in respect of
9                           the landholder, is entitled to any property
10                          referred to in subsection (2)(a), (b) or (c); and
11                    (c) the fixed infrastructure transaction and the
12                          acquisition or agreement together form,
13                          evidence, give effect to or arise from what is,
14                          substantially one arrangement.
15             (5)   Section 37(2) applies in relation to transactions referred
16                   to in subsection (3)(b) as if the fixed infrastructure
17                   transaction were a dutiable transaction.
18             (6)   Section 14(4) and (5) apply in relation to a fixed
19                   infrastructure transaction and acquisition or agreement
20                   referred to in subsection (4)(c) as if they were a
21                   transaction and acquisition or agreement referred to in
22                   section 14(3).
23             (7)   For the purposes of the application of this section to a
24                   transaction that is a partnership acquisition, the
25                   partnership acquisition is taken to relate to the property
26                   of a kind referred to in section 72(a) to (d) held by the
27                   partnership or in which the partnership has an indirect
28                   interest under section 73.




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1    91D.    Dutiable value of fixed infrastructure statutory
2            licences
3      (1)   The dutiable value of a dutiable transaction for a fixed
4            infrastructure statutory licence issued, granted or given
5            under a law of the Commonwealth is the greater of --
6              (a) the value of the fixed infrastructure statutory
7                    licence so far as it authorises the ownership,
8                    control, operation or use of fixed infrastructure
9                    (a fixed infrastructure activity); or
10             (b) the portion of the consideration for the
11                   transaction that relates to the carrying out of a
12                   fixed infrastructure activity under the authority
13                   of the licence.
14     (2)   The dutiable value of a dutiable transaction for a fixed
15           infrastructure statutory licence issued, granted or given
16           under a law of Western Australia is --
17             (a) the consideration for the dutiable transaction; or
18             (b) the unencumbered value of the fixed
19                   infrastructure statutory licence at the time when
20                   liability for duty on the transaction arises if --
21                      (i) there is no consideration for the
22                            transaction; or
23                     (ii) the consideration cannot be ascertained
24                            when liability for duty on the
25                            transaction arises; or
26                    (iii) the unencumbered value is greater than
27                            the consideration for the transaction.




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1                       Division 8 -- Derivative mining rights

2            91E.    Agreement for transfer of mining tenement
3                    conditional on grant of derivative mining right to
4                    transferor
5              (1)   This section applies if --
6                     (a) there is an agreement for the transfer of a
7                           mining tenement from a person (person A) to
8                           another person (person B); and
9                     (b) it is a condition of the agreement for the
10                          transfer that after the transfer person B is to
11                          grant a derivative mining right (the prospective
12                          right) in relation to the mining tenement to
13                          person A.
14             (2)   In determining the dutiable value of the agreement
15                   referred to in subsection (1)(a), the unencumbered
16                   value of the mining tenement is to be determined,
17                   despite section 36(1), having regard to the effect of the
18                   prospective right on the value of the mining tenement,
19                   as if the prospective right were in force when liability
20                   for duty on the agreement arose.
21             (3)   If the agreement referred to in subsection (1)(a) is duty
22                   endorsed, duty is not chargeable on the acquisition of
23                   the prospective right on its grant by person B.

24           91F.    Agreement for transfer of mining tenement
25                   conditional on grant of derivative mining right to
26                   current right holder
27             (1)   This section applies if --
28                    (a) there is an agreement for the transfer of a
29                          mining tenement to a person (person A); and
30                    (b) it is a condition of the agreement for the
31                          transfer that after the transfer person A is to
32                          grant a derivative mining right (the prospective

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1                   right) in relation to the mining tenement to
2                   another person (person B) who --
3                      (i) when the agreement is made, holds a
4                           derivative mining right (the previous
5                           right) in relation to the mining tenement
6                           that is substantially the same as the
7                           prospective right; and
8                     (ii) will hold the previous right until
9                           immediately before the transfer of the
10                          mining tenement.
11     (2)   In determining the dutiable value of the agreement
12           referred to in subsection (1)(a), the unencumbered
13           value of the mining tenement is to be determined,
14           despite section 36(1), having regard to the effect of the
15           previous right on the value of the mining tenement
16           when liability for duty on the agreement arose.
17     (3)   Duty is not chargeable on the acquisition of the
18           prospective right on its grant by person A if both of the
19           following are duty endorsed --
20             (a) the agreement referred to in subsection (1)(a);
21             (b) the acquisition, on its grant, of the previous
22                   right.

23   91G.    Transfer or agreement for transfer of mining
24           tenement to holder of derivative mining right
25     (1)   This section applies if --
26            (a) a person (person A) holds a derivative mining
27                  right (the previous right) in relation to a mining
28                  tenement held by another person (person B);
29                  and
30            (b) the acquisition of the previous right, on its
31                  grant, is duty endorsed; and



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1                      (c)   there is a transfer, or agreement for the transfer,
2                            of the mining tenement from person B to
3                            person A; and
4                     (d)    person A holds, or will hold, the previous right
5                            until immediately before the transfer of the
6                            mining tenement.
7              (2)   In determining the dutiable value of a transfer referred
8                    to in subsection (1)(c), the unencumbered value of the
9                    mining tenement is to be determined, despite
10                   section 36(1), having regard to the effect of the
11                   previous right on the value of the mining tenement, as
12                   if the previous right were in force when liability for
13                   duty on the transfer arose.
14             (3)   In determining the dutiable value of an agreement
15                   referred to in subsection (1)(c), the unencumbered
16                   value of the mining tenement is to be determined,
17                   despite section 36(1), having regard to the effect of the
18                   previous right on the value of the mining tenement
19                   when liability for duty on the agreement arose.

20           91H.    Acquisition of derivative mining right substantially
21                   the same as was held in relation to previous mining
22                   tenement
23             (1)   Duty is not chargeable on an acquisition of a derivative
24                   mining right by a person (person A) on its grant by
25                   another person (person B) if --
26                     (a) the derivative mining right relates to a mining
27                           lease granted to person B; and
28                     (b) before the grant of the mining lease, person B
29                           held a prospecting licence or an exploration
30                           licence in relation to land including the land the
31                           subject of the mining lease; and
32                     (c) person A held a derivative mining right in
33                           relation to the prospecting licence or


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1                    exploration licence that was substantially the
2                    same as the derivative mining right in relation
3                    to the mining lease; and
4              (d)   the acquisition of the derivative mining right in
5                    relation to the prospecting licence or
6                    exploration licence, on its grant, is duty
7                    endorsed.
8       (2)   A reference in this section to a mining lease,
9             prospecting licence or exploration licence is to a
10            mining lease, prospecting licence or exploration licence
11            (as the case requires) granted or continued under the
12            Mining Act 1978.

13   91I.     Failure to grant, or surrender of, derivative mining
14            right after transfer of mining tenement
15      (1)   In this section --
16            mining tenement valuation provision means
17            section 91E(2) or 91F(2);
18            prospective right, in relation to a mining tenement
19            valuation provision, means the prospective right
20            referred to in whichever of section 91E(1)(b) or
21            91F(1)(b) is relevant.
22      (2)   A mining tenement valuation provision that applies to
23            an agreement for the transfer of a mining tenement
24            when liability for duty on the agreement arises ceases
25            to apply to the agreement if --
26              (a) the prospective right is not granted within the
27                    period that applies under subsection (3); or
28              (b) the prospective right is surrendered for no
29                    consideration within 12 months after the day on
30                    which the mining tenement is transferred.




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1              (3)   For the purposes of subsection (2)(a), the period is --
2                     (a) the period of 90 days starting on the day on
3                            which the mining tenement is transferred; or
4                     (b) any longer period allowed, on application
5                            within the period referred to in paragraph (a),
6                            by the Commissioner on any conditions the
7                            Commissioner thinks fit.
8              (4)   If a failure to grant the prospective right referred to in
9                    subsection (2)(a) occurs, the transferee in respect of the
10                   agreement for transfer referred to in subsection (2)
11                   must lodge a notice of the failure in the approved form
12                   within 2 months after the last day of the period that
13                   applies under subsection (3).
14                   Penalty for this subsection: a fine of $20 000.
15             (5)   If a surrender referred to in subsection (2)(b) occurs,
16                   the person who surrenders the prospective right must
17                   lodge a notice of the surrender in the approved form
18                   within 2 months after the day on which the surrender
19                   occurs.
20                   Penalty for this subsection: a fine of $20 000.
21             (6)   Subject to the Taxation Administration Act section 17,
22                   the Commissioner must make any reassessment
23                   necessary as a result of the operation of subsection (2).
24


25   35.       Section 96B amended
26             In section 96B(1)(a)(ii) delete "section 168(1)" and insert:
27

28             section 168(3)
29




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1    36.         Section 99 amended
2                In section 99(3) delete "acquisition, if the land referred to in
3                section 72 is farming land." and insert:
4

5                acquisition to the extent that the property of a kind referred to in
6                section 72(a) to (d) held by the partnership, or in which the
7                partnership has an indirect interest under section 73, is farming
8                property.
9


10   37.         Section 100 amended
11         (1)   In section 100:
12                 (a) delete "A reference" and insert:
13

14               (1)     A reference
15

16                (b)     in paragraph (c) after "brother or sister of the person or"
17                        insert:
18

19                        a child or
20

21                 (c)    in paragraph (f) delete "(d)," and insert:
22

23                        (d); or
24

25                (d)     after paragraph (f) insert:
26

27                        (g)   a brother or sister of the person's spouse or of
28                              the person's de facto partner of 2 years; or
29                        (h)   the spouse or de facto partner of 2 years of a
30                              brother or sister to whom paragraph (g) applies,
31




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1          (2)   At the end of section 100 insert:
2

3                (2)     A reference in this Subdivision to a family member is
4                        to a family member acting in their own capacity and
5                        not as agent, trustee or otherwise on behalf of any other
6                        person.
7


8    38.         Section 101 amended
9                In section 101:
10                 (a) delete paragraph (a) and insert:
11

12                        (a)   a family member of the transferor; or
13

14                (b)     in paragraph (b) delete "the beneficial owner of the trust
15                        property under the trust" and insert:
16

17                        each beneficiary of the trust
18

19                 (c)    delete paragraph (c)(i) and insert:
20

21                                (i)   each beneficiary of the trust is the
22                                      transferor or a family member of the
23                                      transferor; and
24                               (ia)   the transferor is not the only beneficiary
25                                      of the trust; and
26


27   39.         Section 102 amended
28         (1)   Delete section 102(3)(a) to (c) and insert:
29

30                        (a)   personally or with others; or



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1                  (b)     through a trust or corporation (an entity) to
2                          which the transferor or transferee, as is
3                          relevant, is related under section 102A; or
4                  (c)     through a combination of entities to which the
5                          transferor or transferee, as is relevant, is related
6                          under section 102A.
7

8    (2)   Delete section 102(4) and (5) and insert:
9

10         (4)   The Commissioner may treat the requirement in
11               subsection (2)(a) as being satisfied, even though any of
12               the transferors was not using the farming property in
13               the business of primary production immediately before
14               the transaction took place, if the Commissioner is
15               satisfied that --
16                 (a) the relevant transferor had previously used the
17                       farming property in the business of primary
18                       production; and
19                 (b) a family member of the relevant transferor, or
20                       an entity to which a family member of the
21                       relevant transferor is related under
22                       section 102A, was using the farming property
23                       in the business of primary production
24                       immediately before the transaction took place.
25

26   (3)   In section 102(6) delete "subsection (2)," and insert:
27

28         this section,
29




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1    40.       Section 102A inserted
2              After section 102 insert:
3

4            102A.   Related entities for s. 102
5              (1)   For the purposes of section 102(3), a transferor is
6                    related to an entity that is --
7                      (a) a trust (other than a unit trust scheme) if the
8                            transferor is a beneficiary of the trust and every
9                            other beneficiary is a family member of the
10                           transferor; or
11                     (b) a unit trust scheme if the transferor holds a unit
12                           in the unit trust scheme and every other person
13                           who holds a unit in the unit trust scheme is a
14                           family member of the transferor; or
15                     (c) a corporation if the transferor is a shareholder
16                           in the corporation and every other shareholder
17                           is a family member of the transferor.
18             (2)   For the purposes of section 102(3), a transferee is
19                   related to an entity that is --
20                     (a) a trust (other than a unit trust scheme or a
21                           discretionary trust) if the transferee is a
22                           beneficiary of the trust and every other
23                           beneficiary is the transferor or a family member
24                           of the transferor; or
25                     (b) a discretionary trust if --
26                              (i) the transferee is a beneficiary of the
27                                   trust; and
28                             (ii) every other beneficiary is the transferor
29                                   or a family member of the transferor;
30                                   and
31                            (iii) the transferor does not control the
32                                   discretionary trust;
33                           or

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1                   (c)   a unit trust scheme if the transferee holds a unit
2                         in the unit trust scheme and every other person
3                         who holds a unit in the unit trust scheme is the
4                         transferor or a family member of the transferor;
5                         or
6                  (d)    a corporation if the transferee is a shareholder
7                         in the corporation and every other shareholder
8                         is the transferor or a family member of the
9                         transferor.
10         (3)    If a transferee is a trustee of a trust to which
11                section 101(b) applies, subsection (2) applies to the
12                transferee as if the references to the transferee in
13                subsection (2)(a), (b), (c) and (d) were references to
14                each beneficiary of that trust.
15         (4)    For the purposes of section 102(4)(b), subsection (2)
16                applies in determining whether a family member of a
17                relevant transferor is related to an entity as if the family
18                member were a transferee referred to in that subsection.
19


20   41.   Section 105 amended
21         In section 105(1)(a) after "person that is not" insert:
22

23         the transferor or
24


25   42.   Section 107 amended
26         In section 107(1) in the definition of replacement transaction
27         paragraph (c) delete "duty;" and insert:
28

29         tax;
30




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1    43.       Section 113A inserted
2              At the end of Chapter 2 Part 6 Division 1 Subdivision 4 insert:
3


4            113A.   Certain incorporated association transactions
5              (1)   In this section --
6                    Commissioner has the meaning given in the
7                    Associations Incorporation Act 2015 section 3;
8                    prescribed body corporate has the meaning given in
9                    the Associations Incorporation Act 2015 section 92;
10                   surplus property has the meaning given in the
11                   Associations Incorporation Act 2015 section 3;
12                   surplus receiving body means a body described in the
13                   Associations Incorporation Act 2015 section 24(1).
14             (2)   Duty is not chargeable on the following transactions --
15                    (a) a vesting of dutiable property by, or expressly
16                           authorised by, statute law (as referred to in
17                           section 11(1)(d)(i)) in an incorporated
18                           association (that is an amalgamation of 2 or
19                           more former associations) on the incorporation
20                           of the association under the Associations
21                           Incorporation Act 2015 Part 7;
22                    (b) a transfer of, or an agreement for the transfer
23                           of, dutiable property from an incorporated
24                           association to a prescribed body corporate on
25                           the transfer of incorporation by the association
26                           under the Associations Incorporation Act 2015
27                           Part 6;
28                    (c) a transfer of, or an agreement for the transfer
29                           of, dutiable property that is surplus property to
30                           a surplus receiving body --
31                             (i) from an incorporated association on the
32                                   winding up of the association under the


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1                                  Associations Incorporation Act 2015
2                                  Part 9; or
3                           (ii)   from an incorporated association under
4                                  a distribution plan approved under the
5                                  Associations Incorporation Act 2015
6                                  Part 10 Division 1; or
7                          (iii)   where the property is vested in the State
8                                  under the Associations Incorporation
9                                  Act 2015 section 148(1)(a), from the
10                                 Commissioner, acting under
11                                 subsection (1)(b) of that section.
12
13   44.     Section 116 amended
14           After section 116(2) insert:
15

16           (3)   Subsection (1) does not apply to a subsequent transfer
17                 to which section 118(1) applies.
18


19   45.     Section 118 replaced
20           Delete section 118 and insert:
21


22         118.    Transfers to and from bare trustee
23           (1)   Nominal duty is chargeable on a transfer (the
24                 subsequent transfer) if --
25                   (a) there has been a dutiable transaction (the
26                        original transfer) that is a transfer of dutiable
27                        property from a person (the transferor) to
28                        another person who is to hold the property
29                        solely as a bare trustee for the transferor; and
30                   (b) any of the following transactions (the endorsed
31                        transaction) is duty endorsed --
32                          (i) the original transfer;

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1                              (ii) the agreement for the original transfer;
2                             (iii) the declaration of trust;
3                            and
4                      (c)   the subsequent transfer is a transfer of the
5                            dutiable property back to the transferor or to a
6                            person to whom the transferor's beneficial
7                            interest in the property has been transmitted by
8                            death or bankruptcy; and
9                     (d)    the Commissioner is satisfied that, between the
10                           original transfer and the subsequent transfer, no
11                           person other than the transferor has held a
12                           beneficial interest in the dutiable property
13                           (other than the trustee's right of indemnity).
14             (2)   In subsection (1) --
15                   bare trustee --
16                     (a) means a trustee of a trust, other than a unit trust
17                           scheme or a discretionary trust, if the trustee
18                           has no active duties or powers in relation to the
19                           trust other than conveying the dutiable property
20                           to the transferor or as directed by the transferor;
21                           and
22                     (b) includes a trustee appointed in substitution for a
23                           trustee or a trustee appointed in addition to a
24                           trustee or trustees.
25             (3)   If nominal duty is chargeable on a subsequent transfer
26                   under subsection (1), nominal duty is also chargeable
27                   on the endorsed transaction.
28             (4)   The Commissioner, on the application of the taxpayer,
29                   is to reassess the liability to duty of the endorsed
30                   transaction in accordance with subsection (3).
31             (5)   The limitations as to time in the Taxation
32                   Administration Act section 17 do not apply in respect
33                   of a reassessment under subsection (4).

