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This is a Bill, not an Act. For current law, see the Acts databases.
Western Australia
Revenue Laws Amendment (Tax Relief)
Bill 2004
CONTENTS
Part 1 -- Preliminary
1. Short title 2
2. Commencement 2
Part 2 -- Pay-roll Tax Assessment
Act 2002 amended
Division 1 -- The Act amended
3. The Act amended 3
Division 2 -- Amendments commencing on
1 January 2005
4. Section 22A inserted 3
5. Section 29 amended and transitional provision 6
6. Glossary amended 8
Division 3 -- Amendments commencing on
1 July 2006
7. Section 11 amended 8
8. Section 12 amended 9
9. Section 15 amended 10
10. Section 16 amended 10
11. Section 19 amended 10
12. Section 20 amended 11
13. Section 27 amended 11
14. Section 28A inserted 11
15. Section 29 amended and transitional provision 12
16. Section 45 amended 14
17. Glossary amended 14
353--1 page i
Revenue Laws Amendment (Tax Relief) Bill 2004
Contents
Part 3 -- Taxation Administration
Act 2003 amended
18. The Act amended 15
19. Section 23 amended 15
Part 4 -- Reassessment
20. Certain instruments to be assessed again 16
page ii
Western Australia
LEGISLATIVE ASSEMBLY
Revenue Laws Amendment (Tax Relief)
Bill 2004
A Bill for
An Act to amend the --
• Pay-roll Tax Assessment Act 2002; and
• Taxation Administration Act 2003,
and for other purposes.
The Parliament of Western Australia enacts as follows:
page 1
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 1 Preliminary
s. 1
Part 1 -- Preliminary
1. Short title
This Act may be cited as the Revenue Laws Amendment (Tax
Relief) Act 2004.
2. Commencement
(1) Subject to subsections (2) and (3), this Act comes into operation
on the day on which it receives the Royal Assent.
(2) Part 2 Divisions 1 and 2 come into operation on 1 January 2005.
5 (3) Part 2 Division 3 comes into operation on 1 July 2006.
page 2
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
The Act amended Division 1
s. 3
Part 2 -- Pay-roll Tax Assessment Act 2002 amended
Division 1 -- The Act amended
3. The Act amended
The amendments in this Part are to the Pay-roll Tax Assessment
5 Act 2002*.
[* Act No. 48 of 2002.
For subsequent amendments see Western Australian
Legislation Information Tables for 2003, Table 1, p. 281 and
Act No. 12 of 2004.]
10 Division 2 -- Amendments commencing on 1 January 2005
4. Section 22A inserted
After section 22 the following section is inserted --
"
22A. Effect of change in tax rate during 2004/5 year
15 (1) The purpose of this section is to modify provisions of
this Act that operate by reference to the pay-roll tax
rate, and related provisions, to the extent that they
apply to the assessment year commencing on
1 July 2004 (the "2004/5 year").
20 (2) The modifications are required because the rate of
pay-roll tax (the "old rate") for the first 6 months of
the 2004/5 year (the "first period") differs from the
rate of pay-roll tax (the "new rate") for the last
6 months of that year (the "second period").
25 (3) When using a provision of this Act to calculate the
amount of pay-roll tax payable for --
(a) the whole or part of a progressive return period
that is during the 2004/5 year and before the
page 3
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 2 Amendments commencing on 1 January 2005
s. 4
second period commences, a reference to the
pay-roll tax rate means the old rate;
(b) the whole or part of a progressive return period
that is during the 2004/5 year and after the first
5 period ends, a reference to the pay-roll tax rate
means the new rate.
(4) To calculate the amount of pay-roll tax payable by an
employer or group for a period (the "tax period") that
is the whole or part of the 2004/5 year --
10 (a) separate amounts are to be calculated, as
described in subsection (5), for --
(i) any part of the tax period that is before
1 January 2005 (the "first part of the
tax period"); and
15 (ii) any part of the tax period that is after
31 December 2004 (the "second part of
the tax period");
and
(b) the amount, if any, calculated for the second
20 part of the tax period is to be added to the
amount, if any, calculated for the first part of
the tax period to give the total amount payable
for the tax period.
