Income Tax Act of 1936 (1 Edw Viii No. 33) (Qld)

INCO}IE TAX. I EDW. YIII. No. 33, 1936. Income Tax Act. 1599;:) An Act to Impose Taxes upon Incomes. [ASSENTED TO 11TH DECEil'IBER, 1936.J 1 EDW. VIII. No.33. ':rHE IKcoM8 'rAX ACT or 1936. ""-1-)') E it enacted lw 0,' the !Gm C t l 's ~ l( ) st Excellent MaJ • ' esty • , ( [ ~ 0 ' J 1 ' J OU Ij " ' . r I 1 . Ij I t t' ts by and ,,,ith the advice and consent of the Legis- H, ; ; ' r" ~ rl. J lati vC' Assembl~ ' of Qneens] and in Parhamcnt assembled, and by the authority of the same, as follows:- * 1. This Act mav be cited as "The Income Tax Short title Act of 1936," and shall come into force on a date to he ~ ~ ! mence. proclaimed by the Governor in Council by Proclamation ment. . published in the Gazette. 2. t" The Income Ta::r Assessment Act of 1936" Incorpora- shall be incorporated and read as one with this Act. tWIl. 3. Income tax is imposed at the rates declared in Impositino this Act. of income tax. 4. (1.) The rate of income tax in respect of a Rates of taxable income from personal exertion shall be as set income tax. out in the First Schedule to this Act. (2.) The rate of income tax in respect of a taxahle income derived from property shaJl be as set ont 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 shaH be as set out in the Third Schedule to this Act. (4.) The rate of income tax payable by a trustee (other than a trustee for a company) shall be as set out in the Fourth Schedule to this Act. (5.) The rate of income tax payable by a person who is not resident in Australia shall be as set out in the Fifth Schedule to this Act. of (6.) The rate income tax payable on the taxable income of a company shall be as set out in the Sixth Schedule to this Act. ,. Act proclaimed in foree as on and from 2ht, December. 1936 (Gazette, 21st December, 1936, page 2191). 'f 1 Edw. VIII. No. 32, supra, page 15859.

• 15996 • INCO.:\IE L\X. III come Tax Act. 1 EDW. VIII. No. 3:3, (7.) The rate of income tax payable on dividends assessed under subsection two of section thirty-five of *" The Income Tax Assessment Act of 1936 " shall be as set out in the Seventh Schedule to this Act. (8.) The rate of income tax payable on interest paid or credited by a company to any person who is a non- resident in respect of debentures of the company or on money lodged at interest with the company by such person shall be as set out in the Eighth Schedule to this Act. (9.) The rate of income tax payable by the insured or the insurer on a taxable income, being twenty-five per centum of premiums of insurance which is assessable under subsection three of section forty-five of *" The Income Tax Assessment Act of 1936" shall be as set out in the Ninth Schedule to this Act. (10.) The rate of income tax payable on reinsurance premiums assessed under subsection eight of section forty-five of *" The Income Tax Assessment Act of 1936" shall be as set out in the Tenth Schedule to this Act. Super tax. 5. (1.) In addition to the tax payable under the preceding provisions of this Act there shall be payable (subject to the exemptions or deductions hereinafter mentioned) super tax in respect of the incomes of all persons (except mutual or partly mutual life assurance companies or societies, but to the extent only to which the taxable income of any partly mutual life assurance company or society is chargeable. with tax at the rate fixed by paragraphs (b) of subdivisions (vii.) and (viii.) of division (c) of the Sixth Schedule to this Act, and except that part of the taxable income of metalliferous mining companies which is charged with tax at the rate fixed by subdivision (iv.) of division (c) of the Sixth Schedule to this Act) at the rate of twenty pounds per centum on the amount of the income tax payable under this Act. (2.) 'Where the taxable income of any person (other than a company) does not exceed £250, then such person shall not be liable to pay super tax. (3.) 'Vhere the taxable income of any person (other than a company) exceeds £250, then from the super tax which would be otherwise payable by such * 1 Edw. VIII. No. 32, 8upra, page 1.58,';9.