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1    118A.   Transfers to and from bare trustee: failure to lodge
2            subsequent transfer
3      (1)   This section applies if --
4             (a) under section 118, nominal duty is chargeable
5                   on a subsequent transfer and an endorsed
6                   transaction referred to in that section; and
7             (b) the subsequent transfer is required to be lodged
8                   for registration under --
9                      (i) the Transfer of Land Act 1893; or
10                    (ii) the Registration of Deeds Act 1856; or
11                   (iii) the Mining Act 1978;
12                  and
13            (c) the liability to duty of the subsequent transfer is
14                  assessed in accordance with section 118(1) on
15                  the basis that nominal duty is chargeable; and
16            (d) the liability to duty of the endorsed transaction
17                  is reassessed in accordance with section 118(3)
18                  on the basis that nominal duty is chargeable;
19                  and
20            (e) the subsequent transfer is not lodged for
21                  registration under the Transfer of Land
22                  Act 1893, the Registration of Deeds Act 1856 or
23                  the Mining Act 1978 (whichever is relevant)
24                  within 60 days after it is duty endorsed.
25     (2)   Despite section 118(1) and (3), nominal duty is not
26           chargeable on the subsequent transfer or the endorsed
27           transaction.
28     (3)   The Commissioner must make any reassessment
29           necessary as a result of the operation of subsection (2).
30     (4)   The limitations as to time in the Taxation
31           Administration Act section 17 do not apply in respect
32           of a reassessment under subsection (3).
33



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1    46.       Chapter 2 Part 6 Division 2 Subdivision 1A inserted
2              After Chapter 2 Part 6 Division 2 Subdivision 1 insert:
3

4            Subdivision 1A -- Transfers to facilitate subdivision of land

5            120A.   Transfers to facilitate subdivision of land
6              (1)   Nominal duty is chargeable on a dutiable transaction
7                    (the original transfer) if --
8                      (a) the transaction is a transfer, or agreement for
9                            the transfer, of land in Western Australia from a
10                           person (the original transferor) to another
11                           person; and
12                     (b) the Commissioner is satisfied that --
13                              (i) the transfer is for the sole purpose of
14                                   facilitating a subdivision of the land;
15                                   and
16                             (ii) after the subdivision there is to be a
17                                   transfer back to the original transferor of
18                                   the land or part of the land.
19             (2)   If nominal duty is chargeable on an original transfer
20                   under subsection (1), nominal duty is also chargeable
21                   on a transfer (the subsequent transfer) of the land, or
22                   part of the land, back to the original transferor after the
23                   subdivision.
24             (3)   If the land the subject of the subsequent transfer
25                   includes land that was not the subject of the original
26                   transfer, then despite subsection (2) nominal duty is
27                   chargeable on the subsequent transfer only to the extent
28                   that it relates to land that is also the subject of the
29                   original transfer.




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1    120B.   Land retained by transferee following transfer to
2            facilitate subdivision
3      (1)   This section applies if --
4             (a) nominal duty is chargeable under
5                   section 120A(1) on an original transfer of land
6                   from a person (the original transferor) to
7                   another person (the original transferee) for the
8                   purpose of facilitating a subdivision of the land;
9                   and
10            (b) after the subdivision, there is a transfer (the
11                  subsequent transfer) of the land, or part of the
12                  land, back to the original transferor; and
13            (c) either or both of the following applies --
14                     (i) the land the subject of the subsequent
15                          transfer is only a part of the land the
16                          subject of the original transfer and the
17                          remainder of that land is retained by the
18                          original transferee after the subsequent
19                          transfer;
20                    (ii) after the subsequent transfer, the land
21                          the subject of the subsequent transfer, or
22                          part of that land, is held jointly by the
23                          original transferor with the original
24                          transferee.
25     (2)   When the subsequent transfer is made, there is taken to
26           be a dutiable transaction consisting of the transfer to
27           the original transferee of the following --
28             (a) any land the subject of the original transfer that
29                   is not also the subject of the subsequent
30                   transfer;
31             (b) the original transferee's interest in any land
32                   held jointly with the original transferor as
33                   referred to in subsection (1)(c)(ii).


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1              (3)   In determining the dutiable value of a dutiable
2                    transaction under subsection (2) (a deemed
3                    transaction), the unencumbered value of the dutiable
4                    property the subject of the deemed transaction is the
5                    unencumbered value of that property when liability for
6                    duty arose on the original transfer.
7              (4)   Subsection (1)(c)(i) does not apply if the original
8                    transferee is to transfer the remainder of the land to
9                    another person for the purposes of the subdivision.

10           120C.   Transfers to facilitate subdivision: failure to lodge
11                   subsequent transfer within 5 years
12             (1)   If a subsequent transfer referred to in section 120A is
13                   not lodged for registration under the Transfer of Land
14                   Act 1893 within the period of 5 years after the day on
15                   which the original transfer referred to in that section
16                   was registered under the Transfer of Land Act 1893,
17                   then, despite that section, nominal duty is not
18                   chargeable on the original transfer or the subsequent
19                   transfer.
20             (2)   The Commissioner may on application extend the
21                   period of 5 years referred to in subsection (1) and may
22                   do so on any conditions the Commissioner thinks fit.
23             (3)   The Commissioner must make any reassessment
24                   necessary as a result of the operation of subsection (1).
25             (4)   The limitations as to time in the Taxation
26                   Administration Act section 17 do not apply in respect
27                   of a reassessment under subsection (3).




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1    120D.   Subdivisions of land excluded from s. 120A and
2            120B
3            Sections 120A and 120B do not apply in relation to --
4             (a) a subdivision under --
5                      (i) before the coming into operation of the
6                          Strata Titles Amendment Act 2018
7                          section 7 -- a strata plan registered
8                          under the Strata Titles Act 1985 (other
9                          than under a strata plan for a single tier
10                         strata scheme as defined in the Strata
11                         Titles Act 1985 section 3(1)); or
12                    (ii) after the coming into operation of the
13                         Strata Titles Amendment Act 2018
14                         section 7 -- a strata scheme as defined
15                         in the Strata Titles Act 1985 section 3(1)
16                         (other than a single tier strata scheme as
17                         defined in the Strata Titles Act 1985
18                         Schedule 2A clause 3);
19                  or
20            (b) a subdivision of land in circumstances
21                  prescribed by the regulations.

22   120E.   References to transfer of land back to person
23           For the purposes of sections 120A and 120B, land that
24           is transferred by a person for the purposes of a
25           subdivision of the land is to be treated as being
26           transferred back to the person after the subdivision --
27             (a) even though there will be a change in the legal
28                    description of the land between the transfers;
29                    and
30             (b) whether or not, after the transfer back to the
31                    person, the land is to be held jointly with 1 or
32                    more other persons.
33



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1    47.       Section 139 amended
2              In section 139(2):
3                (a) in paragraph (c)(ii) delete "1972." and insert:
4

5                       1972;
6

7                (b)    after paragraph (c) insert:
8

9                       (d)     a partnership acquisition, to the extent that --
10                                (i) the partnership acquisition gives effect
11                                     to a distribution in the estate of a
12                                     deceased person; and
13                               (ii) there is no consideration for the
14                                     partnership acquisition.
15


16   48.       Section 139A inserted
17             After section 139 insert:
18


19           139A.     Some transfers and vestings under orders made
20                     under Guardianship and Administration Act 1990
21             (1)     In this section --
22                     administration order means --
23                       (a) an administration order (as defined in the
24                              Guardianship and Administration Act 1990
25                              section 3(1)); or
26                       (b) an order or instrument referred to in
27                              paragraph (b) or (c) of the definition of
28                              administrator in this subsection;




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1          administrator means --
2            (a) an administrator (as defined in the
3                Guardianship and Administration Act 1990
4                section 3(1)); or
5           (b) a person acting under the authority of an order
6                made under the Guardianship and
7                Administration Act 1990 section 66; or
8            (c) the Public Trustee acting under the authority of
9                an instrument referred to in the Guardianship
10               and Administration Act 1990 section 83B.
11   (2)   Nominal duty applies to a dutiable transaction that
12         is --
13           (a) a transfer to an administrator of dutiable
14               property of the person to whom the
15               administration order relates (the represented
16               person) made under the authority of the
17               administration order; or
18           (b) a vesting in an administrator of dutiable
19               property of a person to whom the
20               administration order relates (the represented
21               person) by, or as a consequence of, an order of
22               the State Administrative Tribunal under the
23               Guardianship and Administration Act 1990.
24   (3)   If nominal duty is chargeable on a transfer or vesting of
25         dutiable property under subsection (2), nominal duty is
26         also chargeable on --
27           (a) any transfer of the dutiable property back from
28                 an administrator to the represented person; or
29           (b) any subsequent vesting in the represented
30                 person of the dutiable property by, or as a
31                 consequence of, an order of the State
32                 Administrative Tribunal under the
33                 Guardianship and Administration Act 1990.
34



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1    49.         Section 141 amended
2                After section 141(2) insert:
3

4                (3)   For the purposes of this Division, a person is a
5                      substituted transferee in relation to a dutiable
6                      transaction if --
7                        (a) the dutiable transaction is an agreement for the
8                              transfer of dutiable property referred to in
9                              section 11(1)(b); and
10                       (b) due to the operation of section 42(2) or (4),
11                             duty is not chargeable on the transfer to the
12                             person of the dutiable property under the
13                             agreement.
14


15   50.         Section 142A amended
16               In section 142A(3)(b) delete "section 14AA(2)(a)(ii)" and
17               insert:
18

19               section 14AA(2)(a)
20


21   51.         Section 142 amended
22         (1)   Delete section 142(1) and insert:
23

24               (1)   A reference in this Division to a first home owner
25                     concessional transaction is to a transfer of, or an
26                     agreement for the transfer of, dutiable property
27                     where --
28                       (a) either --
29                              (i) each transferee is a concessional first
30                                    home owner; or


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1                               (ii)   if the transaction is an agreement for
2                                      transfer in relation to which there are
3                                      1 or more substituted transferees --
4                                      each substituted transferee is a
5                                      concessional first home owner;
6                             and
7                       (b)   the unencumbered value of the land, or the land
8                             and home, the subject of the transaction does
9                             not exceed --
10                               (i) if there is no home on the land --
11                                   $400 000; or
12                              (ii) otherwise -- $530 000.
13

14         (2)   In section 142(2):
15                 (a) in paragraph (c) delete "transaction," and insert:
16

17                      transaction.
18

19                (b)   delete the passage that begins with "and includes" and
20                      ends with "subject of the transaction."

21   52.         Section 146 amended
22               Delete section 146(b) and insert:
23

24                      (b)   the FHOG Act applies to and in relation to an
25                            application under this Division, to the extent
26                            that it can be applied for those purposes, as
27                            if --
28                               (i) a reference in the FHOG Act to an
29                                     application or an applicant were a
30                                     reference to the application or applicant
31                                     under this Division; and



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1                              (ii)   the reference in the FHOG Act
2                                     section 37(1)(a) to functions of the
3                                     Commissioner were a reference to
4                                     functions of the Commissioner related
5                                     to an application under this Division;
6                            and
7


8    53.       Section 147A amended
9              After section 147A(2) insert:
10

11             (3)    For the purposes of this Division, a person is a
12                    substituted transferee in relation to an eligible
13                    transaction if --
14                      (a) the eligible transaction is of a kind referred to
15                            in section 147B(b); and
16                      (b) due to the operation of section 42(2), (4) or (5),
17                            duty is not chargeable on the transfer to the
18                            person of the dutiable property under the
19                            agreement.
20


21   54.       Section 147D amended
22             In section 147D:
23               (a) after "Land" insert:
24

25                     that is the subject of an eligible transaction
26

27              (b)    in paragraphs (b) to (d) delete "taxpayer" (each
28                     occurrence) and insert:
29

30                     taxpayer, or a substituted transferee in relation to the
31                     eligible transaction,
32


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1    55.         Section 147F amended
2          (1)   In section 147F(2) delete "taxpayer --" and insert:
3

4                taxpayer or a substituted transferee in relation to the eligible
5                transaction --
6

7          (2)   In section 147F(4) delete "taxpayer --" and insert:
8

9                taxpayer, or a substituted transferee in relation to the eligible
10               transaction for the land --
11


12   56.         Section 148 amended
13         (1)   In section 148 delete "In this Chapter," and insert:
14

15               (1)   In this Chapter,
16

17         (2)   In section 148 insert in alphabetical order:
18

19                     further interest means an interest in a landholder
20                     acquired by a relevant acquisition to which
21                     section 163(1)(c) or (d) applies;
22                     land asset means any of the following --
23                       (a) land;
24                       (b) a fixed infrastructure control right;
25                       (c) a derivative mining right;
26                       (d) subject to section 204A, a fixed infrastructure
27                             access right;
28




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1          (3)   In section 148 in the definition of relevant acquisition delete
2                "sections 163 and 164;" and insert:
3

4                section 163(1);
5

6          (4)   In section 148 in the definition of unencumbered value delete
7                "section 36 as applied by section 150." and insert:
8

9                sections 36 and 36A as applied by sections 150 and 204C.
10

11         (5)   At the end of section 148 insert:
12

13               (2)     For the purposes of this Chapter, a land asset referred
14                       to in paragraph (b), (c) or (d) of the definition of land
15                       asset in subsection (1) is taken to be a land asset in
16                       Western Australia.
17


18   57.         Section 149 amended
19         (1)   In section 149(1):
20                 (a) delete "to land" and insert:
21

22                        to land assets, chattels, or land assets and chattels,
23

24                (b)     in paragraph (a) delete "land," and insert:
25

26                        land assets, chattels, or land assets and chattels,
27

28                 (c)    in paragraph (b) delete "land" and insert:
29

30                        land assets, chattels, or land assets and chattels,
31



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1          (2)   Delete section 149(2A) to (4) and insert:
2

3                (2)   In determining the entitlement of an entity to land
4                      assets, chattels, or land assets and chattels, for the
5                      purposes of this Chapter --
6                        (a) an entity that is a partnership is taken to be
7                               entitled to land assets or chattels if the
8                               partnership property is or includes those land
9                               assets or chattels; and
10                       (b) an entity that is a unit trust scheme or the
11                              trustee of a discretionary trust is taken to be
12                              entitled to land assets or chattels if the trust
13                              property is or includes those land assets or
14                              chattels.
15

16               Note: The heading to amended section 149 is to read:
17                     Determining entitlement to land assets and chattels

18   58.         Section 149A inserted
19               After section 149 insert:
20


21           149A.     Determining entitlement to land assets: fixtures and
22                     mining tenement fixtures
23               (1)   In this section --
24                     mining tenement fixture, in relation to a mining
25                     tenement, means a thing that --
26                       (a) under the authority (whether direct or indirect)
27                              of the mining tenement, is fixed to land that is
28                              the subject of the mining tenement; and
29                       (b) would be part of that land as a fixture if the
30                              mining tenement were a freehold estate in the
31                              subject land.


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1              (2)   In determining the entitlement of an entity to a land
2                    asset that is land, anything that is part of the land as a
3                    fixture is to be taken into account even if the fixture is,
4                    or purports to be, the subject of an entitlement separate
5                    from the ownership of the rest of the land.
6              (3)   In determining the entitlement of an entity to a land
7                    asset that is a mining tenement or an estate or interest
8                    in a mining tenement (a mining tenement land asset),
9                    anything that is a mining tenement fixture in relation to
10                   the mining tenement is to be taken into account even if
11                   the mining tenement fixture is, or purports to be, the
12                   subject of an entitlement separate from the ownership
13                   of the rest of the mining tenement land asset.
14             (4)   Subsection (2) or (3) (whichever is relevant) does not
15                   apply for the purposes of determining the land assets to
16                   which an entity is entitled in relation to an acquisition
17                   if the fixture or the mining tenement fixture would,
18                   apart from that subsection, be taken into account
19                   separately in relation to that acquisition in determining
20                   the land assets to which that entity or another entity is
21                   entitled.
22             (5)   In this section, a reference to land does not include
23                   anything that is land under section 3A(1)(b), (c), (f) or
24                   (g).
25

26   59.       Section 150 amended
27             In section 150:
28               (a) delete "Section 36 applies," and insert:
29

30                    Sections 36 and 36A apply,
31




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1                  (b)     after "land" insert:
2

3                          assets
4

5                Note: The heading to amended section 150 is to read:
6                        Unencumbered value of land assets or chattels

7    60.         Section 152 amended
8          (1)   In section 152(2) delete "this extent, namely that the trustee of a
9                discretionary trust or a partnership may be a linked entity under
10               section 156," and insert:
11

12               the extent set out in subsection (3),
13

14         (2)   After section 152(2) insert:
15

16               (3)     The trustee of a discretionary trust or a partnership may
17                       be --
18                         (a) an entity in an ownership chain referred to in
19                              section 154A (other than the main entity
20                              referred to in that section); or
21                        (b) an entity referred to in section 154B; or
22                         (c) a linked entity under section 156; or
23                        (d) a relevant entity referred to in
24                              section 156A(1)(b)(i).
25


26   61.         Section 153 amended
27         (1)   In section 153(1) after "an interest" insert:
28

29               (other than a reference to an indirect interest)
30




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1          (2)   In section 153(3) delete "section 159." and insert:
2

3                sections 153A and 153B.
4


5    62.         Sections 153A and 153B inserted
6                After section 153 insert:
7


8            153A.     References to interest in, or held by, trustee of
9                      discretionary trust
10                     For the purposes of section 154A, if a trustee of a
11                     discretionary trust is an entity in an ownership chain
12                     referred to in that section --
13                       (a) an entity has an interest in the trustee of the
14                             discretionary trust if the entity is a potential
15                             beneficiary under the trust; and
16                       (b) the trustee of the discretionary trust has an
17                             interest in an entity if the trust property is or
18                             includes the interest; and
19                       (c) the percentage of the interest that the entity
20                             immediately above the trustee of the
21                             discretionary trust in the ownership chain has in
22                             the trustee of the discretionary trust is taken to
23                             be --
24                                (i) a 100% interest; or
25                               (ii) if the Commissioner decides in a
26                                      particular case that the operation of
27                                      subparagraph (i) would be
28                                      inequitable -- an interest of some other
29                                      percentage, or no interest, as determined
30                                      by the Commissioner.




