Pay-roll Tax (Amendment) Act 1975 (NSW)

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PAY ROLL TAX (AMENDMENT) A C T.

iletD ^outfi Male£S

ANNO VICESIMO QUARTO

ELIZABETHS II BEGINS

Act No. 87, 1975.

An Act to amend the Pay-roll Tax Act, 1971, so as to provide for tapered deductions from taxable wages liable to pay-roll tax instead of the present exemption; and to specify the circumstances in which certain persons con­ stitute a group for the purposes of that Act and to authorise only one member of a group to make a tapered! deduction, calculated by reference to wages paid by all members of the group, from the taxable wages paid or payable by him. [Assented to, 10th December, 1975.1

BE

Pay-roll Tax {Amendment).

T )E it enacted by the Queen’s Most Excellent Majesty, by

No, 87, 1975

-D and with the advice and consent of the Legislative Council and Legislative Assembly of New South Wales in Parliament assembled, and by the authority of the same, as follows:—

1.          This Act may be cited as the “Pay-roll Tax short title.

(Amendment) Act, 1975”.

2.      (1) This section and section 1 shall commence on the Commence-

date of assent to this Act.

(2) Section 3, in its application to each item of Schedule 1, except item (3) (a), and section 4 shall com­ mence on 1st January, 1976.

(3) Section 3, in its appUcation to Schedule 1 (3) (a ), shall be deemed to have commenced on 1st September, 1971.

3. The Pay-roll Tax Act, 1971, is amended in the manner Amendment

set forth in Schedule 1.

2 2 '^97

4.          The power conferred on the Commissioner by section Transitional

12 (2) of the Pay-roll Tax Act, 1971, as substituted by section 3 and Schedule 1 (7) (c), extends to authorising the Commissioner to cancel the registration of a person as an employer where that person was not, immediately before 1st January, 1976, an employer paying wages as referred to in section 12 (1) of that Act, as amended by section 3 and Schedule 1 (7) (a).

SCHEDULE

Pay-roll Tax {Amendment).

No. 87, 1975

SCHEDULE 1.

Sec. 3.

Amendments to Pay-roll Tax Act, 1971.

(1) Section 2—

After the matter relating to Part IV, insert;— PART IVa.—Grouping Provisionsss. 16a-16 l .

(2)

(a)

Section 3 (1 ) , definition of “corporation”— After the definition of “company”, insert:—

“corporation” has the meaning ascribed to that expression by section 5 (1) of the Com­ panies Act, 1961;

(b)

Section 3 (1), definition of “designated group employer”—

After the definition of “council”, insert:—

“designated group employer”, in relation to a group, means the member of that group who, under section 16i, is for the time being the designated group employer in respect of that group;

(c)

Section 3 (1), definitions erf “financial year’V “foreign wages”, “group” and “interstate wages”—

Omit the definition of “financial year”, insert

instead :—

“financial year” means each year commencing

on 1st July;

“foreign

Pay-roll Tax {Amendment).

“foreign wages” means wages that are not No. 87,1975

taxable wages and are not interstate

wages;

“group” means a group constituted under

Part IVa;

“interstate wages” means wages that are tax­ able wages within the meaning of a corresponding law;

(d)

Section 3 (1 ) , definition of “return period”— After the definition of “regulations”, insert:—

“return period”, in relation to an employer, means the period relating to which that employer is required to furnish a return under this Act;

(e)

Section 3 (1 ) , definition of “voting share”— After the definition of “trustee”, insert:—

“voting share” has the meaning ascribed to that expression by section 5 (1) of the Com­ panies Act, 1961;

(f)

Section 3 (1 ) , definition of “wages”—

Omit from paragraphs (a), (b), (c) and (d) “payment made” wherever occurring, insert instead “amount paid or payable”.

(3)

Pay-roll Tax {Amendment).

No. 87, 1975 (3) (a) Section 9 (7 )—

Omit “the return relating to the month or period in which the determination is made and to any subsequent month or period”, insert instead “any return specified in the determina­ tion whether relating to a month or period that is before or after or partly before and partly after the making of the determination”.

(b)

Section 9 (10)—

After section 9 (9), insert:—

(10) This section does not apply so as to authorise a deduction to be made in accordance with this section in respect of any return period that commences after the month of December, 1975.

(4) Section 9a

After section 9, insert :—

Deduction

9a.

( 1) In this section—

from tax­ able wages after 1st

January,

“interstate wages” does not include interstate wages paid or payable by a member of a group;

1976.

“prescribed amount”—

(a)

in relation to a return for a return period of one month, means $3,466; and

(b )

Pay-roll Tax {Amendment).

(b)

in relation to a return for a return No. 87,1975 the product ascertained by multiplying $3,466 by the number of months in that return period;

“taxable wages” does not include taxable wages paid or payable by a member of a group.

(2)

This section applies only so as to

authorise a deduction to be made for a return period that is after the month of December, 1975, from the taxable wages included in a return or assessment relating to that return period.

(3)

For the purpose of ascertaining the

pay-roll tax payable by an employer who pays or is liable to pay taxable wages for the whole of a return period, but does not pay and is not liable to pay interstate wages during that return period, there shall be deducted, for that return period, from the amount of the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to that return period) the prescribed amount, reduced by $2 for each $3 (disregarding any remainder) by which the amount of those taxable wages (in whole dollars) exceeds the prescribed amount.

(4)

For the purpose of ascertaining the

pay-roll tax payable by an employer who pays or is liable to pay wages during a return period and pays or is liable to pay taxable wages for part only of that return period, but does not pay and

IS

Ptiy-rM Tax {Amendment).

No. 87, 1975

is not liable to pay interstate wages during that return period, there shall be deducted, for that return period, from the amount of the taxable wages included in a return made by, or an assess­ ment relating to, that employer (being a return or an assessment relating to that return period) the amount that bears to the prescribed amount the same proportion as the number of days in that part of that return period bears to the total number of days in that return period, reduced by $2 for each $3 (disregarding any remainder) by which the amount of those taxable wages (in whole dollars) exceeds the same proportion of the pre­ scribed amount.

(5)

An employer who during any return

period pays or is liable to pay taxable wages and interstate wages may, by notice in writing in the prescribed form containing the prescribed particu­ lars, served on the Commissioner, nominate an amount, calculated in the prescribed manner, not exceeding the prescribed amount, as the deduction that he claims to be entitled to make for that return period and for subsequent return periods.

(6)

For the purpose of ascertaining the

pay-roll tax payable by an employer who has served on the Commissioner a notice under subsection (5), there shall, subject to subsection (7), be deducted, for a return period (being the return period ending last before the day on which he serv^ that notice on the Commissioner or any subsequent return period), from the amount of the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to aay such return period) the amount nominated in that notice.

(7)

Pay-roll Tax (Amendment).

(7)

The Commissioner may, on an appli-No. 87,1975

cation made to him in writing by an employer who pays or is liable to pay taxable wages and interstate wages during any return period or of his own motion in relation to such an employer, at any time, make a determination specifying an amount, not exceeding the prescribed amount, that may be deducted for any return period specified or referred to in the determination (being a return period commencing before, but not before 1st January, 1976, or after, or the return period in which, the determination is made) from the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to any such return period) and there shall be deducted, for any such return period, from the amount of the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to any such return period), the amount so specified.

(8)

The Commissioner may, at any time,

by instrument in writing, revoke a determination made under subsection (7) and any such revoca­ tion shall have effect as on and from the first day of the return period specified in the instrument, whether that return period is before, but not before the date of the determination, or after, or the return period in which, the instrument is executed by him.

(9)

The Commissioner shall, as soon as

practicable after making a determination under subsection (7) or a revocation under subsection (8), serve notice of the determination or revocation on the employer concerned.

(5)

P 91375—35

Pay-roll Tax {Amendment).

No. 87,1975 ( 5 )

(a)

Section 11 (4)—

Omit the subsection, insert instead :—

(4)

For the purposes of subsections (1) and

(2), the amount prescribed in respect of the

financial year—

(a) ending on 30th June, 1975, is $20,800; and (b) ending on 31st December, 1975, is $10,400.

(b)

Section 11 (8)—

After section 11 (7), insert:—

(8) In this section, except subsection (3), “financial year” includes the period commencing on 1st July, 1975, and ending on 31st December, 1975, but does not include the period commencing on 1st July, 1975, and ending on 30th June, 1976, or the financial year commencing on 1st July, 1976, or a financial year commencing on any subsequent 1st July.

(6) Sections llA , 11b, 11c

After section 11, insert:—

Interpre*

tation

11a. (1) In this section and sections 11b and

for purposes

l i e —

of this

section and

“financial

year”

includes

the

period

sections 11b

and 11c.

commencing on 1st January, 1976, and

ending on 30th June, 1976;

“interstate

Pay-roll Tax {Amendment).

“interstate wages” does not include interstate No. 87, 1975

wages paid or payable by a member of a

'

group;

“taxable wages” does not include taxable wages paid or payable by a member of a group.

(2) Subject to subsection (3), a reference in sections 1 1 b and 11c to the prescribed amount is, in relation to an employer—

(a)

who pays or is liable to pay taxable wages for the whole of a financial year but not any interstate wages during that financial year— a reference to the amount of $41,600, reduced by $2 for each $3 (disregarding any remainder) by which the total (in whole dollars) of the taxable wages paid or payable by that employer during that financial year exceeds $41,600;

(b)

who during a financial year pays or is liable to pay wages (disregarding foreign wages), those wages being taxable wages that are paid or payable for part only of that financial year, but who does not pay and is not liable to pay any interstate wages during that financial year— a reference to the amount that bears to $41,600 the same proportion as that part bears to that financial year, reduced by $2 for each $3 (disregard­ ing any remainder) by which the total (in whole dollars) of the taxable wages paid or payable by that employer during that part exceeds the amount firstmentioned in this paragraph;

(c)

Pay-roll Tax {Amendment).

No. 87, 1975

(c)

who pays or is liable to pay wages (disregarding foreign wages) for the whole of a financial year at some time during which taxable wages are paid or payable and at some time during which interstate wages are paid or payable— a reference to the amoimt that bears to another amount (that other amount being $41,600, reduced by $2 for each $3 (disregarding any remainder) by which the sum of the totil (in whole dollars) of—

(i)   the taxable wages paid or payable by that employer during that financial year; and

(ii)   the interstate wages paid or payable by that employer during that financial year,

exceeds $41,600) the same proportion as the total (in whole dollars) of the taxable wages paid or payable by that employer during that financial year bears to the sum of the total (in whole dollars) of—

(iii)   the taxable wages paid or payable by that employer during that ^ a n - cial year; and

(iv)   the interstate wages paid or payable by that employer during that & an- cial year; and

(d)

who during a financial year pays or is liable to pay wages (disregarding foreign wages) otherwise than for the whole of that finan­ cial year, some of those firstmentioned wages being taxable wages and some being interstate wages—a reference to the amount

that

Pay-roll Tax {Amendment).

that bears to another amount (that other No. 87, 1975

amount being an amount that bears to

$41,600 the same proportion as the part

(excluding any period during which he paid

or was liable to pay foreign wages only) of

that year for which he pays or is liable to

pay wages bears to that financial year,

reduced by $2 for each S3 (disregarding

any remainder) by which the sum of the

total (in whole dollars) of—

(i)   the taxable wages paid or payable by that employer during that part; and

(ii)   the interstate wages paid or payable by that employer during that part,

exceeds that proportionate amount of $41,600) the same proportion as the total (in whole dollars) of the taxable wages paid or payable by that employer during that part bears to the sum of the total (in whole dollars) of—

(iii)   the taxable wages paid or payable by that employer during that part; and

(iv)   the interstate wages paid or payable by that employer during that part.

(3)

Where a person who did not pay and

was not liable to pay taxable wages or interstate wages for any part of a financial year satisfies the Commissioner that, by reason of the nature of his trade or business, the taxable wages and interstate

wages,

Pay-roll Tax {Amendment).

No.587, 1975

wages, if any, paid or payable by him fluctuate with different periods of the ^an c ia l year, the Commis­ sioner may treat him—

(a)

if he has conducted that trade or business in Australia during the whole of the financial year—as an employer throughout the financial year; or

(b)

if he has conducted that trade or business in Australia during part only of the financial year— as an employer during that last- mentioned part of the financial year.

(4)

In respect of the financial year ending

on 30th June, 1976, subsection (2) shall be construed as if the references therein to $41,600 were references to $20,800.

Annual

11b . (1) In this section, “annual amount of pay-roll tax”, in relation to an employer, means the amount ascertained by applying the appropriate rate or rates of pay-roll tax prescribed by section 7 to the difference between—

adjust­

ments.

(a)

the total of the taxable wages paid or payable by that employer during a financial year; and

(b) the prescribed amount, if any.

(2)

Where taxable wages are paid or

payable by an employer during a financial year

commencing on or after 1st January, 1976—

(a)

the Commissioner shall, on an application made by that employer in accordance with subsection (3 ), where the amount of pay­ roll tax paid or payable by that employer

when

Pay-roll Tax {Amendment).

when he made the returns relating to that No. 87, 1975

financial year is greater than the annual

amount of pay-roll tax in relation to that

employer for that financial year, refund or

rebate to that employer an amount equal

to the difference, reduced by any amount

refunded to him under section 19; or

(b)

that employer shall, where the amount of pay-roll tax paid or payable by that employer when he made the returns relating to that financial year is less than the annual amount of pay-roll tax in relation to that employer for that financial year, pay to the Commissioner as pay-roll tax, within the period during which he is required to furnish a return under this Act in respect of the return period that is or includes the month of June in that financial year, an amount equal to the difference.

(3) An application under subsection (2) (a) shall, notwithstanding section 19, be made within the financial year next following the financial year in respect of which the refund or rebate is applied for.

11c. (1) In this section

Adjustment of pay-roll tax when

“prescribed period”, in relation to an employer employer

who pays or is liable to pay wages,

otherwise than as a member of a group, etc., during

for part only of a financial year, means yearf°'̂ '

that part of that financial year ;

“total

Pay-roll Tax (Amendment).

No. 87, 1975

“total amount of pay-roll tax”, in relation to an employer, means the amount ascertained by applying the appropriate rate or rates of pay-roll tax prescribed by section 7 to the difference between—

(a)

the total of the taxable wages paid or payable by the employer during a prescribed period; and

(b) the prescribed amount, if any;

“wages” does not include foreign wages.

(2)

Where in a financial year an employer

ceases to pay wages or becomes a member of a group he shall, where the amount of pay-roll tax paid or payable by him when he made returns relating to the prescribed period is less than the total amount of pay-roll tax in relation to that employer for that prescribed period, pay to the Commissioner as pay-roll tax, within the period during which he is required to furnish a return under this Act relating to that prescribed period or the last return under this Act relating to that prescribed period, an amount equal to the difference.

(3)

Where an employer, who has ceased

to pay wages or has become a member of a group, as referred to in subsection (2), in any financial year, subsequently pays or is liable to pay taxable wages or interstate wages during that financial year otherwise than as a member of a group, section 11b applies to and in respect of him as if the reference in section 11b (2) to the amount of pay-roll tax paid or payable by that employer included a reference to any pay-roll tax paid or payable by that employer under subsection (2).

(7)

Pay-roll Tax {Amendment).

(7)

(a)

Section 1 2 (1 )

N o/87, 1975

Omit “four hundred dollars”, insert instead “$800”.

(b)

Section 12 (1)—

After “taxable wages”, insert “or who, being a member of a group, during a month pays or is liable to pay any taxable wages”.

(c)

Section 12 (2), (2a)— Omit section 12 (2), insert instead :—

(2)

The

Commissioner

may

cancel

the

registration of a person as an employer if—

(a)

that person, not being a member of a group, has ceased to be an employer paying wages as referred to in subsection (1 ) ; or

(b) that person—

(i)   ceases to be a member of a group; and

(ii)   does not pay and is not liable to pay wages as referred to in subsection

( 1 ) .

(2a) Where the Commissioner cancels the registration of a person as an employer in any financial year and that person subsequently pays or is liable to pay (otherwise than as a member of a group) taxable wages during that financial year that person may, notwithstanding that during any month

he

Pay-roll Tax {Amendment).

No. 87, 1975

he pays or is liable to pay wages at a rate not in excess of $800 per week, apply to the Commis­ sioner, in the prescribed form and manner, for registration as an employer and thereupon the Commissioner shall register him as an employer under this Act.

(8) (a) Section 14 (1a )—

After section 14 (1), insert:—

(1a) In subsection (1), “fin icial year” includes the period commencing on 1st July, 1975, and ending on 31st December, 1975, and the period commencing on 1st January, 1976, and ending on 30th June, 1976, but does not include the period commencing on 1st July, 1975, and ending on 30th June, 1976.

(b)

Section 14 (2a)— After section 14 (2), insert :—

(2a) The Commissioner may, at any time, by

notice in writing, revoke any certificate issued under

subsection (1).

(9) Section 15—

Omit “In addition to any return required to be

furnished by this Act, the”, insert instead

'

“The”.

(10)

Pay-roll Tax {Amendment).

(10) Part IVa

No. 87, 1975

After Part IV, insert:—

PART IVa.

Grouping Provisions.

16a.

In this Part, “business” includes—

Interpreta­

tion.

(a) a trade or profession;

(b)

any other activity carried on for fee, gain or reward; and

(c)

the activity, carried on by an employer, of employing one or more persons where that person performs or those persons perform duties for or in connection with another business.

1 6 b . For the purposes of this Act, two corporations Grouping

constitute a group if they are, by reason of section 6 (5) ^ra^ons.

of the Companies Act, 1961, to be deemed, for the purposes

of that Act, to be related to each other.

16c.

For the purooses of this Act, where—

Grouping

where

employees

(a)

employees of an employer, performs or perform business,

an employee of an employer, or two or more a business carried on by that employer and another person or other persons or by another person or other persons; or

(b)

Pay-roll Tax {Amendment).

No. 87, 1975

(b)

an employer has, in respect of the employment of, or the performance of duties by, one or more of his employees, an agreement, arrangement or undertak­ ing (whether formal or informal, whether expressed or implied and whether or not the agreement, arrangement or undertaking includes provisions in respect of the supply of goods or services or goods and services) with another person or other persons relating to a business carried on by that other person or those other persons, whether alone or together with another person or other persons.

that employer and—

(c) each such other person; or

(d) both or all of those other persons,

constitute a group.

Grouping

16d .

(1) A reference in this section to two businesses

moS^con-

include a reference to two businesses both of which

trolled

are owned by the same person, not being a trustee, or by the

nesses.

trustee or trustees of a trust.

(2)

For the purposes of this Act, where the same

person has, or the same persons have together, a controlling interest under subsection (3) in each of two businesses, the persons who carry on those businesses constitute a group.

(3)

Pay-roll Tax {Amendment).

(3)

For the purposes of subsection (2), the sameNo. 87, 1975

person has, or the same persons have together, a controlling interest in each of two businesses if that person has, or those persons have together, a controlling interest under any of the following paragraphs in one of the businesses and a controlling interest under the same or another of the following paragraphs in the other business :—

(a)

a person has, or persons have together, a controUing interest in a business, being a business carried on by a corporation, if the directors, or a majority of the directors, or one or more of the directors, being a director or directors who is or are entitled to exercise a majority in voting power at meetings of the directors, of the corporation are or is accustomed or under an obligation, whether formal or informal, to act in accordance with the directions, instructions or wishes of that person or of those persons acting together;

(b)

a person has, or persons have together, a controlling interest in a business, being a business carried on by a corporation that has a share capital, if that person or those persons acting together may (whether directly or indirectly) exercise, control the exercise of, or substantially influence the exercise of, 50 per centum or more of the voting power attached to voting shares issued by the corporation;

(c)

a person has, or persons have together, a controlling interest in a business, being a business carried on by a partnership, if that person or those persons—

(i) owns, or own together, (whether or not

, ;

__

beneficially) 50 per centum or more of the

capital of the partnership; or

(ii)   is, or are together, entitled (whether or not beneficially) to 50 per centum or more of

"

any profits of the partnership;

^

0

) .

(d)

Pay-roll Tax {Amendment).

No. 87, 1975

(d)

a person has, or persons have together, a controlling interest in a business, being a business carried on under a trust, if that person (whether or not as the trustee of another trust) is the beneficiary, or those persons (whether or not as the trustees of another trust) are together the beneficiaries, in respect of 50 per centum or more of the value of the interests in the trust firstmentioned in this paragraph;

(e)

a person has a controlling interest in a business if, whether or not he is a trustee of a trust, he is the sole owner of the business or persons, being two or more trustees of a trust, have a controlling interest in a business if they are the owners of the business.

(4)

Where a corporation has a controlling interest

under subsection (3) in a business, it shall, for the purposes of subsection (3), be deemed to have a controlling interest in any other business in which another corporation that is, by reason of section 6 (5) of the Companies Act, 1961, to be deemed, for the purposes of that Act, to be related to it has a controlling interest.

(5) Where—

(a)

a person has, or persons have together, a controlling interest imder subsection (3) in a business; and

(b)

the person or persons who carries or carry on that business has or have such a controlling interest in another business.

the person or persons referred to in paragraph (a) shall, for the purposes of subsection (3), be deemed to have a controll­ ing interest in the business referred to in paragraph (b ) .

(6)

Pay-roll Tax {Amendment).

(6) Where—

No. 87, 1975

(a) a person is a beneficiary under a trust; or

(b)

two or more persons together are beneficiaries under a trust,

in respect of 50 per centum or more of the value of the interests in that trust and the trustee or trustees of that trust has or have under subsection (3) a controlling interest in a business, that beneficiary or those beneficiaries shall, for the purposes of subsection (3), be deemed to have a controUing interest in that business.

16 e .

(1) Notwithstanding any other provision of this Smaller

Part (except subsection (2 )) , where a person is, whether or ^bsumed

not by virtue of this subsection, a member of two or more into

groups (each of which is in subsection (2) referred to as a g^u^.

smaUer group), aU of the members of those groups constitute,

for the purposes of this Act, one group.

(2)

Except for the purpose of determining whether

a group is constituted under subsection (1), a group which, but for this subsection, would be a smaUer group ceases to be a group if its members are members of a group constituted under subsection (1).

16 f .

The fact that a person is not a member of a group Grouping

constituted under a provision of this Part does not prevent that provisions person from being a member of a group constituted under î depem**

another provision of this Part.

dently.

16o.

Pay-roll Tax {Amendment).

No. 87, 1975

1 6 g .

A person who, as the result of the exercise of a

Benefici­

power or discretion by the trustee of a discretionary trust or

aries

by any other person or by that trustee and other person, may

under

discre­

benefit under that trust shall be deemed, for the purposes of

tionary

this Part, to be a beneficiary in respect of 50 per centum or

trusts.

more of the value of the interests in that trust.

Exclusion

of persons

16h . (1) Where the Commissioner is satisfied, having businesses, the nature of the businesses and any other matters that he considers relevant, that a business carried on by a member of a group is carried on substantially independently of, and is not substantially connected with the carrying on of, a business carried on by any other member of that group, the Commissioner may, by order in writing served on that first- mentioned member, exclude him from that group.

from

regard to the nature and degree of ownership or control of the

groups.

(2) The Commissioner shall not, under subsection (1), make an order so as to exclude a person from a group on and from a date if that person is or was on that date a corporation which, by reason of section 6 (5) of the Com­ panies Act, 1961, is to be deemed, for the purposes of that Act, to be related to another corporation which is a member of that group.

(3)

Notwithstanding any other provision of this

Part, an order under subsection (1) shall have effect accord­ ing to its tenor on and from the date specified in the order (being a date that is the date of the order or before the date of the order) as the date on and from which the person referred to in the order is or shall be deemed to have been excluded from the group so referred to.

16i.

Pay-roll Tax {Amendment).

1 6 i.

( 1 ) The members of a group may, by an instrument No. 87,1975

in writing in the prescribed form containing the prescribed

;

particulars, executed by or on behalf of each member of the

group and served on the Commissioner, designate one of its employer,

members to be the designated group employer in respect of

the group for the purposes of this Act and nominate an

amount, calculated in the prescribed manner, not exceeding

the prescribed amount as defined in section 9a (1), as the

deduction to be made for any return period in relation to

which that designated group employer is required to furnish

returns under this Act.

(2) The designated group employer in respect of a group ceases to be the designated group employer in respect of that group on and from the first day of the return period relating to him during which—

(a) the composition of the group alters; or

(b)

the members of the group, by an instrument in writing in the prescribed form containing the prescribed particulars, executed by or on behalf of each of them who is known to the Commissioner to be a member of the group and served on the Commissioner, revoke the designation,

whichever occurs the earlier.

(3)

For the purpose of ascertaining the pay-roll tax

payable by a designated group employer, there shall, subject to subsection (4), be deducted, for a return period (being the return period commencing last before the day on which the instrument under subsection (1) designating him as the designated group employer in respect of the group is served on the Commissioner or any subsequent return period) from the amount of the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to any such return period) the amount nominated in that instrument.

(4)

Pay-roll Tax (Amendment).

No. 87, 1975

(4) The Commissioner may, on an application made to him in writing executed by or on behalf of each person known to the Commissioner to be a member of a group or of his own motion in relation to a group, at any time, make a determination specifying an amount, not exceeding the prescribed amount as defined in section 9a ( 1), that may be deducted for any return period specified or referred to in the determination (being a return period commencing before, but not before 1st January, 1976, or after, or the return period in which, the determination is made) from the taxable wages included in a return made by, or an assessment relating to, an employer specified in the determination who was, during any such return period, a member of that group and there shall be deducted, for any such return period, from the amount of the taxable wages included in a return made by, or an assessment relating to, that employer (being a return or an assessment relating to any such return period) the amount so specified.

(5)

The Commissioner may, at any time, by

instrument in writing, revoke a determination made under subsection (4) and any such revocation shall have effect as on and from the first day of the return period specified in the instrument, whether that return period is before, but not before the date of the determination, or after, or the return period in which, the instrument is executed by him.

(6)

An employer specified in a determination made

under subsection (4) shall, on the first day of the first return period specified or referred to in the determination, be deemed to have been designated under subsection (1) to be the designated group employer in respect of the group of which he was then a member and shall, subject to subsection (2), thereafter be the designated group employer in respect of that group.

(7)

Pay-roll Tax (^Amendment).

(7)

The Commissioner shall, as soon as practicable No. 87,1975

after making a determination under subsection (4) or a revocation under subsection (5), serve notice of the determination or revocation on the designated group employer in respect of the group concerned.

1 6 j .

(1) In this section and sections 16k and 16 l , “Financial

“financial year” includes the period commencing on

January, 1976, and ending on 30th June, 1976.

this section

and sections

16k and 16l

and

(2)

Subject to subsection (3), a reference in

sections 16k and 16 l to the prescribed amount is, in relation purposes of to a designated group employer— i6̂ KaSdl6L.

(a)

who during the whole of a financial year is the designated group employer in respect of a group at least one of the members of which pays or is liable to pay taxable wages for the whole of that financial year and none of the members of which pays or is liable to pay, as a member of that group, any interstate wages during that financial year—a reference to the amount of $41,600, reduced by $2 for each $3 (disregarding any remainder) by which the total (in whole dollars) of the taxable wages paid or payable by the employers in that group during that financial year exceeds $41,600;

(b)

who during part only of a financial year is the designated group employer in respect of a group at least one of the members of which pays or is liable to pay taxable wages for the whole of that part and none of the members of which pays or is liable to pay, as a member of that group, any interstate wages during that financial year—a reference to the amount that bears to $41,600 the same proportion as that part of that financial year

bean

Pay-roll Tax (Amendment).

No. 87, 1975

bears to that financial year, reduced by $2 for each $3 (disregarding any remainder) by which the total (in whole dollars) of the taxable wages paid or payable by the employers in that group during that part exceeds the amount firstmentioned in this paragraph;

(c) where—

(i)   during the whole of a financial year that designated group employer is the designated group employer in respect of a group;

(ii)   at least one member of that group pays or is liable to pay taxable wages or interstate wages for the whole of that year; and

(iii)   at some time during that year taxable wages are paid or payable by a member of that group and at some time during that year interstate wages are paid or payable by a member of that group, whether or not those times are wholly or partly concurrent and whether or not those members are the same member,

a reference to the amount that bears to another amount (that other amount being $41,600, re­ duced by $2 for each $3 (disregarding any remain­ der) by which the sum of the total (in whole dollars) of—

(iv)   the taxable wages paid or payable by the employers in that group during that financial year; and

(V)

Pay-roll Tax {Amendment).

(v)   the interstate wages paid or payable by the No. 87, 1975

employers

in that group during that

financial year,

exceeds $41,600) the same proportion as the total (in whole dollars) of the taxable wages paid or payable by the employers in that group during that financial year bears to the sum of the total (in whole dollars) of—

(vi)   the taxable wages paid or payable by the

employers

in that group during that

financial year; and

(vii)   the interstate wages paid or payable by the

employers

in that group during that

financial year; and

(d) where—

(i)   during part only of a financial year that designated group employer is the designated group employer in respect of a group;

(ii)   at least one member of that group pays or is liable to pay taxable wages or interstate wages for the whole of that part; and

(iii)   at some time during that part taxable wages are paid or payable by a member of that group and at some time during that part interstate wages are paid or payable by a member of that group, whether or not

' '' v;

;

those times are wholly or partly concurrent and whether or not those members are the same member,

(£ ;

a

Pay-roll Tax {Amendment).

No. 87, 1975

a reference to the amount that bears to another amount (that other amount being the amount that bears to $41,600 the same proportion as that part bears to that financial year, reduced by S2 for each $3 (disregarding any remainder) by which the sum of the total (in whole dollars) of—

(iv)  the taxable wages paid or payable by the employers in that group during that part; and

(v)   the interstate wages paid or payable by the employers in that group during that part,

exceeds that proportionate amount of $41,600) the same proportion as the total (in whole dollars) of the taxable wages paid or payable by the employers in that group during that part bears to the sum of the total (in whole dollars) of—

(vi)   the taxable wages paid or payable by the employers in that group during that part; and

(vii)   the interstate wages paid or payable during that part by the employers in that group.

(3)

In respect of the financial year ending on 30th

June, 1976, subsection (2) shall be construed as if the references therein to $41,600 were references to $20,800.

Annual

16k.

(1 ) This section applies in relation to a group at

adjustments,

Qjjg member of which paid or was liable to pay, as such

a member, taxable wages or interstate wages for the whole of

a financial year.

(2)

n i l

Pay-roll Tax {Amendment).

(2)

A reference in this section to the annual amount No. 87, 1975

o f pay-roll tax paid or payable by the members of a group is a reference to the amount ascertained by applying the appropriate rate or rates of pay-roll tax prescribed by section 7 to the amount by which—

(a)

the total of the taxable wages paid or payable by the members of that group during a financial year,

■exceeds—

(b) where—

(i)   during that year there was only one desig­ nated group employer in respect of that group— the prescribed amount applicable to that designated group employer; or

(ii)  during that year there were two or more designated group employers in respect of that group—the prescribed amount that, if there had been only one designated group employer in respect of that group during that year, would have been applic­ able to that designated group employer had he paid all of the taxable wages referred to in paragraph (a) paid or payable during that year.

(3)

A reference in this section to the actual amount

of pay-roll tax paid or payable in respect of a financial year by the members of a group is a reference to the amount of pay-roll tax paid or payable when returns were made or required to be made imder this Act relating to that financial year, being returns in which the taxable wages referred to in subsection (2) (a) were included or requ ir^ to be included.

(4)

Pay-roll Tax {Amendment).

No. 87,1975

(4) Where the actual amount of pay-roll tax paid or payable in respect of a financial year commencing on or after 1st January, 1976, by the members of a group is greater than the annual amount of pay-roll tax in relation to those members for that financial year, the Commissioner shall, on an appUcation made in accordance with subsection (7) by the person who is the designated group employer in respect of that group on 30th June in that financial year, refund or rebate to that employer an amount equal to the difference, reduced by the total of any amounts refunded to any member of that group under section 19 in respect of the tax paid or payable by any such member when returns relating to that year were made or required to be made under this Act by that member.

(5) Where the actual amount of pay-roll tax paid or payable in respect of a financial year commencing on or after 1st January, 1976, by the members of a group is less than the annual amount of pay-roll tax in relation to those members for that financial year, the person who is the desig­ nated group employer in respect of that group on 30th June in that financial year shall pay to the Commissioner as pay­ roll tax, within the period during which he is required to furnish a return under this Act in respect of the return period that is or includes the month of June in that financial year, an amount equal to the difference.

(6) If a designated group employer in respect of a group faUs to pay any amount that he is required to pay under subsection (5) in respect of a financial year, every member of the group who paid or was liable to pay taxable wages during that financial year is liable jointly and severally to pay that amount to the Commissioner.

(7) An application under subsection (4) shall, notwithstanding section 19, be made within the financial year next following the financial year in respect of which the refund or rebate is applied for.

16l.

Pay-roll Tax {Amendment).

16l .

(1) This section applies in relation to a group at No. 87, 1975

least one member of which paid or was liable to pay, as such

a member, taxable wages or interstate wages for part onlyofp^-^u

(being a continuous part) of a financial year and no member when

of which paid or was liable to pay, as such a member, any a group

such wages during the whole of that year.

^jfmMble

wages or interstate

(2)

In this section, “prescribed period”, in relation dumg a

to a group, means part only (being a continuous part)

a financial year for which at least one member of the group

"

paid or was liable to pay taxable wages or interstate wages.

(3)

A reference in this section to the total amount

of pay-roll tax paid or payable for a prescribed period by the members of a group is a reference to the amount ascer­ tained by applying the appropriate rate or rates of pay-roll tax prescribed by section 7 to the amount by which—

(a)

the total of the taxable wages paid or payable by the employers in that group during that prescribed period,

exceeds—

(b )

where—

(i)  during that prescribed period there was only one designated group employer in respect of that group—the prescribed amount applicable to that designated group employer; or

(ii)  during that prescribed period there were two or more designated group employers in respect of that group—the prescribed amount that, if there had been only one designated group employer in respect of

-

that group during that prescribed period,

would

Pay-roll Tax {Amendment).

No. 87, 1975

would have been applicable to that desig­ nated group employer had he paid all of the wages referred to in paragraph (a) paid or payable during that presented period.

(4)

Where, at the expiration of a prescribed period

relating to a group, the total amount of pay-roll tax paid or payable when returns were made or required to be made under this Act, being returns in which the taxable wages referred to in subsection (3) (a) were included or required to be included, is less than the total amount of pay-roll tax paid or payable for that prescribed period by the members of that group, the person who is the designated group employer in respect of that group on the last day of that prescribed period shall pay to the Commissioner as pay-roll tax, within the period during which he is required to furnish a return under this Act or the last return under this Act relating to that prescribed period, an amount equal to the difference.

(5)

Section 16k (4) and (5) apply in relation to

a group to which this section applies as if—

(a)

at least one member of the group paid or was liable to pay, as such a member, taxable wages or inter­ state wages for the whole of that financial year;

(b)

the reference in section 16k (3) to the actual amount of pay-roll tax paid or payable in respect of a financial year by the members of that group included a reference to any pay-roll tax paid or payable under subsection (4) by a designated group employer in respect of that group in respect of that financial year; and

(c)

the person, if any, who was the designated group employer in respect of that group at the time when the group last ceased in that financial year to have

Pay-roll Tax {Amendment).

a member who was paying or was liable to pay, No. 87, 1975

as such a member, taxable wages or interstate

wages was the designated group employer in respect

of that group on 30th Jtme in that financial year.

(6)

If a designated group employer in respect of

a group fails to pay any amount that he is required to pay under subsection (4) in respect of a prescribed period, every member of the group who paid or was liable to pay taxable wages during the financial year that includes that prescribed period is liable jointly and severally to pay that amount to the Commissioner.

(11) (a) Section 18 (1) (a )—

After “taxable wages”, insert “or, where rele­

vant, interstate wages”.

(b) Section 18 (1) (b )—

Omit “thereon”, insert instead “by the

employer”.

(c) Section 18 (3 )—

Omit “section nine of”.

(d ) Section 18 (4 )—

Omit “under subsection six of section nine of this Act in respect of a month or period ending before the determination is made”, insert instead “in respect of a return period ending before the deter­ mination is made as to the deduction that may be made from the taxable wages included or required to be included in returns made or required to be made under this Act”.

(12)

Pay-roll Tax (Amendment).

No. 87,1975 (12) Section 25 (7) (a )—

After “Act”, insert “or his liability, as a trustee,

under Part IVa”.

(13) Section 36 (1) (b )—

Omit “section nine o f’.

(14) (a) Section 41 (1 )—

After “public officer” where firstly occurring, insert “ (being a natural person whose principal place of residence is in New South Wales)”.

(b) Section 41 (1 )—

After “filled”, insert “by such a person”.

(15) Section 42 (2 )—

At the end of section 42, insert;—

(2) Nothing in subsection (1) affects the operation of Part IVa in relation to trustees.

(16) Section 51 (1) (c )—

After “financial year”, insert “, whether or not a person was a member of a group at any time or during any period”.

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