Taxation Laws Amendment Act 1991 (Cth)
This compilation was prepared on 3 August 2010
taking into account amendments up to Act No. 75 of 2010
The text of any of those amendments not in force
on that date is appended in the Notes section
The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section
Prepared by the Office of Legislative Drafting and Publishing,
Attorney-General’s Department, Canberra
TABLE OF PROVISIONS
Section
1. Short
title [
2.
Commencement [
PART 2 - AMENDMENT OF THE FRINGE BENEFITS TAX ASSESSMENT ACT 1986
PART 3 - AMENDMENT OF THE INCOME TAX ASSESSMENT ACT 1936
14. Insertion of new section:
63D. Bad debts of money-lenders not allowable deductions where
attributable to listed country branches
16. Insertion of new section:
102AAZBA. Modified application of Part IIIA - effect of certain changes
of residence
35. Insertion of new section:
160APHB. Life assurance companies - application of rebates against
components of taxable income
36. Insertion of new section:
160APKA. No credits of a mutual life assurance company or SGIO
39. Insertion of new sections:
160APVA. Life assurance companies - credit reducing section 160APYA debit
160APVB. Life assurance companies - credit reducing section 160APYAA debit
160APVC. Life assurance companies - credit reducing section 160APYB debit
160APVD. Life assurance companies - credit reducing section 160APZ debit
160APVE. Life assurance companies - credit reducing section 160AQA debit
40. Insertion of new section:
160APWA. No debits of a mutual life assurance company or SGIO
42. Insertion of new sections:
160AQCD. Life assurance companies - debit reducing section 160APMA credit
160AQCE. Life assurance companies - debit reducing section 160APMB credit
160AQCF. Life assurance companies - debit reducing section 160APN or
160APNA credit
160AQCG. Life assurance companies - debit reducing section 160APR credit
160AQCH. Life assurance companies - debit reducing section 160APT credit
54. Insertion of new section:
160ZFB. Adjustment where change of residence by a company from unlisted
country to listed country
56. Transfer of assets from company or trust to spouse upon breakdown of
58. Insertion of new section:
160ZZNA. Transfer of partnership assets to wholly-owned company
61. Insertion of new Division:
160ZZRA. Interpretation
160ZZRB. When companies under common ownership
160ZZRC. Underlying interest
160ZZRD. Transfers of assets between companies under common ownership
160ZZRE. Shares in, and loans to, transferor - deemed disposal and
re-acquisition
160ZZRF. First asset acquired before transferor and transferee came under
common ownership - shares in, and loans to, transferor – reduction
in cost base etc.
160ZZRG. Indirect equity or debt interests in transferor - reduction in
cost base etc.
160ZZRH. Equity interests in transferee - compensatory increase in cost
base etc.
65. Insertion of new section:
160ZZRFA. First asset acquired when transferor and transferee under common
ownership - shares in, and loans to, transferor - reduction in
cost base etc.
75. Insertion of new section:
398A. Modified application of Division 3A of Part III
78. Insertion of new section:
418A. Effect of change of residence from Australia to listed or unlisted
country
81. Insertion of new section:
456A. Reduction of section 456 assessability where item subject to foreign
accruals tax
82. Insertion of new section:
459A. Assessability where CFC or CFT has interest in certain attributable
taxpayers
PART 4 - AMENDMENT OF THE INCOME TAX RATES ACT 1986
101. Repeal of section 8XA and substitution of new section:
8XA. Unauthorised access to taxation records
PART 6 - AMENDMENT OF THE TAXATION LAWS AMENDMENT (FOREIGN INCOME) ACT
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991 - LONG TITLE
An Act to amend the law relating to taxation
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 1
Short
title [
1. This Act may be cited as the Taxation Laws Amendment Act 1991.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 2
Commencement
[
2. (1) Subject to this section, this Act commences on the day on which it
receives the Royal Assent.
(2) Sections 9, 15, 33, 70, 81, 82 and 83 and Part 6 are taken to have
commenced immediately after the commencement of the Taxation Laws Amendment
(Foreign Income) Act 1990.
(3) Paragraph 34 (b) and sections 36, 40 and 87 are taken to have commenced
on 21 August 1990.
(4) Section 32, subsections 84 (9) and 93 (2), section 96 and subsection 97
(3) commence on 1 July 1991.
(5) Subsections 51 (2) and 59 (2), sections 62, 63, 64, 65 and 66 and
subsections 68 (2) and 84 (12) commence on the day after the day on which this
Act receives the Royal Assent.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 3
Principal Act
3. In this Part, "Principal Act" means the Fringe Benefits Tax Assessment
Act 1986.*1*
*1* No. 39, 1986, as amended. For previous amendments, see Nos. 48 and 112,
1986; Nos. 23 and 145, 1987; No. 139, 1987 (as amended by Nos. 11 and 78,
1988); Nos. 6, 78, 95, 97 and 153, 1988; Nos. 2, 11, 97 and 107, 1989; and
Nos. 37, 58, 60 and 135, 1990.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 4
Reduction of taxable value - "otherwise deductible" rule
4. Sections 19, 44 and 52 of the Principal Act are amended by omitting from
subparagraph (1) (b) (i) and sub-subparagraph (1) (ba) (ii) (A) "foreign
source deduction" and substituting "foreign income deduction".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 5
Reduction of taxable value - "otherwise deductible" rule
5. Section 24 of the Principal Act is amended by omitting from subparagraph
(1) (b) (iii) and sub-subparagraph (1) (ba) (ii) (A) "foreign source
deduction" and substituting "foreign income deduction".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 6
Interpretation
6. Section 136 of the Principal Act is amended by omitting from subsection
(1) the definition of "foreign source deduction" and substituting the
following definition:
"`foreign income deduction' has the same meaning as in section 160AFD of the
Income Tax Assessment Act 1936;".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 7
Application of amendments
7. The amendments made by this Part apply in relation to foreign income
deductions allowable under the Income Tax Assessment Act 1936 for the year of
income of the recipient of a fringe benefit commencing on 1 July 1990, or any
later year of income.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 8
Principal Act
8. In this Part, "Principal Act" means the Income Tax Assessment Act
1936.*2*
*2* No. 27, 1936, as amended. For previous amendments, see No. 88, 1936; No.