INCO~ IE TAX. ----------- - - - - Inco))1c, Tlu Act. 15997 person there shall be allowed the amount of super tax on the amount of statutory exemption allowed to such person pursuant to the provisions of subsection twenty- eight of section twenty-nine of *" The Income Tax A88e88ment Act of 1936" calculated at the rate at which the income tax of such person is calculated, and such rate shall be as on income from personal exertion (if any) in the first place. 6. (1.) In addition to the income tax and super Additional tax payable under sections four and five of this Act tax. there shall be payable an additional income tax on the income of all persons (except companies and persons not resident in Australia) calculated as follows :- (a) Where the taxable income exceeds £779, but does not exceed £849, an additional tax equal to fifteen per centum of the amount of such income tax and super tax; (b) Where the taxable income exceeds £849, but does not exceed £899, an additional tax equal to sixteen per centum of the amount of such income tax and super tax; (c) Where the taxable income exceeds £899, but does not exceed £949, an additional tax equal to eighteen per centum of the amount of such income tax and super tax; (d) vVhere the taxable income exceeds £949, but does not exceed £999, an additional tax equal to twenty pel' celltum of the amount of such income tax and super tax; (e) -Where the taxable income exceeds £999, an additional tax equal to twenty-seven and one-half per centum of the amount of such income tax and super tax. (2.) In addition to the income tax and super tax payable under sections four and five of this Act there shall be payable on the incomes of all persons not resident in Australia an additional tax equal to twenty-seven and one-half per centum of the amount of such income tax and super tax (if any). * 1 Edw. VIII. No. 32, supra, page 15859.

15998 lXCO:\rE TAX. Income Tax Act. 1 Eow. VIII. No. 33, Dividends taken into account. 7. 'Where a person (other than a company) derives " income from dividends" such income from dividends shall, for the purpose only of calculating the rate of tax on the taxable income derived by that person, be added to his taxable income or to the amount on which, in accordance with the provisions of subsection six of section thirty or subsection seven of section thirty-one of *"The Income Tax Assessment Act of 1936," the rate of tax would be calculated. Lottef'iee, &c. 8. There shall be collected as income tax on each ticket issued in a drawing, sweep, or lottery for a prize paid by means of cash, bonds, inscribed stock, or other negotiable instrument, an amount equal to five per centum of the selling price of the ticket. The minimum tax charged on any such ticket shall be three penC8. Minimum taxes. 9. Where but for this section any person would have been liable to pay income tax under this Act amounting to less than ten shillings, the tax payable by that person shall be ten shillings; and where a person would have been liable to pay tax exceeding ten shillings but less than one pound the tax payable by that person . shall be one pound. Deduction of 10. From the amount of the tax payable on the f la ro n m d t in a c x ome income of any taxpayer derived from any agricultural, tax. dairying, or grazing pursuits carried on by him, there may be deducted the amount of any land tax actually paid during the year by the taxpayer in respect of the same year under any Act of the Parliament of Queensland on land of which he is the owner for an estate of freehold and on \vhich such agricultural, dairying, or grazing pursuits are carried on. 'Where under the provisions of section thirty-two of *"The Income Tax Assessment Act of 1936" the assessable income of any person includes the illdividual interest of any relative in the income of a partnership, then for the purpose of this provision the expression "land tax actually paid during the year by the taxpayer" shall be deemed to include the land tax paid by such relative in respect of his individual interest in land used by the partnership. * I lfdw. VIII. No. :32, supra, page 15859.

