Save Search

Note: Where available, the PDF/Word icon below is provided to view the complete and fully formatted document
A New Tax System (Tax Administration) Bill (No. 2) 2000

Bill home page  


Download WordDownload Word


Download PDFDownload PDF

1998-1999-2000

 

The Parliament of the

Commonwealth of Australia

 

HOUSE OF REPRESENTATIVES

 

 

 

 

 

 

A New Tax System (Tax Administration) Bill (No. 2) 2000

 

(Amendments to be moved on behalf of the Government)

 

(1)     Clause 3, page 2 (after line 15), after subclause (5), insert:

          (5A)  Schedule 4B commences, or is taken to have commenced, immediately after the commencement of the Customs and Excise Amendment (Diesel Fuel Rebate Scheme) Act 1999 .

[diesel fuel rebate scheme]

(2)     Clause 3, page 2 (after line 15), after proposed new subclause (5A), insert:

          (5B)  Schedule 4C commences, or is taken to have commenced, on 1 July 2000.

[access to ABN information]

(3)     Schedule 1, item 2, page 4 (line 22), after “incorrect”, insert “, or is more likely to be correct than incorrect”.

[section 284-15—administrative penalties]

(4)     Schedule 1, item 2, page 8 (table item 2), after “ * GST Act”, insert “or Division 25 of the A New Tax System (Wine Equalisation Tax) Act 1999 ”.

[section 284-80—administrative penalties]

(5)     Schedule 1, item 2, page 12 (lines 21 and 22), omit “a principal”, substitute “the principal”.

[section 284-145—administrative penalties]

(6)     Schedule 1, item 2, page 14 (line 32), omit “You”, substitute “For the purposes of determining whether you are liable to an administrative penalty, you”.

[section 284-215—administrative penalties]

(7)     Schedule 2, page 21 (after line 10), after item 1, insert:

A New Tax System (Tax Administration) Act 1999

1A  At the end of subitem 2(3) of Schedule 2

Add:

             ; and (c)  a proceeding to recover an amount of a tax-related liability that became due and payable before 1 July 2000 if the proceeding commences on or after that day, as if it were a proceeding commenced under that section.

[application]

(8)     Schedule 2, page 22 (after line 12), after item 8, insert:

8A  Paragraph 112(4)(b)

Omit “90%”, substitute “85%”.

[section 112—administrative penalties]

(9)     Schedule 2, item 9, page 22 (line 17), omit “2000”, substitute “2001”.

[section 113A—administrative penalties]

(10)   Schedule 2, item 10, page 22 (lines 22 to 26), omit the note, substitute:

Note:          Section 251L of the Income Tax Assessment Act 1936 prohibits a person from charging a fee for doing things under this Act on behalf of someone else unless the person is a registered tax agent or is excluded by that section.

[section 119—tax agents]

(11)   Schedule 2, item 31, page 26 (line 8), omit “ provision ”, substitute “ provisions ”.

[section 251A—tax agents]

(12)   Schedule 2, item 33, page 26 (lines 15 and 16), omit the definition of taxation law , substitute:

taxation law means an Act of which the Commissioner has the general administration, or regulations under such an Act, but does not include:

                     (a)  Customs Acts as defined in section 4 of the Customs Act 1901 ; or

                     (b)  Excise Acts as defined in section 4 of the Excise Act 1901 ; or

                     (c)  the Diesel and Alternative Fuels Grants Scheme Act 1999 ; or

                     (d)  a sales tax law as defined in section 5 of the Sales Tax Assessment Act 1992 ; or

                     (e)  A New Tax System (Goods and Services Tax Transition) Act 1999 .

[section 251A—tax agents]

(13)   Schedule 2, item 34, page 26 (line 24), omit paragraph (b), substitute:

                     (b)  giving advice about a taxation law on behalf of a taxpayer; or

[section 251L—tax agents]

(14)   Schedule 2, item 34, page 26 (lines 25 to 27), omit paragraph (c), substitute:

                     (c)  preparing or lodging on behalf of a taxpayer an objection under Part IVC of the Taxation Administration Act 1953 against an assessment, determination, notice or decision under a taxation law; or

[section 251L—tax agents]

(15)   Schedule 2, item 35, page 27 (line 8), after “member”, insert “(except a student member or retired member)”.

