MINERALS RESOURCE RENT TAX (CONSEQUENTIAL AMENDMENTS AND TRANSITIONAL PROVISIONS) BILL 2011

i Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill

2011 No. , 2011

Contents

1 Short

title

...........................................................................................

2 Commencement

.................................................................................

3 Schedule(s)

........................................................................................

Schedule 1--Amendment of the Taxation Administration Act

1953 not related to assessments

Schedule 2--Amendments related to assessments

Part 1--Amendments

Taxation Administration Act 1953

Part 2--Alternative amendments

Administrative Decisions (Judicial Review) Act 1977

Income Tax Assessment Act 1997

Taxation Administration Act 1953

Schedule 3--Amendment of other Acts

Part 1--Amendments commencing at the same time as the

Minerals Resource Rent Tax Act 2011 commences

Administrative Decisions (Judicial Review) Act 1977

A New Tax System (Goods and Services Tax) Act 1999

Crimes (Taxation Offences) Act 1980

Income Tax Assessment Act 1997

Taxation (Interest on Overpayments and Early Payments) Act 1983

Part 2--Amendments with other commencements

Administrative Decisions (Judicial Review) Act 1977

Income Tax Assessment Act 1997

Minerals Resource Rent Tax Act 2011

Schedule 4--Application and transitional provisions

Part 1--Preliminary

Part 2--General liability rules

Part 3--MRRT allowances

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 1

A Bill for an Act to make consequential

amendments and deal with transitional matters

arising from the enactment of the Minerals

Resource Rent Tax Act 2011, and for other purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Minerals Resource Rent Tax

(Consequential Amendments and Transitional Provisions) Act

2011.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

2 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day this Act receives the Royal Assent.

2. Schedule 1

At the same time as the Minerals Resource

Rent Tax Act 2011 commences.

3. Schedule 2,

Part 1

Immediately after the commencement of

Schedule 1 to the Indirect Tax Laws

Amendment (Assessment) Act 2011.

However, the provision(s) do not commence

at all if that Act does not receive the Royal

Assent before 1 July 2012.

4. Schedule 2,

Part 2

At the same time as the Minerals Resource

Rent Tax Act 2011 commences.

However, the provision(s) do not commence

at all if the Indirect Tax Laws Amendment

(Assessment) Act 2011 receives the Royal

Assent before 1 July 2012.

5. Schedule 3,

Part 1

At the same time as the Minerals Resource

Rent Tax Act 2011 commences.

6. Schedule 3,

item 90

Immediately after the commencement of

Schedule 1 to the Indirect Tax Laws

Amendment (Assessment) Act 2011.

However, the provision(s) do not commence

at all if that Act does not receive the Royal

Assent before 1 July 2012.

7. Schedule 3,

item 91

At the same time as the Minerals Resource

Rent Tax Act 2011 commences.

However, if section 3 of the Clean Energy

Act 2011 commences on 1 July 2012, the

provision(s) commence immediately after

that commencement.

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 3

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

8. Schedule 3,

item 92

The later of:

(a) immediately after the commencement of

the provision(s) covered by table item 2;

and

(b) at the same time as section 3 of the Clean

Energy Act 2011 commences.

However, the provision(s) do not commence

at all if the event mentioned in paragraph (b)

does not occur.

9. Schedule 4

At the same time as the Minerals Resource

Rent Tax Act 2011 commences.

Note:

This table relates only to the provisions of this Act as originally

enacted. It will not be amended to deal with any later amendments of

this Act.

(2) Any information in column 3 of the table is not part of this Act.

Information may be inserted in this column, or information in it

may be edited, in any published version of this Act.

3 Schedule(s)

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.

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

4 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Schedule 1--Amendment of the Taxation

Administration Act 1953 not related to

assessments

1 Subsection 8AAB(4) (after table item 19)

Insert:

19A 50-15

Minerals Resource Rent Tax

Act 2011

payment of MRRT

2 Subsection 8AAB(4) (after table item 45)

Insert:

45A 115-30

Schedule 1

Taxation Administration Act

1953

payment of MRRT

instalments

45B 115-65

Schedule 1

Taxation Administration Act

1953

shortfall in MRRT

instalments worked

out on the basis of a

varied rate

3 At the end of section 11-1 in Schedule 1

Add:

; and (g)

MRRT.

4 Paragraphs 12-330(1)(b) and 12-335(2)(a) in Schedule 1

After "tax", insert "or

MRRT".

5 Subdivision 18-A in Schedule 1 (heading)

Repeal the heading, substitute:

Subdivision 18-A--Crediting withheld amounts

6 At the end of section 18-10 in Schedule 1

Add:

(3) If an entity withholds an amount from a

withholding payment as

required by section 12-325 (natural resource payments), apply

sections 18-15, 18-20 and 18-25 to the payment as if the entity had

withheld only so much of that amount as was withheld in respect of

tax.

Amendment of the Taxation Administration Act 1953 not related to assessments

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Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

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Note:

Section 18-49 provides a credit for amounts withheld in respect of

MRRT.

7 Group heading before section 18-65 in Schedule 1

Repeal the heading, substitute:

Entitlement to credit: Minerals resource rent tax

18-49 Credit--Natural resource payments

(1) An entity is entitled to a credit in an

MRRT year if:

(a) one or more

withholding payments covered by

section 12-325 (natural resource payments) from which there

are

amounts withheld in respect of

MRRT are made to the

entity during the MRRT year; and

(b) an assessment has been made of the MRRT payable, or an

assessment has been made that no MRRT is payable, by the

entity for the MRRT year.

(2) The amount of the credit is so much of the total of the

amounts

withheld as is withheld in respect of

MRRT.

8 After Part 3-10 in Schedule 1

Insert:

Part 3-15--Minerals Resource Rent Tax

Division 115--Instalments

Table of Subdivisions

Guide to Division 115

115-A Preliminary

115-B Liability for instalments

115-C Working out instalment amounts

115-D Instalment rate chosen by you

115-E Instalment rate given to you by Commissioner

115-F

Default instalment rate

115-G Special rules for project interests that are transferred or split

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6 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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115-H Special rules for transitional accounting periods

Guide to Division 115

115-1 What this Division is about

You pay quarterly instalments of MRRT under this Division if you

have mining revenue for a quarter or a positive instalment rate.

Instalments give rise to a credit once an assessment of the MRRT

is made.

The amount of a quarterly instalment is the product of your

instalment income for the quarter and your applicable instalment

rate.

The applicable instalment rate may be a rate chosen by you, a rate

given to you by the Commissioner, or a statutory default rate.

General interest charge may be payable if a rate you choose for a

quarter is too low, having regard to the amount of MRRT you are

liable to pay for the year.

Subdivision 115-A--Preliminary

Table of sections

115-5

Objects of this Division

115-5 Objects of this Division

The objects of this Division are:

(a) to ensure the efficient collection of

MRRT by the payment

of quarterly instalments; and

(b) to calculate total instalments for the

MRRT year that are as

close as possible to the amount of MRRT you are liable to

pay for the year.

Subdivision 115-B--Liability for instalments

Table of sections

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115-10

Liability for instalments

115-15

Information to be given to the Commissioner

115-20

Credit for instalments payable

115-25

When instalments are due

115-30

General interest charge on late payment

115-10 Liability for instalments

(1) You are liable to pay an instalment under this Division in relation

to an

instalment quarter in an

MRRT year, if:

(a) you have a

mining project interest or

hold a

pre-mining

project interest; and

(b)

either:

(i)

you

have

mining revenue or

pre-mining revenue

relating to the instalment quarter; or

(ii)

your

applicable instalment rate for the instalment

quarter is greater than nil.

Note 1:

For provisions about collection and recovery of amounts you are liable

to pay under this Division, see Part 4-15.

Note 2:

For applicable instalment rate, see section 115-45.

Meaning of instalment quarter

(2)

For

MRRT year (whether it ends on 30 June or not), the

following are the instalment quarters:

(a)

your

first

instalment quarter consists of the first 3 months of

the MRRT year;

(b)

your

second

instalment quarter consists of the fourth, fifth

and sixth months of the MRRT year;

(c)

your

third

instalment quarter consists of the seventh, eighth

and ninth months of the MRRT year;

(d)

your

fourth

instalment quarter consists of the tenth, 11th and

12th months of the MRRT year.

Note:

There is a special rule for MRRT years that are not 12 months: see

Subdivision 115-G.

115-15 Information to be given to the Commissioner

(1) If you are liable to pay an instalment for an

instalment quarter

(even if it is a nil amount), you must notify the Commissioner of

the amount of your

instalment income for the quarter.

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(2) You must notify the Commissioner in the

approved form and on

or before the day when the instalment is due (regardless of whether

it is paid).

(3) Subsection (1) does not apply to you for an

instalment quarter if:

(a) a nil rate determination under subsection 115-45(2) or (3)

applies to you for the quarter; and

(b) you are exempted from compliance with subsection (1) for

the quarter:

(i) by a written notice the Commissioner gives you; or

(ii) by a legislative instrument that the Commissioner

makes, exempting a class of entities.

(4) An exemption under subsection (3) may be combined in the same

document as a nil rate determination.

115-20 Credit for instalments payable

(1) You are entitled to a credit when the Commissioner makes an

assessment of the amount (including a nil amount) of

MRRT you

are liable to pay.

(2) The amount of the credit is:

(a) the total of each instalment payable by you for the

MRRT

year (even if you have not yet paid it); less

(b) the total of each credit that you have claimed under

section 115-60 or 115-100.

(3) The making of the assessment, and the resulting credit entitlement,

do not affect the liability to pay an instalment.

Note:

How the credit is applied is set out in Division 3 of Part IIB.

115-25 When instalments are due

An instalment you are liable to pay in relation to an

instalment

quarter is due on or before the 21st day of the month after the end

of that quarter.

115-30 General interest charge on late payment

If you fail to pay some or all of an instalment by the time by which

the instalment is due to be paid, you are liable to pay the

general

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interest charge on the unpaid amount for each day in the period

that:

(a) started at the beginning of the day by which the instalment

was due to be paid; and

(b) finishes at the end of the last day on which, at the end of the

day, any of the following remains unpaid:

(i)

the

instalment;

(ii) general interest charge on any of the instalment.

Subdivision 115-C--Working out instalment amounts

Table of sections

115-35

How to work out the amount of an instalment

115-40 Meaning

instalment income

115-45 Meaning

applicable instalment rate

115-35 How to work out the amount of an instalment

The amount of an instalment you are liable to pay in relation to

MRRT, in relation to an

instalment quarter, is:

Your instalment income for

Applicable instalment rate

the instalment quarter

�

115-40 Meaning of instalment income

Your

instalment income for an

instalment quarter in an

MRRT

year is the sum of the amounts worked out under column 2 of the

table in subsection 30-25(2) of the Minerals Resource Rent Tax Act

2011 for each

mining revenue event that:

(a) happens during the instalment quarter; and

(b) results in an amount (including a nil amount) being included:

(i) under section 30-10 of that Act in your

mining revenue

for a

mining project interest for the MRRT year; or

(ii) under section 70-40 of that Act in your

pre-mining

revenue for a

pre-mining project interest for the MRRT

year.

Note 1:

Special rules affect the calculation of instalment income for project

interests that are transferred or split: see Subdivision 115-F.

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10 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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Note 2:

If you have chosen to use the alternative valuation method under

Division 175 of the Minerals Resource Rent Tax Act 2011, your

unadjusted revenue amounts under section 175-30 of that Act will be

the same as the amounts worked out under column 2 of the table in

subsection 30-25(2) of that Act.

115-45 Meaning of applicable instalment rate

(1)

Your

applicable instalment rate, for an

instalment quarter in an

MRRT year (the current year), is worked out using the first

applicable item in the table.

Applicable instalment rate for an instalment quarter for MRRT

Item Column

If:

Column 2

Your applicable instalment rate is:

A nil rate determination under

subsection (2) or (3) applies to

you for the

instalment quarter

Nil.

You have chosen an instalment

rate under Subdivision 115-D

for:

(a) the

instalment quarter; or

(b) an earlier instalment quarter

in the current year

The rate you chose for the instalment

quarter, or, if you did not choose a rate

for the instalment quarter, the rate you

chose for the most recent earlier

instalment quarter in the current year for

which you chose a rate.

The Commissioner has given

you an instalment rate under

Subdivision 115-E before the

end of the

instalment quarter

(whether in the current year or

an earlier

MRRT year)

The most recent instalment rate given to

you by the Commissioner before the end

of the instalment quarter.

None of items 1, 2 and 3 applies

The rate that applies to you under

Subdivision 115-F.

Note:

If you choose a rate under Subdivision 115-D, you must use it for the

rest of the MRRT year even if the Commissioner later gives you a

different instalment rate.

Nil rate determinations

(2) The Commissioner may, by giving you written notice, determine a

nil rate for you for an

MRRT year if, in the Commissioner's

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opinion, you are unlikely to be liable to pay

MRRT for the MRRT

year.

(3) The Commissioner may, by legislative instrument, determine a nil

rate for a class of entities for an

MRRT year if, in the

Commissioner's opinion, each entity in the class is unlikely to be

liable to pay

MRRT for the MRRT year.

