Pay-roll Tax Amendment Act 1986 (WA)

WESTERN AUSTRALIA

PAY-ROLL TAX AMENDMENT ACT

No. 30 of 1986

AN ACT to amend the Pay-roll Tax Act 1971.

[Assented to 31 July 1986]

BE it enacted by the Queen's Most Excellent Majesty, by and with the

advice and consent of the Legislative Council and the Legislative Assembly of Western Australia, in this present Parliament assembled, and by the authority of the same, as follows:—

Short title

1. This Act may be cited as the Pay-roll Tax Amendment Act 1986.

Commencement

2. This Act shall come into operation on 1 August 1986.

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Principal Act

3. In this Act, the Pay-roll Tax Act 1971* is referred to as the

principal Act.

[*Act No. 11 of 1971 as amended by Acts Nos. 53 of 1973, 2 of 1974, 96

of 1984 and 82 of 1985.].

Section 5 amended

4. Section 5 of the principal Act is amended

(a)	in subsection (2), by inserting after "December 1985" the following-

" but during or before the month of July 1986 ";

(b)	by repealing subsection (4) and substituting the following

subsections

(4) Where the amount of taxable wages paid or payable by an employer for a month after the month of July 1986 is

(a)	not more than $83 333, the rate of pay-roll tax payable each month is 3.75%;
(b)	more than $83 333 but not more than $150 000, the rate of pay-roll tax payable each month is to be ascertained in accordance with the following formula-

3 125 + — (L – 83 333)

x100

L= amount of taxable wages paid or payable for

the month;

(c)	more than $150 000, the rate of pay-roll tax payable each month is 5.75%.

(5) Where the amount of taxable wages paid or payable by an employer for the period commencing on 1 August 1986 and ending on 30 June 1987 is

(a) not more than $916 667, the rate of pay-roll tax for

the period is 3.75%;

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(b) more than $916 667 but not more than $1 650 000, the rate of pay-roll tax for the period is to be ascertained in accordance with the following formula-

34 375 + — (M – 916 667)

x 100

M= amount of taxable wages paid or payable for

the period;

(6) Where the amount of taxable wages paid or payable by an employer for a financial year commencing on 1 July 1987 or 1 July of a subsequent year is

(a) not more than $1 000 000, the rate of pay-roll tax for the year is 3.75%;

(b)	more than $1 000 000 but not more than $1 800 000, the rate of pay-roll tax for the year is to be ascertained in accordance with the following formula-

37 500 + — (N – 1 000 000)

x 100

N= amount of taxable wages paid or payable for

the year;

Section 6 amended

5. Section 6 of the principal Act is amended

(a) in subsection (2), by inserting after "month" the following-

" during or before the month of July 1986 ";

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(b) in subsection (3), by deleting "any financial year commencing on 1 July 1986 or 1 July of a subsequent year" and substituting the following-

" the financial year commencing on 1 July 1986 ";

(d) by repealing subsection (8) and substituting the following	subsection -
"

(8) Subject to subsection (9), where the amount of total interstate wages and taxable wages paid or payable by an employer for the month of July 1986 is

(a)	not more than $73 333, the rate of pay-roll tax for the month is 4%;
(b)	more than $73 333 but less than $117 333, the rate of pay-roll tax for the month is to be ascertained (calculated to 4 decimal points) in accordance with the following formula-

2 933.33 + — (P —73 333)

x 100

P amount of total interstate wages and taxable wages paid or payable for the month of July 1986;

(c)	$117 333 or more, the rate of pay-roll tax for the month is 4.75%. ";

(e) in subsection (9), by inserting after "period" in the first place

where it occurs the following-

" before 1 August 1986 "; and

(f) by inserting after subsection (9) the following subsections

(10) The rate of pay-roll tax payable each month after the

month of July 1986 by an employer is 5.75% unless and until the Commissioner determines under this section that a lesser rate is payable and informs the employer

accordingly.

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(11) An employer may request the Commissioner to determine that a lesser rate than 5.75% shall be payable each month after the month of July 1986 and for that purpose shall provide the Commissioner in the approved form and manner with estimates of and other information concerning the total interstate wages and taxable wages that the employer expects to pay throughout Australia in respect of the period commencing on 1 August 1986 and ending on 30 June 1987 or the period of any financial year commencing on 1 July 1987 or 1 July of a subsequent year, as the case may require.

(12) Upon receiving a request supported by estimates and information to his satisfaction under subsection (11), the Commissioner shall determine the rate of payroll tax payable each month by the employer in accordance with subsections (13) and (14) and shall inform the employer of his determination (if any).

(13) Where the estimated total interstate wages and taxable wages paid or payable by an employer for the period commencing on 1 August 1986 and ending on 30 June 1987 is-

(a)	not more than $916 667, the rate of pay-roll tax payable each month for the period shall be determined as 3.75%;
(b)	more than $916 667 but not more than $1 650 000, the rate of pay-roll tax payable each month for the period shall be determined (calculated to 2 decimal points) in accordance with the following formula-

34 375 + — (Q – 916 667)

x 100

Q= amount of total interstate wages and taxable wages estimated by the employer to be paid or payable for the period;

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(14) Where the estimated total interstate wages and taxable wages paid or payable by an employer for a financial year commencing on 1 July 1987 or 1 July of a subsequent year is

(a) not more than $1 000 000, the rate of pay-roll tax payable each month for the year shall be determined as 3.75%;

(b)	more than $1 000 000 but not more than $1 800 000, the rate of pay-roll tax payable each month for the year shall be determined (calculated to 2 decimal points) in accordance with the following formula-

37 500 + —(R – 1 000 000)

x 100

R = amount of total interstate wages and taxable

wages estimated by the employer to be paid or

payable for the year;

(15) Subject to subsection (17), where the amount of total interstate wages and taxable wages paid or payable by an employer for the period commencing on 1 August 1986 and ending on 30 June 1987 is

(a) not more than $916 667, the rate of pay-roll tax for the period is 3.75%;

(b) more than $916 667 but not more than $1 650 000, the rate of pay-roll tax for the period is to be ascertained (calculated to 4 decimal points) in accordance with the following formula-

34 375 + — (S – 916 667)

x 100

S= amount of total interstate wages and taxable

wages paid or payable for the period;

the period is 5.75%.

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(16) Subject to subsection (17), where the amount of total interstate wages and taxable wages paid or payable by an employer for a financial year commencing on 1 July 1987 or 1 July of a subsequent year is

(a)	not more than $1 000 000, the rate of pay-roll tax for the year is 3.75%;
(b)	more than $1 000 000 but not more than $1 800 000, the rate of pay-roll tax for the year is to be ascertained (calculated to 4 decimal points) in accordance with the following formula-

37 500 + — (T – 1 000 000)

x 100

T= amount of total interstate wages and taxable

wages paid or payable for the year;

(c)	more than $1 800 000, the rate of pay-roll tax for the year is 5.75%.

(17) Notwithstanding subsections (15) and (16), if in respect of a year or period after 1 August 1986 an employer fails to comply with section 13(4) of the Pay-roll Tax Assessment Act 1971, the rate of pay-roll tax for the year or period is 5.75%. ".

Section 7 amended

6. Section 7 of the principal Act is amended

(a)	in subsection (2), by inserting after "month" the following—

during or before the month of July 1986 ";

(b)	in subsection (3), by deleting "any financial year commencing on 1 July 1986 or 1 July of a subsequent year" and substituting the following-

" the financial year commencing on 1 July 1986 ";

(c)

in subsection (7), by deleting "or 1 July of a subsequent year";

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(d) by repealing subsection (9) and substituting the following (9) Subject to subsection (10), where the amount of total interstate wages and taxable wages paid or payable by all members of a group that pay taxable wages in Western Australia for the month of July 1986 is

subsection -

(a)	not more than $73 333, the rate of pay-roll tax for the month is 4%;
(b)	more than $73 333 but less than $117 333, the rate of pay-roll tax for the month is to be ascertained (calculated to 4 decimal points) in accordance with the following formula-

2 933.33 + — (U – 73 333)

x 100

U= amount of total interstate wages and taxable wages paid or payable for the month of July 1986 by all members of the group that pay taxable wages in Western Australia;

(c)	$117 333 or more, the rate of pay-roll tax for the month is 4.75%. ";

(e) in subsection (10), by inserting after "period" in the first place

where it occurs the	following -
" before 1 August 1986 "; and

(0 by inserting after subsection (10) the following subsections

(11) The rate of pay-roll tax payable each month after the

month of July 1986 by an employer is 5.75% unless and until the Commissioner determines under this section that a lesser rate is payable and informs the employer accordingly.

(12) An employer who is the designated group employer may request the Commissioner to determine a lesser rate than 5.75% payable each month by every member of the group that pays taxable wages in Western Australia and for that purpose the designated group employer shall provide

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the Commissioner in the approved form and manner with estimates of and information concerning the total interstate wages and taxable wages that those members of the group that pay taxable wages in Western Australia expect to pay throughout Australia in respect of the period commencing on 1 August 1986 and ending on 30 June 1987 or the period of any financial year commencing on 1 July 1987 or 1 July of a subsequent year, as the case may require.

(13) Where a designated group employer is unable to provide the estimates and information required for the purposes of subsection (12), the designated group employer may, by instrument signed by every member of the group that pays taxable wages in Western Australia, notify the Commissioner that

(a)	the designated group employer is unable to provide the Commissioner with those estimates and that information;
(b)	all members of the group that pay taxable wages in Western Australia request the Commissioner to determine a lower rate than 5.75% payable each month by those members; and
(c)	each such member of the group undertakes to supply directly to the Commissioner those estimates and that information in respect of that member.

(14) Upon receiving a request supported by estimates and information to his satisfaction under subsection (12) or a notice, estimates and information to his satisfaction under subsection (13), the Commissioner shall determine in accordance with subsections (15) and (16) the rate of pay- roll tax payable each month by every member of the group that pays taxable wages in Western Australia and shall inform every such member of the group of his determination (if any).

(15) Where the estimated total interstate wages and taxable wages paid or payable by all members of the group that pay taxable wages in Western Australia for the period commencing on 1 August 1986 and ending on 30 June 1987

is-

(a) not more than $916 667, the rate of pay-roll tax

payable each month by each member of the group

for the period shall be determined as 3.75%;

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(b)	more than $916 667 but not more than $1 650 000, the rate of pay-roll tax payable each month by each member of the group for the period shall be determined (calculated to 2 decimal points) in accordance with the following formula-

34 375 + — (V — 916 667)

x 100

V— amount of total interstate wages and taxable wages estimated to be paid or payable for the period by all members of the group that pay taxable wages in Western Australia;

(c)	more than $1 650 000, no determination shall be made under this subsection.

(16) Where the estimated total interstate wages and taxable wages paid or payable by all members of the group that pay taxable wages in Western Australia for a financial year commencing on 1 July 1987 or 1 July of a subsequent year is

(a)	not more than $1 000 000, the rate of pay-roll tax payable each month by each member of the group for the year shall be determined as 3.75%;
(b)	more than $1 000 000 but not more than $1 800 000, the rate of pay-roll tax payable each month by each member of the group for the year shall be determined (calculated to 2 decimal points) in accordance with the following formula-

37 500 + — (W — 1 000 000)

x 100

W= amount of total interstate wages and taxable wages estimated to be paid or payable for the year by all members of the group that pay taxable wages in Western Australia;

made under this subsection.

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(17) Subject to subsection (19), where the amount of total interstate wages and taxable wages paid or payable for all members of a group that pay taxable wages in Western Australia for the period commencing on 1 August 1986 and ending on 30 June 1987 is

(a)	not more than $916 667, the rate of pay-roll tax for the period is 3.75%;
(b)	more than $916 667 but not more than $1 650 000, the rate of pay-roll tax for the period is to be ascertained (calculated to 4 decimal points) in accordance with the following formula

34 375 + — (X – 916 667)

x 100

X= amount of total interstate wages and taxable wages paid or payable for the year by all members of the group that pay taxable wages in Western Australia;

(c)	more than $1 650 000, the rate of pay-roll tax for the period is 5.75%.

(18) Subject to subsection (19), where the amount of total interstate wages and taxable wages paid or payable by all members of a group that pay taxable wages in Western Australia for a financial year commencing on 1 July 1987 or 1 July of a subsequent year is

(a)	not more than $1 000 000, the rate of pay-roll tax for the year is 3.75%;
(b)	more than $1 000 000 but not more than $1 800 000, the rate of pay-roll tax for the year is to be ascertained (calculated to 4 decimal points) in accordance with the following formula-

37 500 + — (Y – 1 000 000)

x 100

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Y= amount of total interstate wages and taxable wages paid or payable for the year by all members of the group that pay taxable wages in Western Australia;

(19) Notwithstanding subsections (17) and (18), if in respect of a year or period after 1 August 1986 the designated group employer or any member of the group that pays taxable wages in Western Australia, as the case may require, fails to comply with section 13(4) of the Pay-roll Tax Assessment Act 1971, the rate of pay-roll tax for the year or period is 5.75%. ".