Tax and Superannuation Laws Amendment (2014 Measures No. 1) Act 2014 (Cth)
This is a compilation of the
This compilation was prepared on 30 June 2015.
The notes at the end of this compilation (the
The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on ComLaw ( The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on ComLaw for the compiled law.
If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.
If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on ComLaw for the compiled law.
If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.
Contents
This Act may be cited as the
Tax and Superannuation Laws Amendment (2014 Measures No. 1) Act 2014 .
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Sections 1 to 3 and anything in this Act not elsewhere covered by this table | The day this Act receives the Royal Assent. | 18 March 2014 |
Schedule 1 | The day this Act receives the Royal Assent. | 18 March 2014 |
Schedule 2 | 1 July 2014. | 1 July 2014 |
Schedule 3, Part 1 | The day this Act receives the Royal Assent. | 18 March 2014 |
Schedule 3, Part 2, item 2 | The day this Act receives the Royal Assent. | 18 March 2014 |
Schedule 3, Part 2, items 3 to 8 | 1 July 2019. | 1 July 2019 |
Schedule 4, Part 1 | The day this Act receives the Royal Assent. | 18 March 2014 |
Schedule 4, Part 2 | 17 December 2018. | 17 December 2018 |
Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.
(2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.
Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.
Schedule 1 — Unlawful payments from regulated superannuation funds
Insert:
(1) A person must not promote a scheme that has resulted, or is likely to result, in a payment being made from a regulated superannuation fund otherwise than in accordance with payment standards prescribed under subsection 31(1).
(2) Subsection (1) is a civil penalty provision as defined by section 193, and Part 21 therefore provides for civil and criminal consequences of contravening, or being involved in a contravention of, that subsection.
(3) In this section:
promote , in relation to a scheme, includes the following:
(a) enter into the scheme;
(b) induce another person to enter into the scheme;
(c) carry out the scheme;
(d) commence to carry out the scheme;
(e) facilitate entry into, or the carrying out of, the scheme.
scheme means:
(a) any agreement, arrangement, understanding, promise or undertaking:
(i) whether express or implied; or
(ii) whether or not enforceable, or intended to be enforceable, by legal proceedings; or
(b) any scheme, plan, proposal, action, course of action or course of conduct, whether unilateral or otherwise.
Insert:
(ca) subsection 68B(1);
1 Section 4 (after table item dealing with Part No. 19) Insert:
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|
After “Parts”, insert “20,”.
Insert:
education direction : see subsection 160(2).
rectification direction : see subsection 159(2).
After “42A”, insert “, and Part 20,”.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Omit “Note”, substitute “Note 1”.
Add:
Note 2: Section 166 imposes an administrative penalty for a contravention of this section.
Add:
; or (d) liability for the costs of undertaking a course of education in compliance with an education direction; or
(e) liability for an administrative penalty imposed by section 166.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) by a trustee in relation to a self managed superannuation fund.
Omit “Note”, substitute “Note 1”.
Add:
Note 2: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Add:
Note 3: Section 166 imposes an administrative penalty for a contravention of subsection (1), (2) or (2A) in relation to a self managed superannuation fund.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Add:
; or (c) he or she is a trustee of such a fund or a director of such a body corporate and undertakes a course of education in compliance with an education direction.
Insert:
(ba) if paragraph (1)(c) applies—sign a declaration in the approved form that he or she understands his or her duties as trustee of a self managed superannuation fund, or as director of a body corporate that is such a trustee (as appropriate), no later than 21 days after completing the course of education; and
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (2).
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Omit “Note”, substitute “Note 1”.
Add:
Note 2: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Insert:
The object of this Part is to provide administrative consequences for contraventions of this Act or the regulations that relate to self managed superannuation funds. This Part:
(a) allows the Regulator to give rectification directions and education directions; and
(b) imposes administrative penalties for certain contraventions.
This Part applies in relation to self managed superannuation funds that are regulated superannuation funds.
(1) This section applies if the Regulator reasonably believes that a person who is:
(a) a trustee of a self managed superannuation fund; or
(b) a director of a body corporate that is a trustee of a self managed superannuation fund;
has contravened a provision of this Act (other than Part 3B) or the regulations in relation to the fund.