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1            153B.     References to interest in, or held by, partnership
2                      For the purposes of section 154A, if a partnership is an
3                      entity in an ownership chain referred to in that
4                      section --
5                        (a) an entity has an interest in the partnership if the
6                               entity is a partner in the partnership or, in the
7                               case of a unit trust scheme, the trustee, as
8                               trustee of the scheme, is a partner in the
9                               partnership; and
10                       (b) the partnership has an interest in an entity if the
11                              partnership property is or includes the interest;
12                              and
13                       (c) the percentage of the interest that the entity
14                              immediately above the partnership in the
15                              ownership chain has in the partnership is taken
16                              to be the greater of the following --
17                                 (i) the percentage of the capital of the
18                                      partnership that the entity has
19                                      contributed or is required to contribute;
20                                (ii) the percentage of the losses of the
21                                      partnership that the entity is required to
22                                      bear.
23


24   63.         Section 154 amended
25         (1)   In section 154(3) delete "section 158 or 159" and insert:
26

27               section 153A(c) or 153B(c)
28

29         (2)   In section 154(6)(d) delete "section 163 or 164," and insert:
30

31               section 163,
32



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1              Note: The heading to amended section 154 is to read:
2                    Calculating interest in entity

3    64.       Sections 154A and 154B inserted
4              At the end of Chapter 3 Part 3 insert:
5


6            154A.   Calculating total direct or indirect interest in entity
7              (1)   This section applies where it is necessary in relation to
8                    an acquisition of an interest in an entity (the main
9                    entity) to calculate the total direct or indirect interest
10                   that one entity (a higher entity) has in another entity (a
11                   lower entity).
12             (2)   A higher entity has a direct or indirect interest in a
13                   lower entity if there are 1 or more ownership chains
14                   between the higher entity and the lower entity.
15             (3)   An ownership chain exists if --
16                    (a) the higher entity has an interest as defined in
17                         whichever of section 153, 153A or 153B is
18                         applicable (a direct interest) in the lower entity;
19                         or
20                    (b) there is a series of at least 3 entities, starting
21                         with the higher entity and ending with the
22                         lower entity, each of which successively has a
23                         direct interest in the next.
24             (4)   The percentage of the interest that a higher entity has in
25                   a lower entity through a particular ownership chain
26                   is --
27                     (a) for an ownership chain referred to in
28                          subsection (3)(a) -- the percentage of the
29                          higher entity's direct interest in the lower entity
30                          calculated under whichever of section 153A(c),
31                          153B(c) or 154 is applicable; or


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1             (b)    for an ownership chain referred to in
2                    subsection (3)(b) -- the percentage calculated
3                    by multiplying the percentage of the higher
4                    entity's direct interest in the entity immediately
5                    below it in the ownership chain by the
6                    percentage of the direct interest that each entity
7                    in the ownership chain between the higher
8                    entity and the lower entity has in the entity
9                    immediately below it in the ownership chain.
10     (5)   The percentage of the total direct or indirect interest
11           that a higher entity has in a lower entity is the
12           aggregate of the percentage interests calculated under
13           subsection (4) for each ownership chain between the
14           higher entity and the lower entity.

15   154B.   Determining interest in entity: uncompleted
16           agreements
17           In determining the interest that an entity has in another
18           entity for the purposes of section 154A, 156, or
19           156A --
20             (a) if the entity has entered into an agreement to
21                   acquire an interest in the other entity, the
22                   agreement is to be regarded as having been
23                   completed even if it has not yet been
24                   completed; and
25             (b) if the entity has entered into an agreement to
26                   dispose of an interest in the other entity but the
27                   agreement has not yet been completed, the
28                   agreement is to be disregarded.
29




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1    65.         Section 155 amended
2          (1)   In section 155(1) delete "section 163 or 164." and insert:
3

4                section 163.
5

6          (2)   In section 155(2):
7                  (a) delete "A corporation" and insert:
8

9                        An entity
10

11                (b)    in paragraph (a) delete "land in Western Australia or an
12                       entity linked to the corporation" and insert:
13

14                       land assets in Western Australia or an entity linked to
15                       the entity
16

17         (3)   Delete section 155(3) and (4) and insert:
18

19               (3)    An entity to which subsection (2) does not apply is a
20                      landholder if --
21                        (a) immediately before the acquisition, it is entitled
22                             to land assets, chattels, or land assets and
23                             chattels, in Western Australia or an entity
24                             linked to the entity is so entitled; and
25                        (b) the acquisition is part of a relevant arrangement
26                             under subsection (4).
27               (4)    An acquisition of an interest in an entity (the relevant
28                      entity) is part of a relevant arrangement for the
29                      purposes of subsection (3)(b) if --
30                        (a) there are 1 or more acquisitions of interests in
31                               1 or more other entities (the other entities),


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1                   which may occur before or after the acquisition
2                   of the interest in the relevant entity; and
3            (b)    the acquisition of the interest in the relevant
4                   entity and the acquisitions of the interests in the
5                   other entities together form, evidence, give
6                   effect to or arise from what is, substantially one
7                   arrangement; and
8             (c)   either or both of the following applies --
9                      (i) at least 1 of the other entities is, at the
10                          time the acquisition of the interest in
11                          that entity occurs, a landholder to which
12                          subsection (2) applies;
13                    (ii) the total value of all of the entitlements
14                          to land assets in Western Australia
15                          referred to in subsection (4A) is
16                          $2 000 000 or more.
17   (4A)   For the purposes of subsection (4)(c)(ii), the total value
18          of the following entitlements is to be determined --
19            (a) the entitlements to land assets in Western
20                  Australia, immediately before the acquisition of
21                  the interest in the relevant entity, of the relevant
22                  entity and each entity linked to the relevant
23                  entity;
24            (b) for each of the other entities -- the entitlements
25                  to land assets in Western Australia,
26                  immediately before the acquisition of the
27                  interest in that other entity, of that other entity
28                  and each entity linked to that other entity.
29




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1          (4)   In section 155(5):
2                  (a) delete paragraph (a) and insert:
3

4                         (a)     land assets to which an entity is entitled are to
5                                 be valued at their unencumbered value; and
6

7                 (b)    in paragraph (b) after "land" insert:
8

9                        assets
10

11         (5)   After section 155(5) insert:
12

13               (6)    An entity that, under subsection (3), is a landholder in
14                      relation to an acquisition is taken to be a landholder in
15                      relation to that acquisition even if the acquisition does
16                      not become part of a relevant arrangement referred to
17                      in subsection (4) until after the acquisition occurs.
18

19   66.         Section 156 amended
20         (1)   In section 156(1) delete "section 155(2)(a) or (3)(a)." and insert:
21

22               section 155.
23

24         (2)   In section 156(2) delete "an ownership chain" and insert:
25

26               a linkage chain
27

28         (3)   In section 156(3) delete "An ownership chain" and insert:
29

30               A linkage chain
31



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1          (4)   Delete section 156(4) to (6) and insert:
2

3                (4)   An entity is linked to another entity if --
4                       (a) where the other entity is a listed corporation or
5                             a listed unit trust scheme -- it has an interest in
6                             the other entity of at least 90%; or
7                       (b) in any other case -- it has a total direct or
8                             indirect interest in the other entity, calculated
9                             under section 154A, of at least 50%.
10

11         (5)   In section 156(7) delete "subsection (4), (5) or (6)." and insert:
12

13               subsection (4).
14

15         (6)   Delete section 156(8).

16   67.         Section 156A inserted
17               After section 156 insert:
18


19           156A.     Linked entities: acquisitions forming one
20                     arrangement
21               (1)   Subsection (3) applies if --
22                      (a) there are acquisitions (the related acquisitions)
23                            of interests in 2 or more entities (the main
24                            entities) that together form, evidence, give
25                            effect to or arise from what is, substantially one
26                            arrangement; and
27                      (b) either --
28                              (i) each of the main entities has a direct or
29                                    indirect interest (as referred to in
30                                    section 154A(2)) in an entity (the
31                                    relevant entity) that is not a listed

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1                                    corporation or listed unit trust scheme;
2                                    or
3                             (ii)   one of the main entities (the relevant
4                                    entity) is an entity that is not a listed
5                                    corporation or listed unit trust scheme
6                                    and each of the other main entities has a
7                                    direct or indirect interest (as referred to
8                                    in section 154A(2)) in the relevant
9                                    entity;
10                          and
11                    (c)   there is at least 1 main entity that has a total
12                          direct or indirect interest in the relevant entity,
13                          calculated under section 154A, that is less than
14                          50%; and
15                    (d)   the aggregated direct or indirect interest in the
16                          relevant entity determined under subsection (2)
17                          is at least 50%.
18             (2)   The aggregated direct or indirect interest for the
19                   purposes of subsection (1)(d) is --
20                     (a) if subsection (1)(b)(i) applies, the aggregate of
21                          the total direct or indirect interests, calculated
22                          under section 154A, that each of the main
23                          entities has in the relevant entity; or
24                    (b) if subsection (1)(b)(ii) applies, the aggregate
25                          of --
26                             (i) the interests in the relevant entity
27                                  acquired by each related acquisition that
28                                  is an acquisition of an interest in the
29                                  relevant entity; and
30                            (ii) the total direct or indirect interests,
31                                  calculated under section 154A, that each
32                                  of the main entities (other than the
33                                  relevant entity) has in the relevant
34                                  entity.


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1                (3)      The relevant entity is taken, in relation to a related
2                         acquisition of an interest in a main entity to which
3                         subsection (1)(c) applies, to be linked to that main
4                         entity under section 156(2).
5                (4)      A relevant entity that is linked to a main entity for the
6                         purposes of an acquisition because of subsection (3) is
7                         taken to be linked in relation to that acquisition even if
8                         that subsection does not become applicable in relation
9                         to the acquisition until after the acquisition occurs.
10               (5)      For the purposes of this section, the direct or indirect
11                        interest, or total direct or indirect interest, that a main
12                        entity has in the relevant entity is to be determined
13                        immediately after the related acquisition of an interest
14                        in that main entity.
15


16   68.         Section 157 amended
17         (1)   In section 157(1) after "land" insert:
18

19               assets
20

21         (2)   In section 157(2):
22                 (a) after "land" insert:
23

24                         assets
25

26                (b)      delete "interest in the linked entity." and insert:
27

28                         total direct or indirect interest in the linked entity
29                         calculated under section 154A.
30




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1          (3)   Delete section 157(3) and (4).
2                Note: The heading to amended section 157 is to read:
3                      Value of land assets of linked entity for s. 155

4    69.         Sections 158 and 159 deleted
5                Delete sections 158 and 159.

6    70.         Section 160 amended
7                After section 160(3) insert:
8

9                (4)   This section is subject to section 160A.
10

11               Note: The heading to amended section 160 is to read:
12                     How person acquires interest in entity

13   71.         Section 160A inserted
14               At the end of Chapter 3 Part 5 Division 1 insert:
15


16           160A.     Acquisition of interest by merger of corporations
17               (1)   If a corporation (company A) has an interest in an
18                     entity and there is a merger of company A with and
19                     into another corporation (company B) in circumstances
20                     where neither subsection (2) nor subsection (3) applies,
21                     company B is taken to acquire that interest.
22               (2)   If 2 or more corporations (the merging corporations)
23                     merge in circumstances where another corporation
24                     (company C) results as a consequence of the merger,
25                     and any of the merging corporations has an interest in
26                     an entity, company C is taken to acquire that interest.
27               (3)   If 2 or more corporations (the merging corporations)
28                     merge with and into each other in circumstances where
29                     each of the merging corporations continues in


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1                         existence, and any of the merging corporations has an
2                         interest in an entity, the merging corporations are taken
3                         to acquire, jointly, 50% of that interest.
4


5    72.          Section 161 amended
6                 In section 161 delete the definition of significant interest and
7                 insert:
8

9                         significant interest, in a landholder, means --
10                          (a) if the landholder is a listed landholder -- an
11                                interest of at least 90%; or
12                          (b) otherwise -- an interest of at least 50%.
13


14   73.          Section 162 amended
15         (1)    In section 162(1):
16                  (a) delete "sections 163 and 164" and insert:
17

18                         section 163
19

20                  (b)    in paragraph (h) delete "form or arise from substantially
21                         one transaction or one series of transactions;" and insert:
22

23                         form, evidence, give effect to or arise from what is,
24                         substantially one arrangement;
25

26         (2)    After section 162(1) insert:
27

28               (1A)     Subsection (1)(h) and (i) do not apply --
29                         (a) in circumstances where the acquisitions result
30                               from a public float; or


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1                        (b)   in prescribed circumstances.
2

3       (3)    In section 162(2):
4                (a) delete "persons, other than related corporations," and
5                      insert:
6

7                        persons
8

9                (b)     delete "sections 163 and 164." and insert:
10

11                       section 163.
12

13      (4)    Delete section 162(3) and insert:
14

15            (2A)     The Commissioner cannot make a determination under
16                     subsection (2) in relation to persons or entities that are
17                     related persons under subsection (1)(c), (h) or (i).
18             (3)     This subsection applies to persons if their interests in
19                     the entity --
20                       (a) were acquired independently and are, and will
21                             be, employed independently; and
22                       (b) were not acquired for a common purpose and
23                             are not, and will not be, employed for a
24                             common purpose.
25

26             Note: The heading to amended 162 is to read:
27                     Related persons for s. 163




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1    74.     Sections 163 and 164 replaced
2            Delete sections 163 and 164 and insert:
3


4          163.    Relevant acquisitions
5            (1)   An acquisition by a person (the acquirer) of an interest
6                  in an entity that is a landholder in relation to the
7                  acquisition is a relevant acquisition in any of the
8                  following circumstances --
9                    (a) if --
10                            (i) immediately before the acquisition, the
11                                 acquirer does not have a significant
12                                 interest in the landholder; and
13                           (ii) immediately after the acquisition, the
14                                 acquirer has a significant interest in the
15                                 landholder;
16                   (b) if --
17                            (i) immediately before the acquisition, the
18                                 aggregated group interest in the
19                                 landholder does not amount to a
20                                 significant interest; and
21                           (ii) immediately after the acquisition, the
22                                 aggregated group interest in the
23                                 landholder amounts to a significant
24                                 interest;
25                   (c) if --
26                            (i) immediately before the acquisition, the
27                                 acquirer has a significant interest in the
28                                 landholder; and
29                           (ii) as a result of the acquisition, the
30                                 acquirer's interest in the landholder
31                                 increases;



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1                     (d)   if --
2                              (i)   immediately before the acquisition, the
3                                    aggregated group interest in the
4                                    landholder amounts to a significant
5                                    interest; and
6                             (ii)   as a result of the acquisition, the
7                                    aggregated group interest in the
8                                    landholder increases.
9              (2)   In subsection (1) --
10                   aggregated group interest means the aggregate of --
11                     (a) the interest (if any) that the acquirer has in the
12                          landholder; and
13                     (b) if 1 or more related persons have an interest in
14                          the landholder -- all of those interests.
15


16   75.       Sections 167 and 168 replaced
17             Delete sections 167 and 168 and insert:
18


19           167.    Exemption or reduction of duty if nominal duty
20                   would be chargeable on transfer
21             (1)   In this section --
22                   acquiring person, in relation to an acquisition, means
23                   the person making the acquisition;
24                   notional transfer, in relation to an acquisition, means a
25                   notional transaction consisting of the transfer, at the
26                   time of the acquisition, by the relinquishing person to
27                   the acquiring person of the relevant land assets, as if
28                   the relevant land assets were those of the relinquishing
29                   person;
30                   relevant land assets, in relation to an acquisition of an
31                   interest in a landholder, means the land assets to which


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1          the landholder, and each linked entity in respect of the
2          landholder, are entitled;
3          relinquishing person, in relation to an acquisition,
4          means the person from whom the interest in the
5          landholder was acquired.
6    (2)   This section applies to an acquisition of an interest in a
7          landholder if nominal duty would be chargeable, to any
8          extent, on the notional transfer in relation to the
9          acquisition.
10   (3)   If only nominal duty would be chargeable on the
11         notional transfer, the acquisition is exempt.
12   (4)   If nominal duty would be chargeable on the notional
13         transfer only to a particular extent, then despite Part 6
14         Division 5, the amount of duty chargeable in respect of
15         the acquisition is the amount of duty calculated under
16         that Division in respect of the acquisition reduced by
17         the same proportion as the proportion of the notional
18         transfer on which nominal duty would be chargeable.
19   (5)   If the acquiring person did not acquire the interest in
20         the landholder from another person, the reference to the
21         relinquishing person in the definition of notional
22         transfer in subsection (1) is to be read (according to
23         what is relevant) as a reference to the or a person --
24           (a) whose interest in the landholder is decreased
25                  because of the acquisition; or
26           (b) whose interest in the landholder decreased
27                  resulting in the acquisition.
28         Note for this subsection:
29                An acquiring person may acquire an interest in a company
30                by the company issuing shares to the person, or buying
31                back shares of another person.




