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This is a Bill, not an Act. For current law, see the Acts databases.
TAX LAWS AMENDMENT (2005 MEASURES NO. 2) BILL 2005
2004-2005
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Tax Laws Amendment (2005 Measures
No. 2) Bill 2005
No. , 2005
(Treasury)
A Bill for an Act to amend the law relating to
taxation, and for related purposes
i Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
Contents
1
Short title.......................................................................................1
2
Commencement .............................................................................1
3
Schedule(s)....................................................................................1
Schedule 1--Simplified imputation system
3
Income Tax Assessment Act 1997
3
Schedule 2--CGT roll-over for transfer of assets to
superannuation funds with licensed trustees
4
Income Tax Assessment Act 1997
4
Schedule 3--Deducting expenditure on telecommunications
rights
8
Part 1--IRUs
8
Income Tax Assessment Act 1997
8
Income Tax (Transitional Provisions) Act 1997
8
Part 2--Rights of access to telecommunications sites
10
Income Tax Assessment Act 1997
10
Schedule 4--Changing from annual to quarterly payment of
PAYG instalments
12
Taxation Administration Act 1953
12
Schedule 5--Deductible gift recipients
14
Income Tax Assessment Act 1997
14
Schedule 6--Goods and services tax and real property
16
A New Tax System (Goods and Services Tax) Act 1999
16
Schedule 7--Superannuation and family law
27
Income Tax Assessment Act 1936
27
Schedule 8--Worker entitlement funds
38
Fringe Benefits Tax Assessment Act 1986
38
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 1
A Bill for an Act to amend the law relating to
1
taxation, and for related purposes
2
The Parliament of Australia enacts:
3
1 Short title
4
This Act may be cited as the Tax Laws Amendment (2005
5
Measures No. 2) Act 2005.
6
2 Commencement
7
This Act commences on the day on which it receives the Royal
8
Assent.
9
3 Schedule(s)
10
Each Act that is specified in a Schedule to this Act is amended or
11
repealed as set out in the applicable items in the Schedule
12
2 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
concerned, and any other item in a Schedule to this Act has effect
1
according to its terms.
2
Simplified imputation system Schedule 1
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 3
1
Schedule 1--Simplified imputation system
2
3
Income Tax Assessment Act 1997
4
1 Subsection 205-70(2) (steps 1 and 2 of the method
5
statement)
6
After "Then", insert ", subject to subsection (5) (which relates to a
7
*
private company's first year of tax liability),".
8
2 At the end of section 205-70
9
Add:
10
30% reduction will generally not apply to private company's first
11
year of tax liability
12
(5) The 30% reductions in steps 1 and 2 of the method statement in
13
subsection (2) do not apply in working out the amount of the
*
tax
14
offset to which the entity is entitled for the relevant year if:
15
(a) the entity is a
*
private company for the relevant year; and
16
(b) if the company did not have the tax offset (but had all its
17
other tax offsets) it would have had an income tax liability
18
for the relevant year; and
19
(c) the company has not had an income tax liability for any
20
income year before the relevant year; and
21
(d) the amount of the liability referred to in paragraph (b) is at
22
least 90% of the amount of the
*
deficit in the company's
23
*
franking account at the end of the relevant year.
24
3 Application
25
The amendments made by this Schedule apply to assessments for the
26
income year in which the amendments commence and later income
27
years.
28
Schedule 2 CGT roll-over for transfer of assets to superannuation funds with licensed
trustees
4 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 2--CGT roll-over for transfer of
2
assets to superannuation funds with
3
licensed trustees
4
5
Income Tax Assessment Act 1997
6
1 Section 112-150 (at the end of the table)
7
Add:
8
9
Transfer of CGT assets between 30 June 2004 and
1 July 2006 from a superannuation fund whose trustee
is not licensed to one or more superannuation funds
whose trustees are licensed
Subdivision 126-F
2 At the end of Division 126
9
Add:
10
Subdivision 126-F--Transfer of assets of superannuation funds
11
to meet licensing requirements
12
Guide to Subdivision 126-F
13
126-200 What this Subdivision is about
14
There is a roll-over for the transfer of assets of a superannuation
15
fund to one or more other superannuation funds that is made
16
between 30 June 2004 and 1 July 2006 because the trustee of the
17
first fund will not be licensed by 1 July 2006 and the other funds
18
have licensed trustees.
19
Table of sections
20
Operative provisions
21
126-205 Object of this Subdivision
22
126-210 When there is a roll-over and what its effects are
23
CGT roll-over for transfer of assets to superannuation funds with licensed trustees
Schedule 2
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 5
Operative provisions
1
126-205 Object of this Subdivision
2
The object of this Subdivision is to encourage compliance with the
3
requirements of the Superannuation Industry (Supervision) Act
4
1993 for the licensing of trustees of registrable superannuation
5
entities.
6
126-210 When there is a roll-over and what its effects are
7
When there is a roll-over
8
(1) There is a roll-over if:
9
(a) after 30 June 2004 and before 1 July 2006, one or more
10
*
CGT events happen because the trustee (the first RSE
11
trustee) of a registrable superannuation entity, as defined in
12
section 10 of the Superannuation Industry (Supervision) Act
13
1993, ceases to hold all its
*
CGT assets; and
14
(b) because of the cessation, CGT assets (the identical assets)
15
that, together, are identical to all the first RSE trustee's CGT
16
assets just before the CGT events start to be held after
17
30 June 2004 and before 1 July 2006 by:
18
(i) the trustee (the successor RSE trustee) of another such
19
registrable superannuation entity; or
20
(ii) the trustees (each of whom is a successor RSE trustee)
21
of 2 or more other such registrable superannuation
22
entities;
23
(whether or not all the identical assets were the first RSE
24
trustee's assets just before the CGT events); and
25
(c) the cessation and starting occur because:
26
(i) it is reasonable to assume that the first RSE trustee will
27
not have an RSE licence under Part 2A of that Act by
28
1 July 2006; and
29
(ii) each successor RSE trustee has such an RSE licence.
30
Note:
Under section 10 of the Superannuation Industry (Supervision) Act
31
1993, registrable superannuation entity is defined as covering certain
32
kinds of superannuation funds, approved deposit funds and pooled
33
superannuation trusts.
