Commonwealth of Australia Bills Commonwealth of Australia Bills[Index] [Search] [Download] [Related Items] [Help]
This is a Bill, not an Act. For current law, see the Acts databases.
1998-1999-2000
The Parliament
of the
Commonwealth of
Australia
HOUSE OF
REPRESENTATIVES
Presented and read a first
time
Indirect Tax
Legislation Amendment Bill 2000
No. ,
2000
(Treasury)
A Bill
for an Act to implement A New Tax System by amending legislation relating to
indirect tax, and by amending other legislation consequential on indirect tax
reform, and for related purposes
ISBN: 0642 435863
Contents
A New Tax System (Goods and Services Tax) Act
1999 3
Taxation Administration Act
1953 6
A New Tax System (Goods and Services Tax) Act
1999 7
A New Tax System (Goods and Services Tax) Act
1999 9
A New Tax System (Goods and Services Tax) Act
1999 14
Taxation Administration Act
1953 18
A New Tax System (Goods and Services Tax) Act
1999 20
A New Tax System (Goods and Services Tax) Act
1999 25
A New Tax System (Goods and Services Tax Transition) Act
1999 28
Taxation Administration Act
1953 29
A New Tax System (Australian Business Number) Act
1999 30
A New Tax System (Goods and Services Tax) Act
1999 30
Income Tax Assessment Act
1936 34
Income Tax Assessment Act
1997 34
Taxation Administration Act
1953 35
A New Tax System (Goods and Services Tax) Act
1999 36
A New Tax System (Goods and Services Tax Transition) Act
1999 38
A New Tax System (Goods and Services Tax) Act
1999 39
Taxation Administration Act
1953 40
Taxation (Interest on Overpayments and Early Payments) Act
1983 41
Sales Tax Assessment Act
1992 43
A New Tax System (Australian Business Number) Act
1999 46
A New Tax System (Goods and Services Tax) Act
1999 46
A New Tax System (Goods and Services Tax Transition) Act
1999 49
Taxation Administration Act
1953 50
A Bill for an Act to implement A New Tax System by
amending legislation relating to indirect tax, and by amending other legislation
consequential on indirect tax reform, and for related
purposes
The Parliament of Australia enacts:
This Act may be cited as the Indirect Tax Legislation Amendment Act
2000.
(1) Subject to this section, this Act commences immediately after the
commencement of Part 1 of Schedule 1 to the A New Tax System
(Indirect Tax and Consequential Amendments) Act (No. 2) 1999.
(2) Section 1 and this section, and Schedule 10 (other than
item 1 of Schedule 10) commence on the day on which this Act receives
the Royal Assent.
(3) Items 10, 11 and 12 of Schedule 1, item 10 of
Schedule 4, items 8, 9 and 10 of Schedule 6, item 33 of
Schedule 7 and item 17 of Schedule 11 commence immediately after
the commencement of Schedule 8 to the A New Tax System (Indirect Tax and
Consequential Amendments) Act (No. 2) 1999.
(4) Item 7 of Schedule 6, items 6 and 7 of Schedule 8,
item 1 of Schedule 10 and items 14, 15 and 16 of Schedule 11
commence immediately after the commencement of Schedule 2 to the A New
Tax System (Indirect Tax and Consequential Amendments) Act (No. 2)
1999.
(5) Items 1, 2 and 3 of Schedule 7 and items 1 and 2 of
Schedule 11 commence immediately after the commencement of Schedule 4
to the A New Tax System (Indirect Tax and Consequential Amendments) Act
(No. 2) 1999.
Subject to section 2, each Act that is specified in a Schedule to
this Act is amended or repealed as set out in the applicable items in the
Schedule concerned, and any other item in a Schedule to this Act has effect
according to its terms.
A New Tax System (Goods
and Services Tax) Act 1999
1 Subsection 9-30(3)
Repeal the subsection, substitute:
Supplies that would be both GST-free and input taxed
(3) To the extent that a supply would, apart from this subsection, be both
*GST-free and
*input taxed:
(a) the supply is GST-free and not input taxed, unless the provision under
which it is input taxed requires the supplier to have chosen for its supplies of
that kind to be input taxed; or
(b) the supply is input taxed and not GST-free, if that provision requires
the supplier to have so chosen.
Note: Subdivisions 40-E (School tuckshops and canteens)
and 40-F (Fund-raising events conducted by charitable institutions etc.) require
such a choice.)
2 After subsection 27-15(2)
Insert:
(2A) Paragraph (1)(d) does not apply to an entity that meets the
requirements of subsection 63-5(2) for choosing to apply Division 63
(whether or not the entity chooses to apply that Division).
3 At the end of
Division 40
Add:
A supply is input taxed if:
(a) the supplier is a charitable institution, a trustee of a charitable
fund or a *gift-deductible entity;
and
(b) the supply is made in connection with a
*fund-raising event; and
(c) the supplier chooses to have all supplies that it makes in connection
with the event treated as input taxed; and
(d) the event is referred to in the supplier’s records as an event
that is treated as input taxed.
(1) Any of these is a fund-raising event if it is conducted
for the purpose of fund-raising and it does not form any part of a series or
regular run of like or similar events:
(a) a fete, ball, gala show, dinner, performance or similar
event;
(b) an event comprising sales of goods if:
(i) each sale is for a *consideration
that does not exceed $20 or such other amount as the regulations specify;
and
(ii) selling such goods is not a normal part of the supplier’s
*business;
(c) an event that the Commissioner decides, on an application by the
supplier in writing, to be a fund-raising event.
Note: Refusing an application for a decision under this
paragraph is a reviewable GST decision (see Division 7 of Part VI of
the Taxation Administration Act 1953).
(2) Paragraph (1)(b) does not apply to an event that involves the
sale of alcoholic beverages or tobacco products.
(3) The Commissioner must not make a decision under paragraph (1)(c)
unless satisfied that:
(a) the supplier is not in the *business
of conducting such events; and
(b) the proceeds from conducting the event are for the direct benefit of
the supplier’s charitable or non-profit purposes.
(4) The Commissioner may determine, in writing, the frequency with which
events may be held without forming any part of a series or regular run of like
or similar events for the purposes of subsection (1).
4 Subsection 48-10(2)
(note)
Repeal the note, substitute:
Note 1: For the membership requirements of non-profit
sub-entities, see section 63-50.
Note 2: For the membership requirements of a GST group of
government related entities, see section 149-25.