5, 1937; No. 46, 1938; No. 30, 1939; Nos. 17 and 65, 1940; Nos. 58 and 69,
1941; Nos. 22 and 50, 1942; No. 10, 1943; Nos. 3 and 28, 1944; Nos. 4 and 37,
1945; No. 6, 1946; Nos. 11 and 63, 1947; No. 44, 1948; No. 66, 1949; No. 48,
1950; No. 44, 1951; Nos. 4, 28 and 90, 1952; Nos. 1, 28, 45 and 81, 1953; No.
43, 1954; Nos. 18 and 62, 1955; Nos. 25, 30 and 101, 1956; Nos. 39 and 65,
1957; No. 55, 1958; Nos. 12, 70 and 85, 1959; Nos. 17, 18, 58 and 108, 1960;
Nos. 17, 27 and 94, 1961; Nos. 39 and 98, 1962; Nos. 34 and 69, 1963; Nos. 46,
68, 110 and 115, 1964; Nos. 33, 103 and 143, 1965; Nos. 50 and 83, 1966; Nos.
19, 38, 76 and 85, 1967; Nos. 4, 70, 87 and 148, 1968; Nos. 18, 93 and 101,
1969; No. 87, 1970; Nos. 6, 54 and 93, 1971; Nos. 5, 46, 47, 65 and 85, 1972;
Nos. 51, 52, 53, 164 and 165, 1973; No. 216, 1973 (as amended by No. 20,
1974); Nos. 26 and 126, 1974; Nos. 80 and 117, 1975; Nos. 50, 53, 56, 98, 143,
165 and 205, 1976; Nos. 57, 126 and 127, 1977; Nos. 36, 57, 87, 90, 123, 171
and 172, 1978; Nos. 12, 19, 27, 43, 62, 146, 147 and 149, 1979; Nos. 19, 24,
57, 58, 124, 133, 134 and 159, 1980; Nos. 61, 92, 108, 109, 110, 111, 154 and
175, 1981; Nos. 29, 38, 39, 76, 80, 106 and 123, 1982; Nos. 14, 25, 39, 49,
51, 54 and 103, 1983; Nos. 14, 42, 47, 63, 76, 115, 124, 165 and 174, 1984;
No. 123, 1984 (as amended by No. 65, 1985); Nos. 47, 49, 104, 123, 168 and
174, 1985; No. 173, 1985 (as amended by No. 49, 1986); Nos. 41, 46, 48, 51,
109, 112 and 154, 1986; No. 49, 1986 (as amended by No. 141, 1987); No. 52,
1986 (as amended by No. 141, 1987); No. 90, 1986 (as amended by No. 141,
1987); Nos. 23, 58, 61, 120, 145 and 163, 1987; No. 62, 1987 (as amended by
No. 108, 1987); No. 108, 1987 (as amended by No. 138, 1987); No. 138, 1987 (as
amended by No. 11, 1988); No. 139, 1987 (as amended by Nos. 11 and 78, 1988);
Nos. 8, 11, 59, 75, 78, 80, 87, 95, 97, 127 and 153, 1988; Nos. 2, 11, 56, 70,
73, 105, 107, 129, 163 and 167, 1989; No. 97, 1989 (as amended by No. 105,
1989); and Nos. 20, 35, 37, 45, 57, 58, 60, 61, 87, 119 and 135, 1990.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 9
Foreign income and foreign tax
9. Section 6AB of the Principal Act is amended:
by omitting from subsection (1) "or 459" and substituting ", 459 or
459A";
(b) by omitting from paragraph (3A) (a) "or 459" and substituting ", 459 or
459A".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 10
Exemption of certain pensions
10. Section 23AD of the Principal Act is amended:
(a) by omitting "Part VI" from subparagraph (b) (i) of the definition of
"excepted payment" in subsection (1) and substituting "VI, section 68";
(b) by inserting "or Schedule 1B" before "of the" in subparagraph (b) (i) of
the definition of "excepted payment" in subsection (1);
(c) by omitting paragraph (g) of the definition of "excepted payment" in
subsection (1) and substituting the following paragraph:
a payment under subsection 57A (2) or subparagraph 57A (3) (b) (ii)
of the Veterans' Entitlements Act 1986;";
(d) by omitting from paragraph (a) of the definition of "excepted pension"
in subsection (1) "or section 237" and substituting "or section 67";
(e) by omitting from paragraph (c) of the definition "excepted pension" in
subsection (1) "or the veteran being cared for by a person" and substituting
", the veteran being cared for by a person or the deceased veteran who was
being cared for by a person";
(f) by inserting in subsection (1) the following definition:
" `age-pension age' means:
in the case of a woman - 60 years; or
in the case of a man - 65 years;";
(g) by inserting in paragraph (3) (a) "or payments under subsection 57A (2)
or subparagraph 57A (3) (b) (ii) of the Veterans' Entitlements Act 1986" after
"excepted payments" (first occurring);
(h) by omitting paragraph (3) (aaa);
(j) by omitting from paragraph (3) (c) "subsection 365 (2) of the Imperial
Act known as the Income and Corporation Taxes Act 1970" and substituting
"subsection 315 (2) of the Income and Corporation Taxes Act 1988 of the United
Kingdom";
(k) by inserting in paragraph (3) (d) "or payments under subsection 66 (2)
or subparagraph 66 (3) (b) (ii) of the Social Security Act 1947" after
"excepted payments";
(m) by omitting "and" from the end of paragraph (3) (d);
(n) by omitting paragraph (3) (e) and substituting the following
paragraphs:
if a payment is made to or in respect of the taxpayer under
subsection 66 (2) of the Social Security Act 1947 on a particular pension
pay-day and both of the following subparagraphs apply:
the taxpayer had not attained age-pension age on the pension pay-day;
no part of the pension or allowance payable to or in respect of the
taxpayer immediately before the death of the deceased pensioner concerned was
an excepted payment;
so much of that payment under that subsection as represents an amount covered
by paragraph (a) of that subsection;
if a payment is made to or in respect of the taxpayer under subsection
66 (2) of the Social Security Act 1947 on a particular pension pay-day and all
of the following subparagraphs apply:
the taxpayer had not attained age-pension age on the pension pay-day;
the whole or a part of the pension or allowance payable to or in
respect of the taxpayer immediately before the death of the deceased pensioner
concerned (which pension or allowance is in this paragraph called the
`original pension or allowance') was an excepted payment;
the deceased pensioner had attained age-pension age;
no part of the original pension or allowance would have been an
excepted payment if the deceased pensioner had not attained age-pension age
before the death;
so much of that payment under that subsection as represents an amount covered
by paragraph (a) of that subsection;
if:
a payment is made to or in respect of the taxpayer under subsection 66
(2) of the Social Security Act 1947; and
neither paragraph (e) nor (f) of this subsection applies to so much of
that payment as represents an amount covered by paragraph 66 (2) (a) of that
Act (which part of that payment is in this paragraph called the `paragraph 66
(2) (a) amount');
so much of the paragraph 66 (2) (a) amount as does not represent an excepted
payment;
so much of a payment under subsection 66 (2) of the Social Security Act
1947 as represents an amount covered by paragraph (b) of that subsection;
in the case of a taxpayer to whom paragraph 66 (3) (a) of the Social
Security Act 1947 applies - so much of the total excepted payments made to the
