2005

THE LEGISLATIVE ASSEMBLY

FOR THE AUSTRALIAN CAPITAL TERRITORY

(As presented)

(Treasurer)

2005

THE LEGISLATIVE ASSEMBLY

FOR THE AUSTRALIAN CAPITAL TERRITORY

(As presented)

(Treasurer)

An Act to amend the Duties Act 1999, the Land Tax Act 2004, the Payroll Tax Act 1987 and the Rates Act 2004

The Legislative Assembly for the Australian Capital Territory enacts as follows:

This Act is the Revenue Legislation Amendment Act 2005 (No 2).

(1) Section 9, section 24 and section 26 commence on a day fixed by the Minister by written notice.

Note 1 A single day or time may be fixed, or different days or times may be fixed, for the commencement of different provisions (see Legislation Act, s 77 (1)).

Note 2 If a provision has not commenced within 6 months beginning on the notification day, it automatically commences on the first day after that period (see Legislation Act, s 79).

(2) Section 25, section 27 and section 28 commence on the first day of the month immediately after the month in which this Act is notified.

(3) The remaining provisions commence on the day after this Act’s notification day.

Note The naming and commencement provisions automatically commence on the notification day (see Legislation Act, s 75 (1)).

This Act amends the Duties Act 1999, the Land Tax Act 2004, the Payroll Tax Act 1987 and the Rates Act 2004.

This part amends the Duties Act 1999.

general insurer means a person who—

(a) writes general insurance (otherwise than as an insurance intermediary); and

(b) is authorised under the Insurance Act 1973 (Cwlth), section 12 to carry on insurance business in Australia.

(a) other than for part 8.4 means—

(i) a life company under the Life Insurance Act 1995 (Cwlth) that writes life insurance; or

(ii) a person who writes general insurance (otherwise than as an insurance intermediary); and

(b) for part 8.4 (Payment of duty by insurers)—see section 188A.

In this part:

insurer means—

(a) a life company under the Life Insurance Act 1995 (Cwlth) that writes life insurance; or

(b) a general insurer.

(a) if the insurer stops being authorised under the Insurance Act 1973 (Cwlth), section 12 to carry on insurance business in Australia; or

(1) In this part:

dutiable value, of a motor vehicle, means—

(a) for a vehicle that has not previously been registered under the Vehicle Registration Act or any other territory law and for which there is a list price—

(i) if it has no optional equipment—the list price for the vehicle; and

(ii) if it has optional equipment—the total of the list price for the vehicle and the value of the optional equipment; and

(b) for a vehicle that is to be registered in the name of someone who is not the person in whose name the vehicle was last registered—the greater of the following amounts:

(i) the consideration (in money or money’s worth) given for the acquisition of the vehicle;

(ii) the market value of the vehicle at the time duty is payable; and

(c) for any other vehicle—the greater of the following amounts:

(i) the consideration (in money or money’s worth) given for the acquisition of the vehicle;

(ii) the market value of the vehicle at the time duty is payable.

(2) The dutiable value of a motor vehicle does not include a premium paid for extended warranty insurance.

(3) In this section:

list price means—

(a) for a motor vehicle—the amount (inclusive of GST) fixed by the manufacturer, importer or main distributor in the ACT as the retail selling price in the ACT of a vehicle of that make and model; and

(b) for optional equipment for a motor vehicle—the additional amount (inclusive of GST) fixed by the manufacturer, importer or main distributor in the ACT of the vehicle as the retail selling price in the ACT for the equipment if the vehicle is to be sold with it.

optional equipment, for a motor vehicle, means equipment or a feature of the vehicle—

(a) that is not covered by the list price for the vehicle; or

(b) that is prescribed by regulation to be optional equipment for the vehicle.

1 a particular kind of transmission

2 power steering

Note An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

value, of optional equipment, means—

(a) if there is a list price for the equipment—the list price; or

(b) if there is no list price for the equipment—the consideration (in money or money’s worth) given for the acquisition of the equipment.

(1) This section applies to duty chargeable on an application to register a motor vehicle if—

(a) modifications have been made to the vehicle for a person with a disability; and

(b) either—

(i) the applicant is a person with a disability; or

(ii) the motor vehicle is to be used to transport a person with a disability.

(2) For the purposes of duty chargeable on the application, the dutiable value of the motor vehicle is the dutiable value of the vehicle apart from this section reduced by the value of the modifications.

(3) For this section:

modifications, made to a vehicle for a person with a disability, means modifications made—

(a) to enable the person with a disability to drive the vehicle; or

(b) to enable someone else to transport the person with a disability in the vehicle.

the addition to a vehicle of an hydraulic lift for a wheelchair

Note An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

value, of modifications, means the consideration (in money or money’s worth) given for the modifications.