[section 251L—tax agents]

(16)   Schedule 2, item 35, page 27 (after line 13), at the end of subsection (6), add:

               ; or (d)  where a BAS service relates to imports or exports to which an indirect tax law (within the meaning of Part VI of the Taxation Administration Act 1953 ) applies—a customs broker licensed under Part XI of the Customs Act 1901 .

[section 251L—tax agents]

(17)   Schedule 2, item 35, page 27 (line 17), omit “legal”.

[section 251L—tax agents]

(18)   Schedule 2, item 35, page 27 (line 21) to page 28 (line 3), omit subsection (8), substitute:

             (8)  Subsection (1) does not apply to the provision of any of these services on behalf of a taxpayer by a barrister or solicitor who is acting in the course of his or her profession:

                     (a)  preparing or lodging a notice, application or other document about the taxpayer’s liabilities under a taxation law;

                     (b)  giving advice about a taxation law;

                     (c)  preparing or lodging an objection under Part IVC of the Taxation Administration Act 1953 against an assessment, determination, notice or decision under a taxation law;

                     (d)  applying for a review of, or instituting an appeal against, a decision on such an objection or undertaking any litigation or proceedings about a taxation law;

                     (e)  while acting for a trust or a deceased estate for which the barrister or solicitor is the trustee or legal personal representative, preparing or lodging a return or statement about the trust’s or estate’s liabilities, obligations or entitlements under a taxation law;

                      (f)  dealing with the Commissioner or a person who is exercising powers or performing functions under a taxation law about any of the matters specified in paragraphs (a) to (e).

[section 251L—tax agents]

(19)   Schedule 2, item 36, page 28 (lines 15 and 16), omit subsection (1), substitute:

             (1)  A recognised professional association is an organisation that:

                     (a)  meets the requirements in subsections (2) to (10); or

                     (b)  is a charitable institution or a public educational institution:

                              (i)  that meets the requirements in subsections (2) to (4); and

                             (ii)  whose income is exempt from income tax under section 50-5 of the Income Tax Assessment Act 1997 ; and

                            (iii)  whose sole or principal activity is providing education, training and information about taxation.

[section 251LA—tax agents]

(20)   Schedule 2, item 36, page 29 (line 3), after “body”, insert “(except a student member)”.

[section 251LA—tax agents]

(21)   Schedule 2, item 36, page 29 (line 10), after “qualification”, insert “, or exemption from qualification,”.

[section 251LA—tax agents]

(22)   Schedule 2, item 36, page 29 (line 17), omit “the profession”, substitute “that profession”.

[section 251LA—tax agents]

(23)   Schedule 2, item 36, page 29 (line 19), omit “structured”.

[section 251LA—tax agents]

(24)   Schedule 2, item 36, page 29 (lines 22 and 23), omit paragraph (d), substitute:

                     (d)  if they are permitted by that organisation to be in public practice—have professional indemnity insurance.

[section 251LA—tax agents]

(25)   Schedule 2, item 79, page 37 (lines 3 and 4), omit the item.

[approved form]

(26)   Schedule 2, page 47 (before line 20), before item 143, insert:

142A  Paragraph 8C(1)(a)

Omit “return”, substitute “approved form”.

[approved form]

(27)   Schedule 2, item 144, page 51 (line 30), omit “2000”, substitute “2001”.

[approved form]

(28)   Schedule 3, page 57 (after line 16), after item 8, insert:

8A  At the end of subsection 12-190(4) in Schedule 1

Add:

               ; or (d)  the supply is wholly * input taxed.

[section 12-190—recipient does not quote ABN]

(29)   Page 60 (after line 22), after Schedule 4, insert:

Schedule 4A Income tax deductions for GST-related expenditure

   

Income Tax Assessment Act 1997

1  Subsection 25-80(1)

After “ * plant”, insert “for the income year in which you incur the expenditure or enter into a contract to carry out the upgrade”.

2  Paragraph 25-80(1)(a)

After “incur the expenditure”, insert “or enter into the contract”.

3  Paragraph 25-80(1)(c)

After “incur the expenditure”, insert “or enter into the contract”.

4  Paragraph 25-80(1)(d)

Omit “1 July 2000” (wherever occurring), substitute “1 July 2001”.

5  Paragraph 25-80(1)(d)

Omit “immediately”.