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1            168.    Exemption or reduction of duty if transfer duty
2                    would not be chargeable
3              (1)   In this section --
4                    acquiring person, in relation to an acquisition, means
5                    the person making the acquisition;
6                    notional transfer, in relation to an acquisition, means a
7                    notional transaction consisting of the transfer, at the
8                    time of the acquisition, by the relinquishing person to
9                    the acquiring person of the relevant land assets, as if
10                   the relevant land assets were those of the relinquishing
11                   person;
12                   relevant land assets, in relation to an acquisition of an
13                   interest in a landholder, means the land assets to which
14                   the landholder, and each linked entity in respect of the
15                   landholder, are entitled;
16                   relinquishing person, in relation to an acquisition,
17                   means the person from whom the interest in the
18                   landholder was acquired.
19             (2)   This section applies to an acquisition of an interest in a
20                   landholder if no transfer duty would be chargeable, or
21                   transfer duty would be chargeable only to a particular
22                   extent, on the notional transfer in relation to the
23                   acquisition.
24             (3)   If no transfer duty would be chargeable on the notional
25                   transfer, the acquisition is exempt.
26             (4)   If transfer duty would be chargeable on the notional
27                   transfer only to a particular extent, then despite Part 6
28                   Division 5, the amount of duty chargeable in respect of
29                   the acquisition is the amount of duty calculated under
30                   that Division in respect of the acquisition reduced by
31                   the same proportion as the proportion of the notional
32                   transfer on which no transfer duty would be
33                   chargeable.


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1                (5)    If the acquiring person did not acquire the interest in
2                       the landholder from another person, the reference to the
3                       relinquishing person in the definition of notional
4                       transfer in subsection (1) is to be read (according to
5                       what is relevant) as a reference to the or a person --
6                         (a) whose interest in the landholder is decreased
7                                because of the acquisition; or
8                         (b) whose interest in the landholder decreased
9                                resulting in the acquisition.
10                      Note for this subsection:
11                             An acquiring person may acquire an interest in a company
12                             by the company issuing shares to the person, or buying
13                             back shares of another person.

14               (6)    This section does not apply if --
15                       (a) no transfer duty would be chargeable, or
16                             transfer duty would be chargeable only to a
17                             particular extent, on the notional transfer
18                             because of an exemption or reduction under
19                             Chapter 6; or
20                       (b) section 171 or 194 applies to the acquisition.
21


22   76.         Section 171 amended
23         (1)   Delete section 171(1).
24         (2)   In section 171(2):
25                 (a) delete "in a corporation" and insert:
26

27                        in a landholder
28

29                (b)     after "uses land" insert:
30

31                        assets
32



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1                (c)     in paragraph (a)(i) delete "land to which the corporation
2                        or a linked entity in respect of the corporation" and
3                        insert:
4

5                        land assets to which the landholder or a linked entity in
6                        respect of the landholder
7

8                (d)     in paragraph (a)(ii) delete "section 102(2), (3), (5)
9                        and (6)" and insert:
10

11                       section 102(2)
12

13               (e)     in paragraph (b) delete "corporation, or a linked entity in
14                       respect of the corporation, intends to continue to use the
15                       land" and insert:
16

17                       landholder, or a linked entity in respect of the
18                       landholder, intends to continue to use the land assets
19

20      (3)    After section 171(2) insert:
21
22            (2A)     If the acquirer did not acquire the interest in the
23                     landholder from another person, the reference in
24                     subsection (2) to the person from whom the interest in
25                     the landholder was acquired is to be read (according to
26                     what is relevant) as a reference to the or a person --
27                       (a) whose interest in the landholder is decreased
28                              because of the acquisition; or
29                       (b) whose interest in the landholder decreased
30                              resulting in the acquisition.
31                     Note for this subsection:
32                            An acquirer may acquire an interest in a company by the
33                            company issuing shares to the person, or buying back
34                            shares of another person.
35


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1          (4)   In section 171(3) after "subsection (2)," insert:
2

3                a land asset that is
4

5                Note: The heading to amended section 171 is to read:
6                        Exemption of acquisition by family member of interest in
7                        landholder engaged in primary production

8    77.         Section 172 amended
9          (1)   In section 172(1):
10                 (a) delete "the corporation concerned, or a linked entity in
11                       respect of the corporation," and insert:
12

13                         the landholder concerned, or a linked entity in respect of
14                         the landholder,
15

16                 (b)     in paragraphs (a) and (b) delete "land in Western
17                         Australia that is" and insert:
18

19                         land assets in Western Australia that are
20

21         (2)   In section 172(2)(b) delete "land referred to in subsection (1)(b)
22               bears to the value of the corporation" and insert:
23

24               land assets referred to in subsection (1)(b) bears to the value of
25               the landholder
26

27               Note: The heading to amended 172 is to read:
28                       Calculation of duty where some land assets of landholder not
29                       used for primary production




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1    78.         Section 173 amended
2          (1)   In section 173(1):
3                  (a) in paragraph (a) delete "a corporation" and insert:
4

5                         an entity that is a landholder
6

7                 (b)     in paragraph (c)(i) delete "corporation" and insert:
8

9                         entity
10

11                 (c)    in paragraph (c)(ii) delete "corporation or a linked entity
12                        in respect of the corporation, is using solely or
13                        dominantly in the business of primary production any of
14                        the land" and insert:
15

16                        entity, or a linked entity in respect of the entity, is using
17                        solely or dominantly in the business of primary
18                        production any of the land assets
19

20         (2)   In section 173(2)(a) after "that is not" insert:
21

22               the transferor or
23

24         (3)   In section 173(4)(a) delete "corporation" and insert:
25

26               entity
27




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1    79.         Section 174 amended
2                In section 174(1):
3                  (a) in paragraphs (a) and (b) delete "corporation" and insert:
4

5                         landholder
6

7                 (b)     in paragraph (c) delete "corporation, or a linked entity in
8                         respect of the corporation, is using solely or dominantly
9                         in the business of primary production any of the land"
10                        and insert:
11

12                        landholder, or a linked entity in respect of the
13                        landholder, is using solely or dominantly in the business
14                        of primary production any of the land assets
15

16                 (c)    in paragraph (d) delete "corporation" and insert:
17

18                        landholder
19


20   80.         Section 176 amended
21         (1)   Delete section 176(1) and (2) and insert:
22

23               (1)     In making an assessment of duty in relation to an
24                       acquisition of an interest in an entity, the time when
25                       that acquisition occurs is, for the purposes of this
26                       Chapter but subject to section 173(4)(c) and 204G, to
27                       be determined under this section.
28               (2)     If an agreement is made for the making of the
29                       acquisition, whether conditional or not, and
30                       subsection (3) does not apply to the agreement --
31                         (a) the acquisition is taken to occur when the
32                               agreement is made; and

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1                             (b)     until the agreement is completed, the interests
2                                     of persons in the entity are to be determined for
3                                     the purposes of this Chapter as if the agreement
4                                     had been completed.
5                        Notes for this subsection:
6                        1.         Section 195C provides for the assessment of duty if an
7                                   agreement referred to in this subsection is terminated
8                                   before the assessment is made.
 9                       2.         Section 196 provides for the reassessment of duty if an
10                                  agreement referred to in this subsection is terminated after
11                                  an assessment of duty is made.
12

13         (2)    After section 176(3) insert:
14

15               (3A)    If the acquisition results from a merger of corporations
16                       in accordance with section 160A, the acquisition
17                       occurs when the merger is completed.
18

19         (3)    In section 176(4) delete "subsections (2) and (3)" and insert:
20

21                subsections (2), (3) and (3A)
22


23   81.          Section 177 amended
24                In section 177(2) delete "section 176," and insert:
25

26                sections 154B and 176,
27

28                Note: The notes at the end of section 177 are to read:
29                       1.         Sections 195B and 195C provide for the assessment of
30                                  duty if a deemed agreement is not completed.
31                       2.         Sections 195 and 196 provide for the reassessment of duty
32                                  if a deemed agreement is not completed.




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1    82.   Section 179 amended
2          In section 179(2)(d) delete "any person taken into account under
3          section 163 or 164 as being related to the acquirer for the
4          purposes of the acquisition," and insert:
5

6          any person that is a related person in respect of the acquirer and
7          has an interest in the landholder immediately after the relevant
8          acquisition,
9


10   83.   Section 180 amended
11         Delete section 180(2)(b) and insert:
12

13                (b)    any person that is a related person in respect of
14                       a person referred to in paragraph (a) and has an
15                       interest in the entity immediately after the
16                       acquisition; or
17


18   84.   Section 185 amended
19         In section 185:
20           (a) delete "interests" and insert:
21

22                interests, immediately after the relevant acquisition,
23

24          (b)   delete paragraph (b) and insert:
25

26                (b)    each person that is a related person in respect of
27                       the acquirer and has an interest in the
28                       landholder.
29




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1    85.         Section 186 amended
2          (1)   Delete section 186(1)(a) and (b) and insert:
3

4                        (a)   the unencumbered value of the land assets,
5                              chattels, or land assets and chattels, in Western
6                              Australia (whichever is relevant) to which the
7                              landholder is entitled; and
8                        (b)   the same percentage of the unencumbered value
9                              of the land assets, chattels, or land assets and
10                             chattels, in Western Australia (whichever is
11                             relevant) to which any linked entity in respect
12                             of the landholder is entitled as the percentage of
13                             the landholder's total direct or indirect interest
14                             in the linked entity calculated under
15                             section 154A.
16

17         (2)   Delete section 186(2A).

18   86.         Section 187 amended
19               In section 187(1)(a) after "a landholder" insert:
20

21               after a relevant acquisition
22
23   87.         Section 189 amended
24         (1)   In section 189(2):
25                 (a) after "landholder concerned" insert:
26

27                       after the relevant acquisition referred to in section 188,
28                       other than the interest acquired by that relevant
29                       acquisition,
30

31                (b)    in paragraph (b) delete "acquisition, but only to the
32                       extent to which the interest is held immediately before

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1                         the relevant acquisition referred to in section 188; or"
2                         and insert:
3

4                         acquisition; or
5

6                  (c)    in paragraph (c) after "land" insert:
7

8                         assets
9

10         (2)   In section 189(4)(a) delete "section 163; and" and insert:
11

12               section 163(1)(a) or (b); and
13


14   88.         Section 193 amended
15               In section 193(1) delete "section 164" and insert:
16

17               section 163(1)(c) or (d)
18


19   89.         Section 195A amended
20         (1)   In section 195A(1) and (2) after "statement" (each occurrence)
21               insert:
22

23               or agreement
24

25         (2)   In section 195A(5)(a) and (b) after "land" insert:
26

27               assets
28




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1    90.       Chapter 3 Part 6 Division 6 heading replaced
2              Delete the heading to Chapter 3 Part 6 Division 6 and insert:
3


4            Division 6 -- Assessment or reassessment of liability for
5            landholder duty if uncompleted agreements terminated
6                                 or completed
7


8    91.       Sections 195B and 195C inserted
9              At the beginning of Chapter 3 Part 6 Division 6 insert:
10


11           195B.   Assessment of duty where s. 149(1) or 154B applied
12                   at acquisition time
13             (1)   Subsection (2) applies if --
14                    (a) at the time an acquisition (the main
15                          acquisition) of an interest in an entity (the
16                          main entity) occurs --
17                            (i) there is an agreement to which
18                                  section 149(1)(a) applies in determining
19                                  the entitlement to land assets, chattels,
20                                  or land assets and chattels, of the main
21                                  entity or a linked entity in respect of the
22                                  main entity; or
23                           (ii) there is an agreement to which
24                                  section 154B(a) applies in determining
25                                  the interest that the main entity, or a
26                                  linked entity in respect of the main
27                                  entity, has in another entity;
28                          and
29                    (b) after the main acquisition occurs but before an
30                          assessment is made in relation to the main
31                          acquisition, the agreement has been rescinded,


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1                  annulled or otherwise terminated without being
2                  completed.
3    (2)   Section 149(1)(a) or 154B(a) (whichever is relevant)
4          applies to the agreement for the purposes of making an
5          assessment in relation to the main acquisition despite
6          the rescission, annulment or other termination of the
7          agreement, unless the Commissioner is satisfied that
8          the rescission, annulment or other termination of the
9          agreement was not part of a scheme or arrangement
10         under which the object of the agreement has been or
11         may be achieved in another way.
12   (3)   Subsection (4) applies if --
13          (a) at the time an acquisition (the main
14                acquisition) of an interest in an entity (the
15                main entity) occurs --
16                  (i) there is an agreement to which
17                        section 149(1)(b) applies in determining
18                        the entitlement to land assets, chattels,
19                        or land assets and chattels, of the main
20                        entity or a linked entity in respect of the
21                        main entity; or
22                 (ii) there is an agreement to which
23                        section 154B(b) applies in determining
24                        the interest that the main entity, or a
25                        linked entity in respect of the main
26                        entity, has in another entity;
27                and
28          (b) after the main acquisition occurs but before an
29                assessment is made in relation to the main
30                acquisition, the agreement is completed.
31   (4)   Despite section 149(1)(b) or 154B(b) (whichever is
32         relevant), the agreement is not to be disregarded for the
33         purposes of making an assessment in relation to the
34         main acquisition.

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1            195C.      Assessment of duty where s. 176(2) applied at
2                       acquisition time
3                (1)    This section applies if --
4                        (a) under section 176(2), an acquisition is taken to
5                              occur when the agreement for the acquisition is
6                              made; and
7                        (b) after the agreement is made but before an
8                              assessment is made in relation to the
9                              acquisition, the agreement has been rescinded,
10                             annulled or otherwise terminated without being
11                             completed.
12               (2)    Section 176(2) applies to the terminated agreement,
13                      despite the rescission, annulment or other termination
14                      of the agreement, unless the Commissioner is satisfied
15                      that the rescission, annulment or other termination of
16                      the agreement was not part of a scheme or arrangement
17                      under which the object of the agreement has been or
18                      may be achieved in another way.
19               (3)    If the Commissioner is satisfied as described in
20                      subsection (2), section 176(2) ceases to apply to the
21                      terminated agreement.
22


23   92.         Section 195 amended
24         (1)   In section 195(1):
25                 (a) in paragraph (a)(i) delete "land" and insert:
26

27                       land assets, chattels, or land assets and chattels
28

29                (b)    in paragraph (a)(ii) delete "section 156(8)(a)," and
30                       insert:
31

32                       section 154B(a),
33


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1          (2)   In section 195(2):
2                  (a) in paragraph (a)(i) delete "land" and insert:
3

4                           land assets, chattels, or land assets and chattels
5

6                   (b)     in paragraph (a)(ii) delete "section 156(8)(b)," and
7                           insert:
8

9                           section 154B(b),
10

11               Note: The heading to amended section 195 is to read:
12                        Reassessment of duty where s. 149(1) or 154B applied

13   93.         Section 196 replaced
14               Delete section 196 and insert:
15


16           196.         Reassessment of duty where s. 176(2) applied
17               (1)      A reassessment of duty in respect of a relevant
18                        acquisition is required if --
19                          (a) an assessment of duty is made on an acquisition
20                                that, under section 176(2), is taken to have
21                                occurred when the agreement for the
22                                acquisition was made; and
23                          (b) since that assessment, the agreement has been
24                                rescinded, annulled or otherwise terminated
25                                without being completed; and
26                          (c) had the acquisition not been taken to have
27                                occurred when the agreement for the
28                                acquisition was made as mentioned in
29                                paragraph (a), the liability for duty in respect of
30                                the relevant acquisition would not have arisen.




