INCOME TAX ASSESSMENT AMENDMENT ACT (No. 4) 1983 No. 103, 1983
Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - TABLE OF PROVISIONS
TABLE OF PROVISIONS Section 1. Short title, &c. 2. Commencement 3. Interpretation 4. Exemptions 5. Exemption of certain pensions 6. Rebate in respect of certain dividends paid to residents 7. Deduction of certain expenditure on land used for primary production 8. Loss in deriving exempt income 9. Rebates for residents of isolated areas 10. Payments to which Subdivision applies 11. Partner not having control and disposal of share in partnership income 12. Rebate of tax for, or complementary tax payable by, certain primary producers 13. Repeal of sections 158A and 158AA and substitution of new section- 158A. Election that Division not apply 14. Rebates for dependants 15. General concessional rebates 16. Liability to provisional tax 17. Provisional tax on estimated income 18. Interpretation 19. Insertion of new section- 221YHAA. Special provisions relating to certain prescribed payments 20. Duties of payees 21. Duties of eligible paying authorities 22. Deduction exemption certificates 23. Repeal of section 221YHR and substitution of new section- 221YHR. Reporting exemptions 24. Offences Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 1. Short title.
An Act to amend the law relating to income tax (Assented to 23 November 1983) Short title, &c. 1. (1) This Act may be cited as the Income Tax Assessment Amendment Act (No. 4) 1983. (2) The Income Tax Assessment Act 1936*1* is in this Act referred to as the Principal Act. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 2. Commencement
2. (1) Subject to sub-section (2), this Act shall come into operation on the day on which it receives the Royal Assent. (2) Section 3 shall come into operation on the day on which the Health Legislation Amendment Act (No. 2) 1983 receives the Royal Assent. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 3. Interpretation
3. Section 6 of the Principal Act is amended by omitting the definition of ''friendly society dispensary'' in sub-section (1) and substituting the following definition: '' 'friendly society dispensary' means an approved pharmaceutical chemist within the meaning of Part VII of the National Health Act 1953, being a friendly society, or a friendly society body, within the meaning of that Part;''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 4. Exemptions
4. (1) Section 23 of the Principal Act is amended- (a) by inserting after paragraph (kb) the following paragraph: ''(kba) payments by way of an open employment incentive bonus under Part VIIIA of the Handicapped Persons Assistance Act 1974;''; (b) by inserting in paragraph (s) ''one-half of'' before ''the pay and allowances'';
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(c) by inserting in paragraph (sa) ''one-half of'' before ''the pay and allowances''; and (d) by inserting in paragraph (sa) ''one-half of'' before ''any gratuity''. (2) The amendment made by paragraph (1) (a) applies to payments made on or after 1 October 1983. (3) The amendments made by paragraphs (1) (b), (c) and (d) apply to pay and allowances in respect of service, and a gratuity in respect of a calling out, on or after 1 December 1983. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 5. Exemption of certain pensions
5. (1) Section 23AD of the Principal Act is amended- (a) by inserting ''(other than section 98AA)'' after ''Division 5'' in sub-paragraph (b) (ii) of the definition of ''excepted payment'' in sub-section (1); (b) by inserting ''(other than section 98AA)'' after ''including that Division'' in sub-paragraph (b) (ii) of the definition of ''excepted payment'' in sub-section (1); (c) by omitting from the definition of ''excepted payment'' in sub-section (1) all the words after paragraph (c) and substituting: ''but does not include- (d) so much of a payment referred to in paragraph (a), (b) or (c) made to or in respect of a person as was included in the payment by reason that the person or the spouse of the person paid rent, lodging or board and lodging; (e) in a case where a payment referred to in paragraph (a) or (b) was made to or in respect of a person who had another person dependent on him for support or who, or whose spouse, had the custody, care and control of a child or children-so much of the payment as is determined by the Commissioner to have been attributable to the dependent person or to the child or children, as the case may be; or (f) in a case where a payment referred to in paragraph (c) was made to or in respect of a person who had the