(4) A determination applies for the

instalment quarter in which the

Commissioner makes it, and for later quarters in the

MRRT year.

Note:

The determination does not apply in later MRRT years.

(5) However, if the Commissioner later gives you an instalment rate

under Subdivision 115-E, the determination stops applying to you

for the instalment quarter in which you are given that later rate, and

for later quarters.

Note 1:

This may mean the nil rate determination does not apply to you for

any instalment quarter (if the Commissioner makes the determination,

then later in the same quarter gives you an instalment rate under

Subdivision 115-E).

Note 2:

For whether the rate the Commissioner gives you under

Subdivision 115-E is your applicable instalment rate for an

instalment quarter, see the table in subsection (1).

Subdivision 115-D--Instalment rate chosen by you

Table of sections

Choosing an instalment rate

115-50

Choosing a varied instalment rate

115-55

Notifying Commissioner of varied instalment rate

Variation credits

115-60

Credit on using varied rate in certain cases

General interest charge payable in certain cases if instalments are too low

115-65

Liability to GIC on shortfall in instalments worked out on the basis of

varied rate

115-70

Working out your benchmark instalment rate

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12 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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Choosing an instalment rate

115-50 Choosing a varied instalment rate

You may choose an instalment rate for an

instalment quarter in an

MRRT year under this Subdivision.

Note 1:

If choosing a rate leads you to pay an instalment that is too low, you

may be liable to general interest charge under section 115-65.

Note 2:

You would also use this rate for later instalment quarters in the MRRT

year, unless you choose another rate for the later instalment quarter

under this section (see section 115-45).

Note 3:

Division 119 is about choices under the MRRT law.

115-55 Notifying Commissioner of varied instalment rate

(1) If you choose an instalment rate for an

instalment quarter under

section 115-50, you must notify the Commissioner of the rate.

(2) You must notify the Commissioner in the

approved form and on

or before the day the instalment for the

instalment quarter is due

(regardless of whether it is paid).

Note:

The Commissioner may combine this approved form with the

approved form for the notice you are required to give under

section 115-15: see subsection 388-50(2).

Variation credits

115-60 Credit on using varied rate in certain cases

(1) You are entitled to claim a credit if:

(a) you are liable to pay an instalment for an

instalment quarter

(the current quarter) in an

MRRT year; and

(b) the amount of your instalment for the current quarter is to be

worked out using an instalment rate you chose under

section 115-50; and

applicable instalment rate for the

previous quarter in the same year; and

(d) the amount worked out using the method statement is greater

than nil.

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Method statement

Step 1. Add up the instalments you are liable to pay for the

earlier

instalment quarters in the year (even if you have

not yet paid all of them).

Step 2. Subtract from the step 1 amount each earlier credit that

you have claimed under this section or section 115-100 in

respect of the year.

Step 3. Multiply the total of your

instalment income for those

earlier

instalment quarters by your

applicable

instalment rate for the current quarter.

Step 4. Subtract the step 3 amount from the step 2 amount.

Step 5. If the result is a positive amount, it is the amount of the

credit you can claim.

Example: In the first instalment quarter in an MRRT year, a miner has

instalment income of $100m and an applicable instalment rate of 15%,

which has been given by the Commissioner.

In the second instalment quarter in the MRRT year, the miner has

instalment income of $80m and uses the same rate given by the

Commissioner (15%).

In the third instalment quarter in the MRRT year, the miner has

instalment income of $70m and chooses an instalment rate of 12%.

The miner uses the method statement to work out a credit as follows:

Step 1: The instalment of $15m for the first instalment quarter ($100m

x 15%), plus the instalment of $12m for the second instalment quarter

($80m x 15%) gives a total step 1 amount of $27m.

Step 2: No earlier credits have been claimed, so there is no amount to

subtract from the step 1 amount--the step 2 amount is $27m.

Step 3: The total of the instalment income for the earlier quarters is

$180m, multiplied by the rate for the current quarter (12%), equals

$21.6m.

Step 4: $27m - $21.6m = $5.4m.

Step 5: The miner has a credit of $5.4m.

The miner also has an instalment liability for the current quarter of

$8.4m ($70m x 12%).

After applying the $5.4m credit, the miner will be liable to pay an

amount of $3m for the quarter.

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14 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

(2) A claim for a credit must be made in the

approved form on or

before the day on which the instalment for the current quarter is

due.

Note:

How the credit is applied is set out in Division 3 of Part IIB.

(3) The credit entitlement does not affect your liability to pay an

instalment.

General interest charge payable in certain cases if instalments

are too low

115-65 Liability to GIC on shortfall in instalments worked out on

the basis of varied rate

(1) You are liable to pay the

general interest charge under this section

if:

(a) an instalment rate (the varied rate) you choose under

section 115-50 is your

applicable instalment rate for an

instalment quarter (the variation quarter) in an

MRRT

year; and

(b) the varied rate is less than 85% of your

benchmark

instalment rate for the MRRT year.

Note:

For the Commissioner's power to remit general interest charge, see

section 8AAG.

(2) You are liable to pay the

general interest charge on the amount

worked out as follows:

Rate Your

instalment

income

Credit

discrepancy

for the variation quarter

adjustment

�

where:

credit adjustment means:

(a) if, as a result of using the varied rate for the variation quarter,

you claimed a credit under section 115-60--the amount

worked out as follows:

Your instalment income for the

Rate discrepancy

earlier instalment quarters

in the MRRT year

�

or the sum of the amounts of the credits, whichever is less;

and

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(b)

otherwise--nil.

rate discrepancy means the difference between the varied rate and

the lesser of:

(a) the rate that would have been your

applicable instalment rate

for the variation quarter if you did not choose an instalment

rate for the variation quarter or an earlier

instalment quarter

in the

MRRT year; and

(b)

your

benchmark instalment rate for that MRRT year.

(3) You are liable to pay the charge for each day in the period that:

(a) started at the beginning of the day by which the instalment

for the variation quarter was due to be paid; and

(b) finishes at the end of the day on which your

assessed MRRT

for the

MRRT year is due to be paid.

(4) The Commissioner must give you written notice of the

general

interest charge to which you are liable under subsection (2). You

must pay the charge within 14 days after the notice is given to you.

(5) If any of the

general interest charge to which you are liable under

subsection (2) remains unpaid at the end of the 14 days referred to

in subsection (4), you are also liable to pay the general interest

charge on the unpaid amount for each day in the period that:

(a) starts at the end of those 14 days; and

(b) finishes at the end of the last day on which, at the end of the

day, any of the following remains unpaid:

(i) the unpaid amount;

(ii) general interest charge on the unpaid amount.

115-70 Working out your benchmark instalment rate

Your

benchmark instalment rate for an

MRRT year is the

percentage worked out to 2 decimal places (rounding up if the third

decimal place is 5 or more) using the formula:

The amount of MRRT you are liable

to pay for the MRRT year

100

Your instalment income for the *MRRT year

�

However, your benchmark instalment rate for the MRRT year is a

nil rate if either component of the fraction is nil.

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Subdivision 115-E--Instalment rate given to you by

Commissioner

Table of sections

115-75

Commissioner instalment rate for MRRT

115-80

Commissioner may take changes, and proposed changes, to the law into

account

115-75 Commissioner instalment rate for MRRT

(1) The Commissioner may give you an instalment rate from time to

time, by giving you written notice of:

(a) the instalment rate; and

(b) the modified MRRT liability, as worked out under

subsection (2), for the purposes of working out the instalment

rate.

Note:

For whether the rate the Commissioner gives you is your applicable

instalment rate for an instalment quarter, see section 115-45.

(2) An instalment rate that the Commissioner gives you must be the

percentage worked out to 2 decimal places (rounding up if the third

decimal place is 5 or more) using the formula:

Your modified liability for MRRT for the base year

100

Your instalment income for the base year

�

where:

modified liability for MRRT is the amount of

MRRT you are

liable to pay for the

base year, subject to section 115-80.

Note:

The instalment rate worked out under this subsection could exceed the

MRRT rate. One reason for this is that not all amounts of mining

revenue are included in instalment income.

(3) The base year is the most recent

MRRT year for which an

assessment of

MRRT has been made for you.

(4) However, the instalment rate must be a nil rate if either component

of the fraction is nil.

(5) Despite subsections (2) to (4), the Commissioner may give you an

instalment rate worked out on a different basis if, having regard to

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No. , 2011 17

the object of this Division and the circumstances, the

Commissioner is of the opinion:

(a) that it would be reasonable to work out the rate under this

subsection; and

(b) that the rate so worked out is reasonable.

Example: The following are some examples of circumstances in which a rate

may be worked out on a different basis:

(a) an entity joins or leaves a consolidated group;

(b) a mining project interest is transferred or split;

(d) there was a significant amount of one-off capital expenditure in

the base year;

(e) MRRT allowances applied in a later year are expected to be

significantly less than MRRT allowances applied in the base

year;

(f) there is a change in the economic circumstances of the mining

industry.

(6) To avoid doubt, an instalment rate the Commissioner works out

under subsection (5) may be higher, or lower, than the rate worked

out under subsection (2) (if a rate can be worked out under that

subsection).

115-80 Commissioner may take changes, and proposed changes, to

the law into account

For the purposes of working out your modified liability for

MRRT

for a

base year, the Commissioner may work out an amount:

(a) as if provisions of an Act or regulations, as they may

reasonably be expected to apply for the purposes of your

assessment for a later

MRRT year, had applied for the

purposes of the base year; and

(b) as if provisions of an Act or regulations had applied for the

purposes of the base year if:

(i) in the Commissioner's opinion, the provisions are likely

to be enacted or made; and

(ii) the application of the provisions reduces the instalment

rate being given to you.

Note:

Taking law changes, and proposed law changes, into account in

working out the instalment rate means total instalments for the year

are as close as possible to your likely MRRT for the year.

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Subdivision 115-F--Default instalment rate

Table of sections

115-85

Default instalment rate

115-85 Default instalment rate

Instalment rate for instalment income relating to iron ore

(1) The rate that applies to you for an

instalment quarter in which

your

instalment income only includes amounts relating to iron ore

is:

(a) if paragraph (b) does not apply--8%; or

(b) if the regulations prescribe a rate for the instalment quarter

for the purposes of this subsection--that rate.

Instalment rate for instalment income relating to other taxable

resources

(2) The rate that applies to you for an

instalment quarter in which

your

instalment income only includes amounts relating to

taxable

resources other than iron ore, is:

(a) if paragraph (b) does not apply--3%; or

(b) if the regulations prescribe a rate for the instalment quarter

for the purposes of this subsection--that rate.

Instalment rate for instalment income relating to iron ore and

other taxable resources

(3) The rate that applies to you for an

instalment quarter in which

your

instalment income includes amounts relating both to iron ore

and to other

taxable resources is the sum of the following, worked

out to 2 decimal places (rounding up if the third decimal place is 5

or more):

(a) the rate that would apply for the quarter if your instalment

income only included amounts relating to iron ore, multiplied

by the proportion of your total instalment income for the

quarter that relates to iron ore;

(b) the rate that would apply for the quarter if your instalment

income only included amounts relating to taxable resources

other than iron ore, multiplied by the proportion of your total

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instalment income for the quarter that relates to taxable

resources other than iron ore.

Example: In an instalment quarter, you have $200m in instalment income from

mining project interests that relate to iron ore, and $100m in

instalment income from mining project interests that relate to coal.

Under subsection (1), the default instalment rate for iron ore is 8%,

and under subsection (2) the default instalment rate for coal is 3%.

The rate that applies to you for the quarter is 6.33% [(.08 x

200m/300m) + (.03 x 100m/300m)].

Regulations not to be made in first MRRT year

(4) The regulations may prescribe a rate for the purposes of

subsection (1) or (2) for an

instalment quarter in the 2013-2014

MRRT year or a later year.

Subdivision 115-G--Special rules for project interests that are

transferred or split

Table of sections

115-90

Effect of transfer or split of project interest on instalment income

115-95 Additional

instalment

income

for new miner or new explorer

115-100 Credit for original miner or original explorer for instalment quarters before

transfer or split

115-105 Adjusted instalment income for original miners or explorers

115-90 Effect of transfer or split of project interest on instalment

income

Instalment quarters that have ended before transfer or split

happens--instalment income not affected by transfer or split

(1) In working out, under section 115-40, your

instalment income for

instalment quarter that ends before a

mining project transfer,

mining project split,

pre-mining project transfer or

pre-mining

project split

appens:

(a) include amounts that:

(i)

relate

mining revenue events that happen during the

instalment quarter; and

(ii) would, apart from the application of Division 120, 125,

145 or 150 of the Minerals Resource Rent Tax Act 2011

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in relation to the transfer or split, be included in your

mining revenue or

pre-mining revenue as mentioned

in section 115-40; and

(b) do not include amounts that:

(i) relate to mining revenue events that happen during the

instalment quarter; and

(ii) are included in your mining revenue or pre-mining

revenue as mentioned in section 115-40 only because of

the application of those Divisions in relation to the

transfer or split.