34
Schedule 2 CGT roll-over for transfer of assets to superannuation funds with licensed
trustees
6 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
Effects of the roll-over
1
(2) A
*
capital gain or
*
capital loss the first RSE trustee makes from
2
each of the
*
CGT events is disregarded.
3
(3) For a successor RSE trustee, the first element of the
*
cost base of
4
each of the identical assets the successor RSE trustee holds is the
5
cost base of the corresponding asset for the first RSE trustee at the
6
time of the relevant
*
CGT event.
7
(4) For a successor RSE trustee, the first element of the
*
reduced cost
8
base of each of the identical assets the successor RSE trustee holds
9
is the reduced cost base of the corresponding asset for the first RSE
10
trustee at the time of the relevant
*
CGT event.
11
Example: There is a roll-over if the first RSE trustee had a block of land and
12
10,000 units in a unit trust and the following events happen on 30 June
13
2006 because the first RSE trustee does not have an RSE licence but
14
each of the 2 successor RSE trustees (successor RSE trustee A and
15
successor RSE trustee B) does:
16
(a)
the first RSE trustee transfers the block to successor RSE trustee
17
A;
18
(b)
the first RSE trustee's units in the unit trust are cancelled at the
19
first RSE trustee's request;
20
(c)
10,000 identical units in the unit trust are issued to successor
21
RSE trustee B because of the cancellation.
22
The first RSE trustee disregards any capital gain or capital loss from
23
the transfer of the block or the cancellation of the units.
24
The first element of successor RSE trustee A's cost base and reduced
25
cost base for the block is the same as the first RSE trustee's cost base
26
and reduced cost base respectively for the block at the time of the
27
transfer.
28
The first element of successor RSE trustee B's cost base and reduced
29
cost base for the units issued to successor RSE trustee B is the same as
30
the first RSE trustee's cost base and reduced cost base respectively for
31
its units at the time they were cancelled.
32
(5) A successor RSE trustee that starts to hold one of the identical
33
assets because of the cessation is taken to have
*
acquired the asset
34
before 20 September 1985 if the first RSE trustee acquired the
35
corresponding asset before that day.
36
Note 1:
A capital gain or loss you make from a CGT asset you acquired before
37
20 September 1985 is generally disregarded: see Division 104. This
38
exemption is removed in some situations: see Division 149.
39
CGT roll-over for transfer of assets to superannuation funds with licensed trustees
Schedule 2
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 7
Note 2:
Subsection (5) cannot apply if the first RSE trustee was the trustee of
1
a complying superannuation fund, complying approved deposit fund
2
or pooled superannuation trust. This is because section 306 of the
3
Income Tax Assessment Act 1936 treats such a trustee as having
4
acquired on 30 June 1988 any assets it owned on that day.
5
Schedule 3 Deducting expenditure on telecommunications rights
Part 1 IRUs
8 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 3--Deducting expenditure on
2
telecommunications rights
3
Part 1--IRUs
4
Income Tax Assessment Act 1997
5
1 Subsections 40-45(3) and (4)
6
Repeal the subsections.
7
2 Subsection 40-95(9)
8
Omit "international telecommunications submarine", substitute
9
"telecommunications".
10
3 Subsection 995-1(1) (definition of IRU)
11
Omit "an international telecommunications submarine", substitute "a
12
telecommunications".
13
Income Tax (Transitional Provisions) Act 1997
14
4 After section 40-45
15
Insert:
16
40-47 IRUs
17
(1) Division 40 of the new Act does not apply to an IRU to the extent
18
to which expenditure on the IRU was incurred at or before 11.45
19
am, by legal time in the Australian Capital Territory, on
20
21 September 1999 (the IRU time).
21
(2) Division 40 of the new Act does not apply to an IRU over an
22
international telecommunications submarine cable system if the
23
system had been used for telecommunications purposes at or
24
before the IRU time.
25
5 Application of amendments
26
(1)
The amendments made by items 2 and 3 apply in relation to expenditure
27
incurred on or after 12 May 2004.
28
Deducting expenditure on telecommunications rights Schedule 3
IRUs Part 1
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 9
(2)
Those amendments do not apply to expenditure incurred by an entity to
1
acquire an IRU if:
2
(a) the IRU was acquired by the entity before 12 May 2004; and
3
(b) the entity becomes a member of a consolidated group or
4
MEC group on or after that day; and
5
(c) because of subsection 701-55(2) of the Income Tax
6
Assessment Act 1997, the IRU is taken to have been acquired
7
on or after that day.
8
(3)
However, if:
9
(a) an entity incurs expenditure on or after 12 May 2004 relating
10
to an IRU (the new right) granted to the entity on or after that
11
day for a cable system; and
12
(b) before that day, the entity had another IRU (the earlier right)
13
to use that cable system;
14
then, to the extent (if any) that the new right covers the level of capacity
15
over that cable system that the earlier right covered, the amendments
16
made by items 2 and 3 do not apply to so much of the expenditure as is
17
reasonably attributable to that level of capacity.
18
Schedule 3 Deducting expenditure on telecommunications rights
Part 2 Rights of access to telecommunications sites
10 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Part 2--Rights of access to telecommunications
2
sites
3
Income Tax Assessment Act 1997
4
6 Section 12-5 (table item headed "capital allowances")
5
Before:
6
trading ships, special depreciation .................................... 57AM
insert:
7
telecommunications site access rights .............................. Subdivision 40-B
7 Section 12-5 (after the table item headed "tax related
8
expenses")
9
Insert:
10
telecommunications site access rights
see capital allowances
8 At the end of subsection 40-30(2)
11
Add:
12
; (h)
*
telecommunications site access rights.
13
9 At the end of subsection 40-70(2)
14
Add:
15
; or (e) a
*
telecommunications site access right.
16
10 Subsection 40-95(7) (at the end of the table)
17
Add:
18
14
*
Telecommunications site access
right
The term of the right
11 Subsection 995-1(1)
19
Insert:
20
telecommunications site access right means a right (except an
21
*
IRU) of a carrier (as defined in the Telecommunications Act
22
1997):
23
Deducting expenditure on telecommunications rights Schedule 3
Rights of access to telecommunications sites Part 2
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 11
(a) to share a facility (as defined in section 7 of that Act); or
1
(b) to install such a facility at a particular location or on a
2
particular structure; or
3
(c) to enter or cross premises for the purposes of installing or
4
maintaining such a facility that is on the premises, or is at a
5
location, or on a structure, that is accessible by way of the
6
premises.