• Corporations Act

dutiable value—

(a) of a motor vehicle for part 9.1—see section 203; and

(b) of other dutiable property—see section 20.

general insurance, for chapter 8 (Insurance)—see section 175.

general insurer, for chapter 8 (Insurance)—see section 175.

insurer—

(a) for chapter 8 (Insurance), other than part 8.4—see section 175; and

(b) for part 8.4 (Payment of duty by insurers)—see section 188A.

life insurance, for chapter 8 (Insurance)—see section 175.

life insurance rider, for chapter 8 (Insurance)—see section 175.

person with a disability means a person who has a disability that—

(a) is attributable to an intellectual, psychiatric, sensory, physical or neurological impairment, or acquired brain injury; and

(b) is likely to be permanent; and

(c) results in substantially reduced capacity in self-care, self-management, mobility or communication requiring significant ongoing, or long-term episodic, support.

premium, in relation to general insurance for chapter 8 (Insurance)—see section 175.

third-party insurance, for chapter 8 (Insurance)—see section 175.

This part amends the Land Tax Act 2004.

(1) This section applies if—

(a) a parcel of land is held by the owner under a lease from the Commonwealth for a term of years; and

(b) the commissioner has complied with section 21 (Notice of land tax in arrears) in relation to the parcel; and

(c) land tax payable for the parcel are in arrears for at least 1 year after the day of notification under section 21 in relation to the parcel.

(2) The commissioner may apply to a court of competent jurisdiction for an order for the sale of all or part of the parcel.

The commissioner has given notice and made a declaration under section 21 in relation to a parcel of land held under lease from the Commonwealth. If the parcel is unoccupied, the commissioner may take action under section 22 to lease the parcel or, if the land tax is in arrears for at least 1 year after the day of notification of the declaration, make an application under this section for an order for sale. The option to lease would not be available if the property were occupied.

Note 1 An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

(3) In the application, the commissioner may ask that the proceeds of the sale also be applied in paying the total amount of any land tax or rates in arrears for 1 or more related parcels of land stated in the application.

(4) If the court is satisfied that this section applies to the parcel, the court must—

(a) order the sale by public auction of the parcel, or as much of the parcel as will be sufficient to pay the total of the following:

(i) the total amount of land tax in arrears for the parcel at the time the court makes the order;

(ii) the total amount of any rates in arrears for the parcel at the time the court makes the order;

(iii) costs and expenses in relation to the declaration, application and sale in relation to the parcel;

(iv) if the commissioner has made a request mentioned in subsection (3) in the application in relation to another parcel of land and the court is satisfied that the parcel is a related parcel of land—the total amount of any land tax or rates in arrears for the other parcel, at the time the court makes the order; and

(b) order that the proceeds be paid into court; and

(c) order that the title to the parcel be transferred to the purchaser free from mortgages and other encumbrances.

(5) The proceeds of the sale are to be applied in the following order:

(a) first, the commissioner is entitled to be paid the total of the amounts mentioned in subsection (4) (a) (i) to (iii);

(b) second, a person who was a mortgagee of the parcel before the sale is entitled to be paid the amount owing to the person under the mortgage (or, if that amount is more than the amount of any remaining proceeds, the remaining proceeds);

(c) third, subject to subsection (9), the commissioner is entitled to be paid the total of amounts to which subsection (4) (a) (iv) applies (or, if that amount is more than the amount of any remaining proceeds, the remaining proceeds);

(d) finally, subject to subsection (10), the person who was the owner of the parcel before the sale is entitled to be paid any balance.

(6) The commissioner must be paid out of court any amounts to which the commissioner is entitled under subsection (5) without a court order.

(7) If a person who was the owner or mortgagee of the parcel before the sale hands over to the court the certificate or other title to the parcel, the person must be paid out of court any amount to which the person is entitled under subsection (5) without a court order.

(8) If there were 2 or more mortgagees of the parcel before the sale, the court may make the orders about their respective entitlements that the court considers just.

(9) On application by a person who has an interest in the land otherwise than as owner or mortgagee, the court may order that the person is entitled to be paid the value of the person’s interest (as decided by the court) in priority to the commissioner’s entitlement under subsection (5) (c).

(10) On application by any other interested person, the court may order payment out of court of all or part of any balance to a person other than the person who was the owner before the sale if the court considers it just to do so.