5 At the end of
Division 63
Add:
A *non-profit sub-entity satisfies
the membership requirements for a *GST
group, or a proposed GST group, if:
(a) it is *registered; and
(b) it has the same tax periods applying to it as the tax periods applying
to all the other members of the GST group or proposed GST group; and
(c) it accounts on the same basis as all those other members;
and
(d) it is not a *member of any other GST
group; and
(e) each of the other members of the GST group or proposed GST group is
either:
(i) the entity of which the non-profit sub-entity is a branch;
or
(ii) another branch of that entity that is a non-profit
sub-entity.
6 At the end of
section 111-1
Add “The entitlement extends to charitable bodies reimbursing their
volunteers.”.
7 After section 111-15
Insert:
If:
(a) a charitable institution, a trustee of a charitable fund or a
*gift-deductible entity reimburses an
individual for an expense he or she incurs; and
(b) the expense is directly related to his or her activities as a
volunteer of the institution, fund or gift-deductible entity;
this Division applies to the institution, fund or gift-deductible entity as
if:
(c) the individual were an employee of the institution, fund or
gift-deductible entity; and
(d) his or her activities in connection with incurring the expense were
activities as such an employee.
8 Section 195-1
Insert:
fund-raising event has the meaning given by
section 40-165.
9 Section 195-1 (definition of satisfies
the membership requirements)
Omit “or 149-25”, substitute “, 63-50 or
149-25”.
Taxation Administration
Act 1953
10 Subsection 62(2) (after table
item 18)
Insert:
|
18A |
refusing an application for a decision that an event is a fund-raising
event |
paragraph 40-165(1)(c) |
11 After subsection 70(1A)
Insert:
(1B) If you choose under section 40-160 of the GST Act to have
treated as input taxed all the supplies you make in connection with a
fund-raising event, you must:
(a) keep records that record your choice; and
(b) retain those records for at least 5 years after making the
choice.
A New Tax System (Goods
and Services Tax) Act 1999
1 After section 38-95
Insert:
A supply by way of lease or hire of goods is GST-free
if:
(a) the goods are for use directly or principally by a student in
undertaking a *pre-school course,
*primary course or
*secondary course in which the student is
enrolled; and
(b) the entity supplying the course leases or hires the goods;
and
(c) at all times while the lease or hiring has effect, the entity
supplying the course has the right to decide who uses goods and the use to which
the goods are put; and
(d) the lease or hiring is not part of an arrangement that
includes:
(i) a transfer of ownership of the goods; or
(ii) an agreement to transfer ownership of the goods; or
(iii) imposing an obligation, or conferring a right, to transfer ownership
of the goods.
2 Section 38-100
After “section 38-95”, insert “, or a supply by way
of lease or hire that is covered by section 38-97”.
3 Section 38-290
(heading)
Repeal the heading, substitute:
4 At the end of
section 38-290
Add:
(2) A supply that consists of removing waste matter from
*residential premises is GST-free
if:
(a) the premises are not serviced by sewers; and
(b) the waste matter is of a kind that would normally be removed using
sewers if the premises were serviced by sewers.
(3) A supply that consists of servicing a domestic self-contained sewage
system is GST-free.
5 Subsection 38-475(1)
After “interest in, or”, insert “the lease by an
*Australian government agency of
or”.
6 Section 38-480
After “interest in, or”, insert “the lease by an
*Australian government agency of
or”.
7 Section 195-1 (definition of medical
service)
Repeal the definition, substitute:
medical service means:
(a) a service for which medicare benefit is payable under Part II of
the Health Insurance Act 1973; or
(b) any other service supplied by or on behalf of a
*medical practitioner or
*approved pathology practitioner that is
generally accepted in the medical profession as being necessary for the
appropriate treatment of the *recipient of the
supply.
A New Tax System (Goods
and Services Tax) Act 1999
1 Section 9-69 (after table
item 4)
Insert:
|
4A |
Non-residents making supplies connected with Australia |
Division 83 |
2 Section 9-99 (after table
item 4)
Insert:
|
4AA |
Non-residents making supplies connected with Australia |
Division 83 |
3 Section 25-49 (after table
item 2)
Insert:
|
3 |
Non-residents making supplies connected with Australia |
Division 83 |
4 Section 29-99 (after table
item 3)
Insert:
|
4 |
Non-residents making supplies connected with Australia |
Division 83 |
5 Section 37-1 (after table
item 20A)
Insert:
|
20B |
Non-residents making supplies connected with Australia |
Division 83 |
6 After section 38-187
Insert:
A supply of goods is GST-free if:
(a) the *recipient of the supply is a
*non-resident, and is not
*registered or
*required to be registered; and
(b) the goods are jigs, patterns, templates, dies, punches and similar
machine tools to be used in Australia solely to manufacture goods that will be
for export from Australia.
7 Subsection 38-190(1) (table item 1, 3rd
column)
Omit “directly connected with goods or”, substitute “a
supply of work physically performed on goods situated outside Australia or a
supply directly connected with”.
8 Subsection 38-190(1) (table
item 2)
Repeal the item, substitute:
|
2 |
Supply to *non-resident outside
Australia. |
a supply that is made to a *non-resident
who is not in Australia when the thing supplied is done, and: |
9 Subsection 38-190(1) (table item 3, 3rd
column)
Omit “directly connected with goods situated in Australia when the
thing supplied is done, or”, substitute “of work physically
performed on goods situated in Australia when the thing supplied is done, or a
supply directly connected”.
10 At the end of subsection
38-190(2)
Add “and would not be
*GST-free”.
11 At the end of
section 38-190
Add:
(4) A supply is not taken, for the purposes of item 3 in that table,
to be a supply made to a *recipient who is not
in Australia if:
(a) it is a supply under an agreement entered into, whether directly or
indirectly, with an *Australian resident;
and
(b) the supply is provided, or the agreement requires it to be provided,
to another entity outside Australia.
12 After section 81-10
Insert:
The GST on taxable supplies made by non-residents can, with the agreement
of the recipients, be “reverse charged” to the recipients.
(1) The GST on a *taxable supply is
payable by the *recipient of the supply, and is
not payable by the supplier, if:
(a) the supplier is a *non-resident;
and
(b) the supplier does not make the supply through an
*enterprise that the supplier
*carries on in Australia; and
(c) the recipient is *registered or
*required to be registered; and
(d) the supplier and the recipient agree that the GST on the supply be
payable by the recipient.
(2) However, this section does not apply to:
(a) a supply that is not *connected with
Australia but that is a *taxable supply because
of Division 84 (which is about offshore supplies other than goods or real
property); or
(b) a taxable supply made by a
*non-resident through a
*resident agent.
Note: GST on these taxable supplies is payable by the
resident agent: see section 57-5.
(3) This section has effect despite section 9-40 (which is about
liability for the GST).
(1) If section 83-5 applies to a
*taxable supply but the
*recipient of the supply is a
*member of a
*GST group, the GST on the supply:
(a) is payable by the *representative
member; and
(b) is not payable by the member (unless the member is the representative
member).