7
12 Application of amendments
8
(1)
The amendments made by this Part apply in relation to expenditure
9
incurred on or after 12 May 2004.
10
(2)
Those amendments do not apply to expenditure incurred by an entity to
11
acquire a right if:
12
(a) the right was acquired by the entity before 12 May 2004; and
13
(b) the entity becomes a member of a consolidated group or
14
MEC group on or after that day; and
15
(c) because of subsection 701-55(2) of the Income Tax
16
Assessment Act 1997, the right is taken to have been acquired
17
on or after that day.
18
(3)
However, if:
19
(a) an entity incurs expenditure on or after 12 May 2004 relating
20
to telecommunications site access rights (the new rights)
21
granted to the entity on or after that day in relation to a
22
facility; and
23
(b) before that day, the entity had other telecommunications site
24
access rights (the earlier rights) of the same kind in relation
25
to the same facility; and
26
(c) the earlier rights end before they would ordinarily have ended
27
under the contract under which they were granted;
28
then, to the extent (if any) that the new rights provide the same ability to
29
share the facility, install the facility or enter or cross the premises as the
30
earlier rights, the amendments made by this Part do not apply to so
31
much of the expenditure as is reasonably attributable to the extent of
32
that ability.
33
Schedule 4 Changing from annual to quarterly payment of PAYG instalments
12 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 4--Changing from annual to
2
quarterly payment of PAYG instalments
3
4
Taxation Administration Act 1953
5
1 Subsection 45-50(3) in Schedule 1 (note)
6
Repeal the note.
7
2 Paragraph 45-125(2)(b) in Schedule 1
8
Omit "year; or", substitute "year.".
9
3 Paragraph 45-125(2)(c) in Schedule 1
10
Repeal the paragraph.
11
4 Section 45-150 in Schedule 1
12
Repeal the section, substitute:
13
45-150 Entity stops being annual payer if involved with GST
14
registration or instalment group
15
(1) You stop being an
*
annual payer if, during an
*
instalment quarter
16
that is in an income year that starts after the commencement of this
17
section:
18
(a) you become
*
registered, or
*
required to be registered, under
19
Part 2-5 of the
*
GST Act; or
20
(b) you become a partner in a partnership that is registered, or
21
required to be registered, under that Part; or
22
(c) a partnership in which you are a partner becomes registered,
23
or required to be registered, under that Part; or
24
(d) in the case of a company--the company becomes a
25
*
participant in a
*
GST joint venture under Division 51 of that
26
Act; or
27
(e) in the case of a company--the company becomes part of an
28
*
instalment group.
29
(2) If you stop being an
*
annual payer under subsection (1):
30
(a) you must still pay an annual instalment for the income year
31
mentioned in that subsection; and
32
Changing from annual to quarterly payment of PAYG instalments Schedule 4
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 13
(b) you must pay an instalment for each instalment quarter in the
1
next income year for which subsection 45-50(1) or (2)
2
requires you to do so.
3
(3) You may again become an
*
annual payer if:
4
(a) you again satisfy the conditions in section 45-140; and
5
(b) you again choose under that section to pay instalments
6
annually.
7
5 Saving
8
Despite:
9
(a) the repeal of paragraph 45-125(2)(c) in Schedule 1 to the
10
Taxation Administration Act 1953; and
11
(b) the repeal and substitution of section 45-150 in that
12
Schedule;
13
by this Schedule, that paragraph and section, as in force immediately
14
before the repeal, continue to apply in relation to income years starting
15
before the day on which this Act receives the Royal Assent.
16
Schedule 5 Deductible gift recipients
14 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 5--Deductible gift recipients
2
3
Income Tax Assessment Act 1997
4
1 Subsection 30-40(2) (at the end of the table)
5
Add:
6
3.2.7
The Page Research Centre Limited
the gift must be made
after 12 January 2005
2 Subsection 30-45(2) (at the end of the table)
7
Add:
8
4.2.30
Freedom Across Australia
the gift must be made
after 7 November 2004
and before 8 November
2006
3 Subsection 30-80(2) (at the end of the table)
9
Add:
10
9.2.13
The Rotary Leadership Victoria Australian
Embassy for Timor-Leste Fund Limited
the gift must be made
after 7 November 2004
and before 8 November
2006
9.2.14
Russian Welfare Aid to Russia Fund
the gift must be made
after 22 December 2004
and before 23 December
2006
4 Section 30-105 (at the end of the table)
11
Add:
12
13.2.9
National Police Memorial
the gift must be made
after 7 November 2004
and before 8 November
2006
5 Subsection 30-315(2) (after table item 50C)
13
Insert:
14
50D
Freedom Across Australia
item 4.2.30
Deductible gift recipients Schedule 5
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 15
6 Subsection 30-315(2) (after table item 75)
1
Insert:
2
75A
National Police Memorial
item 13.2.9
7 Subsection 30-315(2) (after table item 82)
3
Insert:
4
82A
Page Research Centre Limited
item 3.2.7
8 Subsection 30-315(2) (after table item 97)
5
Insert:
6
97AAA Rotary Leadership Victoria Australian
Embassy for Timor-Leste Fund Limited
item 9.2.13
9 Subsection 30-315(2) (after table item 105)
7
Insert:
8
105A
Russian Welfare Aid to Russia Fund
item 9.2.14
Schedule 6 Goods and services tax and real property
16 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 6--Goods and services tax and real
2
property
3
4
A New Tax System (Goods and Services Tax) Act 1999
5
1 Section 17-99 (after table item 11)
6
Insert:
7
11A
Sale of freehold interests etc.
Division 75
2 After subsection 40-75(2)
8
Insert:
9
(2A) If the supply of the premises is a supply by a
*
member of a
*
GST
10
group to another member of the GST group the supply is
11
disregarded as a sale for the purposes of applying paragraph (1)(a).
12
3 After subsection 48-55(1)
13
Insert:
14
(1A) If:
15
(a) while you were not a
*
member of any
*
GST group, you
16
acquired or imported a thing; and
17
(b) you become a member of a GST group at a time when you
18
still hold the thing;
19
then, when the
*
representative member of the GST group applies
20
section 129-40 for the first time after you became a member of the
21
GST group, the
*
intended or former application of the thing is the
22
extent of
*
creditable purpose last used to work out:
23
(c) the amount of the input tax credit to which you were entitled
24
for the acquisition or importation; or
25
(d) the amount of any
*
adjustment you had under Division 129 in
26
relation to the thing;
27
as the case requires.
