Commonwealth Numbered Acts

Income Tax Assessment Amendment Act 1983 No. 14 of 1983 - SECT 45

45. After section 124ZAD of the Principal Act the following sections are
inserted: Declarations

''124ZADA. (1) Where-

   (a)  during a financial year (in this sub-section referred to as the
        'relevant financial year') capital moneys are expended, under a
        contract entered into on or after 13 January 1983, by way of
        contribution to the cost of producing a film; and

   (b)  capital moneys have not been expended during any preceding financial
        year by way of contribution to the cost of producing the film, a
        person may, after 30 June 1983 and before the expiration of 1 month
        after the end of the relevant financial year, or within such further
        time as the Commissioner allows, lodge with the Commissioner a
        declaration-

   (c)  that a contract for the production of the film has been entered into
        under which a person has, or persons have, agreed to expend an amount
        that is specified in the contract as the estimated cost of producing
        the film;

   (d)  specifying the items of expenditure that comprise the amount referred
        to in paragraph (c);

   (e)  that a film account (in this section referred to as the 'relevant film
        account') has been opened in relation to the film;

   (f)  specifying the following details:

        (i)    the total amount of moneys received, being capital moneys
               expended by persons by way of contribution to the cost of
               producing the film, during the period (in this sub-section
               referred to as the 'relevant period') commencing at the
               beginning of the relevant financial year and ending at the time
               the declaration is made;

        (ii)   the total amount of the moneys referred to in sub-paragraph (i)
               that were received before 1 July 1983;

        (iii)  the total amount of the moneys referred to in sub-paragraph
               (ii) that were, before 1 July 1983, paid into the relevant film
               account;

        (iv)   the total amount of the moneys referred to in sub-paragraph
               (ii), not including moneys to which sub-paragraph (iii)
               applies, that were, before 1 July 1983, expended in producing
               the film;

        (v)    the total amount of the moneys referred to in sub-paragraph (i)
               that were received after 30 June 1983 and were, upon receipt,
               paid into the relevant film account;

        (vi)   the total amount withdrawn from the relevant film account
               during the relevant period; and

        (vii)  the total amount of the moneys referred to in sub-paragraph
               (vi) that were, upon being withdrawn from the relevant film
               account, expended in producing the film;

   (g)  that all moneys, being capital moneys expended by persons by way of
        contribution to the cost of producing the film but not being exempt
        moneys, that are received after the time when the declaration is made
        will, upon their receipt, be paid into the relevant film account; and

   (h)  that all moneys withdrawn from the relevant film account after the
        time the declaration is made will, upon withdrawal, be dealt with in
        the prescribed manner or paid to persons as refunds of capital moneys
        expended by way of contribution to the cost of producing the film.

''(2) Where a person lodges a declaration in respect of a film under
sub-section (1) or (5) and furnishes to the Commissioner such information in
relation to the film as the Commissioner requires, the Commissioner shall
decide whether the person making the declaration is, having regard to the role
of the person in the production of the film, a person whom the Commissioner
considers to be an appropriate person to make the declaration in respect of
the film, and shall notify the person in writing of his decision.

''(3) Where-

   (a)  at any time after a person has lodged a declaration under sub-section
        (1) or (5) in respect of a film, any change occurs in the role of the
        person in the production of the film; and

   (b)  before the time when the change occurs-

        (i)    the person has not been notified of a decision of the
               Commissioner under sub-section (2) in relation to the
               declaration; or

        (ii)   the person has been notified under sub-section (2) of a
               decision of the Commissioner that the person is an appropriate
               person to make the declaration and has not been notified under
               sub-section (4) of a decision of the Commissioner in relation
               to the declaration, the person shall, within 21 days after the
               change occurs, notify the Commissioner in writing of the
               change.

Penalty: $200.

''(4) Where, at any time (in this sub-section referred to as the 'relevant
time') after the Commissioner has notified a person under sub-section (2) of
his decision that the person is an appropriate person to make a declaration
under sub-section (1) or (5) in respect of a film, the Commissioner, having
regard to the role of the person in the production of the film, decides that,
if the person were to make a declaration at the relevant time as to the
matters specified in paragraphs (1) (g) and (h), the person would not be an
appropriate person to make such a declaration, the Commissioner shall notify
the person in writing of his decision.