(2) This section has effect despite section 83-5.
(1) If section 83-5 applies to a
*taxable supply but the
*recipient of the supply is a
*participant in a
*GST joint venture and the supply is made, on
the recipient’s behalf, by the *joint
venture operator of the GST joint venture in the course of activities for which
the joint venture was entered into, the GST on the supply:
(a) is payable by the joint venture operator; and
(b) is not payable by the participant.
(2) This section has effect despite section 83-5.
(1) The amount of GST on a supply to which section 83-5, 83-10 or
83-15 applies is 10% of the *price of the
supply.
(2) This section has effect despite section 9-70 (which is about the
amount of GST on taxable supplies).
(1) A *non-resident need not apply to be
*registered under this Act if the
non-resident’s *annual turnover would not
meet the *registration turnover threshold but
for the *taxable supplies of the non-resident
that are taxable supplies to which section 83-5 applies.
(2) It does not matter whether the
*non-resident is
*required to be registered.
(3) This section has effect despite section 25-1 (which is about when
entities must apply for registration).
(1) The Commissioner need not *register a
*non-resident if the Commissioner is satisfied
that the non-resident’s *annual turnover
would not meet the *registration turnover
threshold but for the *taxable supplies of the
non-resident that are taxable supplies to which section 83-5
applies.
(2) It does not matter whether the
*non-resident is
*required to be registered.
(3) This section has effect despite section 25-5 (which is about when
the Commissioner must register an entity).
(1) A *non-resident is not required to
issue a *tax invoice for a
*taxable supply of the non-resident that is a
taxable supply to which section 83-5 applies.
(2) Subsection (1) has effect despite section 29-70 (which is
about the requirement to issue tax invoices).
(3) Subsection 29-10(3) does not apply in relation to a
*creditable acquisition made by an entity as a
result of being the *recipient of a
*taxable supply to which section 83-5
applies.
13 After
section 188-22
Insert:
To avoid doubt, if the GST on a *taxable
supply is, under Division 83, payable by the
*recipient of the supply, that supply is
disregarded in working out the *current annual
turnover or the *projected annual turnover of
the recipient.
A New Tax System (Goods
and Services Tax) Act 1999
1 Section 9-39 (before table
item 1)
Insert:
|
1A |
Agents and insurance brokers |
Division 153 |
2 Section 9-99 (before table
item 1)
Insert:
|
1A |
Agents and insurance brokers |
Division 153 |
3 Section 11-99 (before table
item 1)
Insert:
|
1A |
Agents and insurance brokers |
Division 153 |
4 At the end of
section 153-1
Add “It also allows in some cases a supply or acquisition made
through an agent to be treated as 2 separate supplies or
acquisitions.”.
5 After section 153-1
Insert:
6 At the end of subsection
153-15(2)
Add:
Note: If Subdivision 153-B is to apply to the supply,
only your agent can issue the tax invoice: see subsection
153-55(3).
7 Subsections 153-25(1) and
(2)
Omit “this Division”, substitute “this
Subdivision”.
8 After section 153-25
Insert:
An entity (the principal) may, in writing, enter into an
arrangement with another entity (the agent) under which:
(a) the agent will, on the principal’s behalf:
(i) make supplies to third parties; or
(ii) make acquisitions from third parties; or
(iii) make both supplies to third parties and acquisitions from third
parties; and
(b) the kinds of supplies or acquisitions, or the kinds of supplies and
acquisitions, to which the arrangement applies are specified; and
(c) for the purposes of the GST law:
(i) the agent will be treated as making the supplies to the third parties,
or acquisitions from the third parties, or both; and
(ii) the principal will be treated as making corresponding supplies to the
agent, or corresponding acquisitions from the agent, or both; and
(d) in the case of supplies to third parties:
(i) the agent will issue to the third parties, in the agent’s own
name, all the *tax invoices and
*adjustment notes relating to those supplies;
and
(ii) the principal will not issue to the third parties any tax invoices
and adjustment notes relating to those supplies; and
(e) the arrangement ceases to have effect if the principal or the agent,
or both of them, cease to be
*registered.
(1) A *taxable supply that the principal
makes to a third party through the agent is taken to be a supply that is a
taxable supply made by the agent to the third party, and not by the principal,
if:
(a) the supply is of a kind to which the arrangement applies;
and
(b) the supply is made in accordance with the arrangement; and
(c) both the principal and the agent are
*registered.
(2) In addition, the principal is taken to make a supply that is a
*taxable supply to the agent. This supply is
taken:
(a) to be a supply of the same thing as is supplied in the taxable supply
(the agent’s supply) that the agent is taken to make;
and
(b) to have a *value equal to
10/11 of the amount that
is payable to the principal by the agent in respect of the agent’s
supply.
The agent is taken to make a corresponding
*creditable acquisition from the
principal.
(3) If the principal pays, or is liable to pay, an amount, as a commission
or similar payment, to the agent for the agent’s supply to the third
party:
(a) for the purpose of paragraph (2)(b), the amount payable by the
agent to the principal is taken to be reduced by the amount the principal pays,
or is liable to pay, to the agent; and
(b) the supply by the agent to the principal, to which the
principal’s payment or liability relates, is not a
*taxable supply.
(4) However, this section no longer applies, and is taken never to have
applied, if the principal issues to the third party, in the principal’s
own name, any *tax invoice or
*adjustment note relating to the
supply.
(5) This section has effect despite section 9-5 (which is about what
are taxable supplies), section 9-75 (which is about the value of taxable
supplies) and section 11-5 (which is about what are creditable
acquisitions).
(1) An acquisition that the principal makes from a third party through the
agent is taken to be a *creditable acquisition
made by the agent from the third party, and not by the principal, if:
(a) the acquisition is of a kind to which the arrangement applies;
and
(b) the acquisition is made in accordance with the arrangement;
and
(c) both the principal and the agent are
*registered.
(2) In addition, the agent is taken to make a supply that is a
*taxable supply to the principal. This supply
is taken:
(a) to be a supply of the same thing as is acquired in the
*creditable acquisition (the
agent’s acquisition) that the agent is taken to make;
and
(b) to have a *value equal to
10/11 of the amount that
is payable to the agent by the principal in respect of the agent’s
acquisition.
The principal is taken to make a corresponding acquisition from the agent,
and the acquisition is taken to be a creditable acquisition if, apart from this
section, the principal’s acquisition from the third party would have been
a creditable acquisition.