28
4 Paragraph 48-115(1)(a)
29
Repeal the paragraph, substitute:
30
(a) either:
31
Goods and services tax and real property Schedule 6
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 17
(i) while you were a
*
member of a
*
GST group (the first
1
GST group), you acquired a thing (other than from
2
another member of that group) or imported a thing; or
3
(ii) you acquired or imported a thing while you were not a
4
member of any GST group, and you subsequently
5
became a member of a GST group (the first GST group)
6
while you still held the thing; and
7
5 Subsection 48-115(1)
8
Omit ", under section 48-55".
9
6 Paragraph 48-115(1)(c)
10
After "to which", insert "you or".
11
7 Paragraph 48-115(1)(d)
12
After "
*
adjustment", insert "you or".
13
8 After subsection 51-30(2)
14
Insert:
15
(2A) Subsection (2) does not apply to a supply to the extent that it is a
16
supply of
*
real property.
17
9 Section 75-5 (heading)
18
Repeal the heading, substitute:
19
75-5 Applying the margin scheme
20
10 Subsection 75-5(1)
21
Repeal the subsection, substitute:
22
(1) The
*
margin scheme applies in working out the amount of GST on
23
a
*
taxable supply of
*
real property that you make by:
24
(a) selling a freehold interest in land; or
25
(b) selling a
*
stratum unit; or
26
(c) granting or selling a
*
long-term lease;
27
if you and the
*
recipient of the supply have agreed in writing that
28
the margin scheme is to apply.
29
(1A) The agreement must be made:
30
Schedule 6 Goods and services tax and real property
18 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
(a) on or before the making of the supply; or
1
(b) within such further period as the Commissioner allows.
2
11 Subsection 75-5(2)
3
Repeal the subsection, substitute:
4
(2) However, the
*
margin scheme does not apply if you acquired the
5
entire freehold interest,
*
stratum unit or
*
long-term lease through a
6
supply that was
*
ineligible for the margin scheme.
7
Note:
If you acquired part of the interest, unit or lease through a supply that
8
was ineligible for the margin scheme, you may have an increasing
9
adjustment: see section 75-22.
10
(3) A supply is ineligible for the margin scheme if:
11
(a) it is a
*
taxable supply on which the GST was worked out
12
without applying the
*
margin scheme; or
13
(b) it is a supply of a thing you acquired by inheriting it from a
14
deceased person, and the deceased person had acquired all of
15
it through a supply that was, because of one or more previous
16
applications of this subsection, ineligible for the margin
17
scheme; or
18
(c) it is a supply in relation to which all of the following apply:
19
(i) you were a
*
member of a
*
GST group at the time you
20
acquired the interest, unit or lease in question;
21
(ii) the entity from whom you acquired it was a member of
22
the GST group at that time;
23
(iii) the last supply of the interest, unit or lease by an entity
24
who was not (at the time of that supply) a member of
25
the GST group to an entity who was (at that time) such a
26
member was a supply that was, because of one or more
27
previous applications of this subsection, ineligible for
28
the margin scheme.
29
12 Subsection 75-10(2)
30
Omit "The margin", substitute "Subject to subsection (3) and
31
section 75-11, the margin".
32
13 Subsection 75-10(3)
33
Omit "However", substitute "Subject to section 75-11".
34
14 Paragraph 75-10(3)(b)
35
Goods and services tax and real property Schedule 6
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 19
Omit "a valuation", substitute "an
*
approved valuation".
1
15 Paragraph 75-10(3)(b)
2
Omit "that complies with any requirements determined in writing by the
3
Commissioner for making valuations for the purposes of this Division".
4
16 After section 75-10
5
Insert:
6
75-11 Margins for supplies of real property in particular
7
circumstances
8
Margin for supply of real property acquired from fellow member of
9
GST group
10
(1) If:
11
(a) you acquired the interest, unit or lease in question at a time
12
when both you and the entity from whom you acquired it
13
were
*
members of the same
*
GST group; and
14
(b) on or after 1 July 2000, there has been a supply (an earlier
15
supply) of the interest, unit or lease that occurred at a time
16
when the supplier was not, but the
*
recipient was, a member
17
of the GST group;
18
the margin for the supply you make is the amount by which the
19
*
consideration for the supply exceeds:
20
(c) the consideration for the last such earlier supply, if the
21
supplier and the recipient were not
*
associates at that time; or
22
(d) the
*
GST inclusive market value of the interest, unit or lease
23
at that time, if the 2 entities were associates at that time.
24
(2) If:
25
(a) you acquired the interest, unit or lease in question at a time
26
when both you and the entity from whom you acquired it
27
were
*
members of the same
*
GST group; and
28
(b) subsection (1) does not apply;
29
the margin for the supply you make is the amount by which the
30
*
consideration for the supply exceeds an
*
approved valuation of the
31
interest, unit or lease as at 1 July 2000.
32
Schedule 6 Goods and services tax and real property
20 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
Margin for supply of real property acquired from deceased estate
1
(3) If:
2
(a) you acquired the interest, unit or lease in question by
3
inheriting it; and
4
(b) neither subsection (1) nor subsection (2) applies; and
5
(c) the entity from whom you inherited the interest, unit or lease
6
(the deceased) acquired it before 1 July 2000;
7
the margin for the supply you make is the amount by which the
8
*
consideration for the supply exceeds:
9
(d) if, immediately before the time at which you inherited the
10
interest, unit or lease, the deceased was neither
*
registered
11
nor
*
required to be registered--an
*
approved valuation of the
12
interest, unit or lease as at the latest of:
13
(i) 1 July 2000; or
14
(ii) the day on which you inherited the interest, unit or
15
lease; or
16
(iii) the first day on which you registered or were required to
17
be registered; or
18
(e) if, immediately before the time at which you inherited the
19
interest, unit or lease, the deceased was registered or required
20
to be registered--an approved valuation of the interest, unit
21
or lease as at the later of:
22
(i) 1 July 2000; or
23
(ii) the first day on which the deceased registered or was
24
required to be registered.