taxpayer under that Act on any one of the 7 pension pay-days after the death
of the deceased pensioner concerned as exceeds the total excepted payments
that would have been payable to or in respect of the taxpayer on that pension
pay-day if the deceased pensioner had not died;
if paragraph 66 (3) (b) of the Social Security Act 1947 applies to the
taxpayer - so much of the sum of:
the excepted payments made to the taxpayer under that Act:
on the first available pension pay-day after the
notification day referred to in subparagraph 66 (3) (b) (i) of that Act; and
on a subsequent pension pay-day, being one of the 7
pension pay-days after the death of the deceased pensioner concerned; and
the payment made to the taxpayer under subparagraph 66 (3) (b) (ii) of
that Act;
as does not exceed the amount obtained by:
ascertaining for:
the first available pension pay-day after the
notification day referred to in subparagraph 66 (3) (b) (i) of that Act; and
each subsequent pension pay-day, being one of the 7
pension pay-days after the death of the deceased pensioner concerned;
the amount calculated using the following formula:
Notional CMR - Notional NR
where:
`Notional CMR' (Notional Combined Married Rate) means the sum of:
so much of the amount that would have been payable to
the taxpayer on the pension pay-day if the deceased pensioner had not died as
is not an excepted payment; and
the amount that would have been payable to the deceased
pensioner on the pension pay-day if the deceased pensioner had not died;
`Notional NR' (Notional New Rate) means so much of the amount that would have
been payable to the taxpayer as an unmarried person on the pension pay-day as
is not an excepted payment; and
aggregating the amounts calculated under subparagraph (iii) of this
paragraph;
payments under subsection 66 (4) or section 69 or 70 of the Social
Security Act 1947;
if a payment is made to or in respect of the taxpayer under subsection
57A (2) of the Veterans' Entitlements Act 1986 on a particular pension pay-day
and both of the following subparagraphs apply:
the taxpayer had not attained age-pension age on the pension pay-day;
no part of the pension or allowance payable to or in respect of the
taxpayer immediately before the death of the deceased pensioner concerned was
an excepted payment;
so much of that payment under that subsection as represents an amount covered
by paragraph (a) of that subsection;
if a payment is made to or in respect of the taxpayer under subsection
57A (2) of the Veterans' Entitlements Act 1986 on a particular pension pay-day
and all of the following subparagraphs apply:
the taxpayer had not attained age-pension age on the pension pay-day;
the whole or a part of the pension or allowance payable to or in
respect of the taxpayer immediately before the death of the deceased pensioner
concerned (which pension or allowance is in this paragraph called the
`original pension or allowance') was an excepted payment;
the deceased pensioner had attained age-pension age;
no part of the original pension or allowance would have been an
excepted payment if the deceased pensioner had not attained age-pension age
before the death;
so much of that payment under that subsection as represents an amount covered
by paragraph (a) of that subsection;
if:
a payment is made to or in respect of the taxpayer under subsection 57A
(2) of the Veterans' Entitlements Act 1986; and
neither paragraph (p) nor (q) of this subsection applies to so much of
that payment as represents an amount covered by paragraph 57A (2) (a) of that
Act (which part of that payment is in this paragraph called the `paragraph 57A
(2) (a) amount');
so much of the paragraph 57A (2) (a) amount as does not represent an excepted
payment;
so much of a payment under subsection 57A (2) of the Veterans'
Entitlements Act 1986 as represents an amount covered by paragraph (b) of that
subsection;
in the case of a taxpayer to whom paragraph 57A (3) (a) of the
Veterans' Entitlements Act 1986 applies - so much of the total excepted
payments made to or in respect of the taxpayer under that Act on any one of
the 7 pension pay-days after the death of the deceased pensioner concerned as
exceeds the total excepted payments that would have been payable to or in
respect of the taxpayer on that pension pay-day if the deceased pensioner had
not died;
if paragraph 57A (3) (b) of the Veterans' Entitlements Act 1986 applies
to the taxpayer - so much of the sum of:
the excepted payments made to the taxpayer under that Act:
on the first available pension pay-day after the
notification day referred to in subparagraph 57A (3) (b) (i) of that Act; and
on a subsequent pension pay-day, being one of the 7
pension pay-days after the death of the deceased pensioner concerned; and
the payment made to the taxpayer under subparagraph 57A (3) (b) (ii)
of that Act;
as does not exceed the amount obtained by:
ascertaining for:
the first available pension pay-day after the
notification day referred to in subparagraph 57A (3) (b) (i) of that Act; and
each subsequent pension pay-day, being one of the 7
pension pay-days after the death of the deceased pensioner concerned;
the amount calculated using the following formula:
Notional CMR - Notional NR
where:
`Notional CMR' (Notional Combined Married Rate) means the sum of:
so much of the amount that would have been payable to
the taxpayer on the pension pay-day if the deceased pensioner had not died as
is not an excepted payment; and
the amount that would have been payable to the deceased
pensioner on the pension pay-day if the deceased pensioner had not died;
`Notional NR' (Notional New Rate) means so much of the amount that would have
been payable to the taxpayer as an unmarried person on the pension pay-day as
is not an excepted payment; and
aggregating the amounts calculated under subparagraph (iii) of this
paragraph;
payments under subsection 57A (4) or section 57C or 57D of the
Veterans' Entitlements Act 1986;
payments under section 98A of the Veterans' Entitlements Act 1986;
payments under section 24B of the Seamen's War Pensions and Allowances
Act 1940.";
by inserting after subsection (3) the following subsections:
"(3A) Subsections 66 (6), (12), (13) and (14) of the Social Security Act 1947
apply in working out amounts covered by paragraphs (3) (j) and (k) of this
section in a corresponding way to the way in which those subsections apply in
working out amounts referred to in section 66 of that Act.