(3) If the principal pays, or is liable to pay, an amount, as a commission
or similar payment, to the agent for the agent’s acquisition from the
third party:
(a) for the purpose of paragraph (2)(b), the amount payable by the
principal to the agent is taken to be increased by the amount the principal
pays, or is liable to pay, to the agent; and
(b) the supply by the agent to the principal, to which the
principal’s payment or liability relates, is not a
*taxable supply.
(4) This section has effect despite section 11-5 (which is about what
are creditable acquisitions), section 11-10 (which is about what are
acquisitions), section 9-5 (which is about what are taxable supplies) and
section 9-75 (which is about the value of taxable supplies).
(1) The Commissioner may determine in writing that supplies or
acquisitions of a specified kind that any entity (the agent) makes
on behalf of any other entity (the principal) to or from third
parties are taken to be supplies or acquisitions:
(a) that are of a kind to which an arrangement of a kind referred to in
section 153-50 applies; and
(b) that are made in accordance with that arrangement.
(2) The determination has effect accordingly, unless either the agent or
the principal notifies the other in writing, or both notify each other in
writing, that:
(a) any supplies that the agent makes to third parties on the
principal’s behalf are not supplies to which such an arrangement applies;
and
(b) any acquisitions that the agent makes from third parties on the
principal’s behalf are not acquisitions to which such an arrangement
applies.
9 Before
section 188-25
Insert:
(1) In working out your *current annual
turnover or your *projected annual turnover,
you may choose to treat the *value of any
*taxable supply that, under subsection
153-55(1), you are taken to make as an agent as being an amount equal to the
difference between:
(a) what is, apart from this section, the value of the supply;
and
(b) the value of the taxable supply that, under subsection 153-55(2), is
taken to be made to you in relation to the taxable supply that you are taken to
make.
(2) In working out your *current annual
turnover or your *projected annual turnover,
you may choose to treat the *value of any
*taxable supply that, under subsection
153-60(2), you are taken to make as an agent as being an amount equal to the
difference between:
(a) what is, apart from this section, the value of the supply;
and
(b) 10/11 of the
*consideration you provided or are liable to
provide for the *creditable acquisition that,
under subsection 153-60(1), you are taken to make and that relates to that
supply.
Taxation Administration
Act 1953
10 After subsection 70(1)
Insert:
(1AA) Subsection (1) requires a record of an arrangement entered into
under section 153-50 of the GST Act to be kept and retained by the party
entering into the arrangement as principal. It does not require such a record to
be kept or retained by the party entering into the arrangement as
agent.
(1AB) Subsection (1) requires records of a notice given under
subsection 153-65(2) of the GST Act to be kept and retained by both the entity
giving the notice and the entity receiving it.
A New Tax System (Goods
and Services Tax) Act 1999
1 Paragraph 11-15(4)(b)
Repeal the paragraph, substitute:
(b) you do not *exceed the financial
acquisitions threshold.
2 At the end of
section 11-15
Add:
(5) An acquisition is not treated, for the purposes of
paragraph (2)(a), as relating to making supplies that would be
*input taxed to the extent that:
(a) the acquisition relates to making a
*financial supply consisting of a borrowing;
and
(b) the borrowing relates to you making supplies that are not input
taxed.
3 Paragraph 15-10(4)(b)
Repeal the paragraph, substitute:
(b) you do not *exceed the financial
acquisitions threshold.
4 At the end of
section 15-10
Add:
(5) An acquisition is not treated, for the purposes of
paragraph (2)(a), as relating to making supplies that would be
*input taxed to the extent that:
(a) the acquisition relates to making a
*financial supply consisting of a borrowing;
and
(b) the borrowing relates to you making supplies that are not input
taxed.
5 After subsection 70-5(1)
Insert:
(1A) However, an acquisition is not a reduced credit acquisition if,
without this Division applying, an entity is entitled to an input tax credit for
the acquisition.
Note: Acquisitions relating to financial supplies can give
rise to input tax credits: see subsections 11-15(4) and (5).
6 Subsection 129-5(2)
Omit all the words after “unless”, substitute “you
*exceed the financial acquisitions
threshold”.
7 After section 188-35
Insert:
You can be entitled to input tax credits for your acquisitions relating to
financial supplies (even though financial supplies are input taxed) if you do
not exceed the financial acquisitions threshold.
General
(1) You exceed the financial acquisitions threshold at a
time during a particular month if, assuming that all the
*financial acquisitions you have made, or are
likely to make, during the 12 months ending at the end of that month were made
solely for a *creditable purpose, either or
both of the following would apply:
(a) the amount of all the input tax credits to which you would be entitled
for those acquisitions would exceed $50,000 or such other amount specified in
the regulations;
(b) the amount of the input tax credits referred to in paragraph (a)
would be more than 10% of the total amount of the input tax credits to which you
would be entitled for all your acquisitions and importations during that 12
months (including the financial acquisitions).
Members of GST groups
(2) If you are a *member of a
*GST group, you exceed the financial
acquisitions threshold at a time during a particular month if, assuming
that all the *financial acquisitions you or any
other member of the group have made, or are likely to make, during the 12 months
ending at the end of that month were made solely for a
*creditable purpose, either or both of the
following would apply:
(a) the amount of all the input tax credits to which you or any other
member of the group would be entitled for those acquisitions would exceed
$50,000 or such other amount specified in the regulations;
(b) the amount of the input tax credits referred to in paragraph (a)
would be more than 10% of the total amount of the input tax credits to which you
or any other member of the group would be entitled for all acquisitions and
importations of any member of the group during that 12 months (including the
financial acquisitions).
General
(1) You exceed the financial acquisitions threshold at a
time during a particular month if, assuming that all the
*financial acquisitions you have made, or are
likely to make, during that month and the next 11 months were made solely for a
*creditable purpose, either or both of the
following would apply:
(a) the amount of all the input tax credits to which you would be entitled
for those acquisitions would exceed $50,000 or such other amount specified in
the regulations;
(b) the amount of the input tax credits referred to in paragraph (a)
would be more than 10% of the total amount of the input tax credits to which you
would be entitled for all your acquisitions and importations during those months
(including the financial acquisitions).
Members of GST groups
(2) If you are a *member of a
*GST group, you exceed the financial
acquisitions threshold at a time during a particular month if, assuming
that all the *financial acquisitions you or any
other member of the group have made, or are likely to make, during that month
and the next 11 months were made solely for a
*creditable purpose, either or both of the
following would apply:
(a) the amount of all the input tax credits to which you or any other
member of the group would be entitled for those acquisitions would exceed
$50,000 or such other amount specified in the regulations;
(b) the amount of the input tax credits referred to in paragraph (a)
would be more than 10% of the total amount of the input tax credits to which you
or any other member of the group would be entitled for all acquisitions and
importations of any member of the group during those months (including the
financial acquisitions).