25
(4) If:
26
(a) you acquired the interest, unit or lease in question by
27
inheriting it; and
28
(b) neither subsection (1) nor subsection (2) applies; and
29
(c) the entity from whom you inherited the interest, unit or lease
30
(the deceased) acquired it on or after 1 July 2000;
31
the margin for the supply you make is the amount by which the
32
*
consideration for the supply exceeds an
*
approved valuation of the
33
interest, unit or lease as at the day on which the deceased acquired
34
it.
35
Goods and services tax and real property Schedule 6
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 21
Margin for supply of real property acquired as a GST-free going
1
concern
2
(5) If:
3
(a) you acquired the interest, unit or lease in question as, or as
4
part of, a
*
supply of a going concern to you that was
5
*
GST-free under Subdivision 38-J; and
6
(b) neither subsection (1) nor subsection (2) applies;
7
the margin for the supply you make is the amount by which the
8
*
consideration for the supply exceeds an
*
approved valuation of the
9
interest, unit or lease as at 1 July 2000.
10
Margin for supply of real property acquired as GST-free farm land
11
(6) If:
12
(a) you acquired the interest, unit or lease in question as, or as
13
part of, a supply to you that was
*
GST-free under
14
Subdivision 38-O; and
15
(b) none of subsections (1), (2), (3) and (4) apply;
16
the margin for the supply you make is the amount by which the
17
*
consideration for the supply exceeds an
*
approved valuation of the
18
interest, unit or lease as at 1 July 2000.
19
Margin for supply of real property acquired from associate
20
(7) If:
21
(a) you acquired the interest, unit or lease in question from an
22
entity who was your
*
associate at the time of the acquisition;
23
and
24
(b) none of the other subsections of this section apply;
25
the margin for the supply you make is the amount by which the
26
*
consideration for the supply exceeds:
27
(c) if your acquisition was made before 1 July 2000--an
28
*
approved valuation of the interest, unit or lease as at 1 July
29
2000; or
30
(d) if your acquisition was made on or after 1 July 2000--the
31
*
GST inclusive market value of the interest, unit or lease at
32
the time of the acquisition.
33
Schedule 6 Goods and services tax and real property
22 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
75-12 Working out margins to take into account failure to pay full
1
consideration
2
In working out the
*
margin for a
*
taxable supply of
*
real property
3
you make (the later supply), if:
4
(a) you had acquired the interest, unit or lease in question
5
through a supply (the earlier supply); and
6
(b) the
*
consideration for:
7
(i) if your acquisition was not an acquisition from a
8
*
member of a
*
GST group of which you were also a
9
member at the time of the acquisition--the earlier
10
supply; or
11
(ii) if your acquisition was such an acquisition--the last
12
supply of the interest, unit or lease at a time when the
13
supplier of that last supply was not, but the
*
recipient of
14
that last supply was, a member of the GST group;
15
had not been paid in full at the time of the later supply;
16
treat the amount of the consideration as having been reduced by the
17
amount of unpaid consideration referred to in paragraph (b).
18
Note:
If you subsequently pay more of the consideration for the earlier
19
supply, you may have a decreasing adjustment: see section 75-27.
20
75-13 Working out margins to take into account supplies to
21
associates
22
In working out the
*
margin for a
*
taxable supply of
*
real property
23
you make to an entity who is your
*
associate at the time of the
24
supply, treat the
*
consideration for the supply as if it were the same
25
as the
*
GST inclusive market value of the interest, unit or lease at
26
the time of the supply.
27
75-14 Consideration for acquisition of real property not to include
28
cost of improvements etc.
29
(1) To avoid doubt, in working out the
*
consideration for an
30
acquisition for the purposes of applying the
*
margin scheme to a
31
*
taxable supply of
*
real property, disregard:
32
(a) the cost or value of any other acquisitions that have been
33
made by you, or any work that has been performed, in
34
relation to the real property; and
35
Goods and services tax and real property Schedule 6
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 23
(b) the cost or value of any other acquisitions that are intended to
1
be made by you, or any work that is intended to be
2
performed, in relation to the real property after its
3
acquisition;
4
including acquisitions or work connected with bringing into
5
existence the interest, unit or lease supplied.
6
(2) This section does not affect what constitutes
*
consideration for a
7
purpose not connected with applying the
*
margin scheme.
8
17 Section 75-15
9
Omit "section 75-10", insert "sections 75-10 to 75-14".
10
18 After section 75-20
11
Insert:
12
75-22 Increasing adjustment relating to input tax credit entitlement
13
(1) You have an increasing adjustment if:
14
(a) you make a
*
taxable supply of
*
real property under the
15
*
margin scheme; and
16
(b) an acquisition that you made of part of the interest, unit or
17
lease in question was made through a supply that was
18
*
ineligible for the margin scheme; and
19
(c) you were, or are, entitled to an input tax credit for the
20
acquisition.
21
The amount of the increasing adjustment is an amount equal to the
22
*
previously attributed input tax credit amount for the acquisition.
23
(2) You have an increasing adjustment if:
24
(a) you make a
*
taxable supply of
*
real property under the
25
*
margin scheme; and
26
(b) you acquired all or part of the interest, unit or lease in
27
question by inheriting it; and
28
(c) the entity from whom you inherited (the deceased) had
29
acquired part of the interest, unit or lease that you inherited
30
through a supply that was
*
ineligible for the margin scheme;
31
and
32
(d) the deceased was entitled to an input tax credit for that
33
acquisition.
34
Schedule 6 Goods and services tax and real property
24 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
The amount of the increasing adjustment is an amount equal to the
1
*
previously attributed input tax credit amount for the acquisition.
2
19 After section 75-25
3
Insert:
4
75-27 Decreasing adjustment for later payment of consideration
5
(1) You have a decreasing adjustment if:
6
(a) section 75-12 applied to working out the
*
margin for a
7
*
taxable supply of
*
real property that you made; and
8
(b) after you made the supply, a further amount of the
9
*
consideration was paid for the earlier supply referred to in
10
that section.
11
(2) The amount of the decreasing adjustment is an amount equal to
1
/
11
12
of the further amount of the
*
consideration paid.
13
20 At the end of Division 75
14
Add:
15
75-35 Approved valuations
16
(1) The Commissioner may, by legislative instrument, determine in
17
writing requirements for making valuations for the purposes of this
18
Division.
