New South Wales Bills New South Wales Bills[Index] [Search] [Download] [Related Items] [Help]
This is a Bill, not an Act. For current law, see the Acts databases.
State Revenue Legislation Further
Amendment Bill (No 2) 2009
No , 2009
A Bill for
An Act to make miscellaneous amendments to certain State revenue legislation.
Clause 1 State Revenue Legislation Further Amendment Bill (No 2) 2009
The Legislature of New South Wales enacts: 1
1 Name of Act 2
This Act is the State Revenue Legislation Further Amendment Act 3
(No 2) 2009. 4
2 Commencement 5
(1) This Act commences on the date of assent to this Act, except as 6
provided by subsections (2) and (3). 7
(2) Schedule 1 commences, or is taken to have commenced, on 8
1 December 2009. 9
(3) Schedule 2 is taken to have commenced on 1 September 2009. 10
Page 2
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Duties Act 1997 No 123 Schedule 1
Schedule 1 Amendment of Duties Act 1997 No 123 1
[1] Section 11 What is "dutiable property"? 2
Insert after section 11 (1) (l): 3
Note. In relation to interests in land, see clause 4 of the Dictionary. 4
[2] Section 146 Meaning of "landholder" 5
Omit "an unencumbered value" from section 146 (1). 6
Insert instead "a threshold value". 7
[3] Section 146A 8
Insert after section 146: 9
146A Threshold value of land holdings 10
(1) For the purposes of this Chapter, the threshold value of the land 11
holdings of a unit trust scheme, private company or listed 12
company is the total value of all land holdings in New South 13
Wales of the unit trust scheme or company. 14
(2) For a land holding that consists of an estate in fee simple in land 15
(other than a strata lot), the value of the land holding is the 16
registered land value of the land as at 1 July in the previous year. 17
(3) For a land holding that consists of a proportionate interest in an 18
estate in fee simple in land (other than a strata lot), the value of 19
the land holding is the amount determined by applying that 20
proportion to the registered land value of the land as at 1 July in 21
the previous year. 22
(4) For a land holding that consists of an estate in fee simple in a 23
strata lot, the value of the land holding is an amount that bears to 24
the registered land value of the relevant parcel (as at 1 July in the 25
previous year) the same proportion as the unit entitlement of the 26
lot bears to the aggregate unit entitlement. 27
(5) For a land holding that consists of a proportionate interest in an 28
estate in fee simple in a strata lot, the value of the land holding is 29
the amount determined by applying that proportion to the amount 30
determined under subsection (4). 31
(6) The proportionate interests of joint tenants in an estate in fee 32
simple are to be determined as if they were tenants in common in 33
equal shares. 34
Page 3
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 1 Amendment of Duties Act 1997 No 123
(7) For any land holding for which a value cannot be obtained under 1
the above provisions, the value of the land holding is the 2
unencumbered value of the land holding, determined in the same 3
way as it is for dutiable property under Chapter 2. 4
(8) For the purposes of this section, the registered land value of land 5
(including a parcel) is the land value of the land as entered in the 6
Register of Land Values kept by the Valuer-General under 7
section 14CC of the Valuation of Land Act 1916. 8
(9) For the purposes of this section, a strata lot means a lot under the 9
Strata Schemes (Freehold Development) Act 1973, and 10
expressions used in this section in relation to such a lot have the 11
same meanings as they do in that Act. 12
[4] Section 147 What are the "land holdings" of a landholder? 13
Omit section 147 (2). Insert instead: 14
(2) An interest in land is a land holding of a unit trust scheme only to 15
the extent that the interest is held by the trustee of the unit trust 16
scheme in its capacity as trustee of the scheme or by a custodian 17
of the trustee of the unit trust scheme in its capacity as custodian. 18
[5] Section 147, note 19
Insert at the end of the section: 20
Note. In relation to interests in land, see also clause 4 of the Dictionary. 21
[6] Section 149 What is a "relevant acquisition"? 22
Insert "private" after "ceasing to be a" in section 149 (2). 23
[7] Section 149 (3)-(6) 24