(5) To calculate the amount for the first part of the tax
25 period or the second part of the tax period (the
"relevant part period"), the provision that applies for
the calculation of the amount of pay-roll tax payable
for the tax period is to be used, but in using that
provision --
30 (a) a reference to the tax period is to be taken to
refer to the relevant part period, except in a
reference to an annual threshold amount or an
apportioned threshold amount;
page 4
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
Amendments commencing on 1 January 2005 Division 2
s. 4
(b) a reference to the pay-roll tax rate means --
(i) if the relevant part period is the first part
of the tax period, the old rate; and
(ii) if the relevant part period is the second
5 part of the tax period, the new rate;
(c) if the provision is section 10(1), the amount
referred to in section 10(1)(b) is to be
multiplied by the part period factor, as defined
in subsection (6); and
10 (d) if the provision refers to an apportioned
threshold amount, the calculation of the
apportioned threshold amount for the tax period
under section 12(1), 14, or 18, as the case
requires, (the "calculation provision") is
15 modified by multiplying the amount that T
represents in the formula in the calculation
provision by the part period factor, as defined
in subsection (6).
(6) In subsection (5)(c) and (d) --
20 "part period factor" means the amount represented by
F in the formula --
Wp
F=
W
where --
WP is the total amount of WA taxable
25 wages paid or payable by the employer
or group during the relevant part
period;
W is the total amount of WA taxable
wages paid or payable by the employer
30 or group during the tax period.
".
page 5
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 2 Amendments commencing on 1 January 2005
s. 5
5. Section 29 amended and transitional provision
(1) Section 29(1) is amended by deleting "An employer may" and
inserting instead --
"
5 A non-group employer may, or a DGE on behalf of all
the members of a group may,
".
(2) After section 29(1) the following subsections are inserted --
"
10 (1a) Except as stated in subsection (1c) or (1d), the
Commissioner has to give an exemption on receiving
an application from an employer having, or the DGE of
a group having, an expected pay-roll tax liability for
the assessment year that is less than --
15 (a) $20 000; or
(b) a greater amount prescribed for the purpose of
this subsection by the regulations.
(1b) In subsection (1a) --
"expected pay-roll tax liability" means the amount of
20 pay-roll tax for which the employer or group
would be liable in the assessment year if, during
that year, the employer, or the employers of the
group between them, paid or were liable to pay
WA taxable wages and interstate taxable wages --
25 (a) equal to those that the employer paid or was
liable to pay, or the employers of the group
between them paid or were liable to pay,
during the immediately preceding
assessment year; or
30 (b) if the Commissioner is satisfied that applying
paragraph (a) would not result in a
reasonable approximation of the wages to be
paid in the assessment year, as reasonably
page 6
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
Amendments commencing on 1 January 2005 Division 2
s. 5
assessed by the employer or, in the case of a
group, the DGE.
(1c) The Commissioner may decline to give an exemption
until the applicant provides to the Commissioner
5 sufficient information to justify any assessment under
paragraph (b) of the definition of "expected pay-roll
tax liability" in subsection (1b).
(1d) The Commissioner may decline to give an exemption if
the Commissioner considers that the effect of the
10 exemption would create an unacceptable risk of a
person failing to satisfy a liability in accordance with
this Act.
".
(3) Section 29(2) is amended by inserting after "may" --
15 " , in any other circumstances, ".
(4) After section 29(4) the following subsections are inserted --
"
(4a) An exemption for the members of a group has to apply
to every member of the group, and has to result in each
20 member of the group lodging returns at the same
frequency.
(4b) An exemption under subsection (1a) cannot exclude the
operation of subsection (8)(a).
".
25 (5) Section 29(6) is amended by inserting after "revocation" --
"
except that the Commissioner cannot revoke an
exemption that subsection (1a) would oblige the
Commissioner to give if an application were made for
30 the exemption unless --
(a) the person having the benefit of the exemption
consents; or
page 7
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 3 Amendments commencing on 1 July 2006
s. 6
(b) the Commissioner considers that the effect of
the exemption would create an unacceptable
risk of a person failing to satisfy a liability in
accordance with this Act.
5 ".
(6) The amendments made by this section do not affect an
exemption given before the coming into operation of this
section.
6. Glossary amended
10 (1) The amendments in this section are to the Glossary at the end of
the Act.
(2) Clause 1 is amended as follows:
(a) in the definition of "pay-roll tax rate" --
(i) by inserting before "return period" in the first
15 place where it occurs --
" progressive "; and
(ii) by deleting "return" before "period" in the
second place where it occurs;
(b) by inserting in the appropriate alphabetical position the
20 following definition --
"
"progressive return period" means a period for
which an employer is required by section 26, or by
a condition of an exemption under section 29, to
25 lodge a return;
".