"(3B) Subsections 57A (6), (12), (13) and (14) of the Veterans' Entitlements
Act 1986 apply in working out amounts covered by paragraphs (3) (t) and (u) of
this section in a corresponding way to the way in which those subsections
apply in working out amounts referred to in section 57A of that Act.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 11
Exemption of foreign branch profits of Australian companies
11. Section 23AH of the Principal Act is amended:
by omitting from paragraph (6) (c) "the asset" and substituting "during
the period after the start of the year of income immediately preceding the
disposal year of income when the asset was owned by the taxpayer, the asset";
by omitting paragraph (6) (d) and substituting the following
paragraph:
the disposal is not a disposal of a taxable
Australian asset of the taxpayer;";
by omitting from paragraph (7) (c) "the partnership asset" and
substituting "during the period after the start of the year of income
immediately preceding the disposal year of income when the partnership asset
was a partnership asset of the partnership, the partnership asset";
by omitting paragraph (7) (d) and substituting the following
paragraph:
the disposal of the taxpayer's asset is not a
disposal of a taxable Australian asset of the taxpayer;";
by inserting after subsection (8) the following subsection:
"(8A) Where:
a taxpayer, being a company, disposes of an asset; and
a loss of a capital nature is incurred by the taxpayer in respect of
the disposal; and
if, instead, a gain or profit of a capital nature had accrued to the
taxpayer in respect of the disposal, that gain or profit would be a foreign
branch capital gain;
no capital loss is incurred by the taxpayer under Part IIIA in respect of the
disposal of the asset.";
by inserting after subsection (9) the following subsection:
"(9A) Where:
a taxpayer, being the trustee of a trust estate, disposes of an asset;
and
a loss of a capital nature is incurred by the taxpayer in respect of
the disposal; and
if, instead, a gain or profit of a capital nature had accrued to the
taxpayer in respect of the disposal, that gain or profit would be a foreign
branch capital gain; and
a capital loss is incurred by the taxpayer under Part IIIA in respect
of the disposal of the asset; and
if no capital loss had been incurred by the taxpayer under Part IIIA in
respect of the disposal of the asset, the following conditions would have been
satisfied in relation to another taxpayer (in this subsection called the
`actual taxpayer'):
the actual taxpayer is a company;
an amount (in this subsection called the `included amount') would have
been included in the assessable income of the actual taxpayer of a year of
income under subsection 92 (1) or section 97, 98A or 100;
the assessable income of the actual taxpayer of the year of income includes so
much of the included amount as is attributable to a period when the actual
taxpayer was a resident.";
by omitting from subsection (10) "and (8)" and substituting ", (8),
(8A) and (9A)".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 12
Distribution benefits - CFCs
12. Section 47A of the Principal Act is amended:
by omitting from paragraph (2) (a) "either" and substituting "any";
by omitting subparagraph (2) (a) (ii) and substituting the following
subparagraphs:
by virtue of subsection (1), the whole or a part of the distribution
payment would, apart from section 23AI or 23AJ, be included in the assessable
income of a taxpayer of the year of income in which the distribution time
occurred under section 44;
by virtue of subsection (1), an amount is included in
the assessable income of a taxpayer of a year of income under section 458 in
respect of the distribution payment;
by virtue of subsection (1), an amount would, apart
from section 365 or Division 6 of Part X, be included in the assessable income
of a taxpayer of a year of income under section 458 in respect of the
distribution payment; and";
by omitting paragraph (2) (b) and substituting the following
paragraph:
both of the following subparagraphs apply:
the taxpayer's return of income for the year of income was not prepared
on the basis that the distribution payment had the consequence specified in
subsection (1);
the taxpayer has not notified the Commissioner, in writing, within 12
months after the end of the year of income, that the distribution payment had
the consequence specified in subsection (1);";
by inserting after subsection (18) the following subsections:
"(18A) An assessment may be made of a taxpayer on the assumption that
subsection (2) will not be applicable in relation to a particular distribution
payment made during a year of income of the taxpayer.
"(18B) Where:
the assessment mentioned in subsection (18A) is made; and
after the making of the assessment, the Commissioner becomes aware that
subsection (2) was applicable in relation to the distribution payment
concerned;
then, in spite of anything in section 170, the Commissioner may amend the
assessment at any time for the purposes of ensuring that the assessment is
made as if subsection (18A) of this section were disregarded.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 13
Bad debts
13. Section 63 of the Principal Act is amended by omitting from subsection
(3) "that amount" and substituting "the lesser of:
the amount received; and
the deduction, as reduced by any amount previously included in the
taxpayer's assessable income under this subsection in respect of the debt.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 14
14. After section 63C of the Principal Act the following section is
inserted:
Bad debts of money-lenders not allowable deductions
where attributable to listed country branches
"63D. (1) Where:
apart from this section, a deduction would be allowable to a taxpayer
under section 51 or 63 in respect of the writing off of a debt as bad; and
the debt was created or acquired in the ordinary course of a
money-lending business of the taxpayer who carries on that business; and
during any part or parts (which part or the total of which parts is in
this subsection called the `listed country branch period') of the period since
the debt was so created or acquired (in this subsection called the `debt
holding period'), it is the case that, if income had been derived by the
taxpayer in respect of the debt, the income would not, because of section
23AH, have been included in the assessable income of the taxpayer;
then only so much of the deduction is allowable as equals the amount
calculated using the formula:
Debt holding period - Listed country branch period
Eligible debt term
where:
`Debt holding period' means the number of days in the debt holding period;
`Listed country branch period' means the number of days in the listed country
branch period;
`Eligible debt term' means:
where the debt was acquired from a person other than an associate,
within the meaning of Part IIIA - the number of days in the debt holding
period; or
in any other case - the number of days in the period beginning on the
day on which the debt was created (whether by the taxpayer or another person)
and ending at the end of the day on which it was written off.