Insert after section 149 (2): 25
(3) If a person who acquires or holds an interest in a landholder is a 26
trustee for 2 or more trusts, any interests in the landholder 27
acquired or held by the person for different trusts are to be treated 28
as if they were acquired or held independently by separate 29
persons. 30
(4) If a person who acquires or holds an interest in a landholder is a 31
life company, any interests in the landholder acquired or held by 32
the life company for different statutory funds are to be treated as 33
if they were acquired or held independently by separate persons. 34
Page 4
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Duties Act 1997 No 123 Schedule 1
(5) If a life company acquires or holds an interest in a landholder 1
otherwise than for a statutory fund, that interest is to be treated as 2
if it were acquired or held independently of, and by a separate 3
person to, any interest acquired or held by the life company for a 4
statutory fund. 5
(6) In this section: 6
statutory fund has the meaning given by the Life Insurance Act 7
1995 of the Commonwealth. 8
[8] Section 150 What are "interests" and "significant interests" in 9
landholders? 10
Omit section 150 (1). Insert instead: 11
(1) For the purposes of this Chapter, a person has an interest in a 12
landholder if the person, in the event of a distribution of all the 13
property of the landholder, would be entitled to any of the 14
property distributed. 15
(1A) However, an entitlement that arises merely because a person has 16
a debt interest (within the meaning of Division 974 of the Income 17
Tax Assessment Act 1997 of the Commonwealth) in a landholder, 18
or an interest that would be a debt interest if the landholder were 19
a company for the purposes of that Division, is not an interest in 20
a landholder. 21
[9] Section 156 How duty is charged on relevant acquisitions--public 22
landholders 23
Omit "public" where secondly occurring in section 156 (5). 24
[10] Chapter 4, Part 2A 25
Insert after Part 2: 26
Part 2A Charging of duty on acquisitions made by 27
trustees 28
157A Application of Part 29
(1) This Part applies for the purposes of determining liability for duty 30
under this Chapter where a person acquires or holds an interest in 31
a landholder as bare trustee for another person. 32
(2) In this Part, a bare trustee includes a custodian. 33
Page 5
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 1 Amendment of Duties Act 1997 No 123
157B Beneficial owner--meaning 1
(1) If a person who acquires or holds an interest in a landholder 2
acquires or holds that interest as bare trustee for another person, 3
the other person is a beneficial owner of that interest in the 4
landholder. 5
(2) If a person who is a beneficial owner of an interest in a landholder 6
(whether as a result of subsection (1) or as a result of one or more 7
applications of this subsection) holds that interest as bare trustee 8
for another person, that other person is also a beneficial owner of 9
that interest in the landholder. 10
(3) For the purposes of this Part, the ultimate beneficial owner of an 11
interest in a landholder is any beneficial owner of the interest in 12
the landholder who does not hold that interest as bare trustee for 13
another person. 14
157C Beneficial owners liable for duty on acquisitions in landholders 15
(1) Any interest in a landholder that is acquired or held by a person 16
(the legal owner) as bare trustee for another person is taken, for 17
the purposes of this Chapter, to have been acquired by, or to be 18
held by, the ultimate beneficial owner of the interest in the 19
landholder, rather than the legal owner. 20
(2) Accordingly, the ultimate beneficial owner of an interest 21
acquired by the legal owner will be liable to lodge an acquisition 22
statement, and to pay any duty chargeable under this Chapter, in 23
respect of any relevant acquisition made as a result of that 24
acquisition by the legal owner. 25
Note. For example, A acquires an interest in a landholder as bare 26
trustee for B. A is the legal owner and B is a beneficial owner of the 27
interest in the landholder. B holds that interest as bare trustee for C. As 28
a result, C is also a beneficial owner of the interest in the landholder 29
acquired by A. If C does not hold the interest as bare trustee for another 30