Division 3 -- Amendments commencing on 1 July 2006
7. Section 11 amended
Section 11 is amended as follows:
30 (a) by deleting "monthly" and inserting instead --
" progressive ";
page 8
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
Amendments commencing on 1 July 2006 Division 3
s. 8
(b) by deleting "month" in the first place where it occurs
and inserting instead --
" progressive return period ";
(c) by deleting "month" in each place where it occurs in
5 paragraph (a) or (b) and inserting instead --
" period ".
8. Section 12 amended
Section 12(2) is amended as follows:
(a) by deleting "month" in the first 2 places where it occurs
10 and inserting instead --
" progressive return period ";
(b) in the formula --
(i) by inserting before "T" --
" N x "; and
15 (ii) by deleting "M" and inserting instead --
" P ";
(c) by inserting before the description of "T" --
"
N is the number of months in the period;
20 ".
(d) in the description of "D", by deleting "month" in both
places where it occurs and inserting instead --
" period ";
(e) by deleting the description of "M" and inserting
25 instead --
"
P is the number of days in the period.
".
page 9
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 3 Amendments commencing on 1 July 2006
s. 9
9. Section 15 amended
(1) Section 15(1) is amended as follows:
(a) by deleting "month" in the first place where it occurs
and inserting instead --
5 " progressive return period ";
(b) in paragraph (a), by deleting "month" and inserting
instead --
" period ".
(2) Section 15(8) is amended by inserting before "return period" --
10 " progressive ".
10. Section 16 amended
Section 16(1) and (2) are each amended by inserting before
"return periods" --
" progressive ".
15 11. Section 19 amended
(1) Section 19(1) is amended as follows:
(a) by deleting "monthly" and inserting instead --
" progressive ";
(b) by deleting "return" before "period." at the end of the
20 subsection.
(2) Section 19(2) is amended as follows:
(a) by deleting "monthly" and inserting instead --
" progressive ";
(b) by deleting "return" before "period;" at the end of
25 paragraph (a).
page 10
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
Amendments commencing on 1 July 2006 Division 3
s. 12
12. Section 20 amended
Section 20(1) and (2) are each amended by inserting before
"return periods" --
" progressive ".
5 13. Section 27 amended
Section 27(1) is amended by deleting "monthly returns" and
inserting instead --
" returns for progressive return periods ".
14. Section 28A inserted
10 After section 28 the following section is inserted --
"
28A. Manner of lodging and paying in certain cases
(1) In a circumstance described in subsection (2), a return
referred to in that subsection must be lodged, and
15 payment of any pay-roll tax that is due on the last day
for lodging the return must be made, in the manner
prescribed in the regulations.
(2) Subsection (1) applies if --
(a) an employer --
20 (i) has, or is a member of a group that has,
an expected pay-roll tax liability for an
assessment year that is not less than the
amount applying under
section 29(1aa)(a) or (b); and
25 (ii) is required to lodge a return for a
progressive return period in that
assessment year or, to lodge an
additional return under section 27 for
that year;
30 or
page 11
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 3 Amendments commencing on 1 July 2006
s. 15
(b) a condition of an exemption under section 29
requires a return to be lodged in accordance
with this section.
(3) In subsection (2)(a)(i) --
5 "expected pay-roll tax liability" has the meaning
given to that term in section 29(1b).
".
15. Section 29 amended and transitional provision
(1) After section 29(1a) the following subsection is inserted --
10 "
(1aa) Except as stated in subsection (1c) or (1d), the
Commissioner has to give an exemption on receiving
an application from an employer having, or the DGE of
a group having, an expected pay-roll tax liability for
15 the assessment year that is not less than the amount
applying under subsection (1a)(a) or (b) but is less
than --
(a) $100 000; or
(b) a greater amount prescribed for the purpose of
20 this subsection by the regulations.
".
(2) Section 29(1b) is amended by deleting "subsection (1a)" and
inserting instead --
" subsections (1a) and (1aa) ".