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1              (2)   On application made by a person that has paid or is
2                    liable to pay the duty, if subsection (1) applies, the
3                    Commissioner is to make a reassessment of the duty
4                    disregarding that terminated agreement.
5              (3)   Section 176(2) does not apply to a terminated
6                    agreement for the purposes of a reassessment required
7                    under subsection (1).
8


9    94.       Section 197 amended
10             In section 197 delete "196(3)," and insert:
11

12             196(2),
13


14   95.       Section 197A inserted
15             After section 197 insert:
16


17           197A.   Expired put and call options taken to be terminated
18             (1)   In this section --
19                   call option means the call option of a simultaneous put
20                   and call option referred to in section 177(2) or (3);
21                   put option means the put option of a simultaneous put
22                   and call option referred to in section 177(2) or (3).
23             (2)   For the purposes of this Division and section 200, an
24                   agreement that is taken to exist under section 177(2)
25                   or (3) is taken to be terminated without being
26                   completed if --
27                     (a) the call option and the put option both expire
28                            without being exercised; or
29                     (b) the call option and the put option are both
30                            rescinded or cancelled by agreement; or

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1                          (c)   either the call option or the put option is
2                                rescinded or cancelled by agreement and the
3                                other expires without being exercised.
4                 (3)     Subsection (2) does not apply if the call option has
5                         been assigned or further assigned as referred to in
6                         section 177(3).
7                 (4)     If a reassessment is required under section 195 or 196
8                         as a result of an agreement that was taken to exist
9                         under section 177(2) or (3) being taken to be
10                        terminated under subsection (2) of this section, the
11                        Taxation Administration Act section 17 applies as if
12                        the original assessment had been made as soon as
13                        subsection (2) of this section became applicable.
14


15   96.          Section 200 amended
16         (1)    In section 200(2):
17                  (a) in paragraph (b) delete "section 201." and insert:
18

19                         section 201; or
20

21                  (b)    after paragraph (b) insert:
22

23                         (c)   the agreement for the making of the acquisition
24                               has been lodged in accordance with
25                               subsection (2A).
26

27         (2)    After section 200(2) insert:
28

29               (2A)     If there is an agreement for the making of the
30                        acquisition, the agreement may be lodged instead of an
31                        acquisition statement.
32



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1       (3)    In section 200(3) after "subsection (2)" insert:
2

3              or agreement under subsection (2A)
4

5       (4)    In section 200(4) after "acquisition statement" insert:
6

7              or agreement
8

9       (5)    In section 200(5):
10               (a) after "acquisition statement" insert:
11

12                       or agreement
13

14               (b)     in paragraph (a) delete "statement; and" and insert:
15

16                       statement or agreement; and
17

18      (6)    After section 200(5) insert:
19

20             (6)     The obligation to lodge an acquisition statement under
21                     subsection (2) or agreement under subsection (2A)
22                     applies in relation to an acquisition even if the
23                     agreement for the making of the acquisition has been
24                     rescinded, annulled or otherwise terminated without
25                     being completed, whether that rescission, annulment or
26                     termination occurs before or after the expiry of the
27                     allowed time applicable to the statement or agreement.
28

29             Note: The heading to amended section 200 is to read:
30                     Acquisition statement or agreement to be lodged




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1    97.   Section 201 amended
2          In section 201(1)(a) delete "section 164" and insert:
3

4          section 163(1)(c) or (d)
5
6    98.   Section 203 amended
7          Delete section 203(1) and insert:
8

9          (1)     An acquisition statement must be in the approved form.
10

11         Note: The heading to amended section 203 is to read:
12                 Form of acquisition statements

13   99.   Section 204 amended
14         In section 204:
15           (a) delete "If an acquisition statement is not lodged in
16                 accordance with section 200(2), 201(6) or 202(2), the
17                 following persons commit an offence --" and insert:
18

19                   The following persons commit an offence if there is a
20                   contravention of section 200(2), 201(6) or 202(2) in
21                   relation to an acquisition --
22

23           (b)     in paragraph (d) delete "taken into account under
24                   section 163 or 164 as being related to the acquirer for
25                   the purposes of the acquisition," and insert:
26

27                   that is a related person in respect of the acquirer and has
28                   an interest in the landholder concerned immediately
29                   after the acquisition,
30




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1    100.       Chapter 3 Part 7 inserted
2               At the end of Chapter 3 insert:
3


4                 Part 7 -- Application of this Chapter to certain
5                                 acquisitions
6                 Division 1 -- Rights relating to fixed infrastructure

7             204A.   When fixed infrastructure access rights are taken
8                     into account in determining entitlement to land
9                     assets
10              (1)   In determining, in relation to an acquisition of an
11                    interest in an entity (the main entity), the entitlement to
12                    land assets of the main entity, or a linked entity in
13                    respect of the main entity, the value of any fixed
14                    infrastructure access right to which the main entity or
15                    linked entity is entitled is not to be taken into account
16                    unless subsection (2) applies to the fixed infrastructure
17                    access right.
18              (2)   This subsection applies to the fixed infrastructure
19                    access right if the main entity, or an entity that is
20                    associated with the main entity under section 204D, is
21                    entitled to any of the following --
22                      (a) fixed infrastructure (relevant fixed
23                            infrastructure) to which the fixed infrastructure
24                            access right relates;
25                      (b) an estate or interest in relevant fixed
26                            infrastructure;
27                      (c) a fixed infrastructure control right that relates to
28                            relevant fixed infrastructure.




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1      (3)   The entitlement referred to in subsection (2) is to be
2            determined --
3              (a) for the main entity or an associated entity
4                   referred to in section 204D(2)(a), (b) or (c) --
5                   when the acquisition referred to in
6                   subsection (1) of this section occurs; or
7             (b) for an associated entity referred to in
8                   section 204D(2)(d) or (e) -- when the
9                   acquisition referred to in section 204D(2)(d)(i)
10                  occurs.
11     (4)   The value of a fixed infrastructure access right that is
12           to be taken into account for the purposes of an
13           acquisition because subsection (2) applies is to be
14           taken into account in relation to that acquisition even if
15           that subsection does not become applicable until after
16           the acquisition occurs.

17   204B.   When fixed infrastructure statutory licences are
18           treated as land assets in calculating duty
19     (1)   A fixed infrastructure statutory licence is to be treated
20           as if it were a land asset for the purposes of calculating
21           duty in respect of a relevant acquisition under
22           section 186 if --
23             (a) the landholder, or a linked entity in respect of
24                    the landholder, is entitled to the fixed
25                    infrastructure statutory licence; and
26             (b) the landholder, or an entity that is associated
27                    with the landholder under section 204D, is
28                    entitled to any of the following --
29                       (i) fixed infrastructure (relevant fixed
30                            infrastructure) to which the fixed
31                            infrastructure statutory licence relates;
32                      (ii) an estate or interest in relevant fixed
33                            infrastructure;


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1                            (iii)   a fixed infrastructure control right that
2                                    relates to relevant fixed infrastructure.
3              (2)   For the purposes of subsection (1)(a), a landholder or
4                    linked entity is taken to be entitled to the fixed
5                    infrastructure statutory licence if --
6                      (a) the landholder or linked entity held the fixed
7                            infrastructure statutory licence immediately
8                            before the relevant acquisition; and
9                      (b) as a result of the relevant acquisition, the fixed
10                           infrastructure statutory licence is cancelled or
11                           surrendered by operation of law; and
12                     (c) there is an agreement, arrangement or
13                           understanding relating to the acquisition under
14                           which, after the acquisition, the fixed
15                           infrastructure statutory licence, or another fixed
16                           infrastructure statutory licence of that kind, will
17                           be issued, granted or given to the landholder or
18                           an entity that is associated with the landholder
19                           under section 204D.
20             (3)   The entitlement referred to in subsection (1)(b) is to be
21                   determined --
22                     (a) for the landholder or an associated entity
23                          referred to in section 204D(2)(a), (b) or (c) --
24                          when the relevant acquisition referred to in
25                          subsection (1) of this section occurs; or
26                    (b) for an associated entity referred to in
27                          section 204D(2)(d) or (e) -- when the
28                          acquisition referred to in section 204D(2)(d)(i)
29                          occurs.
30             (4)   A fixed infrastructure statutory licence that under
31                   subsection (1) is to be treated as a land asset for the
32                   purposes of section 186 in relation to an acquisition is
33                   to be so treated even if subsection (1) does not become
34                   applicable until after the acquisition occurs.

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1      (5)   A fixed infrastructure statutory licence to which
2            subsection (1) applies is also to be treated as a land
3            asset in relation to the relevant acquisition referred to
4            in that subsection for the purposes of sections 167, 168,
5            195A(5), 266B and 266C.

6    204C.   Unencumbered value of fixed infrastructure
7            statutory licences treated as land assets
8      (1)   Section 36 applies, with any appropriate modifications,
9            where it is necessary to determine the unencumbered
10           value of a fixed infrastructure statutory licence that
11           under section 204B(1) is to be treated as if it were a
12           land asset for the purposes of calculating duty in
13           respect of a relevant acquisition under section 186.
14     (2)   The unencumbered value to be determined under
15           section 36 (as applied by subsection (1)) for a fixed
16           infrastructure statutory licence issued, granted or given
17           under a law of the Commonwealth is the
18           unencumbered value of that licence so far as it
19           authorises the ownership, control, operation or use of
20           fixed infrastructure.

21   204D.   Associated entities for s. 204A and 204B
22     (1)   This section applies where it is necessary to determine
23           for the purposes of section 204A(2) or 204B(1) or (2),
24           in relation to an acquisition, which entities are
25           associated with the main entity referred to in
26           section 204A(2), or the landholder referred to in
27           section 204B(1) or (2), as the case requires.
28     (2)   The associated entities are as follows --
29            (a) a linked entity in respect of the main entity or
30                  landholder;
31            (b) an entity (a higher entity) in respect of which
32                  the main entity or landholder is a linked entity;


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1                       (c)   another linked entity in respect of a higher
2                             entity to which paragraph (b) applies;
3                      (d)    another entity if --
4                                (i) there is an acquisition of an interest in
5                                     the entity, which may occur before or
6                                     after the acquisition referred to in
7                                     subsection (1); and
8                               (ii) the acquisition referred to in
9                                     subsection (1) and the acquisition
10                                    referred to in subparagraph (i) together
11                                    form, evidence, give effect to, or arise
12                                    from what is, substantially one
13                                    arrangement;
14                      (e)   an entity that is a linked entity in respect of an
15                            entity to which paragraph (d) applies in relation
16                            to the acquisition referred to in paragraph (d)(i).
17              (3)   A reference in subsection (2)(b) or (c) to a linked entity
18                    is a reference to an entity that would be a linked entity
19                    if, at the time of the acquisition referred to in
20                    subsection (1), the higher entity referred to in
21                    subsection (2)(b) or (c) were a main entity referred to
22                    in section 156(1).

23                       Division 2 -- Derivative mining rights

24            204E.   Unencumbered value of mining tenement subject to
25                    derivative mining right
26              (1)   This section applies where it is necessary to determine,
27                    in relation to an acquisition of an interest in an entity,
28                    the unencumbered value of a land asset that is a mining
29                    tenement in relation to which a derivative mining right
30                    is in force.
31              (2)   If the acquisition of the derivative mining right, on its
32                    grant, is duty endorsed, the unencumbered value of the
33                    mining tenement is to be determined, despite

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1            section 36(1) as applied by section 150, having regard
2            to the effect of the derivative mining right on the value
3            of the mining tenement.
4      (3)   Subsection (2) ceases to apply in relation to an
5            acquisition of an interest in an entity if, within
6            12 months after the acquisition, the derivative mining
7            right is surrendered for no consideration.
8      (4)   If a surrender referred to in subsection (3) occurs, each
9            of the following persons must lodge a notice of the
10           surrender in the approved form within 2 months after
11           the day on which the surrender occurs --
12             (a) the entity referred to in subsection (1);
13             (b) the person that acquired the interest referred to
14                    in subsection (1).
15           Penalty for this subsection: a fine of $20 000.
16     (5)   Subject to the Taxation Administration Act section 17,
17           the Commissioner must make any reassessment
18           necessary as a result of the operation of subsection (3).

19      Division 3 -- Acquisitions forming one arrangement

20   204F.   Acquisitions in 2 or more entities forming one
21           arrangement
22     (1)   For the purposes of sections 155(4)(b), 156A(1)(a) and
23           204D(2)(d), unless the Commissioner is satisfied to the
24           contrary, acquisitions of interests in 2 or more entities
25           together form, evidence, give effect to or arise from
26           what is, substantially one arrangement if --
27             (a) the acquisitions have occurred within
28                   12 months; and
29             (b) in respect of each of the acquisitions, the person
30                   that acquires the interest is the same person
31                   (whether the person is the only person that


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1                             acquires the interest or acquires the interest
2                             with the same or different persons).
3               (2)   Subsection (1) does not limit section 155(4)(b),
4                     156A(1)(a) or 204D(2)(d).

5             204G.   Modified application of s. 176 if entity becomes
6                     landholder because of acquisitions forming one
7                     arrangement
8               (1)   This section modifies the application of section 176 in
9                     relation to an acquisition (the main acquisition) of an
10                    interest in an entity (the main entity) if --
11                      (a) at the time the agreement for the main
12                             acquisition is made, the main entity is not a
13                             landholder in relation to the main acquisition;
14                             and
15                      (b) after the agreement is made and either before or
16                             after it is completed, 1 or more other
17                             acquisitions of interests in entities occur; and
18                      (c) as a result of the occurrence of the acquisition
19                             or acquisitions referred to in paragraph (b), the
20                             main entity becomes a landholder in relation to
21                             the main acquisition because any of the
22                             following occurs --
23                                (i) section 155(3) becomes applicable to
24                                      the main entity in relation to the main
25                                      acquisition;
26                               (ii) an entity becomes a linked entity in
27                                      respect of the main entity in relation to
28                                      the main acquisition under
29                                      section 156A(3);
30                              (iii) section 204A(2) becomes applicable, in
31                                      relation to the main acquisition, to a
32                                      fixed infrastructure access right to



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1                           which the main entity or a linked entity
2                           in respect of the main entity is entitled.
3      (2)   From the time at which section 155(3), 156A(3) or
4            204A(2) (whichever is relevant) becomes applicable,
5            the application of section 176 in relation to the main
6            acquisition is modified as follows --
7              (a) section 176(2) applies in relation to the
8                    acquisition subject to subsection (3) of this
9                    section;
10             (b) section 176(3) does not apply in relation to the
11                   acquisition.
12     (3)   For the purposes of the following provisions, the main
13           acquisition is taken to occur at the time at which
14           section 155(3), 156A(3) or 204A(2) (whichever is
15           relevant) becomes applicable --
16             (a) section 180(1);
17             (b) section 183;
18             (c) section 200(3);
19             (d) section 201(5).

20   204H.   Reassessment of landholder duty if amount of duty
21           chargeable changes because of acquisitions forming
22           one arrangement
23     (1)   This section applies if --
24            (a) an assessment of duty is made in relation to a
25                  relevant acquisition (the main acquisition) of
26                  an interest in a landholder; and
27            (b) after the assessment is made, 1 or more other
28                  acquisitions of interests in entities occur; and
29            (c) as a result of the occurrence of the acquisition
30                  or acquisitions referred to in paragraph (b),
31                  there is a change in the amount of duty


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1                            chargeable in relation to the main acquisition
2                            because any of the following occurs --
3                               (i) an entity becomes a linked entity in
4                                   respect of the landholder in relation to
5                                   the main acquisition under
6                                   section 156A(3);
7                              (ii) section 204A(2) becomes applicable, in
8                                   relation to the main acquisition, to a
9                                   fixed infrastructure access right to
10                                  which the landholder or a linked entity
11                                  in respect of the landholder is entitled;
12                            (iii) section 204B(1) becomes applicable, in
13                                  relation to the main acquisition, to a
14                                  fixed infrastructure statutory licence to
15                                  which the landholder or a linked entity
16                                  in respect of the landholder is entitled.
17              (2)   Subject to the Taxation Administration Act section 17,
18                    the Commissioner must make any reassessment
19                    necessary as a result of the change in amount of duty
20                    chargeable referred to in subsection (1)(c).
21


22   101.       Section 205A amended
23              In section 205A(3) delete "section 148" and insert:
24
25              section 148(1)
26
27   102.       Section 205E amended
28      (1)     Delete section 205E(1)(c)(ii) and insert:
29

30                               (ii)   anything to which section 3A(1)(f)
31                                      applies that is fixed to the land or an
32                                      estate or interest in such a thing.
33




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1       (2)   After section 205E(3)(f) insert:
2

3                    (fa)   anything to which section 18A(1) applies;
4                    (fb)   a mining tenement or an estate or interest in a
5                           mining tenement;
6                    (fc)   a pastoral lease or an interest of a pastoral
7                           lessee under a pastoral lease;
8                    (fd)   a derivative mining right;
9


10   103.     Section 205P amended
11            In section 205P(1) delete "sections 31(5)," and insert:
12

13            sections 28(4A), 31(5), 36A(1), (4) and (5),
14


15   104.     Section 205RA inserted
16            At the end of Chapter 3A Part 2 Division 4 insert:
17


18          205RA. Foreign transfer duty on deemed transaction under
19                 s. 120B(2)
20                  Foreign transfer duty is chargeable on a transaction that
21                  is taken to occur under section 120B(2) if the
22                  transaction is a foreign dutiable transaction.
23
24   105.     Section 205S amended
25      (1)   In section 205S(1) delete "Divisions 5 and 6" and insert:
26

27            Divisions 5 to 8
28




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1       (2)     In section 205S(2):
2                 (a) in paragraph (h) delete "a reference in section 73 to land
3                       in Western Australia" and insert:
4

5                      the reference in section 73 to property of a kind referred
6                      to in section 72(a), (b), (c) or (d)
7

8                (b)   after paragraph (i) insert:
9

10                     (ia)   a reference in section 78(1)(a) or 78A(1)(a) to a
11                            person ceasing to be a partner in a partnership
12                            were a reference to a foreign person ceasing to
13                            be a partner in a partnership; and
14


15   106.       Section 205W amended
16              In section 205W(1):
17                (a) in paragraph (b) delete "results" and insert:
18

19                     results, or will or may result,
20

21               (b)   in paragraph (b)(i) and (ii) delete "interest" and insert:
22

23                     interest, whether vested or contingent,
24


25   107.       Section 205ZB amended
26              In section 205ZB(2)(b) delete "parcel of" (second occurrence).
27




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1    108.     Section 205ZD amended
2       (1)   In section 205ZD(1) delete the definition of foreign acquirer
3             and insert:
4

5                  foreign acquirer means --
6                    (a) in relation to a foreign landholder acquisition to
7                         which section 205ZH(1)(a)(i) applies --
8                            (i) a foreign person that acquires an interest
9                                 in a residential landholder by the
10                                acquisition; and
11                          (ii) if there is more than 1 person referred to
12                                in subparagraph (i), each of them;
13                        or
14                   (b) in relation to a foreign landholder acquisition to
15                        which section 205ZH(1)(a)(ii) applies --
16                           (i) a foreign person that is a related person
17                                in respect of the acquirer of the interest
18                                in the residential landholder and has an
19                                interest in the residential landholder
20                                immediately after the acquisition; and
21                          (ii) if there is more than 1 person referred to
22                                in subparagraph (i), each of them.
23

24      (2)   In section 205ZD(1) in the definition of foreign landholder
25            acquisition delete "sections 205ZH and 205ZI;" and insert:
26