Note 1:

For the original miner or explorer (paragraph (a) case):

(a) a credit may be available under section 115-100; and

(b) the effect of paragraph (a) is modified in some circumstances:

see section 115-105.

Note 2:

For the new miner or explorer (paragraph (b) case), additional "catch

up" instalment income may be included in the quarter in which the

transfer or split happens: see section 115-95.

Instalment quarter in which transfer or split happens--instalment

income transfers with interest

(2) In working out, under section 115-40, your

instalment income for

instalment quarter in which a

mining project transfer,

mining

project split,

pre-mining project transfer or

pre-mining project

split

happens:

(a) include amounts that:

(i)

relate

mining revenue events that happen during the

instalment quarter; and

(ii) because of the application of Division 120, 125, 145 or

150 of the Minerals Resource Rent Tax Act 2011 in

relation to the transfer or split, are included in your

mining revenue or

pre-mining revenue as mentioned

in section 115-40; and

(b) do not include amounts that:

(i) relate to mining revenue events that happen during the

instalment quarter; and

(ii) because of the application of those Divisions in relation

to the transfer or split, are not included in your mining

revenue or pre-mining revenue as mentioned in

section 115-40.

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115-95 Additional instalment income for new miner or new explorer

(1)

Your

instalment income for an

instalment quarter in an

MRRT

year includes an amount worked out under subsection (2) if:

(a)

mining project transfer,

mining project split,

pre-mining

project transfer or

pre-mining project split

happens in the

instalment quarter; and

(b) you have the relevant

mining project interest or

pre-mining

project interest after the transfer or split.

(2) The amount is the sum of the amounts worked out under column 2

of the table in subsection 30-25(2) of the Minerals Resource Rent

Tax Act 2011 for each

mining revenue event that:

(a) happens before the start of the

instalment quarter in which

the transfer or split happens; and

(b) because of the application of Division 120, 125, 145 or 150

of the Minerals Resource Rent Tax Act 2011 in relation to the

transfer or split, results in an amount (including a nil amount)

being included in your

mining revenue or

pre-mining

revenue as mentioned in section 115-40.

Note 1:

The additional instalment income amount is nil if the transfer or split

happens in the first quarter of an MRRT year, and the miner or

explorer that has the interest before the transfer or split has the same

MRRT year as each miner or explorer that has the interest after the

transfer or split.

Note 2:

For the instalment quarter in which the transfer or split happens,

instalment income from before the transfer or split is included under

subsection 115-90(2).

115-100 Credit for original miner or original explorer for instalment

quarters before transfer or split

(1) You are entitled to claim a credit if:

(a)

mining project transfer,

mining project split,

pre-mining

project transfer or

pre-mining project split

happens in

relation to a

mining project interest or

pre-mining project

interest in an

instalment quarter in an

MRRT year; and

(b)

your

instalment income for an earlier instalment quarter in

the MRRT year for which you are liable to pay an instalment

includes one or more amounts relating to the mining project

interest; and

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than nil.

Method statement

Step 1. Add up the instalments you are liable to pay for the

earlier

instalment quarters in the year (even if you have

not yet paid all of them).

Step 2. Subtract from the step 1 amount each earlier credit that

you have claimed under this section or section 115-60 in

respect of the year.

Step 3. For each earlier

instalment quarter in the year, work out

your

instalment income under section 115-40 without

including amounts that:

(a)

relate

mining revenue events that happen

during the instalment quarter; and

(b)

because of the application of Division 120, 125,

145 or 150 of the Minerals Resource Rent Tax Act

2011 in relation to a transfer or split, are not

included in your

mining revenue or

pre-mining

revenue as mentioned in section 115-40.

Note:

Step 3 effectively recalculates instalment income

disregarding paragraph 115-90(1)(a).

Step 4. Multiply the step 3 amount by your

applicable

instalment rate for that quarter.

Step 5. Sum the amounts worked out under step 4.

Step 6. Subtract the step 5 amount from the step 2 amount.

Step 7. If the result is a positive amount, it is the amount of the

credit you can claim.

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Claim to be made in approved form

(2) A claim for a credit must be made in the

approved form on or

before the day on which the instalment for the current quarter is

due.

115-105 Adjusted instalment income for original miners or explorers

(1) Despite subsection 115-90(1), the provisions mentioned in

subsection (2) have effect as if your

instalment income for an

instalment quarter that ends before a

mining project transfer,

mining project split,

pre-mining project transfer or

pre-mining

project split

happens did not include amounts that:

(a)

relate

mining revenue events that happen during the

instalment quarter; and

(b) because of the application of Division 120, 125, 145 or 150

of the Minerals Resource Rent Tax Act 2011 in relation to the

transfer or split, are not included in your

mining revenue or

pre-mining revenue as mentioned in section 115-40.

Note:

Subsection (1) effectively recalculates instalment income disregarding

paragraph 115-90(1)(a).

(2) The provisions are:

(a) subsection 115-65(2) (about GIC on instalment shortfalls);

and

(b) section 115-70 (about your benchmark instalment rate for an

MRRT year); and

instalment rate).

Subdivision 115-H--Special rules for transitional accounting

periods

Table of sections

115-110 Instalment quarters in transitional accounting periods

115-110 Instalment quarters in transitional accounting periods

(1)

MRRT year that is a period longer than 12 months has the

following instalment quarters in addition to the instalment

quarters mentioned in subsection 115-10(2):

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(a)

your

fifth

instalment quarter consists of the 13th, 14th and

15th months of the MRRT year;

(b)

your

sixth

instalment quarter consists of the 16th, 17th and

18th months of the MRRT year;

(c)

your

seventh

instalment quarter consists of the 19th, 20th

and 21st months of the MRRT year;

(d)

your

eighth

instalment quarter consists of the 22nd, 23rd and

24th months of the MRRT year.

(2) Despite subsection (1) and subsection 115-10(2):

(a) you do not have any instalment quarters that begin after the

end of an

MRRT year; and

(b)

instalment quarter that would otherwise end after the end

of an MRRT year consists instead of the period from the start

of the instalment quarter to the end of the MRRT year.

Note:

You will only have an MRRT year that is not a 12 month period if you

are moving from one accounting period to another: see Division 190

of the Minerals Resource Rent Tax Act 2011.

Division 117--MRRT returns and starting base returns

Guide to Division 117

117-1 What this Division is about

You are obliged to give the Commissioner an MRRT return for

each MRRT year in which you have a mining project interest or

pre-mining project interest, unless the Commissioner does not

require you to lodge a return.

You are also obliged to give the Commissioner a starting base

return for the first MRRT year.

Table of sections

Operative provisions

117-5

Who must give MRRT returns

117-10

The form and contents of MRRT returns

117-15

Additional MRRT returns

117-20

Starting base returns

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117-25

Electronic lodgement of MRRT returns and starting base returns

117-30

MRRT returns and starting base returns treated as being duly made

Operative provisions

117-5 Who must give MRRT returns

(1) If you have a

mining project interest, or

hold a

pre-mining

project interest, during an

MRRT year, you must give the

Commissioner an

MRRT return for that year that relates to all

such interests.

(2) You must give the return whether or not you are liable to pay

MRRT for the

MRRT year.

(3) You must give your

MRRT return for the

MRRT year to the

Commissioner:

(a) on or before the first day of the sixth month after the end of

the year; or

(b) within such further period as the Commissioner allows; or

Commissioner has determined a period under

paragraph (5)(a)--within that further period;

whichever is the latest.

Note:

Section 286-75 provides an administrative penalty for breach of this

subsection.

(4) Despite subsection (1), you are not required to give the

Commissioner an

MRRT return for an

MRRT year if:

(a) you have made a valid choice under section 200-10 of the

Minerals Resource Rent Tax Act 2011 (choosing to use the

simplified MRRT method) that has effect at the end of the

year; or

(b) you are a member of a class of entities that the Commissioner

has exempted from providing a return for that year under

paragraph (5)(b).

(5) The Commissioner may, by legislative instrument, do either or

both of the following:

(a) determine a further period within which a class of entities

may provide an

MRRT return for an

MRRT year;

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(b) exempt a class of entities from providing an MRRT return for

an MRRT year.

117-10 The form and contents of MRRT returns

(1)

Your

MRRT return for an

MRRT year must be in the

approved

form.

(2)

The

approved form for an

MRRT return must require information

to be provided relating to the following:

(a)

your

taxable mining profit for the

MRRT year;

(b)

your

MRRT payable for the MRRT year.

Note:

If you have chosen the simplified MRRT method under Division 200

of the Minerals Resource Rent Tax Act 2011, both of these amounts

will be zero.

117-15 Additional MRRT returns

(1) In addition to the

MRRT returns required under section 117-5,

you must give the Commissioner:

(a) such further or fuller MRRT returns; or

(b) such other MRRT returns for an

MRRT year or a specified

period, whether or not you have given the Commissioner an

MRRT return for the same period;

as the Commissioner directs you to give (including any MRRT

return in your capacity as agent or trustee).

(2)

The

approved form for a further or fuller

MRRT return may

require information to be provided relating to:

(a)

the

MRRT year to which the return relates; or

(b) one or more preceding MRRT years; or

more preceding MRRT years.

117-20 Starting base returns

(1) In addition to the

MRRT returns required under section 117-5 or

117-15, you must give the Commissioner a

starting base return for

the first

MRRT year if you make a choice under section 85-5 of

the Minerals Resource Rent Tax Act 2011.

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(2)

The

starting base return must relate to all

starting base assets (and

all property or rights that are expected to be starting base assets

after the time mentioned in subsection 80-25(2) of that Act) that

you

hold that relate to the mining project interest or

pre-mining

project interest to which that choice relates.

(3)

starting base return is not valid unless you give it to the

Commissioner:

(a) on or before the first day of the sixth month after the end of

the first

MRRT year of the entity that had the mining project

interest, or

held the

pre-mining project interest, on 1 July

2012; or

(b) within such further period as the Commissioner allows.

(4)

starting base return must be in the

approved form.

(5)

The

approved form must require information to be provided

relating to:

(a)

the

base value of all

starting base assets mentioned in

subsection (2) for the first

MRRT year; or

(b) what would be the base value of any other property or right

mentioned in that subsection for that year if it were a starting

base asset.

117-25 Electronic lodgement of MRRT returns and starting base

returns

You

must

lodge electronically your

MRRT returns and

starting

base returns, unless the Commissioner otherwise approves.

Note:

Section 388-75 in this Schedule deals with signing returns.

117-30 MRRT returns and starting base returns treated as being

duly made

MRRT return or

starting base return purporting to be made or

signed by or on behalf of an entity is treated as having been duly

made by the entity or with the entity's authority until the contrary

is proved.

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Division 119--Making choices

Guide to Division 119

119-1 What this Division is about

A choice you make under the MRRT law must be made in

accordance with the general rules in this Division (subject to any

more specific rule in the MRRT law).

Table of sections

Operative provisions

119-5 Making

choices

119-10

Choices are irrevocable

119-15

Division subject to more specific rules

Operative provisions

119-5 Making choices

(1) If a provision of the

MRRT law allows, or requires, you to make a

choice about a matter, the choice is not valid unless you make it:

(a) no later than:

(i) if you are required to give the Commissioner an

MRRT

return for the first

MRRT year in which the choice

applies--the earlier of the day on which that obligation

is met or the day on which that obligation falls due; or

(ii) otherwise--the last day in the period within which you

would be required to give the Commissioner such a

return if you were required to give the Commissioner

such a return; or

(b) within a further time that the Commissioner allows.

(2) The way your

MRRT return for an

MRRT year is prepared is

sufficient evidence of you making the choice.

(3) However, you must give the Commissioner notice of the choice in

the

approved form if:

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(a) you are not required to give the Commissioner an

MRRT

return for that MRRT year; or

(b)

the

MRRT law expressly requires you to give the choice to

the Commissioner; or

119-10 Choices are irrevocable

A choice under the

MRRT law is irrevocable.

119-15 Division subject to more specific rules

This Division is subject to any specific rules in the

MRRT law

outside this Division.

Division 121--Reporting

Guide to Division 121

121-1 What this Division is about

If a mining project transfer, mining project split, pre-mining

project transfer or pre-mining project split happens, the original

entity must give the new entity all the information the new entity

will need to satisfy its MRRT obligations in relation to the interest

it has acquired.

Table of sections

Operative provisions

121-5

Object of this Division

121-10

Information notice for transfers and splits of mining and pre-mining project

interests

121-12

Notice of rehabilitation expenditure

121-15 Substantiation

requirement

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Operative provisions

121-5 Object of this Division

The object of this Division is to provide entities with access to the

information necessary for them to comply with their obligations

under the

MRRT law.

121-10 Information notice for transfers and splits of mining and

pre-mining project interests

(1) An entity (the original entity) must give another entity (the new

entity) a notice if:

(a) the original entity had a

mining project interest before a

mining project transfer or

mining project split, and the new

entity has the interest, or part of the interest, after the transfer

or split; or

(b) the original entity

held a

pre-mining project interest before

pre-mining project transfer or

pre-mining project split,

and the new entity holds the interest, or part of the interest,

after the transfer or split.