A financial acquisition is an acquisition that relates to
the making of a *financial supply (other than a
financial supply consisting of a borrowing).
8 Section 195-1 (definition of annual
turnover of financial supplies)
Repeal the definition.
9 Section 195-1
Insert:
exceed the financial acquisitions threshold has the meaning
given by Division 189.
10 Section 195-1
Insert:
financial acquisition has the meaning given by
section 189-15.
11 Section 195-1 (definition of reduced
credit acquisition)
Omit “subsection 70-5(1)”, substitute
“section 70-5”.
A New Tax System (Goods
and Services Tax) Act 1999
1 After section 9-85
Insert:
One taxable supply recorded on an invoice
(1) If the amount of GST on a *taxable
supply that is the only taxable supply recorded on a particular
*invoice would, apart from this section, be an
amount that includes a fraction of a cent, the amount of GST is rounded to the
nearest cent (rounding 0.5 cents upwards).
Several taxable supplies recorded on an invoice
(2) If 2 or more *taxable supplies are
recorded on the same *invoice, the total amount
of GST on the supplies is:
(a) what would be the amount of GST if it were worked out by:
(i) working out the GST on each of the supplies (without rounding the
amounts to the nearest cent); and
(ii) adding the amounts together and, if the total is an amount that
includes a fraction of a cent, rounding it to the nearest cent (rounding 0.5
cents upwards); or
(b) the amount worked out using the following method statement:
Method statement
Step 1. Work out, for each *taxable
supply, what would, apart from this section, be the amount of GST on the
supply.
Step 2. If the amount for the supply has more decimal places than
the number of decimal places allowed by the accounting system used to work out
the amount, round the amount (up or down as appropriate) to that number of
decimal places.
Note: Subsection (4) gives further details of this
rounding.
Step 3. Work out the sum of the amounts worked out under step 1 and
(if applicable) step 2 for each supply.
Step 4. If the sum under step 3 includes a fraction of a cent, round
the sum to the nearest cent (rounding 0.5 cents upwards).
(3) Whether to use paragraph (2)(a) or paragraph (2)(b) to work
out the total amount of GST on the supplies is a matter of choice for:
(a) the supplier if the amount is being worked out to ascertain the
supplier’s liability for GST; or
(b) the *recipient of the supplies if the
amount is being worked out to ascertain the recipient’s entitlement to
input tax credits.
(4) In applying step 2 of the method statement in subsection (2),
if:
(a) the number of decimal places in the amount for the supply exceeds by
one decimal place the number of decimal places allowed by the accounting system
used to work out the amount; and
(b) the last digit of the amount (before rounding) is 5;
the amount is rounded upwards to that number of decimal places.
Taxable supplies divided into items
(5) If one or more *taxable supplies
recorded on the same *invoice are divided into
2 or more items:
(a) subsection (1) does not apply; and
(b) subsection (2) applies as if each such item represented a
separate taxable supply.
Taxable supplies recorded on documents other than invoices
(6) If one or more *taxable supplies,
none of which are recorded on an *invoice, are
recorded on a document that is not an invoice, this section applies as if the
document were an invoice.
2 After section 17-10
Insert:
(1) You may choose to work out your *net
amount for a tax period in the way specified in an
*approved form if you use the form to notify
the Commissioner of that net amount. The amount so worked out is treated as your
net amount for the tax period.
Note: Choosing to use section 17-5 to work out your net
amount does not mean your GST return is not in the approved form: see subsection
31-15(3).
(2) This section has effect despite section 17-5.
3 At the end of
section 31-15
Add:
(3) The fact that, in your *GST return
for the *tax period, your
*net amount for the
*tax period is worked out:
(a) in the way specified in section 17-5; and
(b) not in the way specified in the
*approved form for a GST return;
does not prevent your GST return for the tax period being treated as being
in the approved form.
4 At the end of subsection
66-50(3)
Add:
Note: Section 9-90 (rounding of amounts of GST) can
apply to amounts of GST worked out using this section.
5 At the end of subsection
75-10(4)
Add:
Note: Section 9-90 (rounding of amounts of GST) can
apply to amounts of GST worked out using this section.
6 At the end of subsection
84-12(2)
Add:
Note: Section 9-90 (rounding of amounts of GST) can
apply to amounts of GST worked out using this section.
A New Tax System (Goods
and Services Tax Transition) Act 1999
7 After section 24A
Insert:
(1) The Commissioner may determine in writing a way in which amounts of
GST for taxable supplies recorded on invoices may be rounded for the purposes
of:
(a) subsection 9-90(1) of the GST Act; and
(b) subparagraph 9-90(2)(a)(ii) of the GST Act; and
(c) step 4 in the method statement in subsection 9-90(2) of the GST
Act.
(2) However, the determination only applies:
(a) to the entity specified in the determination; and
(b) to taxable supplies attributable under the GST Act to tax periods that
end on or before the day specified in the determination.
(3) The entity may round amounts of GST, for the purposes of the
provisions referred to in paragraphs (1)(a), (b) and (c):
(a) in the way specified in the determination; or
(b) in the way specified in the provisions referred to in those
paragraphs.
(4) The day specified under paragraph (2)(b) must not be later than
30 June 2002.
(5) An entity may apply to the Commissioner in writing for a determination
under this section.
Note: Refusing an application for a determination under this
section, and making determinations under this section, are reviewable GST
transitional decisions (see Division 7 of Part VI of the Taxation
Administration Act 1953).
(6) If one or more taxable supplies, none of which are recorded on an
invoice, are recorded on a document that is not an invoice, this section applies
as if the document were an invoice.
Taxation Administration
Act 1953
8 After paragraph 62(1)(c)
Insert:
or (d) a reviewable GST transitional decision relating to you;
9 Subsection 62(1) (note)
Omit “and subsection (3) lists reviewable indirect tax decisions
under this Part”, substitute “, subsection (3) lists reviewable
indirect tax decisions under this Part and subsection (3A) lists reviewable
GST transitional decisions under the A New Tax System (Goods and Services Tax
Transition) Act 1999”.
10 After subsection 62(3)
Insert:
(3A) A decision under section 24B of the A New Tax System (Goods
and Services Tax Transition) Act 1999 refusing an application for a
determination under that section, or making a determination under that section,
is a reviewable GST transitional decision.
A New Tax System
(Australian Business Number) Act 1999
1 After subsection 37(1)
Insert:
(1A) Paragraph (1)(f) does not include a
*non-entity joint venture.
2 Section 41 (at the end of the definition
of company)
Add “or a *non-entity joint
venture”.