INCO::\IE TAX. 15999 ]936. Income Tax Act. For the purposes of this provISIOn, "grazing pursuits" means the grazing of stock on freehold areas the unimproved value whereof does not in the aggregate exceed one thousand two hundred and eighty pounds, and where both dairying and grazing pursuits are carried on by the taxpayer on the same lands and the greater part of his income is derived from such dairying pursuits, he shall be entitled to the deduction aforesaid as if dairying pursuits only were so carri~ d on by him: Provided nevertheless that the maximum amount of land tax to be deducted from a taxpayer's income tax for anyone year shall not exceed one hundred pounds. 11. Income tax shall be charged, levied, collected, ~ evy of and paid for each year of tax at the rates declared in income t,ax. this Act. The first levy of income tax at the rates declared in this Act shall be' for the year of tax commencing on the first day of July, one thousand nine hundred and thirty- six, and each subsequent leyy shall be for each succeeding year of tax. SCHEDULES. FIRST SCHEDULE. RATE OF TAX UPox TAXABLE IXOOME DElUYED FRo}l PERSOXAL EXERTION. (a) When the taxable income does not exceed £8,000 the rate on each and every pound of the taxable income shall be Bd. plus as many times lo''ood. as there are pounds in the taxable income. (b) When the taxable income exceeds £8,000 the rate shall be 54d. in the pound on the first £8,000, and BOd. in the pound on each and every pound in excess of £8,000. F'ras'r SCHEDULE. SECOND SCHEDULE. RATE OF TAX UPON TAXABLE INOOME DERIVED FROM PROPERTY. (a) When the taxable income does not exceed £3,000 the rate on each and every pound of the taxable income shall be 12d. plus a'l many times -ntood. as there are pounds in the taxable income. (b) When the taxable income exceeds £3,000, but does not exceed £8,000, the rate on each and every pound of the taxable income shall he Bd. plus as many times T,t""d. as there are pounds in the taxable income. BEJ0ND SCHIiiDUL.HJ.

16000 SECOND SCHEDl:LE. n\CO~JE TAX. Income Ta.£, Act. 1 EDW. YIII. No. 3:3, (c) When the taxable income exceeds £8,000 the rate shall be 54d. in the pound on the first £8,000, and 60d. in the pound on each and every pound in excess of £8,000. rrHIRD SCHED1'LE. THIRD SCHEDULE. RATES OF TAX UPON TAXABLE INCOME DERIVED PARTLY FROM PERSONAL EXERTION AND PARTLY FROM PROPERTY. (a) On each and 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 pe 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) On each and 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 SCHEDLLE. FOURTH SCHEDULE. RATE OF TAX PAYABLE BY A TRUSTEE (OTHER THAN A TRUSTEE FOR A COMPANY). On each and every pound of the taxable income in respect of which a trustee is liable to be separately assessed and to pay tax, the rate of tax shall be the rate which would be payable under the First, Second, or Third Schedules, as the case requires, if one'individual were liable to be separately assessed to pay tax on that taxable income. FIFTH SCHEDULE. FIFTH SCHEDULE. RATES OF TAX PAYABLE BY A PERSON NOT RESIDENT IN AUSTRALIA. The rate of tax payable on tax.1ble income derived by a person not resident in Australia, other than taxable income derived by such a person by his own personal exertion while he is in the State, shall be the rate of tax set out under the Second Schedule. Where the taxable income of a pers6n not resident in Australia has been wholly derived by that person by his own personal exertion while he is in the State, the rate of tax shall be the rate set out under the First Schedule. 'Vhere part of the taxable income of a person not resident in Australia has been derived by that person by his own personal exertion while he is in the State, the rate of tax on that part of the taxable income derived by his own personal exertion while he is in the State, shall be the rate set out under the Third Schedule in respect of taxable income derived from personal exertion, and the rate of tax on the remaining part of the taxable income shall be the rate of tax set out lmder the Third Schedule in respect of taxable income derived from property.