"(2) Where a debt that is written off was acquired from another person, the
creation, and any previous acquisition, of the debt is to be disregarded for
the purposes of applying subsection (1), other than paragraph (1) (e).".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 15
Certain provisions to be disregarded in calculating attributable income
15. Section 102AAW of the Principal Act is amended by omitting "and 459" and
substituting ", 459 and 459A".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 16
16. After section 102AAZB of the Principal Act the following section is
inserted:
Modified application of Part IIIA - effect of certain changes of residence
"102AAZBA. For the purposes of applying this Act in calculating the
attributable income of a trust estate of a year of income (in this section
called the `attributable income year'), where:
disregarding the assumption in paragraph 102AAZB (b), at any time (in
this section called the `residence-change time') during the attributable
income year or an earlier year of income, the trust estate ceased to be a
resident trust estate or a resident unit trust, as the case may be, within the
meaning of Part IIIA and became a non-resident trust estate; and
the trust estate owned an asset at the residence-change time; and
the trust estate disposed of the asset during the attributable income
year; and
subsection 160M (9) or (10) applies to the asset in respect of the
change of residence for the purposes of the application of this Act apart from
this Subdivision;
then sections 411 to 417 (inclusive) apply to the asset as if:
those sections had effect for the purposes of calculating attributable
income under this Subdivision instead of Part X; and
any reference in those sections to an eligible CFC were a reference to
the trust estate; and
any reference in those sections to a 30 June 1990 non-taxable
Australian asset were a reference to the asset; and
any reference in those sections relating to 30 June 1990 or 1 July 1990
were a reference relating respectively to the residence-change time or a time
immediately after the residence-change time; and
the following provisions were omitted:
sub-subparagraphs 412 (2) (a) (i) (B) and (ii) (B);
subparagraphs 414 (2) (a) (ii) and (b) (ii);
subparagraphs 415 (2) (a) (ii) and (b) (ii);
subparagraphs 416 (2) (a) (ii) and (b) (ii);
subparagraphs 417 (2) (a) (ii) and (b) (ii).".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 17
Interpretation
17. Section 122 of the Principal Act is amended:
by omitting "in Australia" (wherever occurring) from the definition of
"mining or prospecting right" in subsection (1);
by omitting "in Australia" from the definition of "prescribed mining
operations" in subsection (1).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 18
Exploration and prospecting expenditure
18. Section 122J of the Principal Act is amended by omitting from subsection
(1) and subparagraph (4D) (b) (i) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 19
Interpretation
19. Section 122JB of the Principal Act is amended:
by omitting "in Australia" from the definition of "eligible quarrying
operations" in subsection (1);
by omitting "in Australia" (wherever occurring) from the definition of
"quarrying or prospecting right" in subsection (1).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 20
Exploration and prospecting expenditure
20. Section 122JF of the Principal Act is amended by omitting from
subsection (1) and subparagraph (7) (b) (i) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 21
Application of Subdivision
21. Section 123A of the Principal Act is amended by omitting from
subsections (1) and (1A) "in Australia" (wherever occurring).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 22
Application of Subdivision
22. Section 123BD of the Principal Act is amended by omitting from
subsection (1) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 23
Interpretation
23. Section 124 of the Principal Act is amended by omitting "in Australia"
from the definition of "prescribed petroleum operations" in subsection (1).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 24
Allowable capital expenditure in respect of cash bidding payments for
exploration permits and production licences
24. Section 124ABA of the Principal Act is amended by adding at the end the
following subsection:
"(7) Where:
a law of a foreign country is declared by the regulations to contain
provisions equivalent to those of Divisions 2 and 3 of Part III of the
Petroleum Act; and
the Commissioner considers that, if the preceding provisions of this
section had applied in relation to the law of the foreign country in the same
way, with appropriate modifications, as they apply in relation to Divisions 2
and 3 of Part III of the Petroleum Act, the taxpayer would have been taken by
this section to have incurred an amount of expenditure of a capital nature at
a particular time;
then the taxpayer is taken by this section to have incurred that amount of
expenditure at that time.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 25
Exploration and prospecting expenditure
25. Section 124AH of the Principal Act is amended by omitting from
subsection (1) and subparagraph (4C) (b) (i) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 26
Prospecting or mining by contractors, profit-sharing arrangements etc.