27            section 205ZH;
28

29      (3)   In section 205ZD(2) delete "A reference" and insert:
30

31            Unless the contrary intention appears, a reference
32



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1    109.       Section 205ZE amended
2       (1)     In section 205ZE(1) delete the Table and insert:
3

4                                              Table
                       s. 148(2)                     s. 149A(1) and (3)

                       Part 2                        s. 155

                       s. 157                        Part 5 Division 2
                                                     Subdivision 2

                       s. 167                        s. 168

                       s. 171                        Part 5 Division 2
                                                     Subdivision 4

                       s. 175                        Part 6 Division 4

                       s. 193                        Part 6 Division 6A

                       Part 6 Division 7             Part 7 Divisions 1 and 2

                       s. 204G
5

6       (2)     In section 205ZE(2):
7                 (a) in paragraph (b) after "an acquirer" insert:
8

9                      (other than in section 179)
10

11               (b)   in paragraph (e) delete "land, land in Western Australia"
12                     and insert:
13

14                     land assets, land assets in Western Australia
15



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1    (c)   delete paragraph (g) and insert:
2

3          (g)    the definition of land asset in section 148(1)
4                 were deleted;
5

6    (d)   delete paragraph (j) and insert:
7

8           (j)   the reference in section 179(2)(a) to the
9                 acquirer were a reference to a foreign acquirer,
10                other than a person whose interest in the
11                residential landholder is, for the purpose of
12                calculating the duty, an excluded interest under
13                section 189; and
14         (ja)   the reference in section 179(2)(d) or 185(b) to a
15                related person in respect of the acquirer were a
16                reference to a foreign person that is a related
17                person in respect of a foreign acquirer (as
18                defined in paragraph (a) of the definition of
19                foreign acquirer in section 205ZD(1)); and
20         (jb)   a reference in section 189(2)(a) or (6) --
21                   (i) to the person were a reference to the
22                        foreign acquirer; and
23                  (ii) to a related person were a reference to a
24                        foreign person that is a related person in
25                        respect of a foreign acquirer (as defined
26                        in paragraph (a) of the definition of
27                        foreign acquirer in section 205ZD(1));
28                and
29

30   (e)   in paragraph (m) in the Table delete the row relating to
31         section 164;




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1                 (f)    in paragraph (m) in the Table after the row relating to
2                        section 200 insert:
3

                        s. 204G                         s. 205ZKA
4


5    110.       Section 205ZG amended
6       (1)     In section 205ZG(1) delete "section 205ZH or 205ZI." and
7               insert:
8

9               section 205ZH.
10

11      (2)     Delete section 205ZG(2) to (4) and insert:
12

13              (2)     An entity is a residential landholder if --
14                       (a) immediately before the acquisition, it is entitled
15                             to residential property or an entity linked to the
16                             entity is so entitled; and
17                       (b) it is a landholder in relation to the acquisition.
18
19   111.       Sections 205ZH and 205ZI replaced
20              Delete sections 205ZH and 205ZI and insert:
21


22            205ZH. Foreign landholder acquisitions
23              (1)     An acquisition by a person (the acquirer) of an interest
24                      in an entity that is a residential landholder in relation to
25                      the acquisition is a foreign landholder acquisition
26                      if --
27                         (a) either --
28                                 (i) the acquirer is a foreign person; or


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1                   (ii)   the acquirer is not a foreign person but,
2                          immediately after the acquisition, there
3                          is at least 1 related person in respect of
4                          the acquirer that is a foreign person and
5                          has an interest in the residential
6                          landholder;
7                  and
8           (b)    subsection (2) applies to the acquisition.
9    (2)   This subsection applies to an acquisition in any of the
10         following circumstances --
11           (a) if --
12                   (i) immediately before the acquisition, the
13                        acquirer does not have a significant
14                        interest in the residential landholder;
15                        and
16                  (ii) immediately after the acquisition, the
17                        acquirer has a significant interest in the
18                        residential landholder;
19           (b) if --
20                   (i) immediately before the acquisition, the
21                        aggregated group interest in the
22                        residential landholder does not amount
23                        to a significant interest; and
24                  (ii) immediately after the acquisition, the
25                        aggregated group interest in the
26                        residential landholder amounts to a
27                        significant interest;
28           (c) if --
29                   (i) immediately before the acquisition, the
30                        acquirer has a significant interest in the
31                        residential landholder; and




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1                               (ii)   as a result of the acquisition, the
2                                      acquirer's interest in the residential
3                                      landholder increases;
4                       (d)   if --
5                                (i)   immediately before the acquisition, the
6                                      aggregated group interest in the
7                                      residential landholder amounts to a
8                                      significant interest; and
9                               (ii)   as a result of the acquisition, the
10                                     aggregated group interest in the
11                                     residential landholder increases.
12               (3)   In subsection (2) --
13                     aggregated group interest means the aggregate of --
14                       (a) the interest (if any) that the acquirer has in the
15                            residential landholder; and
16                       (b) if 1 or more related persons have an interest in
17                            the residential landholder -- all of those
18                            interests.
19
20   112.        Section 205ZKA inserted
21               At the end of Chapter 3A Part 3 Division 6 insert:
22


23            205ZKA. Modified application of s. 176 if entity becomes
24                    residential landholder because of acquisitions
25                    forming one arrangement
26               (1)   This section modifies the application of section 176 in
27                     relation to an acquisition (the main acquisition) of an
28                     interest in an entity (the main entity) if --
29                       (a) at the time the agreement for the main
30                              acquisition is made, the main entity is not a
31                              residential landholder in relation to the main
32                              acquisition; and


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1                    (b)    after the agreement is made and either before or
2                           after it is completed, 1 or more other
3                           acquisitions of interests in entities occur; and
4                     (c)   as a result of the occurrence of the acquisition
5                           or acquisitions referred to in paragraph (b) --
6                             (i) the main entity becomes a landholder in
7                                    relation to the main acquisition because
8                                    section 155(3) or 156A(3) becomes
9                                    applicable; and
10                           (ii) the main entity becomes a residential
11                                   landholder in relation to the main
12                                   acquisition because
13                                   section 205ZG(2)(b) becomes
14                                   applicable.
15            (2)   From the time at which section 205ZG(2)(b) becomes
16                  applicable, the application of section 176 in relation to
17                  the main acquisition is modified as follows --
18                    (a) section 176(2) applies in relation to the main
19                         acquisition subject to subsection (3) of this
20                         section;
21                    (b) section 176(3) does not apply in relation to the
22                         main acquisition.
23            (3)   For the purposes of sections 180(1) and 183, the main
24                  acquisition is taken to occur at the time at which
25                  section 205ZG(2)(b) becomes applicable.
26


27   113.     Section 205ZM amended
28      (1)   In section 205ZM(1) insert in alphabetical order:
29

30                  notional transfer, in relation to an acquisition, means a
31                  notional transaction consisting of the transfer, at the
32                  time of the acquisition, by the relinquishing person to
33                  the acquiring person of the relevant residential

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1                     property, as if the relevant residential property were
2                     property of the relinquishing person;
3                     relevant residential property, in relation to an
4                     acquisition of an interest in a residential landholder,
5                     means the residential property in Western Australia to
6                     which the landholder, and each linked entity in respect
7                     of the landholder, is entitled;
8

9       (2)     In section 205ZM(1) in the definition of relinquishing person
10              after "in the" insert:
11

12              residential
13

14      (3)     Delete section 205ZM(2) and insert:
15

16              (2)   This section applies to an acquisition of an interest in a
17                    residential landholder if no foreign transfer duty would
18                    be chargeable, or foreign transfer duty would be
19                    chargeable only to a particular extent, on the notional
20                    transfer in relation to the acquisition.
21            (2A)    If no foreign transfer duty would be chargeable on the
22                    notional transfer, the acquisition is exempt.
23            (2B)    If foreign transfer duty would be chargeable on the
24                    notional transfer only to a particular extent, then
25                    despite Chapter 3 Part 6 Division 5, the amount of
26                    foreign landholder duty chargeable in respect of the
27                    acquisition is the amount of foreign landholder duty
28                    calculated under that Division in respect of the
29                    acquisition reduced by the same proportion as the
30                    proportion of the notional transfer on which no foreign
31                    transfer duty would be chargeable.
32




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1       (4)   In section 205ZM(3):
2               (a) delete "subsection (2)," and insert:
3

4                       this section,
5

6               (b)     delete "described in section 205ZH(2) or 205ZI(2)" and
7                       insert:
8

9                       to which section 205ZH(1)(a)(ii) applies
10

11      (5)   In section 205ZM(4) after "relinquishing person" insert:
12

13            in the definition of notional transfer in subsection (1)
14

15      (6)   After section 205ZM(4) insert:
16

17            (5)     This section does not apply if --
18                     (a) no foreign transfer duty would be chargeable,
19                           or foreign transfer duty would be chargeable
20                           only to a particular extent, on the notional
21                           transfer because of an exemption or reduction
22                           under Chapter 6; or
23                     (b) section 194 applies to the acquisition.
24

25            Note: The heading to amended section 205ZM is to read:
26                    Exemption or reduction of foreign landholder duty if foreign
27                    transfer duty would not be chargeable

28   114.     Section 205ZP amended
29            In section 205ZP(1)(b) delete "parcel of" (second occurrence).




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1    115.       Section 205ZS amended
2               In section 205ZS(2) delete "the acquisition statement is required
3               to be lodged under section 200(3)," and insert:
4

5               an acquisition statement or agreement is required to be lodged
6               under section 200,
7
8    116.       Section 205ZT amended
9               In section 205ZT:
10                (a) in paragraph (a) delete "acquirer;" and insert:
11

12                     acquirer, other than a person whose interest in the
13                     residential landholder is, for the purposes of calculating
14                     the duty, an excluded interest under section 189;
15

16               (b)   in paragraphs (b) and (c) before "landholder" insert:
17

18                     residential
19

20               (c)   in paragraph (d) delete "any person taken into account
21                     under section 205ZH or 205ZI as being related to the
22                     foreign acquirer for the purposes of the acquisition," and
23                     insert:
24

25                     a foreign person that is a related person in respect of a
26                     foreign acquirer (as defined in paragraph (a) of the
27                     definition of foreign acquirer in section 205ZD(1)) and
28                     has an interest in the residential landholder immediately
29                     after the foreign landholder acquisition,
30




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1    117.     Section 244A amended
2       (1)   Delete section 244A(1) and insert:
3

4             (1)   In this section --
5                   car or bus means a motor vehicle, other than a motor
6                   cycle, or a motorised wheelchair, built mainly to carry
7                   people and includes the type of vehicle known as a
8                   utility;
9                   de facto partners of 2 years has the meaning given in
10                  section 9;
11                  goods vehicle means a motor vehicle built or modified
12                  to be used primarily to carry goods or materials used in
13                  any trade, business or industry;
14                  motor cycle means a motor vehicle, other than a
15                  motorised wheelchair or a goods vehicle, that is not
16                  equipped with a permanent cab and cab roof and
17                  that --
18                    (a) is designed to travel on 2 wheels or, with a
19                           sidecar attached, 3 wheels; or
20                    (b) has 3 wheels arranged so that the axis of
21                           rotation of 2 wheels lies on the same straight
22                           line and each of those 2 wheels is equidistant
23                           from the third;
24                  motorised wheelchair means a chair-type vehicle
25                  that --
26                    (a) is fitted with 3 or more wheels; and
27                    (b) is fitted and designed only for the use of
28                           persons with a physical disability.
29




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1       (2)     Delete section 244A(5) and insert:
2

3               (5)   This subsection applies if the vehicle is a car or bus or
4                     a goods vehicle --
5                       (a) with an unloaded mass that does not exceed
6                            3 000 kg; and
7                       (b) that is not a heavy vehicle; and
8                       (c) that is to be used exclusively for social,
9                            domestic or pleasure purposes and is not to be
10                           used in any trade, business or industry or for
11                           the carrying of passengers, or goods, for hire or
12                           reward.
13


14   118.       Section 257 amended
15      (1)     In section 257(1) delete the definition of security.
16      (2)     In section 257(1) insert in alphabetical order:
17

18                    notifiable event has the meaning given by
19                    section 264(2) and (3);
20                    public float means --
21                      (a) the securities of an entity being offered for sale
22                            or issue to the public for the purpose of listing
23                            the entity on a prescribed financial market; or
24                      (b) the securities of an entity being listed on a
25                            prescribed financial market within 12 months
26                            after being offered to the public as referred to in
27                            paragraph (a);
28                    security --
29                      (a) in relation to an entity that is a corporation --
30                              (i) means an issued share of the
31                                    corporation; and


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1                            (ii)   if the corporation is a hybrid
2                                   company -- includes an interest that the
3                                   Commissioner considers is analogous to
4                                   an issued share of the corporation;
5                           or
6                    (b)    in relation to an entity that is a unit trust
7                           scheme -- means a unit issued under the
8                           scheme;
9

10      (3)   After section 257(2) insert:
11

12            (3)   A reference in section 260 or 264A to residential
13                  property includes a reference to a chattel in Western
14                  Australia to which section 205E(2) applies.
15


16   119.     Section 259 amended
17            After section 259(4) insert:
18

19            (5)   An acquisition is not a relevant consolidation
20                  transaction if any part of the consideration for the
21                  acquisition, or an associated acquisition, has been or is
22                  to be provided by a person that is not a member of the
23                  family formed by the corporate consolidation referred
24                  to in subsection (2).
25            (6)   For the purposes of subsection (5) --
26                   (a) if the acquisition concerned is an acquisition of
27                          securities of the affected entity by the head
28                          entity as referred to in subsection (2)(a) -- an
29                          acquisition of securities of the head entity by a
30                          holder of securities of the affected entity that is
31                          made for the purposes of the same corporate
32                          consolidation is an associated acquisition; or


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1                      (b)    if the acquisition concerned is an acquisition of
2                             securities of the head entity by a holder of
3                             securities of the affected entity as referred to in
4                             subsection (2)(b) -- an acquisition of securities
5                             of the affected entity by the head entity that is
6                             made for the purposes of the same corporate
7                             consolidation is an associated acquisition.
8               (7)   Subsection (5) does not apply in relation to
9                     consideration provided for an acquisition or an
10                    associated acquisition if --
11                      (a) the acquisition or associated acquisition is of a
12                            kind referred to in subsection (2)(b); and
13                      (b) the consideration is the transfer of securities of
14                            the affected entity by the holder of those
15                            securities to the head entity.
16

17   120.       Section 260 amended
18      (1)     After section 260(1) insert:
19

20            (1A)    For the purposes of subsection (1)(a)(v), a surrender of
21                    a mining tenement, in whole or in part, by one member
22                    of a family is taken to be a surrender to another
23                    member of the family if the surrender is made in
24                    contemplation of, or as part of an agreement that, the
25                    tenement, or the part of the tenement, be granted to or
26                    acquired by the other member of the family.
27            (1B)    For the purposes of subsection (1)(d), an acquisition of
28                    an interest in an entity by one member of a family is
29                    taken to be an acquisition from another member of the
30                    family if --
31                      (a) the interest of the other member of the family in
32                            the entity is decreased because of the
33                            acquisition; or


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1                    (b)    the interest of the other member of the family in
2                           the entity decreased resulting in the acquisition.
3

4       (2)   After section 260(4) insert:
5

6             (5)   A transaction, transfer or acquisition referred to in
7                   subsection (1) is not a relevant reconstruction
8                   transaction if any part of the consideration for the
9                   transaction, transfer or acquisition has been or is to be
10                  provided by a person that is not a member of the family
11                  referred to in that subsection.
12


13   121.     Section 260A inserted
14            After section 260 insert:
15


16          260A.   Consideration provided as loan
17                  For the purposes of sections 259(5) and 260(5),
18                  consideration provided by a person other than a
19                  member of the family is taken to have been provided
20                  by a member of the family if the Commissioner is
21                  satisfied that the consideration was provided as a loan
22                  and has been or will be repaid by a member of the
23                  family.
24


25   122.     Section 261 amended
26      (1)   In section 261(1) in the definition of pre-transaction decision
27            request delete "subsection (2), (3)" and insert:
28

29            subsection (2)
30

31      (2)   Delete section 261(3).

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1       (3)     Delete section 261(7)(a).
2       (4)     After section 261(7) insert:
3

4             (7A)    The Commissioner must refuse a pre-transaction
5                     decision request if the transaction to which the request
6                     relates has been entered into.
7
8    123.       Section 263 amended
9               Delete section 263(4) and insert:
10

11              (4)   An exemption cannot be granted in relation to a
12                    relevant transaction if --
13                      (a) the Commissioner is satisfied that the
14                            transaction is part of a scheme or arrangement
15                            that has been, or is to be, entered into or carried
16                            out by a person --
17                               (i) for a purpose of avoiding or reducing
18                                    any liability of a person for duty; or
19                              (ii) for the sole or dominant purpose of
20                                    avoiding or reducing any liability of a
21                                    person for tax other than duty;
22                            or
23                      (b) the Commissioner is satisfied that the
24                            exemption would be revoked under
25                            section 264A because of the occurrence of a
26                            notifiable event referred to in that section; or
27                      (c) any member of the family has an outstanding
28                            tax liability.
29


30   124.       Section 264 amended
31      (1)     In section 264(1) delete the definition of notifiable event.