6  Paragraph 25-80(1)(e)

After “incur the expenditure”, insert “or enter into the contract”.

7  At the end of subsection 25-80(1)

Add:

If you have already deducted the expenditure but you fail to comply with paragraph (d) of this subsection, your assessment may be amended to disallow the deduction.

8  Subsection 25-80(2)

After “incur the expenditure”, insert “or enter into the contract”.

9  At the end of section 25-80

Add:

Reducing the deduction

             (4)  Reduce your deduction by an amount that reasonably reflects the extent (if any) you neither used the upgraded * plant, nor had it * installed ready for use, for the * purpose of producing assessable income during the period in the income year you were its owner or * quasi-owner.

             (5)  Also, if you do not become the owner or * quasi-owner of the upgraded * plant by the end of 30 June 2000, reduce your deduction by an amount that reflects the extent (if any) that, as at that time, you reasonably expect neither to use the upgraded plant, nor to have it * installed ready for use, for the * purpose of producing assessable income during that part of the * financial year beginning on 1 July 2000 for which you expect to be its owner or quasi-owner.

10  At the end of section 42-15 (after the notes)

Add:

Note 3:       The requirements in paragraphs (a) and (b) do not apply in the case of certain plant acquired for GST compliance: see section 42-168.

11  Subsection 42-168(1)

After “income year in which you”, insert “incur the cost or enter into a contract to”.

12  Paragraph 42-168(1)(a)

Omit “become the owner or quasi-owner of the plant”, substitute “incur the cost or enter into the contract”.

13  At the end of subsection 42-168(1)

Add:

             ; and (e)  before 1 July 2001, you become the owner or * quasi-owner of the * plant and use it, or have it * installed ready for use, for the * purpose of producing assessable income.

If you have already deducted the cost but you fail to comply with paragraph (e), your assessment may be amended to disallow the deduction.

14  After subsection 42-168(1)

Insert:

Ownership and use not required in 1999-2000

          (1A)  The requirements in paragraphs 42-15(a) and (b) do not apply to a deduction that meets the requirements of subsection (1) of this section.

15  Subsection 42-168(2)

Omit “become the owner or * quasi-owner of the * plant”, substitute “incur the * cost or enter into the contract”.

16  At the end of section 42-170

Add:

Special reduction for plant acquired to meet GST obligations etc.

             (4)  A deduction covered by section 42-168 can be reduced under subsection (5) if you do not become the owner or * quasi-owner of the relevant * plant by the end of 30 June 2000.

             (5)  Reduce your deduction by an amount that reflects the extent (if any) that, as at that time, you reasonably expect neither to use the * plant, nor to have it * installed ready for use, for the purpose of producing assessable income during that part of the * financial year beginning on 1 July 2000 for which you expect to be the owner or * quasi-owner of the plant.

[sections 25-80, 42-168 and 42-170—deductions for GST-related expenditure]

(30)   Page 60 (after line 22), after proposed new Schedule 4A, insert:

Schedule 4B Diesel Fuel Rebate Scheme

   

Customs Act 1901

1  Subsection 164(5A)

Before “where the Minister”, insert “subject to subsection (5AAC),”.

2  After subsection 164(5AAB)

Insert:

     (5AAC)  The Minister may, by notice published in the Gazette , declare that the rate of rebate payable under subsection (1) to a person in respect of a specified type of diesel fuel that:

                     (a)  is like fuel of a kind prescribed for the purposes of the definition of diesel fuel in subsection 4(1); and

                     (b)  is for use in a manner referred to in a paragraph of subsection (1) of this section and specified in the notice;

is, on and after a day specified in the notice, a rate specified in the notice, being a rate lower than the rate specified in subsection (5) or under subsection (5A) (as the case requires) in relation to that paragraph, and, where the Minister makes such a declaration, the declaration has effect accordingly.

    (5AAD)  If a particular type of diesel fuel is used for more than one purpose, it may be treated for the purposes of subsection (5AAC) as more than one type of diesel fuel, each type relating to one or more purposes for which the fuel is used.

3  Subsection 164(5AA)

Omit “The”, substitute “Subject to subsection (5ABA), the”.

4  At the end of paragraph 164(5AA)(b)

Add “or (5AAC)”.