(2) The notice must contain:

(a) the amount of each

allowance component relating to the new

entity's interest; and

(b) the information the original entity has that is necessary for

the new entity to work out, for the

MRRT year in which the

transfer or split happens or for later MRRT years:

(i)

the

starting base losses for its interest; and

(ii) the amounts that are included in the new entity's

mining revenue or

pre-mining revenue for its interest;

and

(iii) the amounts that are included in the new entity's

mining expenditure or

pre-mining expenditure for its

interest; and

(iv) the amount of a

rehabilitation tax offset for its interest;

and

split percentage for its interest;

and

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(d) the information the original entity has that is necessary for

the new entity to work out the new entity's

instalment

income for an

instalment quarter in the MRRT year in which

the transfer or split happens.

(3) The original entity must also give the new entity a notice

containing information about a thing mentioned in section 120-20,

125-30, 145-25 or 150-30 of the Minerals Resource Rent Tax Act

2011 (events that happen after a transfer or split) in relation to the

transfer or split.

(4) The original entity must give the notice:

(a) in writing, or in another form acceptable to the new entity;

and

(b) for a notice under subsection (1)--within 60 days of the

mining project transfer,

mining project split,

pre-mining

project transfer or

pre-mining project split; and

on which the thing happens.

Note:

Section 286-75 provides an administrative penalty for a breach of this

section. A breach of this section may also be an offence under

section 8C, and making a false or misleading statement when

providing the information may be an offence under section 8K or 8N.

121-12 Notice of rehabilitation expenditure

(1)

If:

(a) an amount of expenditure is incurred by a trustee or

bondholder (the trustee) out of an amount provided as

security as mentioned in subsection 35-70(1) of the Minerals

Resource Rent Tax Act 2011; and

(b) the amount is for rehabilitation of an area that is the

project

area for a

mining project interest the other entity has at the

time the amount is incurred;

the trustee must give the other entity a notice containing the

information the trustee has that is necessary for the other entity to

determine the extent, if any, to which the amount is

mining

expenditure for the other entity.

(2) The trustee must give the notice:

(a) in writing, or in another form acceptable to the new entity;

and

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(b) within 60 days of the incurring of the amount.

Note:

Section 286-75 provides an administrative penalty for a breach of this

section. A breach of this section may also be an offence under

section 8C, and making a false or misleading statement when

providing the information may be an offence under section 8K or 8N.

121-15 Substantiation requirement

(1) An entity that receives information from another entity under this

Division may request the other entity to provide further and better

particulars of the information, including:

(a) if relevant, the underlying document or information on which

it was based; and

(b) in relation to an amount, the way in which it was calculated.

(2) The other entity must comply with the request within 60 days of

the request being made.

Note:

Section 286-75 provides an administrative penalty for a breach of this

section. A breach of this section may also be an offence under

section 8C, and making a false or misleading statement when

providing the information may be an offence under section 8K or 8N.

Division 123--Record keeping

Guide to Division 123

123-1 What this Division is about

You are required to keep records relating to your mining operations

or pre-mining operations in accordance with this Division.

Table of sections

Operative provisions

123-5

What records you must keep

123-10 Retaining

records

123-15

Offence for failing to keep or retain records

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Operative provisions

123-5 What records you must keep

(1) You must keep records of every act, transaction, event or

circumstance relating to your

mining operations or

pre-mining

operations that are relevant to working out any of the following:

(a) whether you are, or another entity is, liable to pay

MRRT

for an

MRRT year;

(b) whether you are, or another entity is, entitled to an offset

under Division 45 (low profit offsets) or Division 225

(rehabilitation tax offsets) of the Minerals Resource Rent Tax

Act 2011.

(2) If the necessary records of an act, transaction, event or

circumstance:

(a) do not already exist--you must create them or have someone

else create them; or

(b) no longer exist--you must reconstruct them or have someone

else reconstruct them.

(3) If you make any choice, election, estimate, determination or

calculation under the

MRRT law, you must keep records

containing particulars of:

(a) the choice, election, estimate, determination or calculation;

and

(b) in the case of an estimate, determination or calculation--the

basis on which, and the method by which, the estimate,

determination or calculation was made.

(4) The records must be:

(a) in English, or readily accessible and easily convertible into

English; and

(b) such as to enable the things mentioned in subsection (1) or

(3) (as the case requires) to be readily ascertained.

123-10 Retaining records

You must retain the records required by section 123-5 until the

latest of the following:

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(a) if it is a record mentioned in subsection (1) of that section--5

years after the completion of the act, transaction, event or

circumstance to which it relates;

(b) if it is a record mentioned in subsection (3) of that section--5

years after the choice, election, estimate, determination or

calculation was made;

(d) if the records are relevant to an assessment of

MRRT for an

MRRT year--the end of the

period of review for that

assessment.

123-15 Offence for failing to keep or retain records

(1) An entity commits an offence if:

(a) the entity is required to keep or retain a record under this

Division; and

(b) the entity does not keep or retain the record in accordance

with this Division; and

does not need to retain the record; and

(d) the entity is not a company that has been finally dissolved.

Penalty: 30 penalty units.

(2) Subsection (1) is an offence of strict liability.

Note:

For strict liability, see section 6.1 of the Criminal Code.

(3) For the purposes of section 288-25, section 123-10 does not require

an entity to retain a record if:

(a) the Commissioner notifies the entity that the entity does not

need to retain the record; or

(b) the entity is a company that has been finally dissolved.

Note:

Section 288-25 imposes an administrative penalty if an entity does not

keep or retain records as required by this Division.

Division 125--Miscellaneous

Table of sections

125-1 Address

for

service

Amendment of the Taxation Administration Act 1953 not related to assessments

Schedule 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 35

125-1 Address for service

(1) Your address for service for the purposes of the

MRRT law is:

(a) a physical address in Australia; or

(b) a postal address in Australia; or

that you have given the Commissioner as your address for service

for the purposes of the MRRT law.

(2) If you have given the Commissioner more than one address for

service for the purposes of subsection (1), your address for service

is such of those addresses as the Commissioner considers

reasonable in the circumstances.

(3) If you have not given the Commissioner an address for service,

your address for service is the address that the Commissioner

reasonably believes to be your address for service for the purposes

of the

MRRT law.

(4) For the purposes of the

MRRT law, a document (however

described) may be given:

(a) in the manner specified in section 28A of the Acts

Interpretation Act 1901; or

(b) if your address for service is an electronic address--by

sending it to that address.

(5) Despite section 29 of the Acts Interpretation Act 1901, a document

under subsection (4) of this section is taken to be given at the time

the Commissioner leaves or posts it.

(6) This section has effect despite paragraphs 9(1)(d) and 9(2)(d) of

the Electronic Transactions Act 1999.

9 Subsection 250-10(2) in Schedule 1 (after table item 39B)

Insert:

39C MRRT

50-5

Minerals Resource Rent Tax Act

2011

39D

shortfall interest charge

on shortfall in MRRT

50-10

Minerals Resource Rent Tax Act

2011

10 Subsection 250-10(2) in Schedule 1 (after table item 135)

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

36 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Insert:

136 quarterly

MRRT

instalment

115-25 in

Schedule 1

Taxation Administration Act 1953

11 Section 280-1 in Schedule 1

After "income tax,", insert "minerals resource rent tax,".

12 Section 280-50 in Schedule 1

After "income tax,", insert "

MRRT,".

13 After section 280-100 in Schedule 1

Insert:

280-101 Liability to shortfall interest charge--minerals resource

rent tax

(1) You are liable to pay

shortfall interest charge on an additional

amount of

MRRT that you are liable to pay because the

Commissioner amends your assessment for an

MRRT year.

(2) The liability is for each day in the period:

(a) beginning at the start of the day on which

MRRT under your

first assessment for that

MRRT year was due to be paid, or

would have been due to be paid if there had been any; and

(b) ending at the end of the day before the day on which the

Commissioner gave you notice of the amended assessment.

(3) However, if an amended assessment reinstates all or part of a

liability in relation to a particular that had been reduced by an

earlier amended assessment, the period for the reinstated liability

begins at the start of the day on which

MRRT under the earlier

amended assessment was due to be paid, or would have been due

to be paid if there had been any.

Note:

See Division 50 of the Minerals Resource Rent Tax Act 2011 for when

the amount of assessed MRRT and shortfall interest charge becomes

due and payable. That Division also provides for general interest

charge on any part of the additional amount (plus any shortfall interest

charge) that remains unpaid after the additional amount is due and

payable.

14 Paragraph 280-105(1)(a) in Schedule 1

Amendment of the Taxation Administration Act 1953 not related to assessments

Schedule 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 37

After "income tax,", insert "

MRRT,".

15 Subsection 280-110(1) in Schedule 1

After "280-100,", insert "280-101,".

16 Section 280-170 in Schedule 1

After "income tax,", insert "

MRRT,".

17 At the end of section 284-30 in Schedule 1

Add:

Note:

A beneficiary of a trust cannot have a

shortfall amount or

scheme

shortfall amount in relation to the MRRT law.

18 At the end of section 284-35 in Schedule 1

Add:

Note:

For the purposes of the MRRT law, under section 220-5 of the

Minerals Resource Rent Tax Act 2011 acts and omissions of partners

in a partnership are taken to be acts or omissions of the partnership.

Section 444-30 in this Schedule deals with the liability of partners for

the obligations imposed on a partnership under the MRRT law.

19 Paragraph 284-75(2)(a) in Schedule 1

After "

income tax law", insert "or the

MRRT law".

20 Paragraph 284-75(2)(b) in Schedule 1

Omit "

income tax law", substitute "income tax law, or the MRRT

law,".

21 Subsection 284-80(1) in Schedule 1 (table items 3 and 4)

and subsection 284-90(1) in Schedule 1 (table item 4)

After "

income tax law" (wherever occurring), insert ", or the

MRRT

law,".

22 Subsection 284-90(1) in Schedule 1 (table item 4)

After "income tax payable" insert ", or

MRRT payable,".

23 Subsection 284-90(1) in Schedule 1 (table item 4)

After "

income tax return", insert "or

MRRT return".

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

38 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

24 After subsection 286-75(2) in Schedule 1

Insert:

(2AA) You are also liable to an administrative penalty if:

(a) you are required under Division 121 (MRRT reporting) to

give information to an entity (other than the Commissioner)

in a particular form by a particular day; and

(b) you do not give the information to the entity in that form by

that day.

25 Paragraph 286-80(2)(a) in Schedule 1

After "286-75(1),", insert "(2AA),".

26 Section 352-1 in Schedule 1

After "indirect tax laws", insert "and the MRRT law".

27 At the end of Division 352 in Schedule 1

Add:

Subdivision 352-B--Accountability of the Commissioner in

respect of MRRT law

Table of sections

352-10

Commissioner must prepare annual report on MRRT law

352-10 Commissioner must prepare annual report on MRRT law

(1) As soon as practicable after 30 June in each year, the

Commissioner must prepare and give to the Minister a report on

the working of the

MRRT law during the year ending on that

30 June.

(2) The report must include a report on any breaches or evasions of the

MRRT law that the Commissioner knows about.

(3) The Minister must cause a copy of the report to be laid before each

House of the Parliament within 15 sitting days of that House after

the day on which the Minister receives the report.

28 Subsection 353-10(1) in Schedule 1

Amendment of the Taxation Administration Act 1953 not related to assessments

Schedule 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 39

Repeal the subsection (including the note), substitute:

(1) The Commissioner may by notice in writing require you to do all

or any of the following:

(a) to give the Commissioner any information that the

Commissioner requires for the purpose of the administration

or operation of:

(i)

indirect tax law; or

(ii)

the

MRRT law; or

(iii) this Schedule (other than Division 340);

(b) to attend and give evidence before the Commissioner, or an

individual authorised by the Commissioner, for the purpose

of the administration or operation of:

(i) an indirect tax law; or

(ii) the MRRT law; or

(iii) this Schedule (other than Division 340);

custody or under your control for the purpose of the

administration or operation of:

(i) an indirect tax law; or

(ii) the MRRT law; or

(iii)

this

Schedule.

Note:

Failing to comply with a requirement can be an offence under

section 8C.

29 Section 353-15 in Schedule 1 (heading)

Repeal the heading, substitute:

353-15 Access to premises for the purposes of the indirect tax laws

and the MRRT law

30 Subsection 353-15(1) in Schedule 1

After "tax law", insert "or the

MRRT law".

31 After section 353-15 in Schedule 1

Insert:

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

40 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

353-17 Offshore information notices

For the purposes of the

MRRT law, section 264A (about offshore

information notices) of the Income Tax Assessment Act 1936

applies as if:

(a) a reference to a taxpayer in that section were a reference to

an entity; and

(b) a reference to an assessment in that section were a reference

to an assessment under Division 155 of this Schedule relating

MRRT; and

section were a reference to the MRRT law.

32 After paragraph 357-55(f) in Schedule 1

Insert:

(faa)

MRRT;

33 Subsection 360-5(1) in Schedule 1

After "relevant provision", insert "(other than a provision about

MRRT)".

34 Section 444-1 in Schedule 1

After "incapacitated entities", insert ", trusts".