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1       (2)   Delete section 264(3)(c) and insert:
2

3                     (c)   an acquisition by one member of a family from
4                           another member of the family of an interest in
5                           an entity, if landholder duty is not chargeable
6                           on the acquisition; or
7


8    125.     Section 264A inserted
9             After section 264 insert:
10


11          264A.   Automatic revocation of exemption
12            (1)   The exemption for an exempt relevant reconstruction
13                  transaction is revoked by this subsection if --
14                    (a) a notifiable event to which section 264(2)(b)
15                          applies occurs in relation to the relevant
16                          reconstruction transaction within 3 years after
17                          the date of the transaction; and
18                    (b) the member of the transaction group referred to
19                          in whichever of section 264(2)(b)(i) or (ii)
20                          applies (the relevant entity) is --
21                             (i) for a relevant reconstruction transaction
22                                  referred to in section 260(1)(a)(iii) or
23                                  (aa)(iii) -- the entity for which the
24                                  dutiable property or residential property
25                                  is held on trust; or
26                            (ii) for a relevant reconstruction transaction
27                                  referred to in section 260(1)(d) -- the
28                                  acquirer of the interest referred to in that
29                                  section; or
30                           (iii) otherwise -- the entity who would, but
31                                  for the exemption, be liable to pay the
32                                  transfer duty, foreign transfer duty or


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1                                        vehicle licence duty chargeable on the
2                                        transaction;
3                               and
4                       (c)     when the notifiable event occurs, the property
5                               referred to in subsection (2), or a part of that
6                               property, is held by, or on trust for, the relevant
7                               entity.
8               (2)   For the purposes of subsection (1)(c), the property is --
9                      (a) for a relevant reconstruction transaction
10                            referred to in section 260(1)(a) -- the dutiable
11                            property to which the transaction relates; or
12                     (b) for a relevant reconstruction transaction
13                            referred to in section 260(1)(aa) -- the
14                            residential property to which the transaction
15                            relates; or
16                     (c) for a relevant reconstruction transaction
17                            referred to in section 260(1)(b) -- the licence
18                            for a vehicle to which the transaction relates; or
19                     (d) for a relevant reconstruction transaction
20                            referred to in section 260(1)(d) -- the interest
21                            in an entity to which the transaction relates.
22              (3)   This section does not apply --
23                     (a) to a notifiable event that results from a public
24                           float; or
25                     (b) in prescribed circumstances.
26              (4)   This section applies whether or not there has been a
27                    change in the legal description of the property referred
28                    to in subsection (2) between the relevant reconstruction
29                    transaction and the notifiable event.
30                    Note for this subsection:
31                            For example, a change in the legal description of property
32                            when a new certificate of title is registered following a
33                            subdivision of land.
34


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1    126.      Section 265 amended
2              In section 265:
3                (a) in paragraph (a) delete "duty on a transaction, transfer of
4                      licence or acquisition; or" and insert:
5

6                        any liability of a person for duty; or
7

8                (b)     in paragraph (b) after "reducing" insert:
9

10                       any liability of a person for
11

12             Note: The heading to amended section 265 is to read:
13                     Revocation of exemption by Commissioner

14   127.      Section 266 amended
15      (1)    In section 266(1) delete "On revoking an exemption for a
16             relevant transaction" and insert:
17

18             If the exemption for a relevant transaction is revoked under
19             section 264A or 265,
20

21      (2)    After section 266(1) insert:
22

23            (1A)     If the exemption is revoked under section 264A, the
24                     official assessment --
25                       (a) must determine the amount of duty payable on
26                              the relevant transaction as at the date of the
27                              transaction (subject to any reduction that
28                              applies under section 266A or 266B); and
29                       (b) may include penalty tax equal to the amount of
30                              that duty.
31



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1       (3)     In section 266(2) delete "The" and insert:
2

3               If the exemption is revoked under section 265, the
4

5       (4)     After section 266(5) insert:
6

7               (6)   Despite the Taxation Administration Act section 17, if
8                     an exemption for a relevant transaction is revoked
9                     under section 264A on the occurrence of a notifiable
10                    event, the Commissioner may make a reassessment in
11                    relation to the transaction at any time before the later
12                    of --
13                      (a) the day that is 5 years after the day on which
14                            the Commissioner made a reassessment under
15                            section 263(2), or issued a certificate or made
16                            an assessment under section 263(3), in relation
17                            to the transaction (whichever is relevant); or
18                      (b) the day that is 12 months after the day on which
19                            notice of the notifiable event was lodged under
20                            section 264(4).
21


22   128.       Sections 266A to 266D inserted
23              At the end of Chapter 6 insert:
24

25            266A.   Reduction of duty following automatic revocation
26                    or refusal of exemption
27              (1)   The duty to be assessed on a relevant reconstruction
28                    transaction is to be reduced in accordance with
29                    subsection (2) if --
30                      (a) either of the following occurs --
31                              (i) an exemption is granted for a relevant
32                                    reconstruction transaction but the

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1                             exemption is revoked under
2                             section 264A on the occurrence of a
3                             notifiable event;
4                     (ii)    an exemption application is made in
5                             accordance with section 262 for a
6                             relevant reconstruction transaction and
7                             the exemption would have been granted
8                             but for the application of
9                             section 263(4)(b) because of the
10                            occurrence of a notifiable event;
11                   and
12           (b)     at the time of the notifiable event, only part of
13                   the property referred to in section 264A(2) to
14                   which the relevant reconstruction transaction
15                   relates is held by, or on trust for, the member of
16                   the transaction group referred to in whichever
17                   of section 264(2)(b)(i) or (ii) applies (the
18                   relevant entity).
19   (2)   Duty is chargeable on the relevant reconstruction
20         transaction only to the extent that the transaction
21         relates to the part of the property referred to in
22         section 264A(2) that is held by, or on trust for, the
23         relevant entity at the time of the notifiable event.
24   (3)   This section applies whether or not there has been a
25         change in the legal description of the property referred
26         to in section 264A(2) between the relevant
27         reconstruction transaction and the notifiable event.
28         Note for this subsection:
29                 For example, a change in the legal description of property
30                 when a new certificate of title is registered following a
31                 subdivision of land.




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1             266B.   Reduction of duty following automatic revocation
2                     or refusal of exemption resulting from relevant
3                     acquisition
4               (1)   In this section --
5                     property means land assets (as defined in
6                     section 148(1)), or chattels, or both;
7                     relevant acquisition has the meaning given in
8                     section 148(1).
9               (2)   The duty assessed on a relevant reconstruction
10                    transaction is to be reduced in accordance with
11                    subsection (3) if --
12                      (a) either of the following occurs --
13                               (i) an exemption is granted for the relevant
14                                    reconstruction transaction but the
15                                    exemption is revoked under
16                                    section 264A on the occurrence of a
17                                    notifiable event;
18                              (ii) an exemption application is made in
19                                    accordance with section 262 for the
20                                    relevant reconstruction transaction and
21                                    the exemption would have been granted
22                                    but for the application of
23                                    section 263(4)(b) because of the
24                                    occurrence of a notifiable event;
25                            and
26                      (b) the notifiable event results from a relevant
27                            acquisition (the triggering acquisition) on
28                            which landholder duty is chargeable; and
29                      (c) transfer duty or landholder duty is chargeable
30                            on the relevant reconstruction transaction in
31                            relation to particular property (the relevant
32                            reconstruction transaction property); and



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1            (d)     landholder duty is chargeable on the triggering
2                    acquisition in relation to particular property
3                    (the triggering acquisition property); and
4            (e)     the triggering acquisition property is or
5                    includes the relevant reconstruction transaction
6                    property or part of the relevant reconstruction
7                    transaction property.
8          Note for this subsection:
 9                 Section 266C provides for the property in relation to which
10                 landholder duty is taken to be chargeable for the purposes
11                 of this section.

12   (3)   The duty assessed in respect of the relevant
13         reconstruction transaction is to be reduced by the lesser
14         of --
15           (a) the amount of transfer duty or landholder duty
16                 that is chargeable on the relevant reconstruction
17                 transaction, to the extent that the duty is
18                 chargeable in relation to relevant property; or
19           (b) the amount of landholder duty that is
20                 chargeable on the triggering acquisition, to the
21                 extent that the duty is chargeable in relation to
22                 relevant property.
23   (4)   For the purposes of subsection (3), relevant property is
24         property that is both triggering acquisition property and
25         relevant reconstruction transaction property, whether or
26         not there has been a change in the legal description of
27         the property between the relevant reconstruction
28         transaction and the triggering acquisition.
29         Note for this subsection:
30                 For example, a change in the legal description of property
31                 when a new certificate of title is registered following a
32                 subdivision of land.

33   (5)   If the relevant reconstruction transaction property is or
34         includes an interest in particular property, and the
35         triggering acquisition property is or includes a different

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1                     interest in the same property, property is relevant
2                     property for the purposes of subsection (3) only to the
3                     extent of the lesser of the 2 interests.

4             266C.   Property in relation to which landholder duty taken
5                     to be chargeable for s. 266B
6               (1)   In this section --
7                     property means land assets (as defined in
8                     section 148(1)), or chattels, or both;
9                     relevant acquisition has the meaning given in
10                    section 148(1).
11              (2)   For the purposes of section 266B, landholder duty that
12                    is chargeable on a relevant acquisition of an interest in
13                    an entity is taken to be chargeable in relation to --
14                      (a) for property of which 100% of the value is
15                            taken into account for the purposes of
16                            calculating that landholder duty -- that
17                            property; and
18                      (b) for property of which a lower percentage of the
19                            value is taken into account for the purposes of
20                            calculating that landholder duty -- a percentage
21                            interest in that property that is equal to the
22                            percentage taken into account for the purposes
23                            of calculating that landholder duty.
24              (3)   For the purposes of subsection (2), the percentage of
25                    the value of property that is taken into account for the
26                    purposes of calculating landholder duty is to be
27                    determined in accordance with the following
28                    formula --
29                    P × (I − E)
30                    where --
31                    P   is the percentage (expressed as a decimal) of the
32                        unencumbered value of that property taken into

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1                account under section 186 in determining the value
2                of the landholder;
3            I   is the percentage (expressed as a decimal) of the
4                interest of the acquirer in the landholder after the
5                relevant acquisition referred to in section 188(3);
6            E   is the aggregate percentage (expressed as a
7                decimal) of each excluded interest in relation to the
8                relevant acquisition referred to in section 189.

9    266D.   Application of s. 266B and 266C to foreign transfer
10           duty and foreign landholder duty
11           If foreign transfer duty or foreign landholder duty is
12           chargeable on a relevant reconstruction transaction,
13           sections 266B and 266C apply in relation to the foreign
14           transfer duty or foreign landholder duty chargeable on
15           the relevant reconstruction transaction as if --
16             (a) a reference to transfer duty were a reference to
17                    foreign transfer duty; and
18             (b) a reference to landholder duty were a reference
19                    to foreign landholder duty; and
20             (c) a reference to a landholder were a reference to a
21                    residential landholder (as defined in
22                    section 205ZD(1)); and
23             (d) a reference to a relevant acquisition were a
24                    reference to a foreign landholder acquisition (as
25                    defined in section 205ZD(1)); and
26             (e) a reference to land assets (as defined in
27                    section 148(1)) were a reference to residential
28                    property; and
29              (f) a reference to an acquirer were a reference to a
30                    foreign acquirer (as defined in
31                    section 205ZD(1)); and



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1                       (g)   a reference to a provision of Chapter 3 were a
2                             reference to that provision as applied by
3                             section 205ZE(1).
4


5    129.       Section 277 amended
6       (1)     Delete section 277(1) and insert:
7

8               (1)    In this section --
9                      relevant licence means --
10                       (a) a business licence (as defined in section 79)
11                              that is issued, granted or given under a law of
12                              Western Australia; or
13                       (b) a fixed infrastructure statutory licence that is
14                              issued, granted or given under a law of Western
15                              Australia.
16

17      (2)     In section 277(2):
18                (a) delete "business licence" and insert:
19

20                      relevant licence
21

22               (b)    in paragraph (b) delete "business licences," and insert:
23

24                      relevant licences,
25

26      (3)     In section 277(3)(a) delete "business licence" and insert:
27

28              relevant licence
29




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1    130.         Schedule 1 amended
2                 In Schedule 1 in the item for section 11(1)(g) in column 4 after
3                 "18(g)," insert:
4

5                 (ga), (gb) or (gc),
6


7    131.         Schedule 3 clause 1 amended
8                 In Schedule 3 clause 1 in the definition of relevant acquisition
9                 delete "sections 163 and 164." and insert:
10

11                section 148.
12


13   132.         Schedule 3 Division 9 inserted
14                At the end of Schedule 3 insert:
15


16                Division 9 -- Provisions for Revenue Laws Amendment
17                                      Act 2018

18          46.          Terms used
19                (1)    In this Division --
20                       commencement day means the day on which the Revenue
21                       Laws Amendment Act 2018 Part 2 comes into operation;
22                       transaction means any transaction, transfer, acquisition or
23                       other matter of a kind on which duty is or may be
24                       chargeable under this Act and includes the following --
25                         (a)    a transaction of a kind referred to in section 11
26                                (including a transaction that would be a dutiable
27                                transaction if it related to dutiable property, new
28                                dutiable property or special dutiable property);
29                         (b)    an acquisition of an interest in an entity for the
30                                purposes of Chapter 3 or Chapter 3A Part 3;


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1                           (c)   a transaction of a kind referred to in section 205H
2                                 (including a transaction that would be a foreign
3                                 dutiable transaction if it related to residential
4                                 property, special residential property or new
5                                 residential property);
6                           (d)   the grant or transfer of a licence for a vehicle for the
7                                 purposes of Chapter 5.
8                   (2)   In this Division a reference to doing anything includes
9                         omitting to do anything.
10                  (3)   For the purposes of this Division --
11                          (a)   when an acquisition of an interest in an entity for
12                                the purposes of Chapter 3 occurs is to be
13                                determined under section 176; and
14                          (b)   when an acquisition of an interest in an entity for
15                                the purposes of Chapter 3A Part 3 occurs is to be
16                                determined under section 176 as applied by
17                                section 205ZE(1).

18            47.         Application of amendments made by Revenue Laws
19                        Amendment Act 2018
20                  (1)   The amendments made by the Revenue Laws Amendment
21                        Act 2018 apply in relation to the imposition of duty on
22                        transactions that occur on or after commencement day.
23                  (2)   Sections 155(4), 156A, 204D(2)(d) and 204F (including
24                        sections 156A and 204F as applied by section 205ZE(1)) do
25                        not apply in relation to acquisitions that together form,
26                        evidence, give effect to or arise from what is, substantially
27                        one arrangement unless each of those acquisitions occurs on
28                        or after commencement day.
29                  (3)   Section 91C(3) does not apply in relation to transactions that
30                        together form, evidence, give effect to, or arise from what is,
31                        substantially one arrangement unless each of those
32                        transactions occurs on or after commencement day.
33                  (4)   Sections 14(3) and 91C(4) do not apply in relation to a
34                        transaction and an acquisition or agreement that together
35                        form, evidence, give effect to, or arise from what is,

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1                substantially one arrangement unless each of the transaction
2                and the acquisition or agreement occurs on or after
3                commencement day.
4          (5)   This clause has effect subject to the other provisions of this
5                Division.

6    48.         Definition of land taken always to have included pastoral
7                leases
8          (1)   In this clause --
9                pre-commencement period means the period beginning on
10               1 July 2008 and ending immediately before commencement
11               day.
12         (2)   This Act is taken, for all purposes, to have applied during
13               the pre-commencement period as if the definition of land in
14               force for the purposes of this Act had, at all times during the
15               pre-commencement period, included an express statement
16               that land includes a pastoral lease and an interest of a
17               pastoral lessee under a pastoral lease.
18         (3)   Without limiting subclause (2), an assessment of duty
19               chargeable under this Act made, or purported to be made, in
20               the pre-commencement period is, and is taken to have
21               always been, as valid and effective as it would have been if,
22               when the liability for duty arose, the definition of land in
23               force for the purposes of this Act had included the statement
24               referred to in subclause (2).
25         (4)   Without limiting subclause (2), if a transaction occurred
26               during the pre-commencement period, but an assessment of
27               duty in relation to the transaction was not made before
28               commencement day, an assessment of duty made on or after
29               commencement day in relation to the transaction is to be
30               made as if, when the transaction occurred, the definition of
31               land in force for the purposes of this Act had included the
32               statement referred to in subclause (2).




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1             49.         Validation of administration agreements entered into
2                         before commencement day
3                   (1)   In this clause --
4                         previous administration agreement means an
5                         administration agreement entered into under the First Home
6                         Owner Grant Act 2000 section 37 on or after
7                         3 October 2015 and before commencement day.
8                   (2)   A previous administration agreement entered into, or
9                         purported to be entered into, is, and is taken to have always
10                        been, as valid and effective as it would have been if the
11                        amendment made by the Revenue Laws Amendment
12                        Act 2018 section 52 had been in force when the agreement
13                        was entered into.