5  After subsection 164(5AB)

Insert:

     (5ABA)  Subsection (5AA) does not apply to the rebate payable in respect of diesel fuel if:

                     (a)  the rate of rebate payable in respect of the diesel fuel is a rate specified in a notice under subsection (5AAC); and

                     (b)  one or more of the rates of rebate that would be averaged under subsection (5AA) in respect of the fuel if that subsection applied would not be a rate specified in such a notice.

Excise Act 1901

6  Subsection 78A(5A)

Before “where the Minister”, insert “subject to subsection (5AAC),”.

7  After subsection 78A(5AAB)

Insert:

     (5AAC)  The Minister may, by notice published in the Gazette , declare that the rate of rebate payable under subsection (1) to a person in respect of a specified type of diesel fuel that:

                     (a)  is like fuel of a kind prescribed for the purposes of the definition of diesel fuel in subsection 4(1); and

                     (b)  is for use in a manner referred to in a paragraph of subsection (1) of this section and specified in the notice;

is, on and after a day specified in the notice, a rate specified in the notice, being a rate lower than the rate specified in subsection (5) or under subsection (5A) (as the case requires) in relation to that paragraph, and, where the Minister makes such a declaration, the declaration has effect accordingly.

    (5AAD)  If a particular type of diesel fuel is used for more than one purpose, it may be treated for the purposes of subsection (5AAC) as more than one type of diesel fuel, each type relating to one or more purposes for which the fuel is used.

8  Subsection 78A(5AA)

Omit “The”, substitute “Subject to subsection (5ABA), the”.

9  At the end of paragraph 78A(5AA)(b)

Add “or (5AAC)”.

10  After subsection 78A(5AB)

Insert:

     (5ABA)  Subsection (5AA) does not apply to the rebate payable in respect of diesel fuel if:

                     (a)  the rate of rebate payable in respect of the diesel fuel is a rate specified in a notice under subsection (5AAC); and

                     (b)  one or more of the rates of rebate that would be averaged under subsection (5AA) in respect of the fuel if that subsection applied would not be a rate specified in such a notice.

[sections 164 of the Customs Act 1901 and 78A of the Excise Act 1901—diesel fuel rebate scheme]

(31)   Page 60 (after line 22), after proposed new Schedule 4B, insert:

Schedule 4C—Access to ABN information

Part 1—Amendments

A New Tax System (Australian Business Number) Act 1999

1  Subsection 3(3) (note)

Repeal the note, substitute:

Note:          Section 30 facilitates this object by enabling the Registrar to provide information collected under this Act to State, Territory and local government bodies.

2  Section 26

Repeal the section, substitute:

26  Access to certain information in the Australian Business Register

             (1)  The * Registrar may (on receiving payment of any prescribed fee) give a * person a copy of the entry in the * Australian Business Register relating to an * entity.

             (2)  Before the copy is given to the * person, the * Registrar must excise from it:

                     (a)  any detail not listed in subsection (3) or in regulations made under subsection (3); and

                     (b)  any detail that the Registrar is prohibited from disclosing under subsection (4).

             (3)  The details are the following:

                     (a)  the * entity’s name;

                     (b)  the entity’s * ABN;

                     (c)  the date of effect of the registration;

                     (d)  either:

                              (i)  the business name registered for the entity under the law of a State or Territory; or

                             (ii)  if a business name is not registered for the entity—any name used for business purposes by the entity;

                     (e)  the date of effect of any GST registration under section 25-10 of the A New Tax System (Goods and Services Tax) Act 1999 ;

                      (f)  the date of effect of any GST cancellation under section 25-60 of the A New Tax System (Goods and Services Tax) Act 1999 ;

                     (g)  any statement required to be entered in the * Australian Business Register in relation to the entity under section 30-229 of the * ITAA 1997;

                     (h)  the entity’s Australian Company Number and Australian Registered Body Number (if any);

                      (i)  the kind of entity;

                      (j)  the State or Territory in which the entity’s principal place of * business is located, and the postcode relating to the location;

                     (k)  any details prescribed in the regulations for the purposes of this section.

             (4)  If:

                     (a)  a * person applies for a detail listed in subsection (3), or in regulations made under subsection (3), in relation to an * entity, not to be disclosed; and

                     (b)  the * Registrar is satisfied that it is not appropriate to disclose the detail;

the Registrar must not disclose the detail under this section.