25 (3) Section 29(4) is amended as follows:
(a) by deleting "prescribed";
(b) by inserting after "(if any)" in the first place where it
occurs --
" prescribed in the regulations ".
page 12
Revenue Laws Amendment (Tax Relief) Bill 2004
Pay-roll Tax Assessment Act 2002 amended Part 2
Amendments commencing on 1 July 2006 Division 3
s. 15
(4) After section 29(4b) the following subsections are inserted --
"
(4c) Without limiting any other conditions that can be
prescribed or specified, an exemption under
5 subsection (1aa) is on the conditions that --
(a) a return is lodged for each quarter, and the
lodging of the return, the form of it, and the
information specified in it, are as section 26
would describe if a reference in that section to a
10 month referred to a quarter;
(b) the return is lodged in accordance with
section 28A; and
(c) any return under section 27 is also lodged in
accordance with section 28A.
15 (4d) In subsection (4c) --
"quarter" means a period of 3 months commencing on
1 July, 1 October, 1 January or 1 April.
".
(5) Section 29(6) is amended by inserting after "subsection (1a)" --
20 " or (1aa) ".
(6) Section 29(8) is amended as follows:
(a) in paragraph (a), by deleting "the notice of " and
inserting instead --
" a condition of the ";
25 (b) by deleting paragraph (b) and inserting instead the
following paragraph --
"
(b) if a condition of the exemption requires returns
to be lodged more frequently than annually,
30 lodge returns as the condition requires.
".
page 13
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 2 Pay-roll Tax Assessment Act 2002 amended
Division 3 Amendments commencing on 1 July 2006
s. 16
(7) The amendments made by this section do not affect an
exemption given before the coming into operation of this
section.
16. Section 45 amended
5 After section 45(2)(f) the following paragraph is inserted --
"
(fa) the manner of lodging a return or making a
payment in a circumstance in which
section 28A(1) applies, which may include
10 lodgment or payment by electronic means;
".
17. Glossary amended
(1) The amendments in this section are to the Glossary at the end of
the Act.
15 (2) Clause 1 is amended in the definition of "return period" by
deleting paragraph (c) and inserting instead --
"
(c) if the employer is exempt under section 29
from lodging monthly returns --
20 (i) unless subparagraph (ii) applies, an
assessment year;
(ii) if a condition of the exemption requires
returns to be lodged more frequently
than annually, a progressive return
25 period;
".
page 14
Revenue Laws Amendment (Tax Relief) Bill 2004
Taxation Administration Act 2003 amended Part 3
s. 18
Part 3 -- Taxation Administration Act 2003 amended
18. The Act amended
The amendment in this Part is to the Taxation Administration
Act 2003*.
5 [* Act No. 1 of 2003.
For subsequent amendments see Western Australian
Legislation Information Tables for 2003, Table 1, p. 385 and
Acts Nos. 66 of 2003 and 12 of 2004.]
19. Section 23 amended
10 Section 23(2)(c) is amended by inserting after "2002" --
"
or land tax imposed under the Land Tax
Act 2002 is waived under section 56
".
page 15
Revenue Laws Amendment (Tax Relief) Bill 2004
Part 4 Reassessment
s. 20
Part 4 -- Reassessment
20. Certain instruments to be assessed again
(1) In this section --
"Commissioner" means the Commissioner of State Revenue
5 appointed in accordance with the Taxation Administration
Act 2003 section 6;
"duty" means duty payable under the Stamp Act 1921;
"former provisions" means the provisions of the Stamp
Act 1921 that are amended by the Revenue Laws
10 Amendment (Tax Relief) Act (No. 2) 2004 Part 4, as those
provisions were enacted immediately before
29 October 2004;
"instrument" means a conveyance or transfer of property or a
contract, agreement or other instrument that is chargeable
15 with duty as a conveyance or transfer of property;
"new provisions" means the provisions of the Stamp Act 1921
as amended by the Revenue Laws Amendment (Tax Relief)
Act (No. 2) 2004 Part 4.
(2) The Commissioner must make an assessment under the new
20 provisions of the duty on any instrument --
(a) which was first executed on or after 29 October 2004;
and
(b) on which duty has been assessed under the former
provisions.
25 (3) Subsection (2) does not authorise the Commissioner to make an
assessment under the new provisions of the duty on an
instrument to the extent (if any) to which the former provisions
apply in relation to it under the Revenue Laws Amendment (Tax
Relief) Act (No. 2) 2004 section 9(2)(b).
page 16
Revenue Laws Amendment (Tax Relief) Bill 2004
Reassessment Part 4
s. 20
(4) The Taxation Administration Act 2003 sections 18 and 54(1)(a)
apply in relation to an assessment under subsection (2) as if it
were a reassessment under section 16 of that Act.
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