(2) The Regulator may give the person a written direction (a
rectification direction ) requiring the person:
(a) to take specified action to rectify the contravention; and
(b) to provide the Regulator with evidence of the person’s compliance with the direction.
(3) In deciding whether to give a person a rectification direction, the Regulator is to have regard to:
(a) any financial detriment that might reasonably be expected to be suffered by the fund as a result of the person’s compliance with the direction; and
(b) the nature and seriousness of the person’s contravention; and
(c) any other relevant circumstances.
(4) A rectification direction must specify the period within which the person must comply with the direction (which must be a period that is reasonable in the circumstances).
Note: The period may be affected by the operation of subsection 164(7).
(5) The Regulator must not give a rectification direction in relation to a contravention if:
(a) the Regulator has, under section 262A, accepted an undertaking given by a person; and
(b) the contravention is covered by the undertaking; and
(c) the undertaking has neither been withdrawn nor varied in a way that means the contravention is no longer covered by it.
(6) A person to whom a rectification direction is given must comply with the direction before the end of the period specified in the direction for the purposes of subsection (4).
(7) A person commits an offence of strict liability if the person contravenes subsection (6).
Penalty: 10 penalty units.
(1) This section applies to the following persons:
(a) a trustee of a self managed superannuation fund, if the Regulator reasonably believes that the trustee has contravened a provision of this Act (other than Part 3B) or the regulations in relation to the fund;
(b) a director of a body corporate that is a trustee of a self managed superannuation fund, if the Regulator reasonably believes that:
(i) the director has contravened a provision of this Act (other than Part 3B) or the regulations in relation to the fund; or
(ii) the trustee has contravened a provision of this Act (other than Part 3B) or the regulations in relation to the fund.
(2) The Regulator may give the person a written direction (an
education direction ) requiring the person:
(a) to undertake a specified approved course of education (see section 161); and
(b) to provide the Regulator with evidence of completion of the course.
Note: See also section 104A (recognition of obligations and responsibilities).
(3) An education direction must specify the period within which the person must comply with the direction (which must be a period that is reasonable in the circumstances).
Note: The period may be affected by the operation of subsection 164(7).
(4) A person to whom an education direction is given must comply with the direction before the end of the specified period.
Note: Section 166 imposes an administrative penalty for a contravention of subsection (4).
(5) A person commits an offence of strict liability if the person contravenes subsection (4).
Penalty: 10 penalty units.
(1) The Regulator may, in writing, approve one or more courses of education for the purposes of giving education directions.
(2) A course approved under subsection (1):
(a) may be provided by the Regulator or by another entity; and
(b) must be a course for which no fees are charged in respect of persons who undertake the course in compliance with education directions.
(3) An approval under subsection (1) is not a legislative instrument.
If a person undertakes a course of education in compliance with an education direction, the person must ensure that none of the costs associated with undertaking the course are paid or reimbursed from the assets of the fund in relation to which the education direction was given.
The Regulator may, at any time, vary or revoke a rectification direction or an education direction by written notice given to the person to whom the direction was given.
(1) A person to whom a rectification direction or an education direction is given may request the Regulator to vary the direction.
(2) The request must be made by written notice given to the Regulator before the end of the period specified in the direction for the purposes of subsection 159(4) or 160(3).
(3) The request must set out the reasons for making the request.
(4) The Regulator must decide:
(a) to vary the direction in accordance with the request; or
(b) to vary the direction otherwise than in accordance with the request; or
(c) to refuse to vary the direction.
(5) If the Regulator does not make a decision on the request before the end of 28 days after the day the request was made, the Regulator is taken, at the end of that period, to have decided to refuse the request.
(6) If the Regulator makes a decision on the request before the end of the period referred to in subsection (5), the Regulator must:
(a) notify the person of the Regulator’s decision; and
(b) if the decision is to vary the direction (whether or not in accordance with the request)—give the person a copy of the varied direction; and
(c) if the decision is to refuse to vary the direction, or to vary the direction otherwise than in accordance with the request—give the person written reasons for the decision.
(7) If a person makes a request under this section, then, for the purposes of subsection 159(6) or 160(4), the period specified in the direction for the purposes of subsection 159(4) or 160(3) is taken to be extended by 1 day for each day in the period:
(a) beginning at the start of the day the request was made; and
(b) ending at the end of the day that the Regulator notifies the person that a decision has been made on the request.