             (5)  In addition to providing copies under subsection (1), the * Registrar may make publicly available any details listed in subsection (3), or in regulations made under subsection (3), in relation to an * entity, other than any detail that the Registrar is prohibited from disclosing under subsection (4).

3  At the end of section 27

Add:

             (7)  If:

                     (a)  a * person applies for a detail included in the * Australian Business Register in relation to an * entity not to be disclosed; and

                     (b)  the * Registrar is satisfied that it is not appropriate to disclose the detail;

the detail must not be included in any document the Registrar issues or gives under subsection (2) or (4).

4  After Division 10

Insert:

Division 10A—Review of decisions about disclosure

27A  Review of decisions

             (1)  Applications may be made to the Administrative Appeals Tribunal for review of a decision of the * Registrar under subsection 26(4) or 27(7).

             (2)  If an application for review is made under subsection (1), the orders that may be made under subsection 41(2) of the Administrative Appeals Tribunal Act 1975 include an order that the * Registrar not disclose the details that are the subject of the application pending the determination of the application for review.

27B   Statement of rights to seek review

             (1)  If:

                     (a)  a decision of a kind referred to in section 27A is made; and

                     (b)  notice in writing of the decision is given to a * person whose interests are affected by the decision;

that notice must:

                     (c)  include a statement to the effect that, if the person is dissatisfied with the decision, application may, subject to the Administrative Appeals Tribunal Act 1975 , be made to the Tribunal for review of the decision; and

                     (d)  except where subsection 28(4) of that Act applies—also include a statement to the effect that the person may request a statement under section 28 of that Act.

             (2)  A failure to comply with subsection (1) does not affect the validity of the decision.

5  At the end of paragraph 30(3)(c)

Add:

                       or (vi)  the head (however described) of a Department of State of a State or Territory for the purposes of legislation administered by the Minister responsible for that Department; or

                           (vii)  the head (however described) of a body established for a public purpose by or under a law of a State or Territory (including a local governing body) for the purposes of carrying out functions conferred on the body by a law of the State or Territory; or

                          (viii)  a prescribed body for the prescribed purposes;

6  At the end of paragraph 30(3)(d)

Add:

                     ; or (iv)  the head (however described) of a Department of State of a State or Territory for the purposes of legislation administered by the Minister responsible for that Department; or

                             (v)  the head (however described) of a body established for a public purpose by or under a law of a State or Territory (including a local governing body) for the purposes of carrying out functions conferred on the body by a law of the State or Territory; or

                            (vi)  a prescribed body for the prescribed purposes.

7  Subsection 30(4)

Repeal the subsection, substitute:

             (4)  Subsection (3) does not authorise the disclosure of information to:

                     (a)  a Commonwealth Minister; or

                     (b)  a Minister of a State or Territory; or

                     (c)  an elected member of a body established under a law of a State or Territory.

8  Section 41 (at the end of the definition of official employment )

Add:

               ; or (c)  appointment or employment by a State or Territory, or the performance of services for a State or Territory; or

                     (d)  appointment or employment by a local governing body, or the performance of services for a local governing body.

Part 2—Transitional

9  Regulations

Regulations made for the purposes of subsection 26(1) of the A New Tax System (Australian Business Number) Act 1999 and in force immediately before the commencement of this Schedule continue in force as if they had been made for the purposes of that subsection as amended by item 2. This does not prevent amendment or repeal of the regulations.

[various sections—access to ABN information]

(32)   Schedule 5, page 61 (after line 9), after item 1, insert:

1A  Subsection 995-1(1) (after paragraph (d) of the definition of BAS provisions )

Insert:

             ; and (e)  sales tax law as defined in section 5 of the Sales Tax Assessment Act 1992 .

[section 995-1—BAS provisions]

(33)   Schedule 5, page 62 (after line 7), after item 6, insert:

6A  Subsection 995-1(1)

Insert:

input taxed has the meaning given by section 195-1 of the * GST Act.

[section 995-1—recipient does not quote ABN]

(34)   Schedule 5, page 62 (after line 19), after item 10, insert:

10A  Subsection 995-1(1) (paragraphs (b) and (c) of the definition of recognised tax adviser )

Repeal the paragraphs, substitute:

                     (b)  a legal practitioner.

[section 995-1—tax agents]