26. Section 124AJ of the Principal Act is amended by omitting from
subsections (2) and (3) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 27
Double deductions
27. Section 124AN of the Principal Act is amended by omitting from
subsection (2) "in Australia".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 28
Interpretation
28. Section 124K of the Principal Act is amended by omitting from subsection
(1) the definition of "unit of industrial property" and substituting the
following definition:
"`unit of industrial property' means:
rights possessed by a person under a law of Australia as:
the grantee or proprietor of a patent for an invention;
or
the owner of a copyright; or
the owner of a registered design; or
a licensee under such a patent, copyright or design;
and includes equitable rights in respect of such a patent, copyright or design
or in respect of a licence under such a patent, copyright or design; or
rights possessed by a person under a law of a foreign country that are
equivalent to the rights referred to in paragraph (a).".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 29
Interpretation
29. Section 124ZF of the Principal Act is amended by omitting from
subsection (1) the definition of "research and development activities" and
substituting the following definition: " `research and development activities'
means activities that:
either:
are research and development activities for the purposes of section
73B; or
would be research and development activities for the purposes of that
section if either or both of the following amendments were made:
an amendment of the definition of `research and development activities'
in subsection (1) of that section so that references in that definition to
activities carried on in Australia included references to activities carried
on outside Australia;
an amendment of subsection (2A) of that section so that references in
that subsection to an eligible company included references to a person other
than an eligible company; and
are carried on by a person in connection with a business carried on by
the person for the purposes of gaining or producing assessable income;".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 30
Qualifying expenditure
30. Section 124ZG of the Principal Act is amended by omitting from paragraph
(2A) (a) "in Australia" (wherever occurring).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 31
Interpretation
31. Section 159GZZJ of the Principal Act is amended by omitting "or (c)"
from paragraph (c) of the definition of "notional writing-down assumptions".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 32
Rebate for medical expenses
32. Section 159P of the Principal Act is amended by omitting from subsection
(3A) "21%" and substituting "20%".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 33
Passive income
33. Section 160AEA of the Principal Act is amended by omitting "or 459" from
paragraph (n) of the definition of "passive income" in subsection (1) and
substituting ", 459 or 459A".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 34
Interpretation
34. Section 160APA of the Principal Act is amended:
(a) by inserting after paragraph (a) of the definition of "applicable
general company tax rate" the following paragraph:
in relation to an amount calculated for a year of income using the
formula in any of the following provisions:
sections 160APVA to 160APVE (inclusive);
sections 160AQCD to 160AQCH (inclusive);
the general company tax rate for the year of tax to which the year of income
relates;";
by inserting the following definitions:
" `AD/RLA component' has the same meaning as in Division 8
of Part III;
`CS/RA component' has the same meaning as in Division 8 of
Part III;
`mutual life assurance company' has the same meaning as in
Division 8 of Part III;
`NCS component' has the same meaning as in Division 8 of
Part III;
`non-fund component' has the same meaning as in Division 8
of Part III;".
35. After section 160APHA of the Principal Act the following section is
inserted:
Life assurance companies - application of rebates against
components of taxable income
"160APHB. (1) This section applies in working out any of the following for
the purposes of this Part:
how much of the company tax assessed to a life assurance company for a
year of income is attributable to the non-fund component;
how much of an amount of a reduction or increase in the company tax of
a life assurance company for a year of income is attributable to the non-fund
component;
how much of the estimated tax of a life assurance company for a year of
income relates to the following components of taxable income:
the CS/RA component;
the AD/RLA component;
the NCS component.
"(2) Rebates of tax (other than rebates under section 46 or 46A) are taken
to be applied against components of taxable income in the following order:
components other than the non-fund component;
the non-fund component.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 36
36. After section 160APK of the Principal Act the following section is
inserted:
No credits of a mutual life assurance company or SGIO
"160APKA. A franking credit of a mutual life assurance company or SGIO does
not arise after 21 August 1990.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 37
Receipt of franked dividends
37. Section 160APP of the Principal Act is amended by omitting from
subsection (5) "No franking credit arises" and substituting "The franking
credit is to be reduced by 80%".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 38
Receipt of franked dividends through trusts and partnerships
38. Section 160APQ of the Principal Act is amended by omitting from
subsection (3) "No franking credit arises" and substituting "The franking
credit is to be reduced by 80%".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 39
39. After section 160APV of the Principal Act the following sections are
inserted:
Life assurance companies - credit reducing section 160APYA debit
"160APVA. (1) Where, on a particular day, a franking debit of a life
assurance company arises under section 160APYA in relation to an initial
payment of tax made by the company under section 221AP in respect of a year of
income (in this section called the `current year of income') that was applied
by the Commissioner, there arises on that day a franking credit of the company
worked out under subsection (2) of this section.
"(2) The amount of the franking credit is equal to the adjusted amount in
relation to the amount calculated for the current year of income using the
formula:
Non-fund component
year's - of preceding year's
X payment X company tax company tax
applied
Preceding year's company tax
where:
`Initial payment applied' means the amount of the initial payment of tax that
was so applied;
`Preceding year's company tax' means the company tax assessed to the company
for the year of income (in this subsection called the `preceding year of
income') that immediately preceded the current year of income;
`Non-fund component of preceding year's company tax' means so much of the
company tax assessed to the company for the preceding year of income as is
attributable to the non-fund component.
Life assurance companies - credit reducing section 160APYAA debit
"160APVB. (1) Where, on a particular day, a franking debit of a life
assurance company arises under section 160APYAA in relation to a further
payment on account of tax in respect of a year of income (in this section
called the `current year of income') that was applied by the Commissioner,
there arises on that day a franking credit of the company worked out under
subsection (2) of this section.
"(2) The amount of the franking credit is equal to the adjusted amount in
relation to the amount calculated for the current year of income using the
formula:
Non-fund component
year's - of preceding year's
X payment X company tax company tax
applied
Preceding year's company tax
where:
`Further payment applied' means the amount of the further payment that was so
applied;
`Preceding year's company tax' means the company tax assessed to the company
for the year of income (in this subsection called the `preceding year of
income') that immediately preceded the current year of income;
`Non-fund component of preceding year's company tax' means so much of the
company tax assessed to the company for the preceding year of income as is
attributable to the non-fund component.
Life assurance companies - credit reducing section 160APYB debit
"160APVC. (1) Where, on a particular day, a franking debit of a life
assurance company arises under section 160APYB in relation to an amount
received as a refund in relation to a year of income (in this section called
the `current year of income'), there arises on that day a franking credit of
the company worked out under subsection (2) of this section.
"(2) The amount of the franking credit is equal to the adjusted amount in
relation to the amount calculated for the current year of income using the
formula:
Non-fund component
year's - of preceding year's
X amount X company tax company tax
Preceding year's company tax
where:
`Refunded amount' means the amount received as a refund;
`Preceding year's company tax' means the company tax assessed to the company
for the year of income (in this subsection called the `preceding year of
income') that immediately preceded the current year of income;
`Non-fund component of preceding year's company tax' means so much of the
company tax assessed to the company for the preceding year of income as is
attributable to the non-fund component.
Life assurance companies - credit reducing section 160APZ debit
"160APVD. Where, on a particular day, a franking debit of a life assurance
company arises under section 160APZ in relation to a reduction in the company
tax of the company for a year of income, there arises on that day a franking
credit of the company equal to the adjusted amount in relation to the amount
calculated using the formula:
X Overall Non-fund
- component
of reduction
where:
`Overall reduction' means the amount of the reduction;
`Non-fund component of reduction' means so much of the amount of the reduction
as is attributable to the non-fund component.