A person who is dissatisfied with:
(a) a decision of the Regulator to give a rectification direction or an education direction, or to vary one otherwise than in accordance with a request under section 164; or
(b) a decision of the Regulator under section 164 to refuse to vary a rectification direction or an education direction;
may object against the decision in the manner set out in Part IVC of the
Taxation Administration Act 1953 .
(1) If a person referred to in subsection (2) contravenes a provision of this Act specified in the table, the person is liable to an administrative penalty. The amount of the penalty is the amount specified in the table for the provision.
1 | Subsection 34(1) | 20 penalty units |
2 | Section 35B | 10 penalty units |
3 | Subsection 65(1) | 60 penalty units |
4 | Subsection 67(1) | 60 penalty units |
5 | Subsection 84(1) | 60 penalty units |
6 | Subsection 103(1) | 10 penalty units |
7 | Subsection 103(2) | 10 penalty units |
8 | Subsection 103(2A) | 10 penalty units |
9 | Subsection 104(1) | 10 penalty units |
10 | Subsection 104A(2) | 10 penalty units |
11 | Subsection 105(1) | 10 penalty units |
12 | Subsection 106(1) | 60 penalty units |
13 | Subsection 106A(1) | 20 penalty units |
14 | Subsection 124(1) | 5 penalty units |
15 | Subsection 160(4) | 5 penalty units |
16 | Subsection 254(1) | 5 penalty units |
17 | Subsection 347A(5) | 5 penalty units |
Note: See section 4AA of the
Crimes Act 1914 for the current value of a penalty unit.
(2) For the purposes of subsection (1), the persons are:
(a) a trustee of a self managed superannuation fund; or
(b) a director of a body corporate that is a trustee of a self managed superannuation fund.
Note: Collection and recovery of administrative penalties imposed by this section is dealt with in Part 4‑15 of Schedule 1 to the
Taxation Administration Act 1953 .(3) If a trustee of a self managed superannuation fund on whom a penalty is imposed by this section is an individual, a reference in Part 4‑15 or Division 298 in Schedule 1 to the
Taxation Administration Act 1953 to an entity is taken to be a reference to that individual in his or her personal capacity.
If:
(a) a person is liable to pay an amount by way of administrative penalty imposed by section 166 because of an act or omission of the person; and
(b) proceedings against the person are commenced for a contravention of a civil penalty provision constituted by the act or omission;
then (whether or not the proceedings are withdrawn):
(c) the person is not liable to pay the amount; and
(d) any amount paid, or applied by the Regulator, in total or partial discharge of that liability is to be refunded to the person, or applied by the Regulator in total or partial discharge of another tax‑related liability of the person.
Note: Section 8ZE of the
Taxation Administration Act 1953 deals with the situation of a person against whom a criminal prosecution is instituted.
An administrative penalty imposed by section 166 must not be paid or reimbursed from the assets of the fund in relation to which the administrative penalty was imposed.
(1) This section applies if a trustee of a self managed superannuation fund:
(a) is liable to an administrative penalty imposed by section 166; and
(b) is a body corporate.
(2) The directors of the body corporate at the time it becomes liable to the penalty are jointly and severally liable to pay the amount of the penalty.
Omit “Note”, substitute “Note 1”.
Add:
Note 2: Section 166 imposes an administrative penalty for a contravention of subsection (1) in relation to a self managed superannuation fund.
Add:
Note: Section 166 imposes an administrative penalty for a contravention of subsection (5) in relation to a self managed superannuation fund.
Add:
; or (d) an administrative penalty is imposed on an entity by section 166 of the
Superannuation Industry (Supervision) Act 1993 .
The amendments made by this Schedule apply to contraventions that occur on or after 1 July 2014.
Insert:
Phase‑out of rebate for medical expenses
(1A) A taxpayer is not entitled to a rebate of tax under this section in respect of the 2019‑20 year of income or a later year of income.