35 Subsection 444-5(1) in Schedule 1

After "this Schedule", insert ", the

MRRT law".

36 After subsection 444-5(1) in Schedule 1

Insert:

(1A) An amount that is payable under the

MRRT law by an

unincorporated association or body of entities is payable by each

member of the committee of management of the association or

body.

(1B) If there is more than one such member, those members are jointly

and severally liable to pay the amount.

37 Subsection 444-5(2) in Schedule 1

After "this Schedule", insert ", the

MRRT law".

Amendment of the Taxation Administration Act 1953 not related to assessments

Schedule 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 41

38 Subsections 444-10(1) and (2) in Schedule 1

After "an

indirect tax law", insert "and the

MRRT law".

39 Subsection 444-10(3) in Schedule 1

After "an

indirect tax law", insert "or the

MRRT law".

40 Subsection 444-10(5) in Schedule 1

After "an

indirect tax law", insert "and the

MRRT law".

41 Subsection 444-15(1) in Schedule 1

After "an

indirect tax law", insert "or the

MRRT law".

42 Subsections 444-30(1), (2) and (3) in Schedule 1

After "this Schedule", insert ", the

MRRT law".

43 Subsections 444-70(1) and (2) in Schedule 1

After "an

indirect tax law", insert "or the

MRRT law".

44 At the end of Division 444 in Schedule 1

Add:

Subdivision 444-F--Trusts

Table of sections

444-120 Trusts

444-120 Trusts

Obligations

(1) Subject to subsection (2), an obligation that is imposed under the

MRRT law on a trust is imposed on each of the following entities,

but may be discharged by any such entity:

(a) an entity that is the trustee of the trust at the time the

obligation arises;

(b) an entity that is the trustee of the trust at a time that is:

(i) after the obligation arises; and

(ii) before the obligation has been discharged.

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

42 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

(2) An amount that is payable under the

MRRT law by a trust is

payable as set out in the table:

Amounts payable by trusts

Item Column

If the amount that is

payable by the trust under

the MRRT law is:

Column 2

then it is payable by:

MRRT for an

MRRT year

each of the following entities:

(a) an entity that is the trustee of the trust at

the end of the MRRT year;

(b) an entity that is the trustee of the trust at

a time that is:

(i) after the end of the MRRT year;

and

(ii) before the MRRT has been paid.

general interest charge on

the unpaid amount of

MRRT for an

MRRT year

each of the following entities:

(a) an entity that is the trustee of the trust at

the end of the MRRT year;

(b) an entity that is the trustee of the trust at

a time that is:

(i) after the end of the MRRT year;

and

(ii) before the general interest charge

has been paid.

shortfall interest charge in

relation to an

MRRT year

each of the following entities:

(a) an entity that is the trustee of the trust at

the end of the MRRT year;

(b) an entity that is the trustee of the trust at

a time that is:

(i) after the end of the MRRT year;

and

(ii) before the shortfall interest charge

has been paid.

an instalment for an

instalment quarter payable

under Division 115

each of the following entities:

(a) an entity that is the trustee of the trust at

the end of the instalment quarter;

(b) an entity that is the trustee of the trust at

a time that is:

(i) after the end of the instalment

Amendment of the Taxation Administration Act 1953 not related to assessments

Schedule 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 43

Amounts payable by trusts

Item Column

If the amount that is

payable by the trust under

the MRRT law is:

Column 2

then it is payable by:

quarter; and

(ii) before the instalment has been

paid.

general interest charge on

the unpaid amount of an

instalment referred to in

table item 4

each of the following entities:

(a) an entity that is the trustee of the trust at

the end of the instalment quarter;

(b) an entity that is the trustee of the trust at

a time that is:

(i) after the end of the instalment

quarter; and

(ii) before the general interest charge

has been paid.

Joint and several liability

(3) If an amount is payable under this section by more than one entity,

those entities are jointly and severally liable to pay the amount.

Commissioner has direct access to trust assets

(4) For the purpose of ensuring the payment of an amount payable by

an entity under this section in relation to a liability of a trust, the

Commissioner has the same remedies against the property of the

trust as the Commissioner would have against the property of the

entity.

Right of indemnity

(5) An entity that pays an amount of a liability it has under this section

is entitled to be indemnified out of the assets of the trust for the

liability.

Schedule 1 Amendment of the Taxation Administration Act 1953 not related to

assessments

44 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Offences

(6) Any offence against the

MRRT law that is committed by a trust is

taken to have been committed by the trustee of the trust, or, if the

trust has more than one trustee, by each of the trustees.

(7) In a prosecution of an entity for an offence that the entity is taken

to have committed because of subsection (6), it is a defence if the

entity proves that the entity:

(a) did not aid, abet, counsel or procure the relevant act or

omission; and

(b) was not in any way knowingly concerned in, or party to, the

relevant act or omission (whether directly or indirectly and

whether by any act or omission of the entity).

Note 1:

The defence in subsection (7) does not apply in relation to offences

under Part 2.4 of the Criminal Code.

Note 2:

A defendant bears a legal burden in relation to the matters in

subsection (7): see section 13.4 of the Criminal Code.

Amendments related to assessments Schedule 2

Amendments Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 45

Schedule 2--Amendments related to

assessments

Part 1--Amendments

Taxation Administration Act 1953

1 After subsection 14ZW(1A)

Insert:

(1AB) The person cannot lodge a taxation objection against a private tax

ruling that relates to an MRRT year and to a mining project interest

or pre-mining project interest after the end of whichever of the

following ends last:

(a) 60 days after the ruling was made;

(b) 4 years after the last day allowed to the person for lodging an

MRRT return in relation to the MRRT year and the interest.

(1AC) Expressions used in subsection (1AB) have the same meaning as in

the Income Tax Assessment Act 1997.

2 At the end of subsection 155-5(2) in Schedule 1

Add:

; (e) an amount of

MRRT payable for an

MRRT year in relation

to a

taxable mining profit for the MRRT year.

3 Subsection 155-15(1) in Schedule 1 (after table item 3)

Insert:

the

MRRT payable by you

for an

MRRT year in

relation to your

taxable

mining profit for the MRRT

year

the Commissioner

your

MRRT return for

the MRRT year

4 At the end of section 155-30 in Schedule 1

Add:

Schedule 2 Amendments related to assessments

Part 1 Amendments

46 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

(3) This section does not apply if the

assessable amount is the

MRRT payable by you for an

MRRT year in relation to your

taxable mining profit for the MRRT year.

5 Section 155-55 in Schedule 1

Repeal the section, substitute:

155-55 Amendment to give effect to certain anti-avoidance

declarations or determinations

The Commissioner may amend an assessment of an

assessable

amount at any time, if:

(a) the Commissioner makes a declaration under subsection

165-45(3) of the

GST Act (about compensating adjustments

for anti-avoidance declarations); or

(b) the Commissioner makes a declaration under subsection

75-45(3) of the Fuel Tax Act 2006 (about compensating

adjustments for anti-avoidance declarations); or

section 210-30 of the Minerals Resource Rent Tax Act 2011

(about compensating adjustments for anti-avoidance

determinations).

The Commissioner may amend the assessment to give effect to the

declaration or determination.

155-57 Amendment to give effect to MRRT anti-profit shifting rules

The Commissioner may amend an assessment of an

assessable

amount of yours at any time for the purposes of giving effect to

Division 205 (about anti-profit shifting) of the Minerals Resource

Rent Tax Act 2011.

6 Section 155-90 in Schedule 1

Before "You", insert "(1)".

7 At the end of section 155-90 in Schedule 1

Add:

(2) You cannot object under subsection (1) against an assessment

ascertaining that:

Amendments related to assessments Schedule 2

Amendments Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 47

(a) you have no

taxable mining profit for an

MRRT year; or

(b) you have a taxable mining profit and no

MRRT payable for

an MRRT year;

unless you are seeking an increase in your liability.

8 Section 350-5 in Schedule 1

Repeal the section, substitute:

350-5 Application of Subdivision

This Subdivision applies in relation to the following

taxation laws:

(a)

indirect tax laws;

(b)

the

MRRT law.

9 Subsection 350-10(1) in Schedule 1 (table item 2)

Repeal the item, substitute:

(a) a notice of assessment of an

assessable amount; or

(b) a declaration under:

(i) subsection 165-40(1) or

165-45(3) of the

GST

Act; or

(ii) subsection 75-40(1) or

75-45(3) of the Fuel Tax

Act 2006; or

(i) section 205-25 of the

Minerals Resource Rent

Tax Act 2011; or

(ii) section 210-30 of the

Minerals Resource Rent

Tax Act 2011;

(a) the assessment, declaration or

determination was properly

made; and

(b) except in proceedings under

Part IVC of this Act on a review

or appeal relating to the

assessment, declaration or

determination--the amounts and

particulars of the assessment,

declaration or determination are

correct.

Schedule 2 Amendments related to assessments

Part 2 Alternative amendments

48 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Part 2--Alternative amendments

Administrative Decisions (Judicial Review) Act 1977

10 Paragraph (e) of Schedule 1

After "Part 3-10", insert ", 3-15 or 4-1".

Income Tax Assessment Act 1997

11 Subsection 995-1(1)

Insert:

assessable amount has the meaning given by subsection 155-5(2)

in Schedule 1 to the Taxation Administration Act 1953.

12 Subsection 995-1(1) (definition of assessment)

Repeal the definition (not including the note), substitute:

assessment:

(a)

assessable amount, means an ascertainment of the

assessable amount; and

(b)

tax-related liability not covered by paragraph (a), has

the meaning given by a

taxation law that provides for the

assessment of the amount of the liability.

13 Subsection 995-1(1)

Insert:

Deputy Commissioner means a Deputy Commissioner of Taxation.

14 Subsection 995-1(1)

Insert:

original assessment, of an

assessable amount, has the meaning

given by section 155-35 in Schedule 1 to the Taxation

Administration Act 1953.

15 Subsection 995-1(1)

Insert:

Amendments related to assessments Schedule 2

Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 49

period of review, for an assessment of an

assessable amount, has

the meaning given by section 155-35 in Schedule 1 to the Taxation

Administration Act 1953.

16 Subsection 995-1(1)

Insert:

Second Commissioner means a Second Commissioner of

Taxation.

Taxation Administration Act 1953

17 Subsection 8AAZLG(2)

After "makes", insert "or amends".

18 After paragraph 14ZW(1)(be)

Insert:

(bg) if the taxation objection is made under Subdivision 155-C in

Schedule 1 to this Act--4 years after notice of the original

assessment of the assessable amount (within the meaning of

Schedule 1) concerned is given to the person; or

19 After subsection 14ZW(1A)

Insert:

(1AB) The person cannot lodge a taxation objection against a private tax

ruling that relates to an MRRT year and to a mining project interest

or pre-mining project interest after the end of whichever of the

following ends last:

(a) 60 days after the ruling was made;

(b) 4 years after the last day allowed to the person for lodging an

MRRT return in relation to the MRRT year and the interest.

(1AC) Expressions used in subsection (1AB) have the same meaning as in

the Income Tax Assessment Act 1997.

20 Paragraph 14ZW(1B)(b)

Omit "or (bb)", substitute ", (bb) or (bg)".

21 Chapter 4 in Schedule 1 (heading)

Schedule 2 Amendments related to assessments

Part 2 Alternative amendments

50 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Repeal the heading, substitute:

Chapter 4--Generic assessment, collection

and recovery rules

22 Before Part 4-15 in Schedule 1

Insert:

Part 4-1--Returns and assessments

Division 155--Assessments

Table of Subdivisions

Guide to Division 155

155-A Making

assessments

155-B Amending

assessments

155-C Validity and review of assessments

Guide to Division 155

155-1 What this Division is about

This Division contains rules relating to assessments.

The rules in this Division deal with the following:

(a)

how assessments are made or amended and their

effect;

(b)

review of assessments.

Subdivision 155-A--Making assessments

Table of sections

155-5

Commissioner may make assessment

155-10

Commissioner must give notice of assessment

155-15 Self-assessment

Amendments related to assessments Schedule 2

Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 51

155-25 Special

assessment

155-5 Commissioner may make assessment

(1) The Commissioner may at any time make an assessment of an

assessable amount (including an assessment that the amount is

nil).

Note 1:

For amendment of assessments: see Subdivision 155-B.

Note 2:

An assessment can be reviewed: see Subdivision 155-C.

(2) An amount of

MRRT payable for an

MRRT year in relation to a

taxable mining profit for the MRRT year is an assessable amount.

155-10 Commissioner must give notice of assessment

(1) The Commissioner must give you notice of an assessment of an

assessable amount of yours as soon as practicable after the

assessment is made.

Note:

This section also applies to an amended assessment: see

section 155-80.

(2) The Commissioner may give you the notice electronically if you

are required to lodge, or have lodged, the return (if any) that relates

to the

assessable amount electronically.

