INCOME
TAX.
No. 66
of 1936.
An Act to
impose a Tax upon Incomes.
[Assented to 1st December, 1936.]
BE it enacted by the King’s Most Excellent
Majesty, the Senate, and the House of Representatives of the Commonwealth of
Australia, as follows:—
Short
title.
1. This Act may
be cited as the Income Tax Act 1936.
Incorporation.
2. The Income
Tax Assessment Act 1936 shall be incorporated and read as one with this
Act.
Imposition
of income tax.
3. Income tax
is imposed at the rates declared in this Act.
Rates of
income tax.
4.—(1.) The
rate of income tax in respect of a taxable income derived from personal
exertion shall be as set out in the First Schedule to this Act.
(2.) The rate of income tax in respect of a
taxable income derived from property shall be as set out in the Second Schedule
to this Act.
(3.) The rates of income tax in respect of a
taxable income derived partly from personal exertion and partly from property
shall be as set out in the Third Schedule to this Act.
(4.) The rate or rates of income tax in respect
of a taxable income to which Division 16 of Part III. of the Income Tax
Assessment Act 1936 applies shall be as set out in the Fourth Schedule to
this Act.
(5.) The rate or rates of income tax in respect
of a taxable income in any case where sub-section (1.) of section eighty-six of
the Income Tax Assessment Act 1936 applies shall be as set out in the
Fifth Schedule to this Act.
(6.) Notwithstanding anything contained in the
last five preceding sub-sections, where the amount of income tax which a person
would, apart from this sub-section, be liable to pay is less than Ten
shillings, the income tax payable by that person shall be Ten shillings.
(7.) The rate or rates of income tax payable by
a trustee shall be as set out in the Sixth Schedule to this Act.
(8.) Subject to sub-section (7.) of this
section, the rates of income tax payable by a company shall be as set out in
the Seventh Schedule to this Act.
Levy of income tax.
5.—(1.) Income
tax shall be levied and paid for the financial year, beginning on the first day
of July, One thousand nine hundred and thirty-six.
(2.) This Act shall also apply to all
assessments for financial years subsequent to that beginning on the first day
of July, One thousand nine hundred and thirty-six made prior to the passing of
the Act for the levying and payment of income tax for the financial year
beginning on the first day of July, One thousand nine hundred and thirty-seven.
THE SCHEDULE.
FIRST SCHEDULE.
Rate of Tax in
Respect of Taxable Income Derived from Personal Exertion.
For the purposes of this Schedule—T = taxable income in pounds.
If the taxable
income does not exceed £6,900, the rate of tax for every pound of taxable
income shall be.....................................................
|
If the taxable
income exceeds £6,900, the rate of tax for every pound of taxable income up
to and including £6,900 shall be.....................
|
and the
rate of tax for every pound of taxable income in excess of ￡6,900
shall be..........
| 68.85 pence.
|
SECOND SCHEDULE.
Rate of Tax in Respect of Taxable Income Derived from
Property.
For the purposes of this Schedule—T =
taxable income in pounds.
If the taxable
income does not exceed £500, the rate of tax for every pound of taxable
income shall be......................................
|
If the taxable
income exceeds £500 but does not exceed £1,500, the rate of tax for every
pound of taxable income shall be............
|
If the taxable
income exceeds £1,500 but does not exceed £3,700, the rate of tax for every
pound of taxable income shall be............
|
If the taxable
income exceeds £3,700, the rate of tax for every pound of taxable income up
to and including £3,700 shall be..............
|
and the rate of tax for
every pound of taxable income in excess of £3,700 shall be........
| 81 pence.
|
The
Schedules—continued.
THIRD SCHEDULE.
Rates of Tax in
Respect of Taxable Income Derived Partly from Personal Exertion and Partly from
Property.
(a) For every pound of taxable income
derived from personal exertion, the rate of tax shall be ascertained by
dividing the total amount of the tax that would be payable under the First
Schedule if the total taxable income of the taxpayer were derived exclusively
from personal exertion, by the amount of the total taxable income.
(b) For every pound of taxable income
derived from property, the rate of tax shall be ascertained by dividing the
total amount of the tax that would be payable under the Second Schedule if the
total taxable income of the taxpayer were derived exclusively from property, by
the amount of the total taxable income.
FOURTH SCHEDULE.
Rates of Tax by
reference to an Average Income.
(a) For
every pound of the taxable income derived from personal exertion by a taxpayer
to whoso income Division 16 of Part III. of the Income Tax Assessment Act
1936 is applied, the rate of tax shall be ascertained by dividing the tax that
would be payable under the First Schedule upon a taxable income from personal
exertion equal to his average income, by that average income.
(b) For every pound of taxable income
derived by him from property the rate of tax shall be ascertained by dividing
the tax that would be payable under the Second Schedule upon a taxable income
from property equal to his average income, by that average income.
FIFTH SCHEDULE.
Rate of Tax by reference to a
Notional Income.
(a) For every pound of the actual taxable
income from personal exertion of a taxpayer deriving a notional income, as
specified by sub-section (1.) of section eighty-six of the Income Tax
Assessment Act 1936, the rate of tax shall be the amount obtained by
dividing the tax that would be payable under the First Schedule upon a taxable
income from personal exertion equal to his notional income, by that notional
income.
(b) For every pound of the actual taxable
income from property of a taxpayer deriving a notional income, as specified by
sub-section (1.) of section eighty-six of the Income Tax Assessment Act
1936, the rate of tax shall be the amount obtained by dividing the tax that
would be payable under the Second Schedule upon a taxable income from property
equal to his notional income, by that notional income.
SIXTH SCHEDULE.
Rates of Tax Payable by a
Trustee.
For
every pound of the taxable income in respect of which a trustee is liable,
pursuant to either section ninety-eight or section ninety-nine of the Income
Tax Assessment Act 1936, to be assessed and to pay tax the rate of tax
shall be the rate which would be payable under the First, Second, Third, Fourth
or Fifth Schedules, as the case requires, if one individual were liable to be
assessed and to pay tax on that taxable income.
SEVENTH SCHEDULE.
Rates of Tax Payable by a
Company.
(а)
Subject to the last preceding
Schedule, for every pound of the taxable income of a company the rate of tax
shall be One shilling.
(b) For every pound of interest in
respect of which a company is liable, pursuant to sub-section (1.) of section
one hundred and twenty-five of the Income Tax Assessment Act 1936