(11) Any sale of the parcel or a part of the parcel under this section must be abandoned if the owner pays—

(a) the total land tax in arrears for the parcel at the time of the payment; and

(b) the total of any rates in arrears for the parcel at the time of the payment; and

(c) the costs and expenses incurred up to the time of payment in relation to the declaration, application and sale in relation to the parcel; and

(d) the costs and expenses reasonably incurred in relation to the abandonment of the sale; and

(e) if the commissioner has made a request under subsection (3) in the application in relation to 1 or more related parcels of land—the total amount of any land tax or rates in arrears for the related parcel or parcels at the time of the payment.

advising the public that an auction has been cancelled

(12) In this section:

related—a parcel of land is a related parcel of land in relation to another parcel of land if—

(a) the parcels have the same owner; and

(b) the commissioner has complied with section 21 in relation to them.

(2) If the commissioner makes an application in relation to 2 or more parcels of land, the following provisions apply:

(a) if the parcels or 2 or more of them have the same owner—the court may, on application by the commissioner, make a single order under section 24 in relation to all of those parcels;

(b) the court may make the orders about apportionment of rates and land tax, and any other amounts payable, that the court considers just;

(c) if the court makes an order under paragraph (a)—the court may, on application by the commissioner, also make any consequential or ancillary orders that the court considers appropriate.

Note The application may include an application under the Rates Act 2004, s 26 in relation to the parcel (see Legislation Act, s 49).

This part amends the Payroll Tax Act 1987.

(1) This section applies to an employer if the total of all taxable wages paid or payable in Australia by the employer in the month exceeds the amount determined for this section under the Taxation Administration Act 1999, section 139.

(2) If this section applies to an employer in relation to a month, the employer may apply to be registered under this part.

Note   If a form is approved under the Taxation Administration Act 1999, s 139C for an application, the form must be used.

(3) If an employer applies to be registered under this part, the commissioner must register the employer.

(4) The commissioner may, by written notice given to an employer who is registered under this part, cancel the employer’s registration if satisfied that this section has never applied, or no longer applies, to the employer in relation to a month.

(5) The cancellation of an employer’s registration under subsection (4) does not prevent the employer from again applying for registration or being registered under this part.

(6) An employer commits an offence if—

(a) the employer is not already registered under this part; and

(b) the total of all taxable wages paid or payable in Australia by the employer in the month exceeds the amount determined for this section under the Taxation Administration Act 1999, section 139; and

(c) the employer does not apply to be registered under this part within 7 days after the end of the month.

Maximum penalty: 250 penalty units.

(1) The commissioner must, on the commissioner’s own initiative, register under this part an employer who, in relation to the month immediately before the commencement of this section, lodged a return under section 16.

(2) This section expires 1 year after the day it commences.

(1) This section applies to a trainee if an approved group training organisation employs the trainee under an approved training contract.

(2) Section 6 does not apply to wages paid or payable to the trainee by the approved group training organisation.

(3) On application by an entity, the commissioner may approve the entity as a group training organisation if satisfied that the entity—

(a) is a not-for-profit entity; and

(b) provides training to trainees under approved training contracts; and

(c) makes trainees available to work for other people.

Note If a form is approved under the Taxation Administration Act 1999, s 139C for an application, the form must be used.

(4) In this section:

approved group training organisation means an organisation that is approved by the commissioner under subsection (3).

approved training contract—see the Vocational Education and Training Act 2003, dictionary.

trainee—see the Vocational Education and Training Act 2003, dictionary.

Note Trainee is defined as a person who undertakes training under a training contract, and includes an apprentice.

(1) This section applies to an employer if section 7 (Registration of employers) applies to the employer in relation to a month.

(2) The employer must—

(a) lodge a return for the month; and

(b) lodge a return for each subsequent month in the financial year; and

(c) pay any interim tax that is payable in relation to the return because of section 12 (1) or (2).

Note The employer must also be registered under s 7.

(3) A return for a month must—

(a) be in writing; and

(b) be lodged no later than 7 days after the end of the month; and

(c) state the taxable wages that were paid or payable by the employer during the month.

Note If a form is approved under the Taxation Administration Act 1999, s 139C for a return, the form must be used.

(d) under section 9AB refusing to approve an entity as a group training organisation; or

This part amends the Rates Act 2004.

(1) This section applies if—

(a) a parcel of land is held by the owner under a lease from the Commonwealth for a term of years; and

(b) the commissioner has complied with section 23 (Notice of rates in arrears) in relation to the parcel; and

(c) rates payable for the parcel are in arrears for at least 1 year after the day of notification under section 23 in relation to the parcel.

(2) The commissioner may apply to a court of competent jurisdiction for an order for the sale of all or part of the parcel.