person, C is the ultimate beneficial owner of the interest and will be liable 31
for any duty chargeable on the acquisition. 32
(3) For the purpose of determining whether an acquisition is a 33
relevant acquisition, section 149 applies as if a reference to a 34
person who acquires or holds an interest in a landholder were a 35
reference to the ultimate beneficial owner of the interest, rather 36
than the legal owner. 37
(4) That is, the acquisition is to be aggregated with other interests 38
held by the ultimate beneficial owner of the interest or an 39
associated person of the ultimate beneficial owner of the interest, 40
rather than with other interests held by the legal owner or 41
associated persons of the legal owner. 42
Page 6
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Duties Act 1997 No 123 Schedule 1
[11] Section 158 Constructive ownership of land holdings and other 1
property: linked entities 2
Omit "if the other person were to be wound up" wherever occurring in 3
section 158 (2) (a) (iii) and (3) (c). 4
Insert instead "in the event of a distribution of all the property of the person". 5
[12] Section 158 (4) 6
Omit "if each entity in the chain of entities were to be wound up". 7
Insert instead "in the event of a distribution of all the property of each entity 8
in the chain of entities". 9
[13] Section 161 Agreements for sale or issue of shares or units in landholder 10
Omit "completion of the agreement" from section 161 (1). 11
Insert instead "the agreement liability date". 12
[14] Section 161 (1) (a) 13
Omit "from the landholder on a winding up of the landholder (as if the 14
purchase or interest acquired by the person were registered on completion)". 15
Insert instead "of the landholder in the event of a distribution of all the 16
property of the landholder (as if the purchase or interest acquired by the person 17
were registered on the agreement liability date)". 18
[15] Section 161 (1), note 19
Omit "when the agreement is completed". 20
Insert instead "on the agreement liability date". 21
[16] Section 161 (2) and (2A) 22
Omit section 161 (2). Insert instead: 23
(2) The agreement liability date is the date on which the following 24
occurs (whichever occurs first): 25
(a) the agreement is completed, 26
(b) the necessary transfer or title documents are delivered to 27
the person acquiring the share or unit, 28
(c) the consideration for the purchase or issue is paid, 29
(d) the period of 12 months beginning on the date of first 30
execution of the agreement, or such longer period as the 31
Chief Commissioner may approve, expires. 32
Page 7
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 1 Amendment of Duties Act 1997 No 123
(2A) If: 1
(a) at the time of acquisition of an interest by any person in a 2
landholder that necessitates the lodgment of an acquisition 3
statement under this Chapter, the person was the purchaser 4
or person to whom a unit or share was to be issued under 5
an uncompleted agreement for the purchase or issue of a 6
share or unit in a landholder, and 7
(b) the agreement is subsequently rescinded, annulled or 8
otherwise terminated without completion, 9
the Chief Commissioner is to assess or reassess the statement on 10
the basis that the purchaser or person to whom the unit or share 11
was to be issued did not have an interest in the landholder as a 12
result of the agreement. 13
[17] Section 162 Valuation of property 14
Insert "unencumbered" before "value of land holdings" in section 162 (1). 15
[18] Section 162 (2) 16
Insert "or goods" after "the land holdings". 17
[19] Section 163 Maximisation of entitlements on distribution of property 18
Omit ", whether on a winding up of the landholder or otherwise" from 19
section 163 (1). 20
[20] Section 163A General exemptions 21
Omit section 163A (b). Insert instead: 22
(b) if the interest was acquired solely as the result of the 23
making of a compromise or arrangement with creditors 24
under Part 5.1 of the Corporations Act 2001 of the 25
Commonwealth that has been approved by a court, or 26
[21] Section 163I Meaning of expressions used in this Chapter 27
Insert at the end of the section: 28
(2) To avoid doubt, in this Chapter, property includes money, and a 29
reference to a distribution of property includes a reference to the 30
payment of money. 31
Page 8