3 Section 41
Insert:
non-entity joint venture means an arrangement that the
Registrar is satisfied is a contractual arrangement:
(a) under which 2 or more parties undertake an economic activity that is
subject to the joint control of the parties; and
(b) that is entered into to obtain individual benefits for the parties, in
the form of a share of the output of the arrangement rather than joint or
collective profits for all the parties.
A New Tax System (Goods
and Services Tax) Act 1999
4 Section 51-1
Omit “Companies”, substitute “Entities”.
5 Subsections 51-5(1) and
(2)
Omit “*companies”, substitute
“entities”.
6 Paragraphs 51-5(1)(c), (d) and (e) and
51-10(b)
Omit “companies”, substitute “entities”.
7 Paragraphs 51-5(1)(e), 51-45(2)(b) and (c),
51-70(1)(c) and 51-90(a)
Omit “company”, substitute “entity”.
8 Section 51-10
Omit “A *company”, substitute
“An entity”.
9 Section 51-10
Omit “company”, substitute “entity”.
10 Subsections 51-30(1), 51-35(1) and
51-40(1)
Omit “*company”, substitute
“entity”.
11 Paragraphs 51-30(2)(a), 51-40(1)(b),
51-45(2)(a), 51-70(1)(a) and 51-110(1)(b)
Omit “*company”, substitute
“entity”.
12 After subsection
51-45(2)
Insert:
(2A) However, while an election made by the
*joint venture operator under
section 51-52 has effect:
(a) Division 17 applies to the joint venture operator as if the joint
venture operator had an additional *net amount,
relating to all the *GST joint ventures for
which the joint venture operator is the joint venture operator, for each tax
period; and
(b) that additional net amount is worked out by aggregating what would be
the additional *net amounts relating to each
GST joint venture under subsection (2) if that subsection
applied.
13 After subsection
51-50(2)
Insert:
(2A) However, while an election made by the
*joint venture operator under
section 51-52 has effect:
(a) the joint venture operator must, in relation to all the
*GST joint ventures for which the joint venture
operator is the joint venture operator, give to the Commissioner a single
*GST return for each tax period applying to the
joint venture operator; and
(b) the *net amount stated in such a
return must be the net amount relating to all those
*GST joint ventures.
14 After section 51-50
Insert:
Electing to consolidate GST returns
(1) The *joint venture operator of 2 or
more *GST joint ventures may, by notifying the
Commissioner in the *approved form, elect to
give to the Commissioner consolidated *GST
returns relating to all the GST joint ventures of the joint venture
operator.
(2) The election takes effect on the day specified in the notice. However,
the day specified must be the first day of a tax period applying to the
*joint venture operator that has not already
ceased when the notice is given.
Withdrawal of elections
(3) The *joint venture operator may, by
notifying the Commissioner in the *approved
form, withdraw the election.
(4) The withdrawal takes effect on the day specified in the notice.
However, the day specified:
(a) must be the first day of a tax period applying to the
*joint venture operator that has not already
ceased when the notice is given; and
(b) must not be a day occurring earlier than 12 months after the election
took effect.
Disallowance of elections
(5) The Commissioner may disallow the election if the Commissioner is
satisfied that the *joint venture operator has
a history of failing to comply with the joint venture operator’s
obligations (either as a joint venture operator or in any other capacity) under
a *taxation law.
Note: Disallowing an election is a reviewable GST decision
(see Division 7 of Part VI of the Taxation Administration Act
1953).
(6) The disallowance is taken to have had effect from the start of the tax
period in which the disallowance occurs.
15 Subsection 51-55(1)
Omit “a *GST joint venture”,
substitute “one or more *GST joint
ventures”.
16 Paragraph 51-55(1)(a)
Omit “the GST joint venture”, substitute “that GST joint
venture or those GST joint ventures”.
17 Section 51-60
Omit “a *GST joint venture”,
substitute “one or more *GST joint
ventures”.
18 Section 51-60
Omit “the GST joint venture”, substitute “that GST joint
venture or those GST joint ventures”.
19 Paragraph 51-90(a)
Omit “*companies”, substitute
“entities”.
20 After subsection
184-1(1)
Insert:
(1A) Paragraph (1)(f) does not include a
*non-entity joint venture.
21 Section 195-1 (at the end of the
definition of company)
Add “or a *non-entity joint
venture”.
22 Section 195-1 (definition of joint
venture operator)
Omit “*company”, substitute
“entity”.
23 Section 195-1 (definition of
participant)
Omit “a *company”, substitute
“an entity”.
24 Section 195-1
Insert:
minerals has the meaning given by section 330-25 of the
*ITAA 1997.
25 Section 195-1
Insert:
non-entity joint venture has the meaning given by subsection
995-1(1) of the *ITAA 1997.
Income Tax Assessment Act
1936
26 Subsection 6(1) (at the end of the definition
of company)
Add “or non-entity joint ventures”.
27 Subsection 6(1)
Insert:
non-entity joint venture has the meaning given by subsection
995-1(1) of the Income Tax Assessment Act 1997.
Income Tax Assessment Act
1997
28 After subsection
960-100(1)
Insert:
(1A) Paragraph (1)(e) does not include a
*non-entity joint venture.
29 Subsection 995-1(1) (at the end of the
definition of company)
Add “or a *non-entity joint
venture”.
30 Subsection 995-1(1)
Insert:
non-entity joint venture means an arrangement that the
Commissioner is satisfied is a contractual arrangement:
(a) under which 2 or more parties undertake an economic activity that is
subject to the joint control of the parties; and
(b) that is entered into to obtain individual benefits for the parties, in
the form of a share of the output of the arrangement rather than joint or
collective profits for all the parties.
Taxation Administration
Act 1953
31 Section 8AAZA (at the end of the
definition of company)
Add “or a non-entity joint venture”.
32 Section 8AAZA
Insert:
non-entity joint venture has the meaning given by subsection
995-1(1) of the Income Tax Assessment Act 1997.
33 Subsection 62(2) (after table
item 25)
Insert:
|
25A |
disallowing an election to consolidate GST returns relating to GST joint
ventures |
subsection 51-52(5) |
A New Tax System (Goods
and Services Tax) Act 1999
1 Section 38-355 (table item 6, 3rd
column, paragraph (b))
Repeal the paragraph, substitute:
|
(b) insuring the *international transport
of goods from their *place of export in
Australia to a destination outside Australia; or |
2 Subsection 78-15(4) (method
statement)
Repeal the method statement, substitute:
Method statement
Step 1. Add together:
(a) the sum of the payments of *money (if
any) made in settlement of the claim; and
(b) the *GST inclusive market value of
the supplies (if any) made by the insurer in settlement of the claim (other than
supplies that would have been *taxable supplies
but for section 78-25).