155-15 Self-assessment

(1) The Commissioner is treated as having made an assessment under

section 155-5 of an

assessable amount mentioned in an item of the

following table, if the document mentioned in the item is given to

the recipient mentioned in the item:

Self-assessed amounts

Item Column

Assessable amount

Column 2

Recipient

Column 3

Document

the

MRRT payable by you

for an

MRRT year in

relation to your

taxable

mining profit for the MRRT

year

the Commissioner

your

MRRT return for

the MRRT year

Schedule 2 Amendments related to assessments

Part 2 Alternative amendments

52 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

(2) The assessment is treated as having been made on the day the

document is given to the recipient mentioned in column 2.

(3) The amount assessed is:

(a) if the document is required to state the

assessable amount--

the amount (including a nil amount) stated; or

(b) otherwise--the amount (including a nil amount) worked out

in accordance with the information stated in the document.

(4) The document is treated as being a notice of the assessment:

(a) signed by the Commissioner; and

(b) given to you under section 155-10 on the day the document is

given to the recipient.

(5) This section does not apply to an

assessable amount if the

Commissioner has already assessed the assessable amount on or

before the day mentioned in paragraph (4)(b).

155-25 Special assessment

For the purposes of making, under section 155-5, an assessment of

assessable amount that relates to a period (e.g. an

MRRT

year), the Commissioner may treat part of the period as being the

whole period.

Subdivision 155-B--Amending assessments

Table of sections

When Commissioner may amend assessments

155-35

Amendment during period of review

155-40

Amendment during period of review--certain applications taken to be

notices

155-45

Amendment on application

155-50

Amendment to give effect to private ruling

155-55

Amendment to give effect to certain anti-avoidance determinations

155-57

Amendment to give effect to MRRT anti-profit shifting rules

155-60

Amendment because of review, objection or fraud

Special rules about amending amended assessments

155-65 Amending

amended

assessments

155-70

Refreshed period of review

Amendments related to assessments Schedule 2

Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 53

General rules

155-75

Refunds of amounts overpaid

155-80

Amended assessments are assessments

When Commissioner may amend assessments

155-35 Amendment during period of review

Amendment

(1) The Commissioner may amend an assessment of an

assessable

amount within the

period of review for the assessment.

Note 1:

An amendment of an assessment can be reviewed: see

Subdivision 155-C.

Note 2:

This section also applies to amended assessments: see section 155-80.

However, there are limits on how amended assessments can be

amended: see sections 155-65 and 155-70.

Meaning of period of review and original assessment

(2)

The

period of review, for an assessment of an

assessable amount

of yours, is:

(a)

the

period:

(i) starting on the day on which the Commissioner gives

notice of the

original assessment of the assessable

amount to you under section 155-10; and

(ii) ending on the last day of the period of 4 years starting

the day after that day; or

(b) if the period of review is extended under subsection (4) or (5)

of this section--the period as so extended.

(3)

The

original assessment, of the

assessable amount, is the

assessment as it was first made.

Extensions

(4) The Federal Court of Australia may order an extension of the

period of review for an assessment of an

assessable amount of

yours for a specified period, if:

(a) the Commissioner has started to examine your affairs in

relation to the assessment; and

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54 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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(b) the Commissioner has not completed the examination within

the period of review for the assessment; and

Federal Court of Australia for an order extending the period;

and

(d) the Court is satisfied that it was not reasonably practicable, or

it was inappropriate, for the Commissioner to complete the

examination within the period of review, because of:

(i) any action taken by you; or

(ii) any failure by you to take action that it would have been

reasonable for you to take.

(5) You may, by written notice given to the Commissioner, consent to

the extension of the

period of review for an assessment of an

assessable amount of yours for a specified period, if:

(a) the Commissioner has started to examine your affairs in

relation to the assessment; and

(b) the Commissioner has not completed the examination within

the period of review for the assessment; and

to consent to extending the period of review.

(6) An order may be made under subsection (4), or consent given

under subsection (5), in relation to an assessment of an

assessable

amount more than once.

155-40 Amendment during period of review--certain applications

taken to be notices

(1) An application made by you for an amendment of an assessment of

assessable amount of yours is treated as being a notice of the

amended assessment given to you by the Commissioner under

section 155-10, if:

(a) the application is in the

approved form; and

(b) the Commissioner makes the amendment:

(i) to give effect to the decision on the application; and

(ii)

during

the

period of review for the assessment; and

amendment for which you applied, and nothing else.

Amendments related to assessments Schedule 2

Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 55

(2) The notice is treated as having been given to you on the first day

the Commissioner adjusts the balance of an

RBA of yours as a

result of the amendment.

155-45 Amendment on application

The Commissioner may amend an assessment of an

assessable

amount of yours at any time, if you apply for an amendment in the

approved form during the

period of review for the assessment.

The Commissioner may amend the assessment to give effect to his

or her decision on the application.

Note:

The Commissioner must give you notice of the amended assessment

under section 155-10: see section 155-80.

155-50 Amendment to give effect to private ruling

The Commissioner may amend an assessment of an

assessable

amount of yours at any time, if:

(a) you apply for a

private ruling during the

period of review

for the assessment; and

(b) the Commissioner makes a private ruling because of the

application.

The Commissioner may amend the assessment to give effect to the

ruling.

155-55 Amendment to give effect to certain anti-avoidance

determinations

The Commissioner may amend an assessment of an

assessable

amount at any time to give effect to a determination under

section 210-30 of the Minerals Resource Rent Tax Act 2011 (about

compensating adjustments for anti-avoidance determinations).

155-57 Amendment to give effect to MRRT anti-profit shifting rules

The Commissioner may amend an assessment of an

assessable

amount of yours at any time to give effect to Division 205 of the

Minerals Resource Rent Tax Act 2011 (about anti-profit shifting).

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56 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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155-60 Amendment because of review, objection or fraud

Despite anything in this Subdivision, the Commissioner may

amend an assessment of an

assessable amount of yours at any

time:

(a) to give effect to a decision on a review or appeal; or

(b) as a result of an objection made by you, or pending a review

or appeal; or

Special rules about amending amended assessments

155-65 Amending amended assessments

The Commissioner cannot amend an amended assessment of an

assessable amount under section 155-35 if the

period of review

for the assessment has ended.

Note:

The Commissioner can amend amended assessments at any time under

sections 155-45 to 155-60.

155-70 Refreshed period of review

(1) This section applies if the Commissioner has made one or more

amendments of an assessment of an

assessable amount of yours

under section 155-35 about a particular.

(2) Despite section 155-65, the Commissioner may amend (the later

amendment) the amended assessment after the end of the

period

of review for the assessment, if:

(a) the Commissioner makes the later amendment before the end

of the period of 4 years starting on the day after the day on

which the Commissioner gave notice of the last of the

amendments mentioned in subsection (1) to you under

section 155-10; and

(b) the later amendment is about the particular mentioned in

subsection (1) of this section; and

assessment under this section about that particular.

Amendments related to assessments Schedule 2

Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 57

General rules

155-75 Refunds of amounts overpaid

(1) This section applies if:

(a) an assessment of an

assessable amount of yours is amended;

and

(b) as a result of the amendment, a

tax-related liability (the

earlier liability) of yours is reduced.

(2) For the purposes of any

taxation law that applies the

general

interest charge, the amount by which the

tax-related liability is

reduced is taken never to have been payable.

Note 1:

The general interest charge is worked out under Part IIA of this Act.

Note 2:

Subsection 8AAB(4) of this Act lists the provisions that apply the

charge.

(3) The Commissioner must apply the amount of any

tax-related

liability overpaid in accordance with Divisions 3 and 3A of

Part IIB of this Act (about running balance accounts and the

application of payments and credits).

(4)

However,

if:

(a) a later amendment of an assessment of an

assessable amount

is made; and

(b) all or some of your earlier liability in relation to a particular

is reinstated;

this section is taken not to have applied to the extent that the earlier

liability is reinstated.

155-80 Amended assessments are assessments

An amended assessment of an

assessable amount is an assessment

for all purposes of any

taxation law.

Note:

The Commissioner must give notice of the amended assessment under

section 155-10. Under section 155-40, an application for an

amendment is treated as being a notice of the amendment in certain

circumstances.

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58 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Subdivision 155-C--Validity and review of assessments

Table of sections

155-85

Validity of assessment

155-90

Review of assessments

155-85 Validity of assessment

The validity of any assessment of an

assessable amount is not

affected by non-compliance with the provisions of this Act or of

any other

taxation law.

155-90 Review of assessments

(1) You may object, in the manner set out in Part IVC of this Act,

against an assessment of an

assessable amount of yours if you are

dissatisfied with the assessment.

(2) You cannot object under subsection (1) against an assessment

ascertaining that:

(a) you have no

taxable mining profit for an

MRRT year; or

(b) you have a taxable mining profit and no

MRRT payable for

an MRRT year;

unless you are seeking an increase in your liability.

23 Subsection 255-5(2) in Schedule 1

Omit "Second Commissioner or a Deputy Commissioner", substitute

Second Commissioner or a

Deputy Commissioner".

24 Paragraph 255-45(1)(b) in Schedule 1

Omit "Second Commissioner or a Deputy Commissioner", substitute

Second Commissioner or a

Deputy Commissioner".

25 At the end of Chapter 4 in Schedule 1

Add:

Amendments related to assessments Schedule 2

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Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 59

Part 4-90--Evidence

Division 350--Evidence

Table of Subdivisions

Guide to Division 350

350-A Evidence

Guide to Division 350

350-1 What this Division is about

The rules in this Division deal with the evidentiary effect of

official tax documents for the purposes of certain taxation laws.

Subdivision 350-A--Evidence

Table of sections

350-5 Application

Subdivision

350-10 Evidence

350-15

Judicial notice of signature

350-5 Application of Subdivision

This Subdivision applies in relation to

taxation laws that are

MRRT laws.

350-10 Evidence

Conclusive evidence

(1) The following table has effect:

Conclusive evidence

Item Column

The production of ...

Column 2

is conclusive evidence that ...

(a) a Gazette containing a notice

purporting to be issued by the

the notice or document was so

issued.

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60 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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Conclusive evidence

Item Column

The production of ...

Column 2

is conclusive evidence that ...

Commissioner for the purposes

of a

taxation law; or

(b) a document that:

(i) is under the hand of the

Commissioner, a

Second

Commissioner, a

Deputy

Commissioner or a

delegate of the

Commissioner; and

(ii) purports to be a copy of,

or extract from, a

document issued by the

Commissioner, a Second

Commissioner, a Deputy

Commissioner or a

delegate of the

Commissioner for the

purposes of a taxation

law;

(a) a notice of assessment of an

assessable amount; or

(b) a determination under

section 205-25 of the Minerals

Resource Rent Tax Act 2011; or

section 210-30 of the Minerals

Resource Rent Tax Act 2011;

(a) the assessment or determination

was properly made; and

(b) except in proceedings under

Part IVC of this Act on a review

or appeal relating to the

assessment or determination--

the amounts and particulars of

the assessment or determination

are correct.

Prima facie evidence

(2) The production of a certificate that:

(a) is signed by the Commissioner, a

Second Commissioner, a

Deputy Commissioner or a delegate of the Commissioner;

and

(b) states that, from the time specified in the certificate, an

amount was payable under a

taxation law (whether to or by

the Commissioner);

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Alternative amendments Part 2

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 61

is prima facie evidence that:

(d) the particulars stated in the certificate are correct.

Signed copies are evidence

(3) The production of a document that:

(a) appears to be a copy of, or extract from, any document (the

original document) made or given by or to an entity for the

purposes of a

taxation law; and

(b) is signed by the Commissioner, a

Second Commissioner, a

Deputy Commissioner or a delegate of the Commissioner;

is evidence of the matters set out in the document to the same

extent as the original document would have been evidence of those

matters.

350-15 Judicial notice of signature

All courts, and all persons having by law or consent of parties

authority to hear, receive and examine evidence, must take judicial

notice of the signature of every person who is or has been:

(a) the Commissioner; or

(b)

Second Commissioner; or

(c)

Deputy Commissioner; or

(d) a delegate of the Commissioner;

if the signature is attached or appended to an official document for

the purposes of a

taxation law.

26 Paragraph 355-30(2)(a) in Schedule 1

Omit "Second Commissioner of Taxation", substitute "

Second

Commissioner".

27 Paragraphs 355-55(1)(c) and 355-70(1)(c) in Schedule 1

Omit "Second Commissioner" (first occurring), substitute "

Second

Commissioner".

28 Paragraph 357-100(b) in Schedule 1

Omit "Second Commissioner or a Deputy Commissioner", substitute

Second Commissioner or a

Deputy Commissioner".

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

62 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Schedule 3--Amendment of other Acts

Part 1--Amendments commencing at the same time

as the Minerals Resource Rent Tax Act 2011

commences

Administrative Decisions (Judicial Review) Act 1977

1 Paragraph (e) of Schedule 1

After:

Income Tax Assessment Act 1997

insert:

Minerals Resource Rent Tax Act 2011

A New Tax System (Goods and Services Tax) Act 1999

2 At the end of section 177-12

Add:

; or (i) the Minerals Resource Rent Tax Act 2011.