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Duties Act 1997 No 123 Schedule 1
[22] Section 163K Goods of a landholder 1
Omit section 163K (2). Insert instead: 2
(2) For the purposes of this Chapter, goods are goods of a landholder 3
if the landholder has any interest in the goods, other than an 4
interest as mortgagee, chargee or other secured creditor. 5
(3) Goods are goods of a unit trust scheme only to the extent that the 6
interest in the goods is held by the trustee of the unit trust scheme 7
in its capacity as trustee of the scheme or by a custodian of the 8
trustee of the unit trust scheme in its capacity as custodian. 9
(4) Goods are not goods of a company if the interest the company has 10
in the goods is held on trust and the company is not a beneficiary 11
of the trust. 12
[23] Schedule 1 Savings, transitional and other provisions 13
Insert at the end of clause 1 (1): 14
State Revenue Legislation Further Amendment Act (No 2) 2009 15
[24] Schedule 1, clause 75 16
Insert after clause 75 (2): 17
(2A) However, in calculating the duty payable in respect of any 18
acquisition made before 1 July 2009, the unencumbered value of 19
the goods of the landholder in New South Wales is to be 20
disregarded. 21
(2B) Similarly, in applying section 155 (5) to an acquisition made 22
before 1 July 2009, the value of "A" is to be determined 23
disregarding the unencumbered value of the goods in New South 24
Wales of the landholder. 25
[25] Schedule 1, clause 77 26
Insert "made on or after 1 July 2009" after "advance or further advance" in 27
clause 77 (1) (b). 28
Page 9
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 1 Amendment of Duties Act 1997 No 123
[26] Schedule 1, Part 32 1
Insert after Part 31: 2
Part 32 Provisions consequent on enactment of 3
State Revenue Legislation Further 4
Amendment Act (No 2) 2009 5
80 Application of landholder duty amendments 6
(1) The amendments made to Chapter 4 by the State Revenue 7
Legislation Further Amendment Act (No 2) 2009 apply in respect 8
of an interest in a landholder that is acquired on or after the 9
commencement of Schedule 1 to that Act. 10
(2) However, section 163A, as in force immediately before its 11
amendment by the State Revenue Legislation Further 12
Amendment Act (No 2) 2009, continues to apply in respect of an 13
interest acquired by a person in a landholder if the person's 14
intention to make the acquisition was announced to the market 15
before the date on which the Bill for the State Revenue 16
Legislation Further Amendment Act (No 2) 2009 was introduced 17
into the Legislative Assembly. 18
(3) The amendments to section 161 made by the State Revenue 19
Legislation Further Amendment Act (No 2) 2009 apply to 20
agreements first executed on or after the commencement of 21
Schedule 1 to that Act. 22
81 Liability of beneficial owners for landholder duty 23
(1) The landholder liability amendments apply to an interest in a 24
landholder that is acquired on or after the commencement of the 25
amendments. 26
(2) If the ultimate beneficial owner of an interest in a landholder 27
acquires an interest in a landholder on or after the 28
commencement of the amendments, an acquisition of an interest 29
in a landholder made before that commencement (a 30
pre-commencement acquisition) that would have been treated as 31
an acquisition made by the ultimate beneficial owner of the 32
interest or an associated person if the landholder liability 33
amendments had been in force at the time that the acquisition was 34
made is to be counted for the purpose of determining whether a 35
relevant acquisition has been made. 36
(3) For that purpose, such a pre-commencement acquisition is treated 37
as an acquisition made by the ultimate beneficial owner of the 38
Page 10
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Duties Act 1997 No 123 Schedule 1
interest or an associated person (as the case requires) and must be 1
disclosed in an acquisition statement by the ultimate beneficial 2
owner of the interest. 3
(4) However, a pre-commencement acquisition disclosed in an 4
acquisition statement by the ultimate beneficial owner of an 5
interest in a landholder is an exempt acquisition if, but for 6
subclause (3), the acquisition would not have to be disclosed in 7
that statement. 8
(5) Expressions used in this clause have the same meanings as they 9