Step 2. If any payments of excess were made to the insurer under the
*insurance policy in question, subtract from
the step 1 amount the sum of all those payments.
Step 3. Multiply the step 1 amount, or (if step 2 applies) the step
2 amount, by the following:
where:
extent of input tax credit has the meaning given by
subsection (2).
3 Subparagraph
78-50(1)(c)(i)
Omit “the insurance policy was supplied”, substitute “a
claim was first made under the insurance policy since the last payment of a
premium”.
4 After paragraph
78-100(2)(c)
Insert:
(ca) those payments that that entity makes or is liable to make are
treated as a premium it has paid; and
5 At the end of
section 78-100
Add:
(3) However, if the entity treated as the entity insured:
(a) is liable to make payments referred to in paragraph (2)(c);
and
(b) has not made all those payments;
for the purposes of sections 78-10 and 78-15, the entity’s
entitlement to an input tax credit for the premium paid is taken to be what its
entitlement would have been if it had made all those payments.
A New Tax System (Goods
and Services Tax Transition) Act 1999
6 After subsection 23(1)
Insert:
(1A) If, because of subsection (1), you are not entitled to an input
tax credit for an acquisition you make, section 29-70 of the GST Act (which
is about tax invoices) does not apply in relation to the supply to which the
acquisition relates.
7 Section 23A
Repeal the section.
A New Tax System (Goods
and Services Tax) Act 1999
1 Paragraph 31-15(1)(d)
Omit “section 31-30”, substitute
“section 388-75 in Schedule 1 to the Taxation Administration
Act 1953”.
2 At the end of subsection
31-25(1)
Add:
Note: Section 388-75 in Schedule 1 to the
Taxation Administration Act 1953 deals with signing
returns.
3 Subsection 31-25(2)
Omit “unless the Commissioner is satisfied that it is not practicable
for you to lodge your returns electronically”, substitute “unless
the Commissioner otherwise approves”.
4 Subsection 31-25(2) (note
2)
Omit “288-5”, substitute “388-80”.
5 Section 31-30
Repeal the section.
6 Subsection 33-10(2) (note
2)
Omit “288-15 in that Schedule”, substitute “8AAZMA in
that Act”.
7 After section 35-5
Insert:
Your entitlement to be paid an amount under section 35-5 arises when
you give the Commissioner a *GST return under
section 31-5 or 31-20.
8 Section 165-80
Repeal the section.
9 Section 195-1 (definition of approved
form)
Repeal the definition, substitute:
approved form has the meaning given by section 388-50 in
Schedule 1 to the Taxation Administration Act 1953.
10 Section 195-1 (definition of
electronic signature)
Repeal the definition, substitute:
electronic signature has the meaning given by subsection
995-1(1) of the Income Tax Assessment Act 1997.
11 Section 195-1 (definition of GST
return)
Omit “, 31-25 and 31-30”, substitute “and 31-25 of this
Act and section 388-75 in Schedule 1 to the Taxation Administration
Act 1953”.
Taxation Administration
Act 1953
12 Section 8AAZA
Insert:
RBA group means a GST group under Division 48 of the
A New Tax System (Goods and Services Tax) Act 1999.
13 Subsection 8AAZLA(1)
After “the entity”, insert “or, if the entity is a member
of an RBA group, to an RBA of another member of the group”.
14 Subsection 8AAZLB(1)
After “the entity”, insert “or, if the entity is a member
of an RBA group, against a non-RBA tax debt of another member of the
group”.
15 Sections 42 to 46
Repeal the sections.
16 After section 288-35 in
Schedule 1
Insert:
You are liable to an administrative penalty of 20 penalty units if you
fail to apply for registration, or to apply for cancellation of registration, as
required by the *GST Act.
Note: See section 4AA of the Crimes Act 1914 for
the current value of a penalty unit.
(1) You are liable to an administrative penalty of 20 penalty units if you
fail to issue a tax invoice as required by section 29-70 of the
*GST Act.
(2) You are liable to an administrative penalty of 20 penalty units if you
fail to issue an adjustment note as required by section 29-75 of the
*GST Act.
Note: See section 4AA of the Crimes Act 1914 for
the current value of a penalty unit.
An entity is liable to an administrative penalty of 20 penalty units if
both the entity and its agent issue:
(a) separate tax invoices relating to the same taxable supply, contrary to
subsection 153-15(2) of the *GST Act;
or
(b) separate adjustment notes for the same decreasing adjustment, contrary
to subsection 153-20(2) of that Act.
Note: See section 4AA of the Crimes Act 1914 for
the current value of a penalty unit.
Taxation (Interest on
Overpayments and Early Payments) Act 1983
17 Subsection 3(1) (at the end of the definition
of relevant tax)
Add:
; or (o) GST assessed under the A New Tax System (Goods and Services
Tax) Act 1999.
18 Application of
amendments
(1) Subject to this item, the amendments made by this Schedule apply to
things done on or after 1 July 2000.
(2) Those amendments do not apply to a return, statement, notice or other
document, or a statement made or scheme entered into, in relation to the year
starting on 1 July 1999 or an earlier year.
1 Section 5
Insert:
increased duty alcoholic goods has the meaning given by
section 23A.
2 After section 23
Insert:
(1) Goods are increased duty alcoholic goods if:
(a) they are goods mentioned in subsection 15A(1) (alcoholic beverages) of
the Sales Tax (Exemptions and Classifications) Act 1992, other than wine
within the meaning of the A New Tax System (Wine Equalisation Tax) Act
1999; and
(b) the person holding the goods has not borne tax on the goods;
and
(c) either:
(i) an amount of excise duty or customs duty (the old duty
amount) in respect of the goods was paid before 1 July 2000;
or
(ii) the goods were delivered into home consumption before 1 July
2000 under a permission given under subsection 61C(1) of the Excise Act
1901 or granted under subsection 69(3) of the Customs Act 1901, and
an amount of excise duty or customs duty (the old duty amount) was
or is payable in respect of the goods; and
(d) were excise duty or customs duty (whichever is applicable) instead to
become payable on the goods immediately after 1 July 2000, the amount of
that duty would be greater than the old duty amount.
(2) Goods are also increased duty alcoholic goods
if:
(a) they are goods mentioned in subsection 15A(1) (alcoholic beverages) of
the Sales Tax (Exemptions and Classifications) Act 1992, other than wine
within the meaning of the A New Tax System (Wine Equalisation Tax) Act
1999; and
(b) the person holding the goods has not borne tax on the goods;
and
(c) immediately before 1 July 2000, the goods were not:
(i) excisable goods (within the meaning of the Excise Act 1901);
or
(ii) goods of a kind in respect of which customs duty was imposed by the
Parliament, or goods the subject of a Customs Tariff or Customs Tariff proposed
in the Parliament; and
(d) at the start of 1 July 2000, the goods became goods of a kind
referred to in subparagraph (c)(i) or (ii); and
(e) no excise duty or customs duty became payable on the goods,
immediately after 30 June 2000, by the person holding the goods.
