Income Tax Acts Amendment Act of 1929 (20 Geo v No. 18) (Qld)

HOSPITALS-INCOME TAX. 12481 20 GEO. V. No. 18, 1929. Income Tax Acts Amendment Act. 4. The second paragraph of section twenty-nine of Amendmflo, the Principal Act is renumbered section 29A. of s. 211. In the said paragraph (now section 29A) the word "such" is repealed and the word ~ by-laws," is inserted in lieu thereof. INCOME TAX. An Act to Amend "The !ncome Tax Acts, 1924 to 20NGo.eo1. 8V. . 1928," in 'certain particulars. THE INCOME TAX ACTS, [ASSENTED '1'0 5TH DECEMBER, 192B.J AMENDMENT Ac~l' OF 1929. B E it enacted by the King's Most Excellent Majc8t), I by and with the advice and consent of the Leglli- lative Assembly of Queensland in Parliament assembled, and by the authority of the same, as follows:- . 1. This Act may be cited as "The Income Tax Short title Acts Amendment Act of 1929," and shall be read as one and . with *" The Income Tax Acts, 1924 to 1928," herein constructIon. referred to as the Principal Act. The Principal Act and this Act may collectively be cited as " The Income Tax Acts, 1924 to 1929." 2. Section four of the Principal Act is amended as Amendm3nt follows:- of •. 4. After the definition of "Public Authority" and before the definition of "Public utility" the following definition is inserted:- " "Public charitable institution"-A public hospital Public or a publ 1 ' 0 be' nevo 1 ent I . llS t I 't U t' IOn: the t erm i c n h s a t . i r t i u ta t b io le n. includes a public fund established and main- tained for the purpose of providing money for such institutions or for the relief of persons in necessitous circumstances; ". 3. Section eleven of. the Principal Act is amended Amendment as follows:- of s. 11. The following provision· is added to proviso numbered (iii.) of subsection one of the said section eleven, namely:- . " For the purposes of this proviso the term "bona fide prospector" means a * 15 Geo. V. No. 34 and amending Acts, supra, pages 10945, 11295, 11590, and 12178.

12482 INCO}1E TAX. inCOYil;C Ta.]; Acts Amendment A.ct. 20 GEO. V. No. 18, person who has personally carried out the whole or major part of the field work of prospecting in the particular area of such mining property (other than coal mining) and includes any person other than a company who has contributed to the expenditure incurred in the work of pros- pecting and development in that area." Amendment 4. Section sixteen of the Principal Act is amended of s. Hi. as follows ;- Subsection two is repealed and the following subsection two is inserted in lieu thereof ; - " (2.) The agent, in his representative capacity. shall as regards such income make the returns, be assessed, be liable to income tax, and otherwise be subject to the provisions of this Act and to do all acts and things thereunder as if such income were his own personal income. Moreover such agent is hereby made personally liable for the income tax if, after the Com- missioner has required him to make a return or while the tax remains unpaid, he parts with any money paid to him for and on behalf of the principal pursuant to the provisions of subsection one of this section; but he shall not be otherwise personally liable for the tax. But nothing herein contained shall exempt or discharge the principal from liability to make returns or to pay income tax upon such income." Agent not ordinarily resident of Queensland or principal to obtain license. 5. The following new section 16A is inserted;- "[16A.] It shall not be lawful for- (a) An agent (as defined in subsection one of the last preceding section) who is not ordinarily a resident of Queensland; or (b) A principal being a foreign company or absentee or person absent from Queensland and who carries on business in Queensland without the employment of an agent (as defined in subsection one of the last preceding section) or who carries on business in Queens- land partly by himself and partly by an agent; to carry on business in Queensland unless such agent or principal, as the case may be, is the holder of a license to do so issued by and under the hand of the Commissioner.

INCOME 'l'AX. 12483 1929. Incorne Tax Acts Amendment Act. Any person contravening this section shall be guilty of an offence, and shall be liable to a penalty not exceeding fifty pounds. Every such license shall be in the form prescribed by the Commissioner and remain in force during the period stated therein, and shall be issued without foe by the Commissioner on application to him. In all proceedings against any person for breach of this section it shall lie on the defendant to prove that he is the holder of a license. The Commissioner may from time to time, as he thinks fit, assess the agent who is not ordinarily a resident of Queensland or the principal for income tax in respect of any specific transaction or of all transactions during any specified period, and on the assumption, subject to adjustment in accordance with the provisions of section sixteen, within twelve months after the payment of any tax under this section, at the instance of the Commissioner or taxpayer, that the specified transaction or, as the case may be, all of the transactions during the specified period have produced a taxable income, at a sum which he considers reasonable, being not less than two pounds ten shillings per centum and not greater than twelve pounds ten shillings per centum of the total sales made in Queensland, or, if there are no sales, at a sum which he considers reasonable, being not less than two pounds ten shillings per centum and not greater than twelve pounds ten shillings per centum of the total revenue derived from Queensland. The tax so assessed by the Commissioner shall be payable on demand and shall be recoverable forthwith in the same manner in all respects as income tax in arrear but subject to adjustment as aforesaid. "The agent who is not ordinarily a resident of Queensland" includes every person who acts as the agent without having a fixed and permanent place of business or abode in Queensland." 6. Section nineteen of the Principal Act is amended Amo~ drnenf, as f 0 11 OWS:- of s. 19 (1) (11). . (i.) (a) The following proviso is added to paragraph (b) of subsection one of the said section, and shall form the first proviso to such paragraph, namely:- "Provided that in any case where any person or persons pays or pay any rates and

12484 INCOME TAX. Incornt Tax Acts Amcndrnent Act. 20 GEO. V. No. 18, taxes under any Act of the Pariiament of Queensland except this Act and any land tax in respect of his or their individual interest in a partnership, such rates, taxes, and land tax being in respect of land the subject of the partnership, and where for the purposes of section twenty-four of this Act- (i.) The whole of the income of the partner- ship which is derived from such land is assessable in respect of one person only a,s if such person received the total income of such partnership comprised of himself and the person or persons first above mentioned; or (ii) Any person is assessable in respect of that part of the income of the partnership derived from such land as is represented by the shares of himself and any other member or members of such partnership being the person or persons first above mentioned; then the person so assessable for the purposes of section twenty-four of this Act shall be deemed to have himself paid such rates, taxes, and land tax paid by the person or persons first above mentione9" and such person so assessable shall for the purposes of this paragraph be entitled to be allowed such sums so paid as a deduction." . (b) In the proviso (now the second proviso) to the said paragraph (b), after the word" Provided" the word "further" is inserted; also, the words "anv of the taxes" are repealed and the words "the. rates, v taxes, or land tax" are inserted in lieu thereof, and the words "other than State income tax" are repealed. Amendment (ii.) The following amendments are made in para- 4Iilf 8. 19 (I) (c). graph (c) of the said subsection one, that is to say:- (a) After the words "in respect of each" in the first parq,graph, the words "and every child (including any stepchild or legally adopted child) of such taxpayer" are repealed and the word "child" is inserted in lieu thereof.

] ! ) ~ 9. INCOl\1E TAX. Income Tax Acts Amendment Act. 12485 (b) Also, the words "if she resides with him" in the third paragraph are repealed and the words "if she resides in Queensland" are inserted in lieu thereof. (iii.) In the proviso to paragraph (e), all words Amendment after the word "aggregate" are repealed. ('f) S( ·e~ .9 (iv.) Paragraph (h) of the said subsection is amended Afme~ ~ ent as follows:- (l)s(oh). (a) The following provision is added to the said paragraph :- "Or, at the option of the tfl,xpayer, such sum as the Commissioner thinks just and reasonable as representing the diminution in value per centum during the income year of any building, machinery, implements, utensils, rolling-stock, and articles used by the taxpayer or his tenant for the purpose of earning or deriving income, and also by reason of depreciation of any bore, well, dam, or other improvement for the conserva- tion of water, or of any fence: ". (b) The following further proviso is inserted after proviso (i.) of the said paragraph (h), namely:- "(ii.) In calculating the deduction to be allowed under this paragraph, the estimated life of the unit of property in respect of which the deduction is allowable shall be ascertained for the purpose of fixing the diminution in value per centum of that property. The estimated life of the unit of property shall be determined by the Commissioner and shall be his estimate of its reasonably effective life, assuming it is maintained in good order and condition ;'" and proviso now numbered (ii.) shall be renumbered proviso (iii.) accordingly. (c) The following further provisos are inserted after proviso (ii.), now numbered (iii.), of the said paragraph" and such further provisos are numbered (iv.), (v.)" (vi.), (vii.), and (viii.) accordingly:- "(iv.) Where a person, from whose assessable' income a deduction has been made under this paragraph, sells any property in respect of the depreciation of which the

1<2486 INCOME TAX. Income Tax Acts Amendment Act. 20 GEO. Y. No. 18, deduction was made, there shall be deducted from his assessable income of the year in which the sale was effected the amount (if any) by which the sale price is less than the depreciated value of the property, as at the time of sale, as determined in accordance with this paragraph. If the sale price exceeds that depreciated value, the amount of the excess, to the extent of the total sum of the amounts allowed by the Commissioner in any previous assessments in respect of the depreciation of the property, shall be brought to account as income of that year; (v.) If no separate value is allocated to any property to which this paragraph applies when sold with other assets, or if such property is disposed of otherwise than by sale, the Commissioner shall determine the amount which shall, for the purposes of proviso (iv.), be deemed to be the selling price of that property; (vi.) In calculating the deduction under this paragraph in respect of fences, the amount, of the value of the fences by reference to which the deduction should be calculated shall not include the amount or the sum of the amounts allowable or allowed as deductions under paragraph (v) of sub- section one of this section in the assess- ments of the taxpayer; (vii.) Where a taxpayer has in respect of his assessment for any income year exercised his option under this paragraph he shall not, except with the consent of the Com- missioner, have the right to make a further option in respect of that assessment or in respect of his assessment for any subse- quent income year; < viii.) In ascertaining the sum to be allowed under the second provision of this paragraph (h) the Commissioner shall determine the estimated remaining life of the particular property under consideration and shall, subject to the foregoing provisos, allow as a

INCOME 'TAX. 12487 lB2B. Income Ta;c Acts Amendment Act. deduction in each year of the estimated remaining life the sum obtained by dividing the cost of the property by the number of years of its estimated total life ; ". The proviso now numbered (iii.) is renumbered (ix.) accordingly. (v.) In paragraph (j) of the said subsection one, Amen~ ment all words from and including "Amounts expended" t/) Sr" j~ . 9 to and including "in anyone year" are repealed and the following words are inserted in lieu thereof, namely:-" In the case of a member of Parliament the amount of one hundred pounds by way of travelling expenses. " (vi.) In paragraph (n) of the said subsection one, Amendment after the words "professional association" the words ( : ti~ ) ~ "or fees paid by professional practitioners to recognised professional institutes in Australia," are inserted. (vii.) In paragraph (0) of the said subsection one the Amendment following a.dditional paragraph is added to proviso?L ~ ~ ) ~ 9 numbered (1.), namely : - "Provided further that where the ·transferror of a lease has been assessed on the market price of the lease in accordance with the provisions of section twelve of this Act, the transferee, for the purposes of this proviso (i.), shall be deemed to have paid such an amount for the lease." (viii.) In paragraph (p) of the said subsection one, Amendment after the words "date of purchase" the following ( o p f .) s. 19 (1) prOVISO IS inserted, namely:- "Provided that where the transferror of the goodwill of an hotel property has been assessed on the market price of the goodwill of such hotel property in accordance with the provisions of section twelve of this Act, the transferee, for the purposes of this paragraph, shall be deemed to have paid such an amount for the goodwill of such hotel property." (ix.) Paragraph (v) of the said subsection one is Amendment (M' amended by inserting before the words" wire netting" ~ 9 wherever they occur in the said paragraph the words v. "wire or". G

12488 I~ COME 'l'AX. - - - - - - ~ - - - - - Incorne Tax Acts Amendment Act. 20 GEO. V. No. 18, Amendment (x.) The following additional paragraph "(x)" is of s. 19 (1). added to the said subsection one, namely:- Medical expenses. "(x) Such part of the income of a taxpayer whose net income does not exceed nine hundred pounds- 0.) As is paid by him to any legally qualified medical practitioner, public or private hospital, nurse, or chemist in respect of any illness of or operation upon the tax- payer, or his wife, or any of his children under the age of twenty-one years; and (ii.) Not exceeding in the aggregate the sum of twenty pounds as is paid by him to any undertaker for funeral and burial expenses arising out of the death of the wife of the taxpayer or of any of his children under the age of twenty-one years. In arriving at the net income of the taxpayer for the purposes of any of the provisions of this paragraph (x) the amount of any deduction under paragraph (c) of this subsection or this paragraph. (x) shall be disregarded, and there shall be taken into account the amount of a taxpayer's income from dividends." Amendment (xi.) After paragraph (x) of the said subsection one of s. 19 (1). the following new paragraph" (y)" is inserted, namely :-- EraclicatioIl of pests. " (y) In the case of a person carrying on primary production on any land-expenditure incurred by the taxpayer in the income year in any of the following operations : - (i.) Eradication or extermination of animal or vegetable pests from the land; (ii.) The destruction and removal of timber, scrub, or undergrowth indigenous to the land; the destruction of weed or plant growth detrimental to the land; the preparation of the land for agriculture; ploughing and grassing the land for grazing purposes and the draining of swampy or low-lying lands, where that operation improves the agricultural or grazing value of the land so drained:

INCOME rl'AX. 12489 1929. Income Tax Acts Amendment Act. For the purposes of this paragraph "primary production" means the pro- duction resulting directly from- (1) The cultivation of land; or (2) The maintenance of animals or poultry for the purpose of selling them or of selling their bodily produce, including natural increase of the animals or poultry." 7. The following proviso is inserted after the first Armm,!ment paragraph 0 f sect I·On t went y- t wo, name I y;- of s. L. " For the purposes of this provision, the expression "land tax actually paid by the taxpayer" shall be deemed to include the land tax paid by any person or persons, which land tax, by virtue of the first proviso to paragraph (b) of subsection one of section nineteen of this Act, is deemed to have been paid by and is allowable HS a deduction to a person coming within the ambit of paragraphs (i.) and (ii.) of such last-mentioned proviso." 8. The last paragraph of section twenty-four of Amendment the Principal Act, commencing with the words of s. 24. " Notwithstanding anything" to and including the words "in such partnership" are repealed and the following paragraph is inserted in lieu thereof, namely:- " Notwithstanding anything hereinbefore contained, in any case where in any partnership there is any male person in partnership with any relative by blood, marriage, or adoption, such male person, if he is or has been married and is over the age of twenty-one years and is primarily engaged in the business of the partnership, shall be assessed on the income represented by his share in such partnership." 9. In subsection five of section twenty-five of the Amondment Principal Act, all words from and including "unless of s. 25. in any particular" to and including" do so" a,re repealed and the words" if the Commissioner thinks it expedient so to do" are inserted in lieu thereof. 10. Section forty-two of the Principal Act is amended Amendment as follows:- of B. 42. (i.) In subsection one, the words" the total profits liable to tax" are repealed and the words "the total profits after excluding therefrom any profits exempt from tax" are inserted in lieu thereof.

12490 INCOME 'l'AX. Incorlw Ta."C Acts Amendment Act. 20GEO. V. No. 18, (ii.) In subsection two, the words" the total profits liable to tax" are repealed and the words "the total profits after excluding therefrom any profits exempt from tax" are inserted in lieu thereof. ~ xemption 11. Notwithstanding· anything contained in the i g n olrde- smpeincitn o g f P r ' mC . lpa 1 A C t , 1 't' IS h ere b y d ec I ar d e t h at f or a perlO . d 0 f cQmpaniell. five years commencing from the first day of July, one thousand nine hundred and twenty-nine, the income derived by a person from the working of a mining property in Queensland principally for the purpose of obtaining gold, or gold and copper (provided that in this case the output of gold shall not be less than forty per centum of the total value of the output of the mine) shall be exempt from income tax under this Act; ~ f~~ ~ d~ ) ~ ~ 12. In paragraph (b) of subsection three of section 19000. v. five of *" The Income Tax Acts Amendment Act of 1928" No. 17. (which section amended section eleven of the Principal Act), all words from and including" Without prejudice to any" to and including" subsequent year thereafter" are repealed, and the following words (which shall constitute paragraph (d) of the said subsection three) are inserted in lieu thereof, namely;- "(d) Without prejudice to any decision or judgment of any Court made or given before the first day of September, one thousand nine hundred and twenty- eight, or the right of any party thereto to prosecute any appeal therefrom as if the amendment made to the said section eleven of the Principal Act by this sub- section three had not been enacted (but notwithstanding any other appeal, whether instituted before, on, or after the said date, or any decision or judgment of any Court in respect of any such other appeal) the said amendment made by this subsection three shall be deemed to have been enacted therein at the date of the passing of t" The Income Tax Act of 1924," and the Principal Act shall be read and construed as if at the date of the passing of t" The Income Tax Act of 1924" the said section eleven, as amended by the said amendment, was enacted therein instead of the said section eleven as originally enacted; and the Principal Act as so amended shall be applicable and be applied to all incomes for the periods respectively which commenced on the first day of July, one thousand * 19 Geo. V. No. 17, supra, page 12178. t 15 Geo. V. No. 34, supra, page 10945.

INCOME TAX. 12491 1929. Incomel Tax Acts Amendment Act. -------------- nine hundred and twenty-three, and. ended on the thirtieth day of June, one thousand nine hundred and twenty-four, and each subsequent year thereafter." 13. Except as in this Act is otherwise expressly First provided, the . fir~ t assessments of income tax ~ o be made : : : ~ ~ : tef: vy under the PrmClpal Act as amended by thIS Act shall of . ta~ undeI' be in respect of income earned or derived during the ~ ~ l: ~ ~ pal year which commenced on the first day of July, one amended by thousand nine hundred and twenty-nine, and ends this Act. on the thirtieth day of June, one thousand nine hundred and thirty, and the first levy of income tax under the Principal Act as so amended shall be for the year which commences on the first day of July, one thousand nine hundred and thirty, and ends on the thirtieth day of June, one thousand nine hundred and thirty-one. INDUSTRIAL AND PROVIDENT SOCIETIES. See SOCIETIES. INDUSTRIAL CONCILIATION AND ARBITRATION. See LABOUR. INDUSTRIES ASSISTANCE. See INDUS'fRY. INDUSTRY: BANANA INDUSTRY PROTECTION. See AGRICULTURE (BANANA INDUSTRY PROTECTION). INDUSTRY, PEACE IN. See LABOUR (INDUSTRIAL CONCILIATION AND ARBITRATION).