Crimes (Taxation Offences) Act 1980

3 Subsection 3(1)

Insert:

MRRT means:

(a) MRRT within the meaning of the Minerals Resource Rent

Tax Act 2011; and

(b) shortfall interest charge (within the meaning of subsection

995-1(1) of the Income Tax Assessment Act 1997) under

section 280-101 in Schedule 1 to the Taxation Administration

Act 1953; and

4 Subsection 3(1)

Insert:

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 63

MRRT law has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

5 Part II (at the end of note to heading)

Add:

; (j)

minerals resource rent tax (see Part XI).

6 At the end of the Act

Add:

Part XI--Offences relating to minerals resource

rent tax

21 Application of Part I and Part II in relation to minerals resource

rent tax

(1) Without prejudice to their effect apart from this section, subsection

3(3), paragraph 3(4)(e) and the provisions of Part II (other than

section 8 and subsection 10(3)) also have the effect they would

have if:

(a) a reference in any of those provisions to income tax were a

reference to MRRT; and

(b) a reference in any of those provisions to future income tax

were a reference to future MRRT; and

Assessment Act were a reference to the MRRT law; and

(d) a reference in any of those provisions, in relation to a

company or trustee, to income tax moneys were a reference

to MRRT moneys.

(2) In applying the provisions of Part II (other than section 8 and

subsection 10(3)) in accordance with subsection (1) of this section:

(a) a reference in any of those provisions to the MRRT payable

by a company or trustee, in relation to the intention of a

person entering into, or the knowledge or belief of a person

concerning, an arrangement or transaction is to be read as a

reference to some or all of the MRRT due and payable by the

company or the trustee at the time when the arrangement or

transaction was entered into; and

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64 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

(b) a reference in any of those provisions to future MRRT

payable by a company or trustee, in relation to the intention

of a person entering into, or the knowledge or belief of a

person concerning, an arrangement or transaction is to be

read as a reference to some or all of the MRRT that may

reasonably be expected by that person to become payable by

the company or trustee after the arrangement or transaction is

entered into; and

10(1) and (2), in relation to a company or trustee, to MRRT

moneys is to be read as a reference to:

(i) MRRT payable by the company or trustee; and

(ii) costs ordered by a court against a company or trustee in

a proceeding for the recovery of MRRT; and

(d) a reference in subsections 10(1) and (2) to MRRT moneys

shall be read as a reference to MRRT that has been assessed

under Schedule 1 to the Taxation Administration Act 1953.

(3) In applying subsection 10(2), and sections 11 and 12, in

accordance with subsections (1) and (2) of this section, the liability

of a company or trustee in respect of MRRT moneys that have

been assessed is not to be taken not to be finally determined merely

because of the possibility of the Commissioner amending the

assessment (otherwise than as a result of an objection being

allowed or to give effect to a decision of the Administrative

Appeals Tribunal or a court).

Income Tax Assessment Act 1997

7 Section 10-5 (after table item headed "meals")

Insert:

minerals resource rent tax

refund of excess rehabilitation tax offsets

15-85

8 Section 12-5 (table item headed "capital allowances")

After:

low-value and software development pools ...................... Subdivision 40-E

insert:

Minerals Resource Rent Tax ............................................. 40-751

Amendment of other Acts Schedule 3

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2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 65

9 At the end of Division 15

Add:

15-85 Refunded excess rehabilitation tax offset

Your assessable income includes an amount the Commissioner

pays you under paragraph 225-25(2)(b) of the Minerals Resource

Rent Tax Act 2011.

Note:

You can get a refund of excess rehabilitation tax offsets under

section 225-25 of the Minerals Resource Rent Tax Act 2011.

10 Section 40-40 (table item 8)

Omit "

mining operations", substitute "

mining and quarrying

operations".

11 Subsection 40-70(3)

Omit "base value in the formula in subsection (1)", substitute "

base

value".

12 Subsection 40-72(1) (formula)

Repeal the formula, substitute:

Days held

200%

*Base value

365

Asset's *effective life

�

13 Subsection 40-72(1)

Omit "base value has the same meaning as in subsection 40-70(1)."

14 Subsection 40-72(3)

Omit "base value in the formula in subsection (1)", substitute "

base

value".

15 Paragraph 40-80(1)(a)

After "

mining", insert "and quarrying".

16 Subparagraph 40-80(1)(c)(i)

Omit "

mining operations", substitute "mining and quarrying

operations".

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

66 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

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17 Subsection 40-95(10) (table items 1, 2 and 3)

Omit "

mining operations", substitute "

mining and quarrying

operations".

18 Subsection 40-102(4) (table item 9)

After "

mining", insert "and quarrying".

19 Paragraph 40-630(1)(b)

After "

mining", insert "and quarrying".

20 Subsection 40-630(1) (paragraph (a) of the note)

After "mining", insert "and quarrying".

21 Paragraphs 40-630(1A)(b), (1B)(b) and (3)(b)

After "

mining", insert "and quarrying".

22 Paragraph 40-650(3)(a)

After "

mining", insert "and quarrying".

23 Section 40-725

After:

�

paying petroleum resource rent tax; and

insert:

�

paying minerals resource rent tax; and

24 Subsection 40-730(1)

After "

mining", insert "and quarrying".

25 Paragraph 40-730(1)(a)

After "mining", insert "and quarrying".

26 Subsection 40-730(7)

After "Mining", insert "and quarrying".

27 Subparagraph 40-735(1)(a)(i)

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 67

After "

mining", insert "and quarrying".

28 Subsection 40-735(4)

After "

mining", insert "and quarrying".

29 Paragraph 40-740(1)(a)

After "

mining", insert "and quarrying".

30 Paragraphs 40-740(1)(b), (c) and (e)

After "mining", insert "and quarrying".

31 Subsection 40-740(2)

After "

mining", insert "and quarrying".

32 After section 40-750

Insert:

40-751 Deduction for payments of minerals resource rent tax

(1) You can deduct a payment of

MRRT, or an instalment of MRRT

payable under Division 115 in Schedule 1 to the Taxation

Administration Act 1953, that you make in an income year.

Note:

If an amount of the expenditure is recouped, the amount may be

included in your assessable income: see Subdivision 20-A. Similarly,

a refund of excess rehabilitation tax offsets you get under

section 225-25 of the Minerals Resource Rent Tax Act 2011 is

assessable income: see section 15-85.

(2) If you deduct an instalment of

MRRT under subsection (1), you

cannot also deduct any of the following amounts when applied

under Division 3 of Part IIB of the Taxation Administration Act

1953:

(a) the amount of the payment of the instalment;

(b) the amount of a credit arising under section 115-20 in

Schedule 1 to the Taxation Administration Act 1953 in

respect of the instalment.

(3) If you deduct a payment of

MRRT under subsection (1), you

cannot also deduct the corresponding amount applied under

Division 3 of Part IIB of the Taxation Administration Act 1953.

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

68 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

33 Subparagraph 40-840(1)(c)(i)

After "

mining", insert "and quarrying".

34 Paragraph 40-860(1)(a)

After "

mining", insert "and quarrying".

35 Subsection 40-860(2)

After "

mining", insert "and quarrying".

36 Paragraph 40-860(3)(a)

After "

mining", insert "and quarrying".

37 Paragraph 40-860(3)(c)

After "mining", insert "and quarrying".

38 Paragraphs 40-870(1)(a) and (2)(a)

After "

mining", insert "and quarrying".

39 Subsection 250-105(1)

Repeal the subsection, substitute:

(1) For the purposes of section 250-40, the discount rate to be used in

working out the present value of a future amount is the

long term

bond rate for the

financial year in which the relevant

arrangement

period starts.

40 Subsection 703-50(1) (note)

After "Note", insert "1".

41 At the end of subsection 703-50(1)

Add:

Note 2:

A group that is consolidated for income tax purposes may also

consolidate for the purposes of the Minerals Resource Rent Tax Act

2011 (see section 215-10 of that Act).

42 Subsection 719-50(1) (note)

After "Note", insert "1".

43 At the end of subsection 719-50(1)

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 69

Add:

Note 2:

A group that is consolidated for income tax purposes may also

consolidate for the purposes of the Minerals Resource Rent Tax Act

2011 (see section 215-10 of that Act).

44 Subsection 721-10(2) (table item 70)

Repeal the item, substitute:

Division 280 in Schedule 1 to the

Taxation Administration Act 1953

(shortfall interest charge)

the period provided for in this

table for the

tax-related

liability to which the shortfall

interest charge relates

section 50-5 of the Minerals Resource

Rent Tax Act 2011 (when assessed

MRRT is payable)

the

MRRT year to which the

assessed MRRT relates

section 50-10 of the Minerals Resource

Rent Tax Act 2011 (shortfall interest

charge on shortfall in assessed MRRT)

the

MRRT year to which the

shortfall interest charge

relates

section 115-25 in Schedule 1 to the

Taxation Administration Act 1953 (when

MRRT instalments are due)

the

instalment quarter to

which the instalment relates

45 At the end of section 721-10

Add:

(4) Items 75, 80 and 85 of the table in subsection (2) apply in relation

to tax-related liabilities that are due and payable by the

head

company because it chooses, under section 215-10 of the Minerals

Resource Rent Tax Act 2011, to apply Division 215 of that Act in

relation to the

consolidated group.

46 After subsection 721-25(1A)

Insert:

(1AA) The requirement in paragraph (1)(c) is also taken to be satisfied if:

(a) the group liability is a

tax-related liability mentioned in

item 75 of the table in subsection 721-10(2) in relation to an

MRRT year; and

(b) before, at or after the head company's due time, the

head

company of the group became entitled to a credit under

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

70 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

section 115-20 in Schedule 1 to the Taxation Administration

Act 1953 for that MRRT year; and

amounts for each of the TSA contributing members in

relation to the group liability, as determined under the

agreement, represented a reasonable allocation among the

head company and the TSA contributing members of the

difference between:

(i) the total amount of the group liability; and

(ii) the amount of the credit mentioned in paragraph (b).

47 Subsections 721-25(1B), (2) and (3)

Omit "and (1A)", substitute ", (1A) and (1AA)".

48 Subsection 995-1(1)

Insert:

allowance component has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

49 Subsection 995-1(1)

Insert:

applicable instalment rate for an

instalment quarter in an

MRRT

year has the meaning given by section 115-45 in Schedule 1 to the

Taxation Administration Act 1953.

50 Subsection 995-1(1)

Insert:

arm's length consideration has the meaning given by

section 300-1 of the Minerals Resource Rent Tax Act 2011.

51 Subsection 995-1(1)

Insert:

base value:

(a)

depreciating asset--has the meaning given by

subsection 40-70(1); and

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 71

(b)

starting base asset--has the meaning given by

section 300-1 of the Minerals Resource Rent Tax Act 2011.

52 Subsection 995-1(1) (definition of base year)

Repeal the definition, substitute:

base year:

(a) for an entitlement to a

tax offset under Subdivision 61-I--

has the meaning given by sections 61-430 and 61-450; and

(b) in relation to an income year--has the meaning given by

sections 45-320 and 45-470 in Schedule 1 to the Taxation

Administration Act 1953; and

MRRT year--has the meaning given by

subsection 115-75(3) in Schedule 1 to the Taxation

Administration Act 1953.

53 Subsection 995-1(1) (definition of benchmark instalment

rate)

Repeal the definition, substitute:

benchmark instalment rate:

(a) in relation to an income year--has the meaning given by

sections 45-360 and 45-530 in Schedule 1 to the Taxation

Administration Act 1953; and

(b) in relation to an

MRRT year--has the meaning given by

section 115-70 in Schedule 1 to the Taxation Administration

Act 1953.

54 Subsection 995-1(1) (definition of instalment income)

Repeal the definition, substitute:

instalment income:

(a) in relation to a period that is, or is part of, an income year--

has the meaning given by sections 45-120, 45-260, 45-280,

45-285, 45-286 and 45-465 in Schedule 1 to the Taxation

Administration Act 1953; and

(b) in relation to an

instalment quarter of an

MRRT year--has

the meaning given by sections 115-40 and 115-95 in

Schedule 1 to the Taxation Administration Act 1953.

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

72 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

55 Subsection 995-1(1) (definition of instalment quarter)

Repeal the definition, substitute:

instalment quarter:

(a) in relation to an income year--has the meaning given by

section 45-60 in Schedule 1 to the Taxation Administration

Act 1953; and

(b) in relation to an

MRRT year--has the meaning given by

subsection 115-10(2) and section 115-110 in Schedule 1 to

the Taxation Administration Act 1953.

56 Subsection 995-1(1)

Insert:

long term bond rate, for a period, means:

(a) the average, expressed as a decimal fraction to 4 decimal

places (rounding up if the fifth decimal place is 5 or more), of

the daily assessed Australian Government bond capital

market yields in respect of 10-year non-rebate Treasury

bonds published by the Reserve Bank in relation to the

period; or

(b) if no such yields in respect of bonds of that kind were

published by the Reserve Bank in relation to the period, the

decimal fraction determined by the Minister by legislative

instrument for the purposes of this definition in relation to the

period.

57 Subsection 995-1(1)

Insert:

miner has the meaning given by section 300-1 of the Minerals

Resource Rent Tax Act 2011.

58 Subsection 995-1(1)

Insert:

mining and quarrying operations has the meaning given by

section 40-730.