custody, care and control of a child or children or who was making regular contributions towards the maintenance of a child or children-so much of the payment as is determined by the Commissioner to have been attributable to the child or children;''; (d) by omitting ''or'' from paragraph (b) of the definition of ''prescribed person'' in sub-section (1); (e) by adding at the end of the definition of ''prescribed person'' in sub-section (1) the following word and paragraph: ''or (d) a man to or in respect of whom a spouse carer's pension is payable;''; (f) by inserting after the definition of ''prescribed person'' in sub-section (1) the following definition: '' 'spouse carer's pension' means- (a) a pension payable under Division 6 of Part III of the Social Security Act 1947 to or in respect of a man whose wife, within the meaning of Part III of that Act, has attained the age of 60 years; or (b) a pension payable under section 85AA of the Repatriation Act 1920 (including that section as applying by virtue of Division 5A, 6, 7, 8 or 9 of Part III of that Act or by virtue of the Repatriation (Special Overseas Service) Act 1962) to or in respect of a man whose wife, as defined by section 83 of the Repatriation Act 1920, has attained the age of 60 years;''; (g) by inserting in sub-section (2) ''or spouse carer's pension'' after ''wife's pension''; and (h) by omitting from sub-section (2) ''woman'' and substituting ''person''. (2) The amendment made by paragraph (1) (c) applies to payments of instalments of pensions, allowances and benefits falling due on or after 1 March 1984.
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(3) The amendments made by paragraphs (1) (d) to (1) (h) (inclusive) apply to payments made on or after 1 December 1983. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 6. Rebate in respect of certain dividends paid to residents
6. (1) Section 46C of the Principal Act is repealed. (2) The amendment made by sub-section (1) applies to assessments in respect of income of the year of income that commenced on 1 July 1983 and of all subsequent years of income. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 7. Deduction of certain expenditure on land used for primary production
7. Section 75A of the Principal Act is amended by adding at the end thereof the following sub-section: ''(6) This section does not apply in relation to expenditure incurred by a taxpayer after 23 August 1983 unless the expenditure was incurred in pursuance of a contract entered into on or before that date.''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 8. Loss in deriving exempt income
8. Section 77 of the Principal Act is amended by adding at the end thereof the following sub-section: ''(4) A deduction is not allowable under this section in respect of a loss incurred in the year of income that commenced on 1 July 1983 or in any subsequent year of income.''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 9. Rebates for residents of isolated areas
9. Section 79A of the Principal Act is amended- (a) by omitting from sub-section (2) ''sub-section 79B (4)'' and substituting ''sub-sections (2A) and 79B (4)''; (b) by inserting after sub-section (2) the following sub-section: ''(2A) The amount of any rebate that would, but for this sub-section, be allowable to a taxpayer under this section in his assessment in respect of income of a year of income shall be reduced by the amount of any prescribed allowance paid to the taxpayer in respect of the year of income.''; and (c) by inserting after the definition of ''census population'' in sub-section (4) the following definition: '' 'prescribed allowance' means an allowance paid in accordance with Part IIA of the Social Security Act 1947 or section 98AA of the Repatriation Act 1920 (including that section as applied by virtue of Division 5A, 6, 7, 8 or 9 of Part III of that Act or by virtue of the Repatriation (Special Overseas Service) Act 1962);''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 10. Payments to which Subdivision applies
10. Section 82KN of the Principal Act is amended by adding at the end thereof the following sub-section: ''(7) This Subdivision does not apply to an amount paid by a taxpayer after 23 August 1983 in respect of thermal insulation material in relation to a dwelling unless the payment was made in pursuance of a contract entered into on or before that date.''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 11. Partner not having control and disposal of share in partnership income