] 9:36. INCCHLE TAX. Income Tax Act. 1600] SIXTH SCHEDULE. SIXTH SOHEDULE. RATES OF TAX PAYABLE BY OOMPANIES. (a) On the taxable income of companies not being public utility or monopoly companies or those companies for which special rates of tax are prescribed under division (c) of this Schedule- L If the percentabge wltlich hthe pr?tfitls off thhe 21d. on each and company ear 0 t e capl a 0 t e I d company does not exceed 6 per cent. j every poun . If such percentage- Exceeds 6 per cent. and does not exceed f24d. on each and 7 per cent. .. . . L every pound. Exceeds 7 per cent. and does not exceed f27d. on each and 8 per cent. . . L every pound. Exceeds 8 per cent. and does not exceed f30d. on each and 9 per cent. . . L every pound. Exceeds 9 per cent. and does not exceed f33d. on each and 10 per cent. .. . . L every pound. Exceeds 10 per cent. and does not exceed f 36d. on each and 11 per cent. .. . . L every pound. Exceeds 11 per cent. and does not exceed [39d. on each and l 12 per cent. .. . . . . . . every pound. Exceeds 12 per cent. and does not exceed f 42d. on each and 13 per cent. .. . . L every pound. Exceeds 13 per cent. and does not exceed f 45d. on each and 14 per cent. .. . . L every pound. Exceeds 14 per cent. and does not exceed f 48d. on each and 15 per cent. .. . . L every pound. Exceeds 15 per cent. and does not exceed f 51d. on each and 16 per cent, .. . . L every pound. Exceeds 16 per cent. and does not exceed f Md. on each and 17 per cent. .. . . L every pound. Exceeds 17 per cent. and does not exceed f 57d. on each and 18 per cent. .. . . L every pound. Exceeds 18 per cent. and does not exceed f60d. on each and 19 per cent. .. . . L every pound. Exceeds 19 per cent. . . { 63dev. eorny peoauchnd. anci (b) On the taxable incomes of all public utility companies and monopoly companies- If thceopmeprcaennytabgeearwhtoicht htehecappro. ltfait1s 0 o f f tthhee I \ ( . 9 ~ 1edv. eorn elOacuhnd.and' company does not exceed 6 per cent. j yI If such percentage- Exceeds 6 per cent. and does not exceed f27d. on each and 7 per cent. .. . . 1 every puuwl. Exceeds 7 per cent. and does not exceed J33d. on each and 8 per cent. . . L every pound. Exceeds 8 per cent. and does not exceed{39d. on each and 9 per cent. . . . . . . . . every pound. •

16002 SIXfH SCHEDULE. I~ CO: : \ IE TAX. Income Tax Act. 1 EDW. VIII. No. 38, Exceeds 9 per cent. and does not exceed f 45d. on each and 10 per cent. .. . . l every pound. Exceeds 10 per cent. and does not exceed {51d. on each and 11 per cent. .. . . . . . . every pound. Exceeds 11 per cent. and does not exceed f 57d. on each and 12 per cent. .. . . l every pound. Exceeds 12 per cent. and does not exceed f63d. on each and 13 per cent. .. . . l every pound. Exceeds 13 per cent. and does not exceed {69d. on each and 14 per cent. .. . . . . . . every pound. Exceeds 14 per cent. and does not exceed f75d. on each and 15 per cent. .. . . l every pound. Exceeds 15 per cent. and does not exceed {81d. on each and 16 per cent. .. . . . . . . every pound. Exceeds 16 per cent. . . { 87edv. eorny peoaucnhda. nd (c) On the taxable incomes of companies hereunder mentioned (not being public utility or monopoly companies)- (i.) B~ nking. com~ anies , ~ ssessed under sec-I 48d. on each and bon thIrty-sIx of The Income Tax ~ every ound. Assessment Act of 1936 " .. j P (ii.) Companies assessed under sectiOll}39d hd f orty- three 0 f "The I ncome Tax'As- ' on eac dan sessment Act of 1936 " . . . . every poun . (iii.) ] f: ' oilrmty- cfoomurpaonfi"es T a h s e se In ss c e o d m u e n T d a e x r A se s c se ti s o s- n" I ~ 48d . on eachd a - n~ l ment Act of 1936 " j every poun . I (iv.) Mining companies in respect of so muchI of the taxable income as is derived from metalliferous mining opera,tions, or from the sale, transfer, or assign- ~12d. on each and ment of any metalliferous mining I every pound. lease, or of any option of purchase I of such lease .. j (\".) Fire, accident, fidelity, guarantee, or marine insurance companies assessed under section thirty-eight of ".The Income Tax Assessment Act of 1936 " on twenty-five per centum of the premiums; life assurance companies I assessed under section thirty-seven of 39d. on each and " The Income Tax Assessment Act of every pound. 1936" which have shareholders who are entitled to receive the whole profits; companies assessed under section thirty-nine of "The Income Tax Assessment Act of 1936" which have shareholders who are entitled to receive the whole of the profits .. )