Life assurance companies - credit reducing section 160AQA debit
"160APVE. Where, on a particular day, a franking debit of a life assurance
company arises under section 160AQA in relation to a foreign tax credit, or an
increase in a foreign tax credit, allowable in relation to a year of income,
there arises on that day a franking credit of the company equal to the
adjusted amount in relation to the amount calculated using the formula:
Non-fund component
X foreign tax credit - of original/increased
foreign tax credit
where:
`Original/increased foreign tax credit' means the amount of the foreign tax
credit or of the increase, as the case requires;
`Non-fund component of original/increased foreign tax credit' means so much of
the foreign tax credit or of the increase, as the case requires, as is
attributable to the non-fund component.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 40
40. After section 160APW of the Principal Act the following section is
inserted:
No debits of a mutual life assurance company or SGIO
"160APWA. A franking debit of a mutual life assurance company or SGIO does
not arise after 21 August 1990.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 41
Waiver of franking deficit tax
41. Section 160APYC of the Principal Act is amended:
by inserting in paragraph (a) "or (e)" after "(c)";
by omitting from paragraph (b) "tax." and substituting "tax; or";
by adding at the end the following paragraph:
if paragraph 160AQJ (2) (f) applies - the adjusted amount in relation
to so much of the amount of the relevant franking deficit tax referred to in
that paragraph as is equal to the amount calculated using the formula:
Initial payment - (0.8 X Fund component)
where:
`Initial payment' means the amount of the initial payment of tax;
`Fund component' means so much of the initial payment of tax as is
attributable to so much of the estimated tax as relates to the following
components of taxable income:
the CS/RA component;
the AD/RLA component;
the NCS component.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 42
42. After section 160AQCC of the Principal Act the following sections are
inserted:
Life assurance companies - debit reducing section 160APMA credit
"160AQCD. (1) Where, on a particular day, a franking credit of a life
assurance company arises under section 160APMA in relation to an initial
payment of tax that the company is required to make under section 221AP in
respect of a year of income (in this section called the `current year of
income') there arises on that day a franking debit of the company worked out
under subsection (2) of this section.
"(2) The amount of the franking debit is equal to the adjusted amount in
relation to the amount calculated for the current year of income using the
formula:
Non-fund component
year's - of preceding year's
X payment X company tax company tax
Preceding year's company tax
where:
`Initial payment' means the initial payment of tax;
`Preceding year's company tax' means the company tax assessed to the company
for the year of income (in this subsection called the `preceding year of
income') that immediately preceded the current year of income;
`Non-fund component of preceding year's company tax' means so much of the
company tax assessed to the company for the preceding year of income as is
attributable to the non-fund component.
Life assurance companies - debit reducing section 160APMB credit
"160AQCE. (1) Where, on a particular day, a franking credit of a life
assurance company arises under section 160APMB in relation to a further
payment on account of tax in respect of a year of income (in this section
called the `current year of income'), there arises on that day a franking
debit of the company worked out under subsection (2) of this section.
"(2) The amount of the franking debit is equal to the adjusted amount in
relation to the amount calculated for the current year of income using the
formula:
Non-fund component
year's of preceding year's
X payment X company tax company tax
Preceding year's company tax
where:
`Further payment' means the amount of the further payment;
`Preceding year's company tax' means the company tax assessed to the company
for the year of income (in this subsection called the `preceding year of
income') that immediately preceded the current year of income;
`Non-fund component of preceding year's company tax' means so much of the
company tax assessed to the company for the preceding year of income as is
attributable to the non-fund component.
Life assurance companies - debit reducing section 160APN or 160APNA credit
"160AQCF. Where, on a particular day, a franking credit of a life assurance
company arises under section 160APN or 160APNA in relation to an original
company tax assessment for a year of income, there arises on that day a
franking debit of the company equal to the adjusted amount in relation to the
amount calculated using the formula:
Non-fund
X tax - component of
company tax
where:
`Company tax' means the company tax assessed to the company;
`Non-fund component of company tax' means so much of the company tax assessed
to the company for the year of income as is attributable to the non-fund
component.
Life assurance companies - debit reducing section 160APR credit
"160AQCG. Where, on a particular day, a franking credit of a life assurance
company arises under section 160APR in relation to an increase in the company
tax of the company for a year of income, there arises on that day a franking
debit of the company equal to the adjusted amount in relation to the amount
calculated using the formula:
Non-fund
X - component of
increase
where:
`Overall increase' means the amount of the increase;
`Non-fund component of increase' means so much of the increase as is
attributable to the non-fund component.