59 Subsection 995-1(1)

Insert:

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 73

mining expenditure has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

60 Subsection 995-1(1)

Insert:

mining loss has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

61 Subsection 995-1(1) (definition of mining operations)

Repeal the definition.

62 Subsection 995-1(1)

Insert:

mining profit has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

63 Subsection 995-1(1)

Insert:

mining project interest has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

64 Subsection 995-1(1)

Insert:

mining project split has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

65 Subsection 995-1(1)

Insert:

mining project transfer has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

66 Subsection 995-1(1)

Insert:

mining revenue has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

74 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

67 Subsection 995-1(1)

Insert:

mining revenue event has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

68 Subsection 995-1(1)

Insert:

MRRT has the meaning given by section 300-1 of the Minerals

Resource Rent Tax Act 2011.

69 Subsection 995-1(1)

Insert:

MRRT allowance has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

70 Subsection 995-1(1)

Insert:

MRRT law has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

71 Subsection 995-1(1)

Insert:

MRRT liability has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

72 Subsection 995-1(1)

Insert:

MRRT payable, by a

miner for an

MRRT year, means the sum of

the

MRRT liabilities for each

mining project interest the miner

has for that year, less the sum of any offsets the miner has for that

year under Division 45 or 225 of the Minerals Resource Rent Tax

Act 2011.

73 Subsection 995-1(1)

Insert:

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 75

MRRT return means a return of the kind referred to in

Division 117 in Schedule 1 to the Taxation Administration Act

1953, that complies with all the requirements of sections 117-10

and 117-25 (if applicable) in that Schedule and section 388-75 in

that Schedule.

74 Subsection 995-1(1)

Insert:

MRRT year has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

75 Subsection 995-1(1)

Insert:

pre-mining expenditure has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

76 Subsection 995-1(1)

Insert:

pre-mining project interest has the meaning given by

section 300-1 of the Minerals Resource Rent Tax Act 2011.

77 Subsection 995-1(1)

Insert:

pre-mining revenue has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

78 Subsection 995-1(1)

Insert:

rehabilitation tax offset has the meaning given by section 300-1 of

the Minerals Resource Rent Tax Act 2011.

79 Subsection 995-1(1)

Insert:

split percentage has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

Schedule 3 Amendment of other Acts

Part 1 Amendments commencing at the same time as the Minerals Resource Rent Tax

Act 2011 commences

76 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

80 Subsection 995-1(1)

Insert:

starting base asset has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

81 Subsection 995-1(1)

Insert:

starting base return has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

82 Subsection 995-1(1) (definition of start time)

Repeal the definition, substitute:

start time:

(a)

depreciating asset--has the meaning given by

section 40-60; and

(b)

starting base asset relating to a

mining project

interest--has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

83 Subsection 995-1(1)

Insert:

taxable mining profit, of a miner for an

MRRT year, means the

sum of the following for each

mining project interest the miner

has for that year:

(a)

the

mining profit for that interest for that year; less

(b)

the

MRRT allowances for that interest for that year.

84 Subsection 995-1(1)

Insert:

taxable resource has the meaning given by section 300-1 of the

Minerals Resource Rent Tax Act 2011.

85 Subsection 995-1(1) (definition of termination value)

Repeal the definition, substitute:

termination value:

Amendment of other Acts Schedule 3

Amendments commencing at the same time as the Minerals Resource Rent Tax Act

2011 commences Part 1

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 77

(a)

depreciating asset--has the meaning given by

section 40-300; and

(b)

starting base asset--has the meaning given by

section 300-1 of the Minerals Resource Rent Tax Act 2011.

Taxation (Interest on Overpayments and Early Payments)

Act 1983

86 Subsection 3(1) (paragraph (d) of the definition of decision

to which this Act applies)

After "item 120", insert "or 160".

87 Section 3C

Before "In", insert "(1)".

88 Section 3C (at the end of the table)

Add:

160

assessed MRRT within the meaning of the Minerals Resource Rent Tax Act

2011

89 At the end of section 3C

Add:

(2) Without limiting subsection (1), a reference in item 160 of the table

to assessed MRRT includes:

(a) any general interest charge due and payable in relation to

such an amount; and

(b) a quarterly MRRT instalment that is due under

section 115-25 in Schedule 1 to the Taxation Administration

Act 1953; and

such an instalment.

Schedule 3 Amendment of other Acts

Part 2 Amendments with other commencements

78 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Part 2--Amendments with other commencements

Administrative Decisions (Judicial Review) Act 1977

90 Paragraph (e) of Schedule 1

After "Part 3-10", insert ", 3-15".

Note: If

the

Indirect Tax Laws Amendment (Assessment) Act 2011 does not receive the Royal

Assent before 1 July 2012, this item does not commence at all. See item 6 of the table in

section 2 of this Act.

Income Tax Assessment Act 1997

91 Subsection 995-1(1) (at the end of the definition of hold)

Add:

; and (d) hold a thing mentioned in subsection 250-5(2) of the

Minerals Resource Rent Tax Act 2011 has the meaning given

by sections 250-5 and 250-10 of that Act.

Note:

The things mentioned in subsection 250-5(2) of that Act are

starting base assets, an asset to which section 175-40 of that Act

applies and a pre-mining project interest.

Minerals Resource Rent Tax Act 2011

92 At the end of Division 35

Add:

35-80 Unit shortfall charge--clean energy

An amount of expenditure is excluded expenditure to the extent

that it is unit shortfall charge (within the meaning of the Clean

Energy Act 2011).

Schedule 4 Application and transitional provisions

Part 2 General liability rules

80 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Part 2--General liability rules

2 Modified time of supply for prepayments before 1 July 2012

Paragraph 30-35(a) of the Minerals Resource Rent Tax Act 2011 is

disregarded in working out the time a miner makes a supply of a taxable

resource or thing produced using a taxable resource if consideration for

the supply is received or becomes receivable at a time before 1 July

2012.

3 Recoupment or offsetting of mining expenditure

An amount is included under section 30-40 of the Minerals Resource

Rent Tax Act 2011 in a miner's mining revenue for a mining project

interest for the MRRT year starting on 1 July 2012 to the extent that:

(a) the amount is received, or becomes receivable, before the

start of that MRRT year; and

(b) had the amount been received, or become receivable, in that

MRRT year, it would have given rise under that section to an

amount of mining revenue for the mining project interest for

the miner.

4 Compensation for loss of taxable resources

Section 30-50 of the Minerals Resource Rent Tax Act 2011 does not

apply in relation to amounts relating to loss of, destruction of or damage

that happens to a taxable resource before 1 July 2012.

5 Hire purchase agreements entered into before 1 July 2012

Without limiting section 35-55 of the Minerals Resource Rent Tax Act

2011, that section also applies in relation to hire purchase agreements

entered into before 1 July 2012.

Note:

The property may be a starting base asset if the requirements in

Subdivision 80-C of the Minerals Resource Rent Tax Act 2011 are

met.

Application and transitional provisions Schedule 4

MRRT allowances Part 3

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 81

Part 3--MRRT allowances

6 Royalty amounts paid on taxable resources extracted

before 1 July 2012

To avoid doubt, a liability a miner incurs on or after 1 July 2012 gives

rise to a royalty credit under section 60-20 of the Minerals Resource

Rent Tax Act 2011 if the requirements in that section are met, whether

the relevant taxable resource was extracted on, before, or after that day.

Schedule 4 Application and transitional provisions

Part 4 Specialist liability rules

82 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

Part 4--Specialist liability rules

7 Combining mining project interests before commencement

Combining mining project interests

(1)

Two or more mining project interests are taken by Division 115 of the

Minerals Resource Rent Tax Act 2011 to be the same mining project

interest from a particular time before 1 July 2012 if those interests

would be taken to be the same mining project interest under that

Division from that time if the time was after 1 July 2012.

Downstream integration of mining project interests

(2) If:

(a) disregarding paragraph 255-10(d) of the Minerals Resource

Rent Tax Act 2011 (choosing to treat mining project interests

as integrated), a mining project interest would have been

integrated with another mining project interest at a time

during the period:

(i) starting on 2 May 2010; and

(ii) ending just before the start of 1 July 2012; and

(b) the miner makes a valid choice under section 255-20 of that

Act on or before the day on which the obligation to give an

MRRT return for the first MRRT year falls due;

the requirement in paragraph 255-10(d) of that Act is taken to be

satisfied at all times during the period starting at the time

mentioned in paragraph (a) of this subitem and ending when the

miner makes that choice.

8 Transferring and splitting mining project interests

To avoid doubt, Divisions 120 and 125 of the Minerals Resource Rent

Tax Act 2011 apply in relation to mining project interests before 1 July

2012 in the same way as those Divisions apply in relation to mining

project interests after that day.

9 Transferring and splitting pre-mining project interests

To avoid doubt, Divisions 145 and 150 of the Minerals Resource Rent

Tax Act 2011 apply in relation to pre-mining project interests before

1 July 2012 in the same way as those Divisions apply in relation to

pre-mining project interests after that day.

Application and transitional provisions Schedule 4

Specialist liability rules Part 4

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 83

10 Substituted accounting periods

Despite section 10-25 of the Minerals Resource Rent Tax Act 2011, if:

(a) a miner has, under section 18 of the Income Tax Assessment

Act 1936, accounting periods that are not financial years; and

(b) one of those accounting periods starts before 1 July 2012 and

ends after that day;

the period starting on 1 July 2012 and ending at the end of that

accounting period is an MRRT year.

11 Schemes entered into before 2 May 2010

Without limiting Division 210 of the Minerals Resource Rent Tax Act

2011 (or that Division as it applies because of item 12 of this Schedule),

that Division also applies in relation to a scheme if:

(a) the scheme was entered into before 2 May 2010; and

(b) it is reasonable to conclude that an entity (whether alone or

with others) would have entered into or carried out the

scheme, or part of the scheme, with the purpose mentioned in

paragraph 210-10(1)(c) of that Act had the MRRT law been

in force when the scheme was entered into.

12 Schemes to increase the base value of starting base

assets

(1)

Without limiting Division 210 of the Minerals Resource Rent Tax Act

2011, that Division also applies as if an entity gets or got an MRRT

benefit from a scheme if:

(a) the entity holds a starting base asset; and

(b) the base value of that asset for the first MRRT year is, or

could reasonably be expected to be, larger than it would be

apart from the scheme.

(2)

For the purposes of subitem (1), the Commissioner may make, under

section 210-25 of the Minerals Resource Rent Tax Act 2011, a

determination stating the base value of the starting base asset for the

first MRRT year.

(3)

This item applies to property or rights that are expected to be starting

base assets as mentioned in subsection 117-20(2) in Schedule 1 to the

Taxation Administration Act 1953 as if the property or rights were a

starting base asset.

Schedule 4 Application and transitional provisions

Part 4 Specialist liability rules

84 Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions)

Bill 2011 No. , 2011

13 Choice to consolidate for MRRT purposes before

commencement

Despite paragraph 215-10(3)(a) of the Minerals Resource Rent Tax Act

2011, a choice that the head company of a consolidated group or MEC

group or the provisional head company of a MEC group makes under

section 215-10 of that Act has effect on and after a day (the day of

effect) if:

(a) the choice is made on 1 July 2012 or within such further time

as the Commissioner allows; and

(b) the day of effect is between 2 May 2010 and the day the

choice is made; and

effect; and

(d) the company notifies the Commissioner, under subsection

215-10(2) of that Act, that the choice is to apply from the day

of effect.

Application and transitional provisions Schedule 4

Administration Part 5

Minerals Resource Rent Tax (Consequential Amendments and Transitional Provisions) Bill 2011

No. , 2011 85

Part 5--Administration

14 Reporting requirements for transfers and splits of

interests before 1 July 2012

(1)

Without limiting Division 121 in Schedule 1 to the Taxation

Administration Act 1953, that Division also applies in relation to a

mining project transfer, mining project split, pre-mining project transfer

or pre-mining project split that happened between 1 May 2010 and

30 June 2012.

(2)

However, despite paragraphs 121-10(4)(b) and (c) in that Schedule, an

entity's obligation to give a notice that arises because of subitem (1) is

taken to have been complied with if it is given by the later of the

following:

(a) 21 July 2012;

(b) 21 days after receiving a notice that another entity is obliged

to give the entity because of subitem (1).

15 Starting base assessments

(1)

Without limiting Division 155 in Schedule 1 to the Taxation

Administration Act 1953, that Division also applies in relation to a

starting base asset as if:

(a) the base value of the starting base asset for the first MRRT

year were an assessable amount within the meaning of that

Division that was mentioned in column 1 of the table in

subsection 155-15(1) of that Division; and

(b) a starting base return for that year in relation to the starting

base asset were a document mentioned in column 3 of that

table in relation to that assessable amount.

(2)

This item applies to property or rights that are expected to be starting

base assets as mentioned in subsection 117-20(2) in Schedule 1 to the

Taxation Administration Act 1953 as if the property or rights were a

starting base asset.

Commonwealth of Australia Bills

MINERALS RESOURCE RENT TAX (CONSEQUENTIAL AMENDMENTS AND TRANSITIONAL PROVISIONS) BILL 2011