''(5) Where-

   (a)  a declaration is lodged under sub-section (1) or under this
        sub-section by a person who has been notified by the Commissioner
        under sub-section (2) that the Commissioner considers the person to be
        an appropriate person to make the declaration; and

   (b)  the person dies or the Commissioner notifies the person under
        sub-section (4) of a decision of the Commissioner under that
        sub-section, a person may lodge with the Commissioner, before the
        expiration of 1 month after the death or the notification under
        sub-section (4), as the case may be, or within such further time as
        the Commissioner allows, a declaration-

   (c)  that all moneys, being capital moneys expended by persons by way of
        contribution to the cost of producing the film but not being exempt
        moneys, that are received after the time when the declaration is made
        will, upon their receipt, be paid into the relevant film account; and

   (d)  that all moneys withdrawn from the relevant film account after the
        time the declaration is made will, upon withdrawal, be dealt with in
        the prescribed manner or paid to persons as refunds of capital moneys
        expended by way of contribution to the cost of producing the film.

''(6) A reference in sub-sections (1) and (5) to exempt moneys is a reference
to capital moneys that are contributed by a person who has been issued with a
certificate under sub-section (7) in relation to the moneys.

''(7) The Commissioner shall, on application by a person who-

   (a)  has entered into a contract on or after 13 January 1983, or intends to
        enter into a contract, under which the person has agreed, or is to
        agree, to contribute capital moneys to the cost of producing a film;
        and

   (b)  has lodged an election in accordance with section 124ZAE in relation
        to the film, issue to the person a certificate under this sub-section
        in relation to all capital moneys that the person may contribute to
        the cost of producing the film.

''(8) For the purposes of this Division, but subject to sub-section (9), a
declaration made by a person under sub-section (1) shall be taken to be in
force at all times after it is lodged with the Commissioner.

''(9) Where-

   (a)  a declaration in relation to a film is lodged under sub-section (1) or
        (5) by a person who has been notified by the Commissioner under
        sub-section (2) that the Commissioner considers the person to be an
        appropriate person to make the declaration;

   (b)  the person dies or the Commissioner notifies the person under
        sub-section (4) of a decision of the Commissioner under that
        sub-section; and

   (c)  a further declaration is not lodged under sub-section (5) in relation
        to the film by a person who is notified by the Commissioner under
        sub-section (2) that the person is considered by the Commissioner to
        be an appropriate person to lodge the declaration, the following
        provisions have effect:

   (d)  where the declaration referred to in paragraph (a) was lodged under
        sub-section (1)-the declaration shall be taken, for the purposes of
        this Division, not to be, and never to have been, in force;

   (e)  where the declaration referred to in paragraph (a) was lodged under
        sub-section (5)-any declaration lodged under sub-section (1) in
        respect of the film that would, but for this sub-section, be in force
        shall be taken, for the purposes of this Division, not to be, and
        never to have been, in force.

''(10) A person who is notified of a decision of the Commissioner under
sub-section (2) or (4) and is dissatisfied with the decision may, within 60
days after receipt of the notification, post to, or lodge with, the
Commissioner an objection in writing against the decision stating fully and in
detail the grounds on which the person relies.

''(11) The provisions of Division 2 of Part V (other than section 185) apply
in relation to an objection made under sub-section (10) in like manner as
those provisions apply in relation to an objection against an assessment.
Notification regarding non-completion of film

''124ZADB. Where-

   (a)  a person has lodged a declaration under sub-section 124ZADA (1) or (5)
        in respect of a film;

   (b)  the Commissioner has notified the person under sub-section 124ZADA (2)
        that the Commissioner considers the person to be an appropriate person
        to make the declaration and the Commissioner has not notified the
        person of a decision under sub-section 124ZADA (4) in relation to the
        declaration; and

   (c)  either of the following conditions is satisfied:

        (i)    at the time when the person was notified as mentioned in
               paragraph (b), the person was satisfied that the film would not
               be, or was unlikely to be, completed before the expiration of
               the relevant 24 month period; or

        (ii)   after the person was notified as mentioned in paragraph (b),
               the person becomes satisfied that the film will not be, or is
               unlikely to be, completed before the expiration of the relevant
               24 month period, the person shall, within 14 days after-

   (d)  in a case to which sub-paragraph (c) (i) applies-the day on which the
        person was notified as mentioned in paragraph (b); or

   (e)  in a case to which sub-paragraph (c) (ii) applies-the day on which the
        person becomes satisfied as mentioned in that sub-paragraph, notify
        the Commissioner in writing that the person was so satisfied or became
        so satisfied, as the case may be.

Penalty: $200.''.