11. (1) Section 94 of the Principal Act is amended- (a) by omitting from sub-section (10A) ''Where a taxpayer is not entitled to a rebate of tax under section 156 in his assessment in respect of income'' and substituting ''Where Division 16 does not apply in relation to the income of a taxpayer''; (b) by omitting from sub-section (10B) ''Where a taxpayer is entitled to a rebate of tax under section 156 in his assessment in respect of income'' and substituting ''Where Division 16 applies in relation to the income of a taxpayer''; (c) by omitting from sub-section (12A) ''Where a trustee of a trust estate is not entitled to a rebate of tax under section 156 in his assessment in respect of the net income of the'' and substituting ''Where Division 16 does not apply in respect of the net income of a''; and (d) by omitting from sub-section (12B) ''Where a trustee of a trust
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estate is entitled to a rebate of tax under section 156 in his assesment in respect of the net income of the'' and substituting ''Where Division 16 applies in respect of the net income of a''. (2) The amendments made by sub-section (1) apply to assessments in respect of income of the year of income that commenced on 1 July 1983 and of all subsequent years of income. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 12. Rebate of tax for, or complementary tax payable by, certain primary producers
12. (1) Section 156 of the Principal Act is amended- (a) by omitting from paragraph (4) (b) ''and Division 6AA'' (wherever occurring) and substituting '', Division 6AA and Part VIIB''; (b) by inserting after sub-section (4) the following sub-section: ''(4A) Where- (a) this Division applies to the income of a taxpayer of a year of income, not being income in respect of which the taxpayer is liable to be assessed and to pay tax in the capacity of a trustee of a trust estate; and (b) the amount of tax that would, apart from this section, section 94, Division 6AA and Part VIIB and but for any rebate or credit to which the taxpayer is entitled, be payable by the taxpayer in respect of his taxable income of the year of income if the notional rates declared by the Parliament for the purposes of this section were the rates of tax payable by the taxpayer in respect of that taxable income exceeds the amount of tax that would, apart from this section, section 94, Division 6AA and Part VIIB and but for any rebate or credit to which the taxpayer is entitled, be payable by the taxpayer in respect of that taxable income, the taxpayer is liable to pay complementary tax, at the rate declared by the Parliament for the purposes of this sub-section, on so much of the taxable income of the taxpayer of the year of income as is equal to the deemed taxable income from primary production of the taxpayer of the year of income.''; (c) by omitting from sub-section (5) ''and Division 6AA'' (wherever occurring) and substituting '', Division 6AA and Part VIIB''; and (d) by inserting after sub-section (5) the following sub-section: ''(5A) Where- (a) this Division applies to a share of the net income of a trust estate of a year of income in respect of which a trustee is liable to be assessed and to pay tax in pursuance of sub-section 98 (1) or (2) or to the net income or a part of the net income of a trust estate of a year of income in respect of which a trustee is liable to be assessed and to pay tax in pursuance of section 99 (which share, net income or part, as the case may be, is in this sub-section referred to as the 'eligible net income'); and (b) the amount of tax that would, apart from this section, section 94, Division 6AA and Part VIIB and but for any rebate or credit to which the trustee is entitled, be payable by the trustee in respect of the eligible net income if the notional rates declared by the Parliament for the purposes of this section were the rates of tax payable by the trustee in respect of the eligible net income exceeds the amount of tax that would, apart from this section, section 94, Division 6AA and Part VIIB and but for any rebate or credit to which the trustee is entitled, be payable by the trustee in respect of the eligible net income, the trustee is liable to pay complementary tax, at the rate declared by the Parliament for the purposes of this sub-section, on so much of the net income of the trust estate as is equal to the deemed net income from primary production.''. (2) The amendments made by sub-section (1) apply to assessments in respect of income of the year of income that commenced on 1 July 1983 and of all subsequent years of income. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 13.