(3) To avoid doubt, goods that are subject to a “free” rate of
duty, or which, under a Customs Tariff proposed in the Parliament, would be
subject to a “free” rate of duty, are not goods of a kind referred
to in subparagraph (2)(c)(ii).
3 After subsection 51(3)
Insert:
(3A) An entitlement to a credit in respect of increased duty alcoholic
goods sold before 1 July 2000 cannot arise from a return of the goods to
the seller after 30 June 2000.
4 Schedule 1 (at the end of Part A of Table
1)
Add:
|
AD4c |
holding for sale increased duty alcoholic goods immediately before
1 July 2000 |
holder of the goods |
immediately before 1 July 2000 |
the purchase price |
5 Schedule 1 (at the end of Part B of Table
1)
Add:
|
AD14c |
holding for sale increased duty alcoholic goods immediately before
1 July 2000 |
holder of the goods |
immediately before 1 July 2000 |
the purchase price |
A New Tax System
(Australian Business Number) Act 1999
1 Section 5 (heading)
Repeal the heading, substitute:
2 Section 5
Omit “, or a *non-profit
sub-entity,”, substitute “, a
*non-profit sub-entity or a
*superannuation fund”.
A New Tax System (Goods
and Services Tax) Act 1999
3 After subsection 9-10(3)
Insert:
(3A) For the avoidance of doubt, the delivery of:
(a) livestock for slaughtering or processing into
*food; or
(b) game for processing into
*food;
under an arrangement under which the entity making the delivery only
relinquishes title after food has been produced, is the supply of the livestock
or game (regardless of when the entity relinquishes title). The supply does not
take place on or after the subsequent relinquishment of title.
4 Subsection 9-30(4)
After “anything”, insert “(other than
*new residential premises)”.
5 At the end of subsection
29-75(2)
Add:
(3) However, in circumstances that the Commissioner determines in writing,
paragraph (2)(b) has effect as if the number of days referred to in that
paragraph is the number of days specified in the determination in relation to
those circumstances.
(4) Those circumstances may, for example, include the kind of the
*taxable supply.
6 Subsection 29-80(2)
Omit “that relates to a *taxable
supply the *value of which”, substitute
“of an amount that”.
7 Subsection 40-65(2)
Repeal the subsection, substitute:
(2) However, the sale is not input taxed to the extent that the
*residential premises are:
(a) *commercial residential premises;
or
(b) *new residential premises other than
those used for residential accommodation before 2 December 1998.
8 Subsection 40-70(2)
Repeal the subsection, substitute:
(2) However, the sale is not input taxed to the extent that the
*residential premises are:
(a) *commercial residential premises;
or
(b) *new residential premises other than
those used for residential accommodation before 2 December 1998.
9 Subparagraph
48-10(1)(a)(ii)
Omit “or trust”, substitute “, trust or
individual”.
10 After subsection
66-17(2)
Insert:
(2A) Subsection 29-10(3) does not apply to a
*creditable acquisition of
*second-hand goods if:
(a) the supply to which the acquisition relates is not a
*taxable supply; and
(b) the amount that would have been the
*value of the supply (if it had been a
*taxable supply) does not exceed $50, or such
higher amount as the regulations made for the purposes of subsection 29-80(1)
specify.
(2B) Subsection 29-20(3) does not apply to a
*decreasing adjustment relating to a
*creditable acquisition of
*second-hand goods if:
(a) the supply to which the acquisition relates is not a
*taxable supply; and
(b) the amount of the adjustment does not exceed $50, or such higher
amount as the regulations made for the purposes of subsection 29-80(2)
specify.
11 After section 72-70
Insert:
This Division applies to a *GST branch
of an entity as if the GST branch were an
*associate of:
(a) that entity; and
(b) every other GST branch of that entity; and
(c) any other associate of that entity.
This Division applies to a *government
entity that is:
(a) a Department of State of the Commonwealth; or
(b) a Department of the Parliament; or
(c) an Executive Agency, or Statutory Agency, within the meaning of the
Public Service Act 1999; or
(d) an organisation, established by the Commonwealth, of a kind referred
to in paragraph (e) of the definition of government entity in
section 41 of the A New Tax System (Australian Business Number) Act
1999;
as if the government entity were an
*associate of the Commonwealth, of every other
government entity of a kind referred to in paragraph (a), (b), (c) or (d)
and of any other associate of the Commonwealth.
This Division applies to a *government
entity that is:
(a) a Department of State of a State or Territory; or
(b) an organisation, established by a State or Territory, of a kind
referred to in paragraph (e) of the definition of government
entity in section 41 of the A New Tax System (Australian
Business Number) Act 1999;
as if the government entity were an
*associate of:
(c) that State or Territory; and
(d) every other Department of State of that State or Territory, or
organisation, established by that State or Territory, of a kind referred to in
paragraph (e) of that definition; and
(e) any other associate of that State or Territory.
12 After
section 188-30
Insert:
For the purposes only of this Division, the value of all the
*gambling supplies that an entity makes during
a particular period is taken to be an amount equal to 11 times:
(a) the entity’s *global GST amount
for that period; or
(b) if that period is not a tax period—what would have been the
entity’s global GST amount for the period if that period had been a tax
period.
13 Section 195-1 (definition of
value, at the end of the note)
Add “, and section 188-32 contains a means of working out, for
those purposes, the value of gambling supplies”.
A New Tax System (Goods
and Services Tax Transition) Act 1999
14 Before paragraph
11(1A)(b)
Insert:
(a) a supply to which section 12 applies; or
15 At the end of subsection
12(1)
Add:
Note: Section 11 does not apply to supplies covered by
this section: see paragraph 11(1A)(a).
16 Subsection 15(2)
Repeal the subsection, substitute:
(2) If you entered into the agreement before 1 December 1999 and the
funeral is provided on or after 1 July 2000, the supply is GST-free to the
extent that the consideration for the supply is paid before 1 July
2005.
Taxation Administration
Act 1953
17 After subsection 53(1)
Insert:
(1A) Subsection (1) does not apply to a member of a GST group if an
Australian law has the effect of prohibiting the member from entering into any
arrangement under which the member becomes subject to the liability referred to
in that subsection.
(1B) However, a member to which subsection (1A) applies remains
liable for any amount payable under an indirect tax law by the representative
member of the group, to the extent that the liability arises from an act or
omission of the member to which subsection (1A) applies.