have in the landholder liability amendments. 10
(6) In this clause, the landholder liability amendments means the 11
provisions of Part 2A of Chapter 4, as inserted by the State 12
Revenue Legislation Further Amendment Act (No 2) 2009. 13
82 Meaning of "interest in land" 14
Clause 4 of the Dictionary, as inserted by the State Revenue 15
Legislation Further Amendment Act (No 2) 2009, applies in 16
respect of: 17
(a) a transfer of dutiable property that occurs on or after the 18
commencement of Schedule 1 to that Act (except where 19
made in conformity with an agreement for sale or transfer 20
entered into before that commencement), and 21
(b) an acquisition of an interest in a landholder under 22
Chapter 4 that is made on or after the commencement of 23
Schedule 1 to that Act. 24
[27] Dictionary 25
Insert after clause 3: 26
4 Interests in land 27
(1) For the purposes of this Act, a mining lease or mineral claim 28
granted under the Mining Act 1992 is taken to give the holder an 29
interest in the land to which it relates. 30
(2) For the purposes of this Act, the following do not give rise to an 31
interest in land: 32
(a) an assessment lease, exploration licence or opal 33
prospecting licence under the Mining Act 1992, 34
(b) a carbon sequestration right within the meaning of 35
Division 4 of Part 6 of the Conveyancing Act 1919, 36
(c) a petroleum title within the meaning of the Petroleum 37
(Onshore) Act 1991, 38
Page 11
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 1 Amendment of Duties Act 1997 No 123
(d) a licence, permit, lease, access authority or special 1
prospecting authority under the Petroleum (Offshore) 2
Act 1982. 3
Page 12
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Parking Space Levy Act 2009 No 5 Schedule 2
Schedule 2 Amendment of Parking Space Levy Act 1
2009 No 5 2
[1] Section 8 Imposition of parking space levy 3
Insert after section 8 (6): 4
(7) A tax default does not occur for the purposes of the Taxation 5
Administration Act 1996 if the levy is paid by 1 September in the 6
year in which liability for payment of the levy arises. 7
Note. If a tax default occurs, interest and penalty tax may be charged 8
under the Taxation Administration Act 1996. 9
[2] Schedule 1 Savings, transitional and other provisions 10
Insert after Part 2: 11
Part 3 Provisions consequent on enactment of 12
State Revenue Legislation Further 13
Amendment Act (No 2) 2009 14
7 Application of amendments 15
The amendment to this Act made by the State Revenue 16
Legislation Further Amendment Act (No 2) 2009 applies to the 17
parking space levy imposed on 1 July 2009 and in subsequent 18
years. 19
Page 13
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 3 Amendment of Payroll Tax Act 2007 No 21
Schedule 3 Amendment of Payroll Tax Act 2007 1
No 21 2
[1] Section 3 Definitions 3
Insert in alphabetical order in section 3 (1): 4
ABN means the ABN (Australian Business Number) for an entity 5
within the meaning of the A New Tax System (Australian 6
Business Number) Act 1999 of the Commonwealth. 7
Australian jurisdiction means a State or a Territory. 8
instrument includes a cheque, bill of exchange, promissory note, 9
money order or a postal order issued by a post office. 10
registered business address means an address for service of 11
notices under the A New Tax System (Australian Business 12
Number) Act 1999 of the Commonwealth on an entity that has an 13
ABN, as shown in the Australian Business Register kept under 14
that Act. 15
[2] Sections 10-11C 16
Omit sections 10 and 11. Insert instead: 17
10 What are taxable wages 18
(1) For the purposes of this Act, taxable wages are wages that are 19
taxable in this jurisdiction. 20
(2) However, exempt wages are not taxable wages. 21
11 Wages that are taxable in this jurisdiction 22
(1) For the purposes of this Act, wages are taxable in this jurisdiction 23
if: 24
(a) the wages are paid or payable by an employer for or in 25
relation to services performed by an employee wholly in 26
this jurisdiction, or 27
(b) the wages are paid or payable by an employer for or in 28
relation to services performed by an employee in 2 or more 29
Australian jurisdictions, or partly in one or more 30
Australian jurisdictions and partly outside all Australian 31
jurisdictions, and: 32
(i) the employee is based in this jurisdiction, or 33
(ii) the employer is based in this jurisdiction (in a case 34
where the employee is not based in an Australian 35
jurisdiction), or 36
Page 14
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Payroll Tax Act 2007 No 21 Schedule 3
(iii) the wages are paid or payable in this jurisdiction (in 1
a case where both the employee and the employer 2
are not based in an Australian jurisdiction), or 3
(iv) the wages are paid or payable for services 4
performed mainly in this jurisdiction (in a case 5
where both the employee and the employer are not 6
based in an Australian jurisdiction and the wages are 7
not paid or payable in an Australian jurisdiction), or 8
(c) the wages are paid or payable by an employer for or in 9
relation to services performed by an employee wholly 10
outside all Australian jurisdictions and are paid or payable 11
in this jurisdiction. 12
Note. Section 66A provides an exemption for wages paid or payable for 13
services performed wholly in one or more other countries for a 14
continuous period of more than 6 months. 15
(2) The question of whether wages are taxable in this jurisdiction is 16
to be determined by reference only to the services performed by 17
the employee in respect of the employer during the month in 18
which the wages are paid or payable, subject to this section. 19
(3) Any wages paid or payable by an employer in respect of an 20
employee in a particular month are taken to be paid or payable for 21
or in relation to the services performed by the employee in 22
respect of the employer during that month. 23
Note. For example, if wages paid in a month are paid to an employee for 24
services performed over several months, the question of whether the 25
wages are taxable in this jurisdiction is to be determined by reference 26
only to services performed by the employee in the month in which the 27
wages are paid. The services performed in previous months are 28
disregarded. (The services performed in previous months will be 29
relevant to the question of whether wages paid in those previous months 30
are taxable in this jurisdiction.) 31
(4) If no services are performed by an employee in respect of an 32
employer during the month in which wages are paid or payable to 33
or in relation to the employee: 34
(a) the question of whether the wages are taxable in this 35
jurisdiction is to be determined by reference only to the 36
services performed by the employee in respect of the 37
employer during the most recent prior month in which the 38
employee performed services in respect of the employer, 39
and 40
(b) the wages are taken to be paid or payable for or in relation 41
to the services performed by the employee in respect of the 42
employer during that most recent prior month. 43
Page 15
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 3 Amendment of Payroll Tax Act 2007 No 21
(5) If no services were performed by an employee in respect of an 1
employer during the month in which wages are paid or payable to 2
or in relation to the employee or in any prior month: 3
(a) the wages are taken to be paid or payable for or in relation 4
to services performed by the employee in the month in 5
which the wages are paid or payable, and 6
(b) the services are taken to have been performed at a place or 7
places where it may be reasonably expected that the 8
services of the employee in respect of the employer will be 9
performed. 10
(6) All amounts of wages paid or payable in the same month by the 11
same employer in respect of the same employee are to be 12
aggregated for the purposes of determining whether they are 13
taxable in this jurisdiction (as if they were paid or payable for all 14
services performed by the employee in the month in which the 15
wages are paid or payable, or the most recent prior month, as the 16
case requires). 17
Note. For example, if one amount of wages is paid by an employer in a 18
particular month for services performed in this jurisdiction, and another 19
amount of wages is paid by the same employer in the same month for 20
services performed by the same employee in another Australian 21
jurisdiction, the wages paid are to be aggregated (as if they were paid for 22
all services performed by the employee in that month). Accordingly, 23
subsection (1) (b) would be applied for the purpose of determining 24