The commissioner has given notice and made a declaration under section 23 in relation to a parcel of land held under lease from the Commonwealth. If the parcel is unoccupied, the commissioner may take action under section 24 to lease the parcel or, if the rates are in arrears for at least 1 year after the day of notification of the declaration, make an application under this section for an order for sale. The option to lease would not be available if the property were occupied.

Note 1 An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

(3) In the application, the commissioner may ask that the proceeds of the sale also be applied in paying the total amount of any rates or land tax in arrears for 1 or more related parcels of land stated in the application.

(4) If the court is satisfied that this section applies to the parcel, the court must—

(a) order the sale by public auction of the parcel, or as much of the parcel as will be sufficient to pay the total of the following:

(i) the total amount of rates in arrears for the parcel at the time the court makes the order;

(ii) the total amount of any land tax in arrears for the parcel at the time the court makes the order;

(iii) costs and expenses in relation to the declaration, application and sale in relation to the parcel;

(iv) if the commissioner has made a request mentioned in subsection (3) in the application in relation to another parcel of land and the court is satisfied that the parcel is a related parcel of land—the total amount of any rates or land tax in arrears for the other parcel, at the time the court makes the order; and

(b) order that the proceeds be paid into court; and

(c) order that the title to the parcel be transferred to the purchaser free from mortgages and other encumbrances.

(5) The proceeds of the sale are to be applied in the following order:

(a) first, the commissioner is entitled to be paid the total of the amounts mentioned in subsection (4) (a) (i) to (iii);

(b) second, a person who was a mortgagee of the parcel before the sale is entitled to be paid the amount owing to the person under the mortgage (or, if that amount is more than the amount of any remaining proceeds, the remaining proceeds);

(c) third, subject to subsection (9), the commissioner is entitled to be paid the total of amounts to which subsection (4) (a) (iv) applies (or, if that amount is more than the amount of any remaining proceeds, the remaining proceeds);

(d) finally, subject to subsection (10), the person who was the owner of the parcel before the sale is entitled to be paid any balance.

(6) The commissioner must be paid out of court any amounts to which the commissioner is entitled under subsection (5) without a court order.

(7) If a person who was the owner or mortgagee of the parcel before the sale hands over to the court the certificate or other title to the parcel, the person must be paid out of court any amount to which the person is entitled under subsection (5) without a court order.

(8) If there were 2 or more mortgagees of the parcel before the sale, the court may make the orders about their respective entitlements that the court considers just.

(9) On application by a person who has an interest in the land otherwise than as owner or mortgagee, the court may order that the person is entitled to be paid the value of the person’s interest (as decided by the court) in priority to the commissioner’s entitlement under subsection (5) (c).

(10) On application by any other interested person, the court may order payment out of court of all or part of any balance to a person other than the person who was the owner before the sale if the court considers it just to do so.

(11) Any sale of the parcel or a part of the parcel under this section must be abandoned if the owner pays—

(a) the total rates in arrears for the parcel at the time of the payment; and

(b) the total of any land tax in arrears for the parcel at the time of the payment; and

(c) the costs and expenses incurred up to the time of payment in relation to the declaration, application and sale in relation to the parcel; and

(d) the costs and expenses reasonably incurred in relation to the abandonment of the sale; and

(e) if the commissioner has made a request under subsection (3) in the application in relation to 1 or more related parcels of land—the total amount of any rates or land tax in arrears for the related parcel or parcels at the time of the payment.

advising the public that an auction has been cancelled

(12) In this section:

related—a parcel of land is a related parcel of land in relation to another parcel of land if—

(a) the parcels have the same owner; and

(b) the commissioner has complied with section 23 in relation to them.

(2) If the commissioner makes an application in relation to 2 or more parcels of land, the following provisions apply:

(a) if the parcels or 2 or more of them have the same owner—the court may, on application by the commissioner, make a single order under section 26 in relation to all of those parcels;

(b) the court may make the orders about apportionment of rates and land tax, and any other amounts payable, that the court considers just;

(c) if the court makes an order under paragraph (a)—the court may, on application by the commissioner, also make any consequential or ancillary orders that the court considers appropriate.

Note The application may include an application under the Land Tax Act 2004, s 24 in relation to the parcel (see Legislation Act, s 49).

deferral determination means a determination under section 46 (Determination for deferral of rates on application) or section 47 (Determination for deferral of rates without application), and includes a deferral determination as amended under section 50.

(1) The owner of a parcel of land may apply to the commissioner for a determination deferring payment of rates payable for the parcel.

Note If a form is approved under the Taxation Administration Act, s 139C for the application, the form must be used.