(1B) For the 2013‑14 to 2018‑19 years of income, an amount that would otherwise be paid as medical expenses is treated as
not being paid as medical expenses unless the payment:
(a) relates to an aid for a person with a disability; or
(b)
relates to services rendered by a person as an attendant of a person with a disability; or
(c) relates to care provided by an approved provider (within the meaning of the
Aged Care Act 1997 ) of a person who:
(i) is approved as a care recipient under that Act; or
(ii) is a continuing care recipient within the meaning of that Act.
(1C) However, subsection (1B) does not apply to amounts paid in a year of income as medical expenses in respect of a taxpayer:
(a) for the 2013‑14 year of income—if the taxpayer’s assessment for the 2012‑13 year of income included an amount of rebate under this section that was greater than nil; and
(b) for the 2014‑15 year of income—if the taxpayer’s assessment for both the 2012‑13 and 2013‑14 years of income included an amount of rebate under this section that was greater than nil.
(1D) Subsection (1B) also does not apply in working out a rebate of tax to which the trustee of a trust estate is entitled in respect of amounts paid in a year of income as medical expenses in respect of a beneficiary:
(a) for the 2013‑14 year of income—if the trustee’s assessment for the 2012‑13 year of income included an amount of rebate under this section in respect of the beneficiary that was greater than nil; and
(b) for the 2014‑15 year of income—if the trustee’s assessment for both the 2012‑13 and 2013‑14 years of income included an amount of rebate under this section in respect of the beneficiary that was greater than nil.
Repeal the subsection, substitute:
(2) In this section:
medical expenses means payments:
(a) to a legally qualified medical practitioner, nurse or chemist, or a public or private hospital, in respect of an illness or operation; or
(b) to a legally qualified dentist for dental services or treatment or the supply, alteration or repair of artificial teeth; or
(c) to a person registered under a law of a State or Territory as a dental mechanic in respect of charges lawfully made by that person for the supply, alteration or repair of artificial teeth; or
(d) for therapeutic treatment administered by direction of a legally qualified medical practitioner; or
(e) in respect of an artificial limb (or part of a limb), artificial eye or hearing aid; or
(f) in respect of a medical or surgical appliance (not otherwise specified in this definition) prescribed by a legally qualified medical practitioner; or
(g) for:
(i) the testing of eyes or the prescribing of spectacles or contact lenses by a person legally qualified to perform those services; or
(ii) the supply of spectacles or contact lenses in accordance with any such prescription; or
(h) as remuneration of a person for services rendered by him or her as an attendant of a person who is blind or permanently confined to a bed or an invalid chair; or
(i) for the maintenance of a dog used for the guidance or assistance of, but not social therapy for, a person with a disability, being a dog that the Commissioner is satisfied is properly trained in the guidance or assistance of persons with disabilities.
medical treatment means an act or thing where a payment in respect of the act or thing:
(a) is a medical expense; and
(b) is not a payment:
(i) to a legally qualified medical practitioner, nurse or chemist, or a public or private hospital, in respect of a cosmetic operation that is not a professional service (within the meaning of subsection 3(1) of the
Health Insurance Act 1973 ) for which a medicare benefit is payable under Part II of that Act; or(ii) to a legally qualified dentist for dental services that are, or dental treatment that is, solely cosmetic.
(3) For the purposes of the definitions of
medical expenses andmedical treatment in subsection (2), a payment is taken to be made to a legally qualified medical practitioner, nurse or chemist (thequalified person ) in respect of the provision of services or treatment, or the supply of goods, if:
(a) the payment is made to an employer (not being a public or private hospital) of the qualified person, or a person with whom the qualified person has entered into a contract for services; and
(b) the payment is made in respect of the provision of those services or that treatment, or the supply of those goods, by the qualified person.
(4) For the purposes of the definitions of
medical expenses andmedical treatment in subsection (2), a payment is taken to be made to a legally qualified dentist in respect of the provision of dental services or treatment or the supply, alteration or repair of artificial teeth if:
(a) the payment is made to an employer of the dentist, or a person with whom the dentist has entered into a contract for services; and
(b) the payment is made in respect of the provision of those services or that treatment or the supply, alteration or repair of those artificial teeth, by the dentist.