13. (1) Sections 158A and 158AA of the Principal Act are repealed and the following section is substituted: Election that Division not apply ''158A. (1) A taxpayer may elect that this Division shall not apply in relation to income of the taxpayer of a year of income specified in the election and of all subsequent years of income. ''(2) An election in pursuance of sub-section (1) shall be made in writing and lodged with the Commissioner on or before the date of lodgment of the
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return of income of the taxpayer for the year of income specified in the election or within such further time as the Commissioner allows. ''(3) Where a taxpayer makes an election under sub-section (1), this Division shall not apply in relation to income of the taxpayer of the year of income specified in the election or of any subsequent year of income.''. (2) The amendment made by sub-section (1) applies to assessments in respect of income of the year of income that commenced on 1 July 1983 and of all subsequent years of income. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 14. Rebates for dependants
14. (1) Section 159J of the Principal Act is amended by inserting after sub-section (3) the following sub-section: ''(3A) In the application of the definition of 'resident' in sub-section 6 (1) for the purposes of this section, a dependant included in class 1, 2, 3 or 4, and a child of the taxpayer being a dependant included in class 5, in the table in sub-section (2) shall be deemed to have a domicile in Australia at all times when the taxpayer has a domicile in Australia.''. (2) The amendment made by sub-section (1) applies to assessments in respect of income of the year of income that commenced on 1 July 1982 and of all subsequent years of income. (3) Nothing in section 170 of the Income Tax Assessment Act 1936 prevents the amendment of an assessment made before the commencement of this section for the purpose of giving effect to the amendment made by sub-section (1) of this section. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 15. General concessional rebates
15. (1) Section 159N of the Principal Act is amended by omitting from sub-section (2) ''$1,590'' (wherever occurring) and substituting ''$2,000''. (2) The amendment made by sub-section (1) applies to assessments in respect of income of the year of income that commenced on 1 July 1983 and of all subsequent years of income. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 16. Liability to provisional tax
16. Section 221YB is amended by inserting after sub-section (1) the following sub-section: ''(1A) Notwithstanding sub-section (1), a trustee of a trust estate is not liable to pay provisional tax in respect of income in respect of which the trustee is liable to be assessed and to pay tax under sub-section 98 (3) or (4).''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 17. Provisional tax on estimated income
17. Section 221YDA of the Principal Act is amended- (a) by omitting sub-paragraph (1) (d) (ia); (b) by omitting paragraph (1) (daa) and substituting the following paragraph: ''(daa) the amount of the prescribed payments from which deductions have been, or will be, made in accordance with Division 3A during that year of income;''; and (c) by omitting from sub-paragraph (2) (a) (i) ''of prescribed payments,''. Income Tax Assessment Amendment Act (No. 4) 1983 No. 103 of 1983 - SECT. 18. Interpretation
18. (1) Section 221YHA of the Principal Act is amended- (a) by inserting after the definition of ''deduction variation certificate'' in sub-section (1) the following definition: '' 'first instalment payment' means the first prescribed payment in an instalment series;''; (b) by inserting after the definition of ''householder notification form'' in sub-section (1) the following definitions: '' 'instalment series' means a series of 2 or more prescribed payments made, or liable to be made, in respect of the same invoice; '' 'invoice' means a demand or request for payment;'';
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(c) by inserting after the definition of ''month'' in sub-section (1) the following definitions: '' 'non-instalment payment' means a prescribed payment other than a first instalment payment or a subsequent instalment payment; '' 'non-reportable payment' means- (a) a prescribed payment in respect of which a reporting exemption declaration is in force; or (b) a prescribed payment in respect of which a reporting exemption approval number has been quoted to the eligible paying authority in accordance with an approval of the Commissioner that is in force under sub-section 221YHR (5) at the time of the quotation of the number; '' 'obligation transfer form' means a document in a form published by the Commissioner in the Gazette for the purposes of this definition;''; (d) by omitting '', a reporting exemption certificate'' from the definition of ''prescribed certificate'' in sub-section (1); (e) by omitting from sub-section (1) the definition of ''reporting exemption certificate'' and substituting the following definition: '' 'reporting exemption declaration' means a document in a form that is published by the Commissioner in the Gazette for the purposes of this definition;''; (f) by inserting after the definition of ''structure'' in sub-section (1) the following definition: