Land Tax Act Amendment Act 1990 (Qld)

LAND TAX ACT A MENDM ENT A ANALYSIS OF CONTENTS 1. Short title and citation 2. Commencement 3. Amendment of s. 3 . Interpretation 4. Amendment of s. 11. Taxable value 5. Amendment of s. 11B . Provisions relating to land comprised in building units plan etc. 6. Amendment of s. 11C. Deduction - home unit companies 7. Amendment of s. 13 8. Amendment of s. 16 9. New s. 26C Liability of owner who subdivides certain 10. Miscellaneous amendments ueen0lana ANNO TRICESIMO NONO ELIZABETHAE SECUNDAE REGINAE An Act to amend the LandTax Act 1915- 1989 in certain particulars [ASSENTED TO 13TH JUNE, 1990]

300 Land Tax Act Amendment Act 1990, No. 21 BE IT ENACTED by the Queen's Most Excellent Majesty, by and with the advice and consent of the Legislative Assembly of Queensland in Parliament assembled , and by the authority of the same, as follows:- 1. Short title and citation . (1) This Act may be cited as the Land Tax Act Amendment Act 1990. (2) In this Act the Land Tax Act 1915-1989 is referred to as the Principal Act. (3) The Principal Act as amended by this Act may be cited as the Land Tax Act 1915-1990. 2. Commencement . (1)_ Section 1 and this section commence on the day on which this Act is assented to for and on behalf of Her Majesty. (2) Except as provided by subsection (1), the provisions of this Act are deemed to have commenced on 29 June 1989 and have restrospective effect accordingly. 3. Amendment of s. 3. Interpretation . Section 3 of the Principal Act is amended by, in subsection (1), inserting after the definition "Land tax" the following definition:- "Minister"-The Minister of the Crown for the time being charged with the administration of this Act; the term includes a Minister of the Crown who, for the time being, is performing the duties of the Minister;". 4. Amendment of s. 11 . Taxable value . Section 11 of the Principal Act is amended by- (a) in subsection ( 6A), omitting the words " an owner owns land composing one parcel the area whereof does not exceed 1.05 hectares that" and substituting the words " land comprising one parcel is owned by a person otherwise than in the capacity of a trustee and"; (b) repealing subsections ( 6B) and (6C); (c) in subsection (6D), omitting the words "the area whereof does not exceed 1.05 hectares ; (d) repealing subsection (6E); (e) in subsection (6F) omitting the words "or (6E)". 5. Amendment of s. 11B . Provisions relating to land comprised in building units plan etc. Section 11 B of the Principal Act is amended- (a) in subsection (1)- (i) by in paragraph (d) (i) omitting the expression ", 11 (6B)"; (ii) by in paragraph (d) (ii) omitting the words "sections 11 (6D) and 11 (6E)" and substituting the words "section 11 (6D)"; (iii) by in paragraph (e) omitting the expressions "11 (6B)," and 4411 (6E),";

Land Tax Act Amendment Act 1990 , No. 21 301 (b) in subsection (2), by omitting all words from and including the words "and the area of land" to and including the words "prescribed by the regulations,"; (c) in subsection (3), by omitting all words from and including the words "the area of the land" to and including the word "and" first occurring after those words; (d) in subsection (3A), by omitting all words from and including the words "and the area of land" to and including the words "in calculating" and substituting the words ", in calculating"; (e) in subsection (3B), by omitting from paragraph (a) the words "or (6E)". 6. Amendment of s. 11C. Deduction - home unit companies . Section 11C of the Principal Act is amended by- (a) repealing subsection (2) and substituting the following subsection:- "(2) Except where the Commissioner in his absolute discretion determines otherwise, subsection (1) does not apply in respect of home units that form ° part of a building unless the company lodges with the Commissioner, in the prescribed manner and within the prescribed time, a return setting forth such information as is prescribed. (b) in subsection (2A), omitting the words "or (6E)"; (c) inserting after subsection (4) the following subsection:- "(5) This section applies whether the land on which the building is situated is owned by the company in the capacity of a trustee or in any other capacity.". 7. Amendment of s. 13 . Section 13 of the Principal Act is amended by- (a) in subsection (1 )- (i) omitting paragraphs (v) and (vi) and substituting the following paragraph:- "(v) All land owned by or in trust for an exempt charitable institution and used for a qualifying exempt purpose;"; (ii) omitting provisions ( a) and (b) of paragraph (vii); (iii) omitting from paragraph (viii) the words "the area whereof does not exceed 1.05 hectares"; (b) inserting after subsection (4) the following subsections:- "(5) In this section- ',associated religious body" means a body- (a) which appertains to or is controlled by- a religious institution;

302 Land Tax Act Amendment Act 1990, No. 21 and (b) the principal object and pursuit of which are the conduct of activities of a religious nature; "exempt charitable institution" means- (a) (i) the University of Queensland, Griffith University, Queensland University of Technology, James Cook University, Bond University Limited or an institution declared by Order in Council to be a university; or (ii) a constituent college of a university referred to in subparagraph (i); (b) a tertiary educational institution or one of a class of such institutions, in either case, approved of by Order in Council for the purpose of this paragraph; (c) a public benevolent institution; (d) an institution the principal object and pursuit of which are- (i) the education of students in primary or secondary schools, or both; (ii) the conduct of a rural training school; (iii) the conduct of a kindergarten or pre-school; (iv) the relief of poverty; (v) the care of sick, aged, infirm, afflicted or incorrigible persons or of children; or (vi) any two or more of those objects and pursuits; (e) an institution declared by the Minister in his discretion to be an exempt charitable institution the principal object and pursuit of which are of a charitable nature or promote the public good (not being an object or pursuit relating to a sporting, recreational, leisure or social matter or an object or pursuit declared by Order in Council for the purposes of this definition); or (f) a religious institution or an associated religious body of such an institution; For the purposes of this definition- (g) an institution is not an institution of the kind described in paragraph (c) or (d) unless the constitution, by whatever name called, of that institution provides- (i) that the income and property of the institution are to be used and applied solely for the promotion of the objects of the institution and that no portion

Land Tax Act Amendment Act 1990 , No. 21 303 of the income or property will be distributed, paid or transferred by way of dividend, bonus or otherwise amongst its members; and (ii) that on dissolution the assets of the institution remaining after satisfaction of all liabilities must be transferred to some institution having similar objects; (h) thecare of sick, aged, infirm, afflicted or incorrigible persons means care which relates directly to and is necessary because of the persons so cared for being sick, aged, infirm, afflicted or incorrigible; (i) the care of children means being responsible for children on a full time basis and providing them with all necessary food, clothing and shelter and providing for their general well-being and protection; in exercising his discretion under paragraph (e) the Minister may have regard to the commercial activities of the institution; "qualifying exempt purpose" means- (a) an educational purpose; (b) a public benevolent purpose; (c) the conduct of a kindergarten or pre-school; (d) the relief of poverty; (e) the care of sick, aged, infirm, afflicted or incorrigible persons or of children; (f) activities of a religious nature; (g) the provision of a residence for a minister or members of a religious order who is or are engaged in activities of a religious or public benevolent nature or any of the pursuits referred to in subparagraphs (i) to (v) (both inclusive) of paragraph (d) of the definition "exempt charitable institution"; (h) any two or more of those purposes specified in paragraphs (a) to (g) (both inclusive); 0 (i) in the case of an institution to which paragraph (e) of the definition "exempt charitable institution" applies- (i) the purpose which was that institution's principal object and pursuit at the time at which the Minister declared it to be an exempt charitable institution; or (ii) the purpose referred to in subparagraph (i) and any one or more of the purposes specified in paragraphs (a) to (g) (both inclusive);

304 Land Tax Act Amendment Act 1990, No. 21 "religious institution " means an institution which the Commissioner is satisfied is a religious institution; For the purposes of this definition- (a) the Commissioner is entitled not to be satisfied that an institution is a religious institution where the members or followers of the institution do not subscribe to common articles of faith or beliefs which are formally documented; (b) the Commissioner may, having regard to- (i) whether the institution is formally constituted; (ii) the number of members or followers. of that institution in Queensland; the period of time during wh has been established; whether the institution has a ministry, by whatever name called , which is devoted to the propagation or practice of the faith or beliefs of the members or followers of the institution and regularly conducts religious services for members or followers of the institution for religious worship or meditation; (v) whether it is usual for members or followers of the institution to meet at a place clearly identifiable as a place at which such persons meet to engage in religious worship or meditation; and (vi) whether members of the institution's ministry have undergone a formal training program to qualify for that ministry, determine an institution to be or not to be a religious institution. (6) An Order in Council shall not be made approving a tertiary educational institution or a class thereof for the purpose of paragraph ( b) of the definition " exempt charitable institution" in subsection ( 5) unless the institution or, as the case may be, each institution included in the class is a public institution or its constitution by whatever name called provides- (a) that the income and property of the institution are to be used and applied solely for the promotion of the objects of the institution and that no portion of the income or property will be distributed, paid or transferred by way of dividend , bonus or otherwise amongst its members; and (b) that on dissolution the assets of the institution remaining after satisfaction of all liabilities must be transferred to some institution having similar objects.".

Land Tax Act Amendment Act 1990, No. 21 305 8. Amendment of s. 16 . Section 16 of the Principal Act is amended by adding at the end of subsection (IA) the words "and does not exceed 1.05 hectares in area". 9. New s. 26C. The Principal Act is amended by inserting after section 26B the following section:- "26C. Liability of owner who subdivides certain land. (1) Where during or after the financial year commencing on 1 July 1989 any land is subdivided otherwise than as a result of a compulsory acquisition instigated and required by a Local Authority within the meaning of the Local Government Act 1936- 1988 or a State or Commonwealth statutory body, the amount of land tax for which the owner of that land at the time at which it is subdivided is then liable for each financial year during the relevant period in respect of which- (a) that owner obtained the benefit of a deduction under section 11 (6A) or (6D) in respect of that land; or (b) that land, as owned by that owner, was exempt from taxation under section 13 (1) (viii), is an amount equal to the land tax that would have been assessed as payable by that owner for that year if- (c) in respect of the taxable portion of that land, that owner had not been entitled to the benefit of that deduction; or, as the case may be, (d) the taxable portion of that land had not been so exempt, less the amount (if any) of land tax (other than any additional tax or additional amount, charge, percentage, penalty, fine or interest in respect of land tax) paid or otherwise payable by that owner for that year. (2) For the purpose of this section- (a) land is subdivided when a plan of subdivision of the land is recorded in the register maintained by the Registrar of Titles under the Real Property Act 1861- 1988; (b) the land subdivided is taken to include any land in respect of which the owner obtained the benefit of the deduction referred to in subsection (1) (a) or that was exempt from taxation as referred to in subsection (1) (b) and that is shown on the plan of subdivision recorded in the register maintained by the Registrar

306 Land Tax Act Amendment Act 1990, No. 21 of Titles under the Real Property Act 1861-1988 as being- (i) a new road dedicated to public use; (ii) for use as a drainage reserve; (iii) for use as a public garden or recreation space; (iv) for use as a pathway or a canal; oI (v) for some other use prescribed by the regulations for the purpose of this section. (3) For the purposes of the assessment and levying of land tax as a consequence of the operation of subsection (1), the unimproved value of the taxable portion of the land that is subdivided shall be an amount that bears to the unimproved value of the whole of that land as at midnight on 30 June immediately preceding the financial year in and for which the land tax is to be levied the same proportion as the area of the taxable portion bears to the area of the whole. (4) In this section- "the relevant period" means- (a) the five financial years reckoned retrospectively from but excluding the financial year in which the land is subdivided; or (b) the financial years reckoned from but excluding the financial year in which the land is subdivided retrospectively to the financial year which commenced on 1 July 1989, whichever is the lesser period; "the taxable portion" in relation to land that is subdivided means that land- (a) after subtracting the parcel of land on which, at the time of subdivision, is situated a dwelling- house the occupancy of which gave rise to the deduction referred to in subsection (1) (a) or the exemption referred to in subsection (1) (b); (b) where there is no such parcel or any such parcel is less than .1 hectares, after subtracting an area of .1hectares.". 10. Miscellaneous amendments . The Principal Act is amended in the provision thereof specified in the first column of the following table as specified in the second column of that table opposite that provision:-

Land Tax Act Amendment Act 1990 , No. 21 307 TABLE s. 11A(2) (a) (i) s. 11AA(2) (c) (i) s. 11D(5) s. 11 E(4) omit "or (6E)" and "or (6B)" omit "or (6E)" and "or (6B)" omit "11 (4), (6A) or (6B)" and substitute "11 (4) or (6A)" omit "11 (4), (6A) or (6B)" and substitute "11 (4) or (6A)"