19
(2) A valuation made in accordance with those requirements is an
20
approved valuation.
21
21 Savings provision--determinations under paragraph
22
75-10(3)(b)
23
A determination by the Commissioner, for the purposes of paragraph
24
75-10(3)(b) of the A New Tax System (Goods and Services Tax) Act
25
1999, that was in force immediately before the commencement of this
26
Schedule:
27
(a) continues in force on that commencement as if it had been
28
made under section 75-35 of that Act as amended by this
29
Act; and
30
(b) may be revoked or amended by the Commissioner in the
31
same way as a determination under section 75-35.
32
Goods and services tax and real property Schedule 6
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 25
22 Section 195-1
1
Insert:
2
approved valuation has the meaning given by subsection 75-35(2).
3
23 Section 195-1 (note at the end of the definition of
4
consideration)
5
After "sections", insert "75-12, 75-13, 75-14,".
6
24 Section 195-1 (after table item 4 of the definition of
7
decreasing adjustment)
8
Insert:
9
4AA
Section 75-27
Payments of further consideration for
supplies relating to supplies of
*
real
property under the
*
margin scheme
25 Section 195-1 (after table item 4 of the definition of
10
increasing adjustment)
11
Insert:
12
4AAA
Section 75-22
Input tax credit entitlements for
acquisitions relating to supplies of
*
real
property under the
*
margin scheme
26 Section 195-1
13
Insert:
14
ineligible for the margin scheme has the meaning given by
15
subsection 75-5(3).
16
27 Section 195-1 (definition of margin)
17
Omit "subsection 75-10(2)", substitute "sections 75-10 and 75-11".
18
28 Application
19
(1)
The amendments made by this Schedule (other than items 3 to 7, 9 and
20
10) apply, and are taken to have applied, in relation to supplies made on
21
or after the day the Bill for this Act was introduced into the Parliament.
22
(2)
The amendments made by items 3 to 7 apply, and are taken to have
23
applied, in relation to adjustments arising under Division 129 of the A
24
Schedule 6 Goods and services tax and real property
26 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
New Tax System (Goods and Services Tax) Act 1999 on or after the day
1
the Bill for this Act was introduced into the Parliament.
2
(3)
The amendments made by items 9 and 10 apply, and are taken to have
3
applied, in relation to supplies made on or after the day on which this
4
Act receives the Royal Assent.
5
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 27
1
Schedule 7--Superannuation and family law
2
3
Income Tax Assessment Act 1936
4
1 Subsection 27A(1)
5
Insert:
6
member spouse has the same meaning as in Part VIIIB of the
7
Family Law Act 1975.
8
2 Subsection 27A(1)
9
Insert:
10
non-member spouse has the same meaning as in Part VIIIB of the
11
Family Law Act 1975.
12
3 Subsection 27A(1)
13
Insert:
14
payment split means a payment split under Part VIIIB of the
15
Family Law Act 1975.
16
4 Subsection 27A(1)
17
Insert:
18
splittable payment has the same meaning as in Part VIIIB of the
19
Family Law Act 1975.
20
5 At the end of subsection 27AAA(2)
21
Add:
22
Note:
Subsection (7A) contains an exception in relation to splittable
23
payments under Part VIIIB of the Family Law Act 1975.
24
6 After subsection 27AAA(7)
25
Insert:
26
(7A) A payment is not a death benefit under subsection (2) if it is made
27
to the non-member spouse as a result of a payment split applying to
28
a splittable payment after the death of the member spouse unless
29
the non-member spouse was a dependant (within the ordinary
30
Schedule 7 Superannuation and family law
28 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
meaning of that expression) of the member spouse immediately
1
before the death of the member spouse.
2
7 Paragraphs 27ACA(1)(b) and (c)
3
Repeal the paragraphs, substitute:
4
(b) as a result:
5
(i) a payment is made to the non-member spouse (or to his
6
or her legal personal representative if he or she has
7
died); or
8
(ii) an interest in a superannuation fund, or an annuity, is
9
created for, or an amount is transferred to a
10
superannuation fund for the benefit of, the non-member
11
spouse in circumstances prescribed by the regulations;
12
and
13
(c) either:
14
(i) the payment mentioned in subparagraph (b)(i); or
15
(ii) a payment equal to the value of the interest or annuity
16
created or the amount transferred mentioned in
17
subparagraph (b)(ii);
18
if it had been made to the original payee, would have been an
19
eligible termination payment under a paragraph of the
20
definition of eligible termination payment in subsection
21
27A(1);
22
8 Subsection 27ACA(1)
23
Omit "under that same paragraph", substitute:
24
under:
25
(d) if the splittable payment becomes payable before the death of
26
the member spouse--that same paragraph; or
27
(e) otherwise--paragraph (ba) of that definition.
28
9 After subsection 27ACA(1)
29
Insert:
30
ETP taken to be rolled over in some cases
31
(1A) There is taken to be a roll-over of the new ETP in a case to which
32
subparagraph (1)(b)(ii) applies.
33
10 Subsection 27ACA(5) (definition of non-member spouse)
34
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 29
Repeal the definition.
1
11 Subsection 27ACA(5) (definition of payment split)
2
Repeal the definition.
3
12 Subsection 27ACA(5) (definition of splittable payment)
4
Repeal the definition.
5
13 At the end of subsection 27ACB(1)
6
Add:
7
Note:
See subsections (2) to (4) for how to work out the identified
8
components of the ETPs.
9
14 After subsection 27ACB(1)
10
Insert:
11
(1A) If, in respect of an eligible annuity (the original interest) that a
12
person (the first person) has, either of the following apply at a
13
particular time (the relevant time):
14
(a) an annuity (within the meaning of subsection 27A(1) of this
15
Act) is created for the non-member spouse in circumstances
16
prescribed by the regulations;
17
(b) an amount is transferred to a superannuation fund, in
18
circumstances prescribed by the regulations, for the benefit of
19
the non-member spouse;
20
then:
21
(c) there is taken to be an ETP made in relation to the
22
non-member spouse of an amount (the new ETP amount)
23
equal to the value of the annuity created for the non-member
24
spouse or to the amount transferred (as the case may be); and
25
(d) there is taken to be an ETP made in relation to the first
26
person of an amount (the remaining ETP amount) equal to
27
the value of the original interest immediately before the
28
relevant time less the new ETP amount; and
29
(e) there is taken to be a roll-over of those ETPs.