whether the wages are taxable in this jurisdiction. 25
(7) If wages are paid in a different month from the month in which 26
they are payable, the question of whether the wages are taxable 27
in this jurisdiction is to be determined by reference to the earlier 28
of the relevant months. 29
11A Jurisdiction in which employee is based 30
(1) For the purposes of this Act, the jurisdiction in which an 31
employee is based is the jurisdiction in which the employee's 32
principal place of residence is located. 33
(2) The jurisdiction in which an employee is based is to be 34
determined by reference to the state of affairs existing during the 35
month in which the relevant wages are paid or payable. 36
(3) If more than one jurisdiction would qualify as the jurisdiction in 37
which an employee is based during a month, the jurisdiction in 38
which the employee is based is to be determined by reference to 39
the state of affairs existing on the last day of that month. 40
Page 16
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Payroll Tax Act 2007 No 21 Schedule 3
(4) An employee who does not have a principal place of residence is 1
taken, for the purposes of this Act, to be an employee who is not 2
based in an Australian jurisdiction. 3
(5) In the case of wages paid or payable to a corporate employee, the 4
jurisdiction in which the employee is based is to be determined in 5
accordance with section 11B instead of this section (as if a 6
reference in section 11B to an employer were a reference to an 7
employee). 8
(6) In this section, a corporate employee is a company that is taken 9
to be an employee under section 34 or 39 or a company to whom 10
a payment is made that is taken to be wages payable to an 11
employee under section 42 or 47. 12
11B Jurisdiction in which employer is based 13
(1) For the purposes of this Act, the jurisdiction in which an 14
employer is based is: 15
(a) the jurisdiction in which the employer's registered 16
business address is located (if the employer has an ABN), 17
or 18
(b) the jurisdiction in which the employer's principal place of 19
business is located (in any other case). 20
(2) If wages are paid or payable in connection with a business carried 21
on by an employer under a trust, the employer's registered 22
business address is the registered business address of the trust or, 23
if the trust does not have an ABN, the registered business address 24
of the trustee of the trust. 25
(3) If an employer has registered business addresses located in 26
different jurisdictions at the same point in time, the jurisdiction in 27
which the employer is based at that point in time is the 28
jurisdiction in which the employer's principal place of business 29
is located. 30
(4) The jurisdiction in which an employer is based is to be 31
determined by reference to the state of affairs existing during the 32
month in which the relevant wages are paid or payable. 33
(5) If more than one jurisdiction would qualify as the jurisdiction in 34
which an employer is based during a month, the jurisdiction in 35
which the employer is based is to be determined by reference to 36
the state of affairs existing on the last day of that month. 37
(6) An employer who has neither a registered business address nor a 38
principal place of business is taken, for the purposes of this Act, 39
to be an employer who is not based in an Australian jurisdiction. 40
Page 17
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 3 Amendment of Payroll Tax Act 2007 No 21
11C Place and date of payment of wages 1
(1) For the purposes of this Act, wages are taken to have been paid at 2
a place if, for the purpose of the payment of those wages: 3
(a) an instrument is sent or given or an amount is transferred 4
by an employer to a person or a person's agent at that 5
place, or 6
(b) an instruction is given by an employer for the crediting of 7
an amount to the account of a person or a person's agent at 8
that place. 9
(2) The wages are taken to have been paid on the date that the 10
instrument was sent or given, the amount was transferred or the 11
account credited in accordance with the instruction (as the case 12
requires). 13
(3) Wages are taken to be payable at the place at which they are paid, 14
subject to this section. 15
(4) Wages that are not paid by the end of the month in which they are 16