(2) The commissioner must make the determination if satisfied—

(a) that the owner is a pensioner or, if there are 2 or more owners, each owner is a pensioner; or

(b) if the owner, or each owner, is not a pensioner—that payment of the total amount of rates payable or to become payable is likely to cause substantial hardship to the owner or each owner; or

(c) that the owners are a pensioner and his or her partner who is not a pensioner; or

(d) for an application made by a pensioner who is a joint owner—that no other owner of the parcel can reasonably contribute to the payment of rates for the parcel.

(3) The determination may do either or both of the following:

(a) defer the obligation of the owner or an owner to pay all or part of the total amount of rates payable for the parcel as at the date of the determination;

(b) defer the obligation of the owner or an owner to pay all or part of each amount of rates to become payable for the parcel while the determination is in force.

(4) If the commissioner makes a determination, the commissioner must give a copy of the determination to the person to whom it relates.

Note For how documents may be served, see the Legislation Act, pt 19.5.

(5) However, the commissioner may make a determination only if—

(a) the lease under which the parcel is held permits the parcel to be used only for residential purposes; and

(b) each applicant ordinarily lives on the parcel.

(6) Despite subsection (5), the commissioner may make a determination in relation to 1 or more joint owners of a parcel (but not by all the joint owners) even if each owner does not ordinarily live on the parcel, if—

(a) the applicant is an owner who ordinarily lives on the parcel; and

(b) the commissioner is satisfied that it is appropriate to make the determination.

(7) To remove any doubt, the owner of a parcel of land who has received a rebate for rates under division 7.3 may make an application under this section.

(1) The commissioner may, at any time on the commissioner’s own initiative, make a determination deferring payment of rates payable by the owner or an owner for a parcel of land if the commissioner is satisfied that there are exceptional circumstances justifying the deferral.

(2) The determination may do either or both of the following:

(a) defer the obligation of the owner or an owner to pay all or part of the total amount of rates payable for the parcel as at the date of the determination;

(b) defer the obligation of the owner or an owner to pay all or part of each amount of rates to become payable for the parcel while the determination is in force.

(3) If the commissioner makes a determination, the commissioner must give a copy of the determination to the person to whom it relates.

Note For how documents may be served, see the Legislation Act, pt 19.5.

(4) However, the commissioner may make the determination only if—

(a) the lease under which the parcel is held permits the parcel to be used only for residential purposes; and

(b) if the owner does not ordinarily live on the parcel—

(i) the owner is living elsewhere because of the exceptional circumstances; and

(ii) the owner has not entered into a tenancy agreement in relation to the parcel.

(5) In this section:

tenancy agreement, in relation to a parcel of land—

(a) means an agreement under which a person grants to someone else for value a right of occupation of the parcel of land, or any part of it (including any building on it), for use as a residence—

(i) whether or not the right of occupation is exclusive; and

(ii) whether the agreement is express or implied; and

(iii) whether the agreement is in writing, is oral, or is partly in writing and partly oral; but

(b) does not include an agreement giving a right of occupation only as a boarder or lodger.

(6) To remove any doubt, the commissioner may make a determination under this section in relation to a parcel of land even though the owner of the parcel has received a rebate for rates under division 7.3.

(b) if the determination was made under section 46 (Determination for deferral of rates on application)—the person asks the commissioner in writing to revoke the determination.

(1) Each of the following circumstances is a ground for revocation of a deferral determination made under section 46 (Determination for deferral of rates on application) in relation to a parcel of land:

(e) each person to whom the determination relates who ordinarily lived on the parcel when the application for the determination was made has stopped ordinarily living on the parcel;

(2) Each of the following circumstances is a ground for revocation of a deferral determination made under section 47 (Determination for deferral of rates without application) in relation to a parcel of land:

(a) each person to whom the determination relates has stopped being an owner of the parcel;

(b) the owner has entered into a tenancy agreement in relation to the parcel;

(c) the circumstances in relation to which the determination was made no longer exist or have changed.

(3) In this section:

tenancy agreement, in relation to a parcel of land—see section 47 (5).

section 52 (1) (e) or (f)

section 52 (1) (e) or (f) or (2) (a)

the determination

a determination made under section 46

(b) a decision under section 46—

(i) refusing to make a deferral determination; or

(ii) determining a period of deferral other than the period applied for; or

(iii) making a determination for the deferral of an amount other than the amount applied for;

(c) a decision under section 47 to make a deferral determination;

(d) a decision under section 50 amending a deferral determination;

(e) a decision under section 53 that a ground for revocation of a deferral determination made under section 46 exists.

Presentation speech made in the Legislative Assembly on 2005.

Notified under the Legislation Act on 2005.

For the latest republication of amended laws, see www.legislation.act.gov.au.