14            50.         Transfers of vehicle licences between spouses between
15                        1 July 2014 and commencement day
16                  (1)   In this clause --
17                        amended section 244A means section 244A as in force
18                        immediately after the coming into operation of the Revenue
19                        Laws Amendment Act 2018 section 117;
20                        relevant vehicle licence transfer means the transfer of a
21                        licence for a vehicle if --
22                          (a)   the transfer occurred during the period beginning on
23                                1 July 2014 and ending immediately before
24                                commencement day; and
25                          (b)   the person from whom, and the person to whom, the
26                                licence was transferred were married to each other
27                                or de facto partners of 2 years when the transfer
28                                occurred.
29                  (2)   When this clause uses a term that is used in Chapter 5, the
30                        term has the same meaning in this clause as it has in that
31                        Chapter.
32                  (3)   An assessment made, or purported to be made, before
33                        commencement day that no duty was chargeable on a
34                        relevant vehicle licence transfer is, and is taken to have
35                        always been, as valid and effective as it would have been if

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1                amended section 244A had been in force when the transfer
2                occurred.
3          (4)   If no assessment of vehicle licence duty on a relevant
4                vehicle licence transfer was made before commencement
5                day, an assessment of vehicle licence duty on the transfer
6                made after commencement day must be made as if amended
7                section 244A had been in force when the transfer occurred.
8          (5)   If an assessment that vehicle licence duty was chargeable on
9                a relevant vehicle licence transfer was made before
10               commencement day, and vehicle licence duty would not
11               have been chargeable on the transfer if amended
12               section 244A had been in force when the transfer occurred,
13               the Commissioner must, on application by the transferee,
14               make a reassessment of the liability for vehicle licence duty
15               as if amended section 244A had been in force at that time.
16         (6)   The limitations as to time in the Taxation Administration
17               Act section 17 do not apply in respect of a reassessment
18               under subclause (5), but an application for reassessment
19               under that subclause must be made on or before the later
20               of --
21                 (a) the day that is 5 years after the day on which the
22                       original assessment was made; or
23                 (b) the day that is 12 months after commencement day.

24   51.         Provisions relating to exemptions for connected entities
25         (1)   The amendments to Chapter 6 made by the Revenue Laws
26               Amendment Act 2018 sections 118 to 128 apply in relation
27               to an exemption if the application for the exemption is made
28               on or after commencement day, whether the transaction
29               occurred before or after commencement day.
30         (2)   Despite subclause (1), section 263(4)(a) and (b) (as in force
31               on commencement day), section 264A and sections 266A to
32               266D do not apply in relation to a relevant transaction that
33               occurred before commencement day.




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1                   (3)   Subclause (4) applies if --
2                           (a) before commencement day, the Commissioner
3                                makes a decision under section 261 on a
4                                pre-transaction decision request made under
5                                section 261(2) or (3) (as in force immediately
6                                before commencement day) in relation to a
7                                proposed relevant transaction; and
8                           (b)   the decision is --
9                                    (i)   in relation to a request made under
10                                         section 261(2) -- that if the transaction
11                                         were entered into it would be exempted; or
12                                  (ii)   in relation to a request made under
13                                         section 261(3) -- that if the transaction
14                                         were entered into and exempted, the
15                                         exemption would not be revoked under
16                                         section 265;
17                                and
18                          (c)   the transaction is not entered into before
19                                commencement day.
20                  (4)   Despite section 261(10), the Commissioner is not bound by
21                        the pre-transaction decision request if the Commissioner
22                        would have made a different decision on the request if the
23                        amendments made by the Revenue Laws Amendment
24                        Act 2018 sections 123 to 126 had been in force when the
25                        decision was made.
26                  (5)   Section 261(7)(b) does not apply to a pre-transaction
27                        decision request if the pre-transaction decision request that
28                        was made previously referred to in that section was made
29                        before commencement day.

30            52.         Provisions about validated assessments
31                  (1)   In this clause --
32                        previous assessment means an assessment to which
33                        clause 48(3) or 50(3) applies.




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1          (2)   The rights, obligations and liabilities of all persons are taken
2                to be, and to have always been, the same as if a previous
3                assessment had been validly made.
4          (3)   Anything done, or purportedly done, before commencement
5                day is as valid and effective, and is to be taken to have
6                always been as valid and effective, as it would have been if
7                a previous assessment had been validly made.

8    53.         Application of s. 195B and 195 to acquisitions before
9                commencement day
10               Section 195B applies in relation to a main acquisition
11               referred to in section 195B(1) or (3) that occurred before
12               commencement day, and section 195 applies in relation to a
13               relevant acquisition referred to in section 195(1) or (3) that
14               occurred before commencement day, as if --
15                 (a)   a reference to section 154B(a) included a reference
16                       to section 156(8)(a) as in force immediately before
17                       commencement day; and
18                 (b)   a reference to section 154B(b) included a reference
19                       to section 156(8)(b) as in force immediately before
20                       commencement day.
21




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1       Part 3 -- Land Tax Assessment Act 2002 amended
2                           Division 1 -- Act amended
3    133.       Act amended
4               This Part amends the Land Tax Assessment Act 2002.

5      Division 2 -- Amendments commencing on day after Royal
6                            Assent
7    134.       Section 18A inserted
8               After section 18 insert:
9


10          18A.      Taxable value of land subject to partial exemption
11              (1)   In this section --
12                    exemption provision means a provision of this part
13                    referred to in section 17(1)(b);
14                    relevant requirements, in relation to an exemption
15                    provision, has the meaning given in section 18(1).
16              (2)   This section applies if, under section 18, an exemption
17                    for an assessment year applies to a lot or parcel of land
18                    only to a particular extent because --
19                      (a) the relevant requirements of the exemption
20                            provision do not apply to any extent in respect
21                            of a part of the area of the lot or parcel; and
22                      (b) the relevant requirements of the exemption
23                            apply, or apply to some extent, in respect of the
24                            remainder of the area of the lot or parcel (the
25                            exempt area).
26              (3)   For the purposes of determining the taxable value of
27                    the lot or parcel for the assessment year, the
28                    unimproved value of the lot or parcel for the


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1                 assessment year is the unimproved value of the whole
2                 of the lot or parcel reduced by the unimproved value of
3                 the exempt area, but only to the extent to which the
4                 relevant requirements of the exemption provision apply
5                 in respect of the exempt area.
6           (4)   The unimproved value of the exempt area for the
7                 purposes of subsection (3) is the amount that bears the
8                 same proportion to the unimproved value, as
9                 determined by the Valuer-General, of the whole of the
10                lot or parcel as the exempt area bears to the whole area
11                of the lot or parcel.
12          (5)   If there is a multi-storey building on the lot or parcel,
13                the Commissioner may determine --
14                  (a) an area that is to be treated as the exempt area
15                         for the purposes of this section; and
16                  (b) an area that is to be treated as the whole area of
17                         the lot or parcel for the purposes of
18                         subsection (4).
19          (6)   A determination under subsection (5) --
20                 (a) may be made on any basis that the
21                       Commissioner decides is appropriate, taking
22                       into account the areas of the lot or parcel and
23                       parts of the building to which the relevant
24                       requirements apply or apply to some extent;
25                       and
26                 (b) has effect according to its terms.
27


28   135.   Section 26A amended
29          After section 26A(3)(a)(ii) insert:
30

31                        (iii)   a child of the disabled person;
32




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1    136.         Section 29 amended
2                 In section 29 in the definition of beneficiary delete "an
3                 individual" and insert:
4

5                 a person
6


7    137.         Section 46 amended
8                 After section 46(3) insert:
9

10                (4)   Regulations may be expressed to apply to or in relation
11                      to an assessment year that began before the day on
12                      which the regulations came into operation if the
13                      application of the regulations to or in relation to that
14                      assessment year would not adversely affect a person
15                      who is or may become liable to pay land tax for the
16                      assessment year.
17
18   138.         Schedule 1 Division 6 inserted
19                At the end of Schedule 1 insert:
20


21                Division 6 -- Provisions for Revenue Laws Amendment
22                                      Act 2018

23          20.         Application of section 30D to land held in trust for
24                      assessment year 2019/20
25                (1)   In this clause --
26                      compliant trustee, in relation to land, means a trustee of a
27                      discretionary or other trust (other than a unit trust scheme)
28                      that is --
29                        (a)   a family owner of the land under section 30H(c); or




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1                       (b)   a person related to a family owner of the land
2                             described in section 30I(1)(d), 30J(d), 30K(d) or
3                             30(d).
4              (2)    Land is exempt under section 30D for the assessment year
5                     ending 30 June 2020 if --
6                       (a)   it would not be so exempt, but for this clause, solely
7                             because a trustee was not a compliant trustee at
8                             midnight on 30 June 2019; and
9                       (b)   the trustee would have been a compliant trustee at
10                            midnight on 30 June 2019 but for the amendment to
11                            the definition of beneficiary in section 29 made by
12                            the Revenue Laws Amendment Act 2018
13                            section 136; and
14                      (c)   on or before midnight on 30 June 2020 the trustee is
15                            a compliant trustee.
16


17          Division 3 -- Amendments commencing on 1 July 2019
18   139.      Part 3 Division 2 Subdivision 1 heading inserted
19             At the beginning of Part 3 Division 2 insert:
20


21              Subdivision 1 -- Exemptions and rebates for private
22                             residential property
23


24   140.      Part 3 Division 2 Subdivision 2 inserted:
25             At the end of Part 3 Division 2 insert:
26


27                 Subdivision 2 -- Application of private residential
28                           exemptions to subdivided land

29          28A.      Terms used
30                    In this Subdivision --

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1                     exemption period means --
2                       (a) in relation to section 24, 25 or 27 -- an
3                              assessment year;
4                       (b) in relation to section 24A, 25A or 27A -- a
5                              period of 2 consecutive assessment years;
6                     exemption provision means section 24, 24A, 25, 25A,
7                     27 or 27A;
8                     new lot, in relation to a subdivision of land, means a lot
9                     that comes into existence as a result of the subdivision;
10                    parent lot, in relation to a subdivision of land, means a
11                    lot that ceases to be a lot for the purposes of this Act
12                    under the Glossary clause 2(2) as a result of the
13                    subdivision.

14        28B.        Application of certain private residential
15                    exemptions to property subdivided during
16                    exemption period
17              (1)   This section applies if --
18                     (a) land is subdivided during an exemption period
19                           for an exemption provision; and
20                     (b) because of the subdivision, there are 1 or more
21                           requirements (the unsatisfied requirements) of
22                           the exemption provision that --
23                              (i) are not satisfied in relation to private
24                                   residential property that is a parent lot in
25                                   relation to the subdivision; but
26                             (ii) would be satisfied if the private
27                                   residential property the subject of the
28                                   exemption provision were 1 or more of
29                                   the new lots in relation to the
30                                   subdivision.
31              (2)   For the purposes of the application of the exemption
32                    provision to private residential property that is a parent


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1          lot referred to in subsection (1)(b)(i) for the exemption
2          period --
3            (a) the unsatisfied requirements are taken to be
4                   satisfied; and
5            (b) if an exemption applies to the parent lot
6                   because of paragraph (a), the exemption applies
7                   only to the part or parts of the parent lot that,
8                   after the subdivision, constitute the new lot or
9                   lots referred to in subsection (1)(b)(ii); and
10           (c) if there is any area of the parent lot to which the
11                  exemption does not apply because of
12                  paragraph (b), the taxable value of the parent
13                  lot is to be determined under section 18A as if
14                  the area of each new lot referred to in
15                  subsection (1)(b)(ii) were an exempt area
16                  referred to in section 18A(2).
17   (3)   For the purposes of determining under
18         subsection (1)(b)(ii) whether a relevant requirement
19         would be satisfied in relation to a new lot --
20           (a) a requirement that relates to the ownership of
21                 the private residential property at midnight on
22                 30 June immediately before the exemption
23                 period is taken to be satisfied in relation to a
24                 new lot if each person who is an owner of that
25                 new lot after the subdivision (a new lot owner)
26                 was also an owner of the parent lot at that time;
27                 and
28           (b) if, at that time, the new lot owners owned the
29                 parent lot jointly with 1 or more other
30                 persons -- the new lot is taken to have been
31                 owned at that time by the new lot owners only.
32   (4)   A reference in subsection (3) to an owner of a new lot
33         after a subdivision is to a person who is an owner of



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1                     the new lot after the certificate of title for the new lot is
2                     registered under the Transfer of Land Act 1893.

3         28C.        Application of requirements relating to sale or
4                     disposal of subdivided property
5               (1)   For the purposes of the application of section 27 or
6                     27A to private residential property, a requirement in
7                     section 27(1)(f) or 27A(1)(j) that relates to the property
8                     acquired first referred to in that section is taken to be
9                     satisfied if --
10                      (a) the property acquired first is subdivided during
11                            the exemption period for section 27 or 27A
12                            (whichever is relevant); and
13                      (b) the requirement is satisfied in relation to each
14                            of the new lots in relation to the subdivision.
15              (2)   Subsection (1) applies in relation to the requirement in
16                    section 27(1)(f) whether the property acquired first is
17                    property A or property B referred to in section 27.
18              (3)   Despite section 28B(2)(a), a requirement in
19                    section 27(1)(f) or 27A(1)(j) is not taken to be satisfied
20                    under that section unless subsection (1)(b) of this
21                    section applies.

22        28D.        Application of 2-year private residential exemptions
23                    if property subdivided during first year
24                    If private residential property that is a parent lot is
25                    exempt under section 24A, 25A or 27A (the relevant
26                    2-year exemption provision) because of the application
27                    of section 28B(2), and the subdivision occurs in the
28                    first assessment year of the exemption period for the
29                    relevant 2-year exemption provision, the exemption
30                    applies for the second year of the exemption period to
31                    the private residential property that is each new lot
32                    referred to in section 28B(2)(b) rather than to the
33                    parent lot.

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1    28E.    Ownership of land during period when land
2            subdivided but certificates of title not issued
3      (1)   This section applies if --
4             (a) a parent lot that is owned jointly by 2 or more
5                   persons (the joint owners) is subdivided; and
6             (b) there is a period of time (the relevant period)
7                   between the subdivision occurring and a
8                   certificate of title for any new lot being
9                   registered under the Transfer of Land Act 1893;
10                  and
11            (c) either --
12                     (i) after the certificate of title is registered,
13                          each new lot is owned by some, but not
14                          all, of the joint owners (the relevant
15                          owners); or
16                    (ii) the Commissioner is satisfied that after
17                          the certificate of title is registered, each
18                          new lot will be owned by some, but not
19                          all, of the joint owners (the relevant
20                          owners).
21     (2)   For the purposes of this Division, the Commissioner
22           may treat each new lot as being owned during the
23           relevant period by the relevant owners only rather than
24           by all of the joint owners.
25




                                                                 page 145
     Revenue Laws Amendment Bill 2018
     Part 3        Land Tax Assessment Act 2002 amended
     Division 3    Amendments commencing on 1 July 2019
     s. 141



1    141.         Schedule 1 amended
2                 At the end of Schedule 1 Division 6 insert:
3


4           21.         Application of amendments relating to subdivision of
5                       land
6                 (1)   Part 3 Division 2 Subdivision 2 (other than section 28E)
7                       applies in relation to exemption periods (as defined in
8                       section 28A) that begin on or after 1 July 2019.
9                 (2)   Section 28E and the Glossary clause 2(2) apply in relation to
10                      assessment years that begin on or after 1 July 2019, whether
11                      the subdivision referred to in whichever of those provisions
12                      is relevant occurs before or after 1 July 2019.
13                (3)   Despite subclauses (1) and (2), Part 3 Division 2
14                      Subdivision 2 and the Glossary clause 2(2) do not apply for
15                      the purposes of determining whether private residential
16                      property is exempt under section 24, 24A, 25, 25A or 27A
17                      (the relevant exemption provision) if the commencement
18                      date for the construction or refurbishment referred to in the
19                      relevant exemption provision is before 1 July 2019.
20


21   142.         Glossary clause 2 amended
22                After the Glossary clause 2(1) insert:
23

24                (2)   Despite subclause (1), if --
25                       (a) land that constitutes a lot (the parent lot) is
26                              subdivided resulting in 2 or more new lots referred
27                              to in paragraph (a)(vii) or (c) of the definition of lot
28                              in subclause (1) coming into existence, the parent
29                              lot ceases to be a lot for the purposes of this Act
30                              when the new lots come into existence; or
31                        (b)   land that constitutes 2 or more lots (the parent lots)
32                              is subdivided resulting in a single new lot referred
33                              to in paragraph (a)(vii) or (c) of the definition of lot
34                              in subclause (1) coming into existence, the parent

     page 146
                                      Revenue Laws Amendment Bill 2018
                     Land Tax Assessment Act 2002 amended        Part 3
      Amendment commencing when Community Titles Act 2018 s. Division 4
                                        219(3) commences
                                                                 s. 143

1                          lots cease to be lots for the purposes of this Act
2                          when the new lot comes into existence.
3           (2A)   Subclause (2) does not prevent land tax from being payable
4                  on a parent lot, or an exemption, concession or rebate from
5                  applying in relation to the parent lot, for the financial year in
6                  which the land is subdivided or any earlier financial year.
7           (2B)   Subclause (2) does not apply to a subdivision of land in
8                  circumstances prescribed by the regulations.
9


10   Division 4 -- Amendment commencing when Community Titles
11                  Act 2018 s. 219(3) commences
12   143.    Glossary clause 2 amended
13           In the Glossary clause 2(2)(a) and (b) delete "paragraph (a)(vii)"
14           and insert:
15

16           paragraph (a)(via), (vii)
17




                                                                             page 147
     Revenue Laws Amendment Bill 2018
     Part 4        Pay-roll Tax Assessment Act 2002 amended

     s. 144



1      Part 4 -- Pay-roll Tax Assessment Act 2002 amended
2    144.       Act amended
3               This Part amends the Pay-roll Tax Assessment Act 2002.

4    145.       Section 9FA amended
5               Delete section 9FA(3)(a) and (b) and insert:
6

7                      (a)   the rate determined by the Commissioner of
8                            Taxation of the Commonwealth under the ITA
9                            Act section 28-25(4) as the rate of cents per
10                           kilometre for cars for the income year
11                           corresponding to the financial year immediately
12                           preceding the financial year in which the
13                           allowance is paid or payable; or
14                     (b)   if no determination referred to in paragraph (a)
15                           is in force -- the rate prescribed in the
16                           regulations.
17


18




     page 148

 


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