19:36. lncmne Ta;r; Act. 16003 SIXTH SCHEDLLE. (vi.) lHutuallife assurance companies (thatl is, life assurance companies all the l21d. on etlch and profits from which are divided among revery poum1. the policy-holders) .. j (vii.) Life assunmce comp,lnies which have shareholders who are entitled to receive a share of the profits but which divide a part of their profits among the policy. holders- (a) On so much of the taxable income as "I bears the same proportion to the I total taxable income as the profits I diyided for the same income year )-39d. on each and amongst the shareholders of the I every pound. company bear to the total profits of I the company for the same income I year .. j (b) On the remainder of the taxable in-I 21d. on each and come or where there are no profits, )- d on the t'txable income .. j every poun . (viii.) Companies ctssessed under section thirty·nine of "The Income Tax Assessment Act of HJ3() " other than those companies referred to in paragraph (v.) of this division- (a) On the sum of so much of the taxable I pro-I income derived from its life assur- I ance business as bears the same portion to such taxable income as the profits from its life assurance llUSi-l nyeesasr adI) i:vlOidnegdst tfhoer sthhaerehsaomldeersinocfotmhee 39d. on eac I 1 1and· ' ~ompany bear to the total profits every POUl1( • from its life assurance business for the same income year together with the taxable income assessed in re- spect of all its fire, accident, fidelity, guarantee, or marine insurance business .. j (b) On the remaindcr of the taxable in-l come or where there are no profits from the life assurance business on 21d. on each and the tax[1ble income derived from the I every pound. life assurance business .. j (d) If any company not specified under division (c) of this Schedule- (i.) Has no paid-up capital; or (ii.) Has not, in the opinion of the Commissioner, supplied sufficient information to permit of the amount of its capital invested in assets llsed in production of assessable income being ascertained; or (iii.) Has not, in the opinion of the Commissioner, supplied sufficient information to permit of the percentage which its profits bear to its capital invested in assets used in pro- duction of assessable income being correctly calculated; or

16004: SIX1'H SOHEDULE.. L\'CO}fE TAX. Income Tax Act. 1 BDW. VIII. No. 33, 1936. (iv.) Fails to supply to the Commissioner any information which he deems necessary to enable a correct assessment to be made, income tax shah be charged at the highest rate in the pound fixed. by divisions (a) and (b) of this Schedule, as the case may require, on each and every pound of its taxable income. SE\'E:\TH Se HE rl("LE. SEVENTH SCHEDL"LE. RATE OF TAX PAYABLE ON DIVIDENDS PAID OUT OF ACCU:\IULATED PROFITS ON WHICH FULL TAX HAS NOT BEEN PAID. "With respect to the profits of any Queensland company which were earned or derived prior to the first day of January, one thousand nine hundred and fifteen, and which were undistributed on the first day of July, one thousand nine hundred and thirty-five, if any part of such undistributed profits has been or shall be distributed, income tax shall be charged thereon at the rate of six pence on each and every pound of the amount distributed. With respect to the profit.s of any Queenslaml comp3.ny whic 11 were earned or derived after the thirty-first day of December, one thousand nine hundred and fourteen, and which were undistributed on the first day of July, one thousand nine hundred and thirty-five, if any such part of such undistributed profits has been or shall be distributed, income tax shall be charged thereon at the rate that would have been chargeable if the profits had been distributed in the income year in which they were earned or derived, less any amount already paid as income tax thereon. EIGHTH SCHF.r) FLE. EIGHTH SCHEDULE. RATE OF TAX PAYABLE ON INTEREST PAID TO A NON-RESIDENT. On each and every pound of interest paid or credited by a company to a non-resident the rate of tax shall be 28d. NINTH SCHEDFLE. NINTH SCHEDL"LE. RATE OF TAX ON PREMIUMS OF INSUR.ANCE PAID TO A NON-R.ESIDENT. On each and every pound of taxable income, being twenty-five per centum of premiums of insurance which is assessable under subsection three of section fortv-five of " The Income Tax Assessment Act of 1936," the rate of tax payable by the insured or the insurer shall be 39d. TEXTH SCHEDLLE. TENTH SCHEDULE. RATE OF TAX ON RE-INSURANCE PRE~IIUMS. On each and every pound of taxable income being reinsurance premiums paid or credited to a non-resident the rate of tax shall be 9id.