30
15 Subsection 27ACB(5)
31
Insert:
32
Schedule 7 Superannuation and family law
30 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
eligible annuity has the same meaning as in Part VIIIB of the
1
Family Law Act 1975.
2
16 Subsection 27ACB(5) (at the end of the definition of
3
identified component)
4
Add:
5
; (e) the untaxed element of the post-June 83 component.
6
17 Subsection 27ACB(5) (definition of non-member spouse)
7
Repeal the definition.
8
18 After subsection 82AAC(1)
9
Insert:
10
(1A) However, a contribution is not an allowable deduction under
11
subsection (1) if it is an amount paid by the member spouse, as
12
mentioned in regulations under the Family Law Act 1975, to a
13
regulated superannuation fund, or to an RSA, to be held for the
14
benefit of the non-member spouse in satisfaction of the
15
non-member spouse's entitlement in respect of the superannuation
16
interest concerned.
17
19 Subsection 82AAC(3)
18
Insert:
19
member spouse has the same meaning as in Part VIIIB of the
20
Family Law Act 1975.
21
20 Subsection 82AAC(3)
22
Insert:
23
non-member spouse has the same meaning as in Part VIIIB of the
24
Family Law Act 1975.
25
21 Subsection 82AAC(3)
26
Insert:
27
regulated superannuation fund has the same meaning as in
28
Part VIIIB of the Family Law Act 1975.
29
22 Subsection 82AAC(3)
30
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 31
Insert:
1
RSA has the same meaning as in Part VIIIB of the Family Law Act
2
1975.
3
23 Subsection 82AAC(3)
4
Insert:
5
superannuation interest has the same meaning as in Part VIIIB of
6
the Family Law Act 1975.
7
24 Subsection 82AAT(1A)
8
Omit "The trustee", substitute "Subject to subsection (1AA), the
9
trustee".
10
25 After subsection 82AAT(1A)
11
Insert:
12
(1AA) The trustee may refuse to acknowledge receipt of the person's
13
notice under subsection (1A) in respect of a contribution made by
14
the person if:
15
(a) after the person made the contribution and before the person
16
gave the notice, either of the following occurred in respect of
17
the person's interest in the fund:
18
(i) a payment was made to or for the benefit of the
19
non-member spouse;
20
(ii) an interest in a superannuation fund was created for, or
21
an amount was transferred to a superannuation fund for
22
the benefit of, the non-member spouse in circumstances
23
prescribed by the regulations; and
24
(b) as a result, the balance of the person's interest in the fund at
25
the end of the day on which the trustee receives the notice is
26
less than the tax that would be payable in respect of the
27
person's contribution if the trustee were to acknowledge
28
receipt of the notice.
29
26 Subsection 82AAT(1CB)
30
Omit "The RSA provider", substitute "Subject to subsection (1CBA),
31
the RSA provider".
32
27 After subsection 82AAT(1CB)
33
Schedule 7 Superannuation and family law
32 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
Insert:
1
(1CBA) The RSA provider may refuse to acknowledge receipt of the
2
person's notice under subsection (1CB) in respect of a contribution
3
made by the person if:
4
(a) after the person made the contribution and before the person
5
gave the notice, either of the following occurred in respect of
6
the person's interest in the RSA:
7
(i) a payment was made to or for the benefit of the
8
non-member spouse;
9
(ii) an interest in a superannuation fund was created for, or
10
an amount was transferred to a superannuation fund for
11
the benefit of, the non-member spouse in circumstances
12
prescribed by the regulations; and
13
(b) as a result, the balance of the person's interest in the RSA at
14
the end of the day on which the RSA provider receives the
15
notice is less than the tax that would be payable in respect of
16
the person's contribution if the RSA provider were to
17
acknowledge receipt of the notice.
18
28 At the end of section 82AAT
19
Add:
20
(4) In this section:
21
non-member spouse has the same meaning as in Part VIIIB of the
22
Family Law Act 1975.
23
29 Paragraph 140M(1A)(a)
24
Repeal the paragraph, substitute:
25
(a) a payment split applies to a splittable payment in respect of:
26
(i) an interest that a person has as a member of a
27
superannuation fund; or
28
(ii) an eligible annuity (within the meaning of Part VIIIB of
29
the Family Law Act 1975); and
30
30 Paragraph 140M(1A)(b)
31
After "interest", insert "or annuity".
32
31 Paragraph 140M(1A)(c)
33
After "pension", insert "or an immediate annuity".
34
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 33
32 Paragraph 140M(1A)(d)
1
After "interest", insert "or annuity".
2
33 Paragraph 140M(1A)(e)
3
After "pension", insert "or an immediate annuity (as the case requires)".
4
34 Subsection 140M(1A) (note 1)
5
After "pensions" (wherever occurring), insert "or annuities".
6
35 Subsection 140M(1A) (note 2)
7
After "pension", insert "or an annuity".
8
36 Paragraph 140M(1C)(a)
9
Repeal the paragraph, substitute:
10
(a) a payer commences or has commenced to make payments of:
11
(i) a superannuation pension to a person (the first person)
12
in respect of an interest that a person has as a member of
13
a superannuation fund; or
14
(ii) an eligible annuity (within the meaning of Part VIIIB of
15
the Family Law Act 1975) to a person (the first person);
16
and
17
37 Paragraph 140M(1C)(b)
18
After "pension", insert "or annuity".
19
38 Paragraph 140M(1C)(c)
20
After "interest", insert "or annuity".
21
39 Paragraph 140M(1C)(d)
22
Repeal the paragraph, substitute:
23
(d) as a result:
24
(i) a payment is made to or for the benefit of the
25
non-member spouse; or
26
(ii) an interest in a superannuation fund, or an annuity
27
(within the meaning of subsection 27A(1) of this Act),
28
is created for, or an amount is transferred to a
29
superannuation fund for the benefit of, the non-member
30
spouse in circumstances prescribed by the regulations;
31
and
32
Schedule 7 Superannuation and family law
34 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
40 Paragraph 140M(1C)(g)
1
Repeal the paragraph, substitute:
2
(g) if the payer also makes a payment of the pension or eligible
3
annuity to the first person--for the purposes of this Act, the
4
payer is taken to have commenced to make payments of
5
another superannuation pension or immediate annuity (as the
6
case requires) to the first person.