(5) For the purposes of the definitions of
medical expenses andmedical treatment in subsection (2), a payment is taken to be made to a person (aregistered dental mechanic ) registered under a law of a State or Territory as a dental mechanic in respect of charges lawfully made by the registered dental mechanic for the supply, alteration or repair of artificial teeth if:
(a) the payment is made to an employer of such a person, or a person with whom such a person has entered into a contract for services; and
(b) the charges are made in respect of the supply, alteration or repair of artificial teeth by the dental mechanic.
Repeal the following definitions:
(a) definition of
family tier 1 threshold ;(b) definition of
medical expense rebate higher phase‑in limit ;(c) definition of
medical expense rebate lower phase‑in limit ;(d) definition of
rebatable medical expense amount ;(e) definition of
singles tier 1 threshold .
Repeal the section.
Repeal the sections.
Omit:
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8 Section 13‑1 (table item headed “medical expenses”) Repeal the item.
1 Subsection 30‑25(2) (cell at table item 2.2.18, column headed “Fund, authority or institution”) Repeal the cell, substitute:
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2 Subsection 30‑80(2) (table item 9.2.23, column headed “Special conditions”) Omit “17 December 2011”, substitute “16 December 2014”.
Add:
12.2.4 | National Arboretum Canberra Fund | the gift must be made after 30 June 2013 |
Add:
13.2.20 | The Prince’s Charities Australia Limited | the gift must be made after 31 December 2013 |
Insert:
73AAA | National Arboretum Canberra Fund | item 12.2.4 |
Insert:
89A | Prince’s Charities Australia Limited | item 13.2.20 |
7 Subsection 30‑315(2) (table item 111A, column without a heading) Omit “of The Australian Industry Group”.
Repeal the item.
Repeal the item.
The endnotes provide information about this compilation and the compiled law.
The following endnotes are included in every compilation:
Endnote 1—About the endnotes
Endnote 2—Abbreviation key
Endnote 3—Legislation history
Endnote 4—Amendment history
Endnotes about misdescribed amendments and other matters are included in a compilation only as necessary.
The abbreviation key sets out abbreviations that may be used in the endnotes.
Amending laws are annotated in the legislation history and amendment history.
The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.
The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.
A misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation “(md)” added to the details of the amendment included in the amendment history.
If a misdescribed amendment cannot be given effect as intended, the amendment is set out in the endnotes.
A = Act | orig = original |
ad = added or inserted | par = paragraph(s)/subparagraph(s) |
am = amended | /sub‑subparagraph(s) |
amdt = amendment | pres = present |
c = clause(s) | prev = previous |
C[x] = Compilation No. x | (prev…) = previously |
Ch = Chapter(s) | Pt = Part(s) |
def = definition(s) | r = regulation(s)/rule(s) |
Dict = Dictionary | Reg = Regulation/Regulations |
disallowed = disallowed by Parliament | reloc = relocated |
Div = Division(s) | renum = renumbered |
exp = expires/expired or ceases/ceased to have | rep = repealed |
effect | rs = repealed and substituted |
F = Federal Register of Legislative Instruments | s = section(s)/subsection(s) |
gaz = gazette | Sch = Schedule(s) |
LI = Legislative Instrument | Sdiv = Subdivision(s) |
LIA = | SLI = Select Legislative Instrument |
(md) = misdescribed amendment | SR = Statutory Rules |
mod = modified/modification | Sub‑Ch = Sub‑Chapter(s) |
No. = Number(s) | SubPt = Subpart(s) |
o = order(s) | |
Ord = Ordinance | commenced or to be commenced |
Tax and Superannuation Laws Amendment (2014 Measures No. 1) Act 2014 | 11, 2014 | 18 Mar 2014 | Sch 2: 1 July 2014 (s 2(1) item 3) Sch 3 (items 3–8): 1 July 2019 (s 2(1) item 6) Sch 4 (items 8, 9): 17 Dec 2018 (s 2(1) item 8) Remainder: 18 Mar 2014 (s 2(1) items 1, 2, 4, 5, 7) | |
Tax and Superannuation Laws Amendment (2015 Measures No. 1) Act 2015 | 70, 2015 | 25 June 2015 | Sch 2 (items 33, 38): 25 June 2015 (s 2(1) item 7) | Sch 2 (item 38) |
item 4................................. | rs No 70, 2015 |
item 5................................. | rep No 70, 2015 |
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