Commonwealth Numbered Acts

SALES TAX LAWS (COMPUTER PROGRAMS) AMENDMENT ACT 1989 No. 19, 1990 - SECT 4

4. (1) Section 3 of the Principal Act is amended by omitting from the
definition of "manufacture" in subsection (1) all the words after paragraph
(f) and substituting the following:

"but does not include:

   (g)  a combination falling within paragraph (b) (other than a combination
        whereby a prescribed article or substance is formed) if, in the
        opinion of the Commissioner, the combination is of a kind that is
        customarily undertaken by persons who use the articles or substances
        formed by combinations of that kind for the purposes for which the
        articles or substances are intended to be ultimately used; or

   (h)  the copying or reproduction of a computer program, whether with or
        without related information and whether in the same material form or
        in a different material form, or the conversion of a computer program
        to another language, code or notation, so as to embody the program
        (not being the embodying of the program in a microchip) in goods, by a
        person who is not the manufacturer of the goods in which the program
        is to be embodied where:

        (i)    the person or another person has paid or is liable to pay tax
               on a sale value of the goods in which the program is to be
               embodied in respect of some prior act, operation or transaction
               in relation to the goods; and

        (ii)   the goods in which the program is embodied are to be for sale
               by the first-mentioned person by retail otherwise than under a
               contract of the kind referred to in subsection (4) or under an
               indirect marketing arrangement;".

(2) Section 3 of the Principal Act is amended by adding at the end the
following subsections:

"(13) A reference in this Act to a computer program embodied in a microchip
does not include a computer program embodied in a microchip in a cartridge
where:

   (a)  the program is marketed as being exclusively for educational use,
        entertainment use or educational and entertainment use; and

   (b)  the cartridge is marketed as being exclusively for use with:

   (i)  a personal computer; or

   (ii) a home electronic device that is for use with a computer monitor or a
        television screen; or

   (iii) either a personal computer or such a device.

"(14) In subsection (13), 'home electronic device' does not include a device
that consists of or includes one or more of the following:

   (a)  a compact disc player;

   (b)  a television;

   (c)  a video camera;

   (d)  a video cassette player;

   (e)  a video cassette recorder;

   (f)  another electronic device prescribed by the regulations.".