payable are taken to be payable at: 17
(a) the place where wages were last paid by the employer to 18
the employee, or 19
(b) if wages have not previously been paid by the employer to 20
the employee--the place where the employee last 21
performed services in respect of the employer before the 22
wages became payable. 23
(5) If wages paid or payable in the same month by the same employer 24
in respect of the same employee are paid or payable in more than 25
one Australian jurisdiction, the wages paid or payable in that 26
month are taken to be paid or payable in the Australian 27
jurisdiction in which the highest proportion of the wages are paid 28
or payable. 29
Note. Section 11 requires all wages paid or payable in the same month 30
by the same employer in respect of the same employee to be 31
aggregated for the purpose of determining whether the wages are 32
taxable in this jurisdiction. The above provision ensures only one 33
Australian jurisdiction can be considered to be the jurisdiction in which 34
the wages are paid or payable. 35
[3] Section 13 What are wages? 36
Insert after section 13 (2): 37
(3) This Act applies in respect of wages referred to in 38
subsection (1) (a)-(e) that are paid or payable to or in relation to 39
a person who is not an employee in the same way as it applies to 40
Page 18
State Revenue Legislation Further Amendment Bill (No 2) 2009
Amendment of Payroll Tax Act 2007 No 21 Schedule 3
wages paid or payable to an employee (as if a reference in this 1
Act to an employee included a reference to any such person). 2
[4] Section 24 Inclusion of shares and options granted to directors as wages 3
Omit section 24 (4). Insert at the end of the section: 4
Note. Section 13 provides that a reference to an employee in this Act 5
includes a reference to any person to whom any amount that is treated 6
as wages under this Act is paid or payable. See also section 11, which 7
deems the wages to be paid or payable for services performed. 8
[5] Section 25 When services considered to have been performed 9
Omit the section. 10
[6] Section 26 Place where wages are payable 11
Omit the note at the end of section 26 (2). Insert instead: 12
Note. The place where wages are paid or payable is sometimes relevant 13
to determining whether the wages are liable to payroll tax under this Act. 14
See section 11. 15
[7] Part 4, Division 9 16
Insert after Division 8: 17
Division 9 Services outside Australia 18
66A Wages paid or payable for or in relation to services performed in 19
other countries 20
Wages are exempt wages if they are paid or payable for or in 21
relation to services performed by an employee wholly in one or 22
more other countries for a continuous period of more than 23
6 months beginning on the day on which wages were first paid or 24
payable to that employee for the services so performed. 25
[8] Schedule 3 Savings, transitional and other provisions 26
Insert at the end of clause 1 (1): 27
State Revenue Legislation Further Amendment Act (No 2) 2009 28
Page 19
State Revenue Legislation Further Amendment Bill (No 2) 2009
Schedule 3 Amendment of Payroll Tax Act 2007 No 21
[9] Schedule 3, Part 5 1
Insert after Part 4: 2
Part 5 Provisions consequent on enactment of 3
State Revenue Legislation Further 4
Amendment Act (No 2) 2009 5
18 Application of amendments 6
(1) The amendments made to this Act by the State Revenue 7
Legislation Further Amendment Act (No 2) 2009 apply in respect 8
of taxable wages that are paid or payable on or after 1 July 2009. 9
(2) The amendments made to this Act by the State Revenue 10
Legislation Further Amendment Act (No 2) 2009 are to be applied 11
for the purpose of determining the correct amount of payroll tax 12
(within the meaning of section 82) payable by an employer in 13
respect of the financial year commencing on 1 July 2009 14
(including in respect of expired months). 15
(3) However, section 9 continues to apply in respect of an expired 16
month as if the amendments made to this Act by the State 17
Revenue Legislation Further Amendment Act (No 2) 2009 had not 18
been made. 19
(4) In this clause, an expired month is a month occurring after 20
June 2009 that ended before the date of assent to the State 21
Revenue Legislation Further Amendment Act (No 2) 2009. 22
Page 20
[Index] [Search] [Download] [Related Items] [Help]