7
41 Paragraph 140UA(1)(a)
8
Repeal the paragraph, substitute:
9
(a) a payer commences or has commenced to make payments of:
10
(i) a superannuation pension to a person (the first person)
11
in respect of an interest that a person has as a member of
12
a superannuation fund; or
13
(ii) an eligible annuity (within the meaning of Part VIIIB of
14
the Family Law Act 1975) to a person (the first person);
15
and
16
Note:
The heading to section 140UA is altered by inserting "or annuity" after "pension".
17
42 Paragraph 140UA(1)(b)
18
After "pension", insert "or annuity".
19
43 Paragraph 140UA(1)(b)
20
After "interest", insert "or annuity".
21
44 Paragraph 140UA(1)(c)
22
After "interest", insert "or annuity".
23
45 Paragraph 140UA(1)(c)
24
After "pension", insert "or annuity".
25
46 Paragraph 140UA(1)(d)
26
Repeal the paragraph, substitute:
27
(d) if a residual pension or a residual annuity is payable to the
28
first person, or to the non-member spouse in relation to that
29
interest or annuity, on the commutation or partial
30
commutation of the pension or annuity--subsections 140R(1)
31
and 140T(1) apply in relation to that residual pension or
32
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 35
annuity and subsections 140R(1B) and 140T(2C) do not
1
apply.
2
47 Paragraph 140UA(2)(b)
3
After "pension", insert "or annuity".
4
48 Paragraph 140ZFA(a)
5
After "(the new pension)", insert "or an immediate annuity (the new
6
annuity)".
7
49 Paragraph 140ZFA(b)
8
After "the pension", insert "or annuity".
9
50 Section 140ZFA
10
After "then the new pension", insert "or new annuity".
11
51 At the end of section 140ZN
12
Add:
13
(3) If:
14
(a) a payer commences or has commenced to make payments of
15
an eligible annuity (within the meaning of Part VIIIB of the
16
Family Law Act 1975) to a person; and
17
(b) the annuity counts or counted towards the person's RBLs;
18
and
19
(c) a payment split then applies to a splittable payment in respect
20
of that annuity; and
21
(d) as a result:
22
(i) a payment is made to or for the benefit of the
23
non-member spouse; or
24
(ii) an annuity (within the meaning of subsection 27A(1) of
25
this Act) is created for, or an amount is transferred to a
26
superannuation fund for the benefit of, the non-member
27
spouse in circumstances prescribed by the regulations;
28
then, in working out the RBL amount of the eligible annuity, the
29
amount of the ETP rolled-over to purchase that annuity is to be
30
reduced by an amount worked out in accordance with a method
31
determined by the Commissioner in writing in relation to the
32
annuity.
33
Schedule 7 Superannuation and family law
36 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
(4) A determination made under subsection (3) is a legislative
1
instrument, but neither section 42 nor Part 6 of the Legislative
2
Instruments Act 2003 applies to the determination.
3
Note:
The heading to section 140ZN is altered by adding at the end "and payment splits".
4
52 Paragraph 140ZP(3)(d)
5
Repeal the paragraph, substitute:
6
(d) as a result:
7
(i) a payment is made to or for the benefit of the
8
non-member spouse; or
9
(ii) an interest in a superannuation fund is created for, or an
10
amount is transferred to a superannuation fund for the
11
benefit of, the non-member spouse in circumstances
12
prescribed by the regulations;
13
53 After subsection 159T(1)
14
Insert:
15
(1A) However, a contribution is not an eligible spouse contribution for
16
the purposes of subsection (1) if it is an amount paid by the
17
member spouse, as mentioned in regulations under the Family Law
18
Act 1975, to a regulated superannuation fund, or to an RSA, to be
19
held for the benefit of the non-member spouse in satisfaction of the
20
non-member spouse's entitlement in respect of the superannuation
21
interest concerned.
22
54 At the end of section 159T
23
Add:
24
(3) In this section:
25
member spouse has the same meaning as in Part VIIIB of the
26
Family Law Act 1975.
27
non-member spouse has the same meaning as in Part VIIIB of the
28
Family Law Act 1975.
29
regulated superannuation fund has the same meaning as in
30
Part VIIIB of the Family Law Act 1975.
31
RSA has the same meaning as in Part VIIIB of the Family Law Act
32
1975.
33
Superannuation and family law Schedule 7
Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005 37
superannuation interest has the same meaning as in Part VIIIB of
1
the Family Law Act 1975.
2
55 At the end of subsection 274(1)
3
Add:
4
Note:
Subsection (4) contains an exception in relation to payments
5
mentioned in regulations under the Family Law Act 1975.
6
56 After subsection 274(3)
7
Insert:
8
(4) Contributions are not taxable contributions under subsection (1) if
9
they are an amount paid by the member spouse, as mentioned in
10
regulations under the Family Law Act 1975, to a regulated
11
superannuation fund, or to an RSA, to be held for the benefit of the
12
non-member spouse in satisfaction of the non-member spouse's
13
entitlement in respect of the superannuation interest concerned.
14
(5) In subsection (4):
15
member spouse has the same meaning as in Part VIIIB of the
16
Family Law Act 1975.
17
non-member spouse has the same meaning as in Part VIIIB of the
18
Family Law Act 1975.
19
regulated superannuation fund has the same meaning as in
20
Part VIIIB of the Family Law Act 1975.
21
RSA has the same meaning as in Part VIIIB of the Family Law Act
22
1975.
23
superannuation interest has the same meaning as in Part VIIIB of
24
the Family Law Act 1975.
25
Schedule 8 Worker entitlement funds
38 Tax Laws Amendment (2005 Measures No. 2) Bill 2005 No. , 2005
1
Schedule 8--Worker entitlement funds
2
3
Fringe Benefits Tax Assessment Act 1986
4
1 Paragraph 58PA(b)
5
Omit "the person is required to make the contribution", substitute "the
6
contribution is made".
7
2 Subparagraph 58PA(c)(i)
8
Omit "required", substitute "made".
9
3 Application
10
The amendments made by this Schedule apply in respect of the FBT
11
year beginning on 1 April 2005 and in respect of all later FBT years.
12