Life assurance companies - debit reducing section 160APT credit
"160AQCH. Where, on a particular day, a franking credit of a life assurance
company arises under section 160APT in relation to a reduction of a foreign
tax credit allowable in relation to a year of income, there arises on that day
a franking debit of the company equal to the adjusted amount in relation to
the amount calculated using the formula:
X Overall reduction Non-fund
component of
reduction
where:
`Overall reduction' means the amount of the reduction;
`Non-fund component of reduction' means so much of the reduction as is
attributable to the non-fund component.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 43
Liability to franking deficit tax
43. Section 160AQJ of the Principal Act is amended:
(a) by inserting in paragraphs (2) (c) and (d) "the company is not a life
assurance company and" after "if";
(b) by omitting from paragraph (2) (d) "excess." and substituting "excess;
or";
(c) by adding at the end of subsection (2) the following paragraphs:
if the company is a life assurance company and the amount of the
relevant franking deficit tax does not exceed the amount calculated using the
formula:
(0.8 X Fund component)
where:
`Initial payment' means the amount of the initial payment
of tax;
`Fund component' means so much of the initial payment of
tax as is attributable to so much of the estimated tax as relates to the
following components of taxable income:
the CS/RA component;
the AD/RLA component;
the NCS component;
the company is not liable to pay tax under subsection (1) in respect of that
franking year; or
if the company is a life assurance company and the amount of the
relevant franking deficit tax exceeds the amount calculated using the
formula:
Initial payment - (0.8 X Fund component)
where:
`Initial payment' means the amount of the initial payment
of tax;
`Fund component' means so much of the initial payment of
tax as is attributable to so much of the estimated tax as relates to the
following components of taxable income:
the CS/RA component;
the AD/RLA component;
the NCS component;
the tax that the company is liable to pay under subsection (1) in respect of
that franking year is an amount equal to the excess.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 44
Assets to which Part applies
44. Section 160A of the Principal Act is amended:
(a) by omitting from paragraph (b) "and";
(b) by omitting from paragraph (c) "acquired," and substituting
"acquired;";
(c) by inserting after paragraph (c) the following paragraphs:
a taxpayer's interest in a partnership asset of a
partnership in which the taxpayer is a partner; and
so much of a taxpayer's interest in a partnership as
is not covered by paragraph (d);".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 45
Taxpayer
45. Section 160C of the Principal Act is amended by adding at the end the
following subsection:
"(3) In calculating the net income of a partnership, or a partnership loss,
in accordance with section 90, the partnership is not taken to be a taxpayer
for the purposes of this Part.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 46
Associated persons
46. Section 160E of the Principal Act is amended:
by omitting from subparagraphs (a) (iv), (b) (iii) and (c) (i)",
partnerships";
(b) by adding "or" at the end of paragraph (b);
(c) by omitting "or" from the end of paragraph (c);
(d) by omitting paragraph (d).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 47
Resident trust estates and unit trusts
47. Section 160H of the Principal Act is amended by omitting subsection (2).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 48
Part applies in respect of disposals of assets
48. Section 160L of the Principal Act is amended:
(a) by omitting from subsection (5) "an asset of a partnership" and
substituting "a taxpayer's interest in a partnership asset of a partnership in
which the taxpayer is a partner";
(b) by omitting from paragraph (5) (a) "its disposal, the" and substituting
"the disposal, the partnership".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 49
What constitutes a disposal or acquisition
49. Section 160M of the Principal Act is amended:
(a) by omitting subsection (11);
(b) by omitting from subsection (11A) "or (11)";
(c) by omitting from subsection (11A) "or a partnership ceased to be a
resident partnership, as the case may be,";
(d) by omitting from paragraph (11B) (a) "or (11)";
(e) by omitting from paragraph (11B) (a) "or a partnership ceased to be a
resident partnership, as the case may be";
(f) by omitting from paragraph (11B) (c) "or (11), as the case may be,";
(g) by omitting from paragraph (11B) (d) "or (11)";
(h) by omitting subsection (12A) and substituting the following
subsections:
"(12A) Where, at a particular time (in this section called
the `residence-change time'), a company that is a CFC ceases to be a resident
of an unlisted country or a listed country and becomes a resident within the
meaning of section 6, then:
subsection (12) does not apply; and
subsections (12AA) and (12AB) apply.
"(12AA) For the purposes of the application of this Part, sections 411 to 417
(inclusive) have, subject to subsection (12AB), the same effect, in relation
to every 30 June 1990 non-taxable Australian asset of the company owned by the
company at the residence-change time, as they would have if the taxable
income, instead of the attributable income, of the company were being
calculated under those sections.
"(12AB) If any capital gain on a 30 June 1990 non-taxable Australian asset in
respect of the period before the residence-change time was subject to tax in a
listed country, then, for the purposes of the application of this Part,
sections 411 to 417 (inclusive) have the same effect in relation to the asset
as they would have if:
the taxable income, instead of the attributable income, of the company
were being calculated under those sections; and
any reference in those sections relating to 30 June 1990 or 1 July 1990
were a reference relating respectively to the residence-change time or a time
immediately after the residence-change time.";
(j) by omitting from subsection (12B) "subsection (12A)" and substituting
"subsections (12A) to (12AB)";
(k) by inserting before the definition of "CFC" in subsection (12B) the
following definitions:
" `30 June 1990 non-taxable Australian asset' has the same meaning as in Part
X;
`attributable income' has the same meaning as in Part X;";
(m) by adding at the end of subsection (12B) the following definition:
" `subject to tax' has the same meaning as in Part X.";
(n) by omitting subsection (15).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 50
Disposal of taxable Australian assets
50. Section 160T of the Principal Act is amended:
by omitting paragraph (e);
by inserting in subparagraph (j) (iii) ", 160ZZNA" after "160ZZMN.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 51
Capital gains and capital losses
51. (1) Section 160Z of the Principal Act is amended by inserting in
subsection (5) ", subparagraph 160ZZO (1) (g) (iv), subsection 160ZZRE (3) or
(4)" after "160ZM (2)".
(2) Section 160Z of the Principal Act is amended by inserting in subsection
(5) "or (h) (iv)" after "160ZZO (1) (g) (iv)".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 52
Reductions of capital gains where amount otherwise assessable
52. Section 160ZA of the Principal Act is amended:
(a) by omitting subsections (1), (2) and (3);
(b) by adding at the end the following subsections:
"(5) Where:
apart from this subsection, a capital gain (in this subsection called
the `notional capital gain') would be taken for the purposes of this Part to
have accrued to a taxpayer during the year of income in respect of the
disposal of an asset (in this subsection called the `taxpayer's asset'); and
the taxpayer's asset is the taxpayer's interest in a partnership asset
of a partnership in which the taxpayer is a partner; and
as a result of the disposal, an amount or amounts (in this subsection
and subsection (6) called the `included amount' or the `included amounts') has
or have been, or will be, included in the assessable income of the partnership
of any year of income under a provision of this Act other than this Part (not
being an amount or amounts so included under a provision having effect where
the partnership recoups capital expenditure which was incurred in respect of
an asset and in respect of which a deduction has been allowed or is allowable
to the partnership);
the following provisions have effect:
if the notional capital gain exceeds the partner's portion of the
included amount or included amounts - the amount of the capital gain that is
taken for the purposes of this Part to have accrued to the taxpayer during the
year of income in respect of the disposal of the taxpayer's asset is an amount
equal to the excess;
if the notional capital gain does not exceed the partner's portion of
the included amount or included amounts - no capital gain is taken for the
purposes of this Part to have accrued to the taxpayer during the year of
income in respect of the disposal of the taxpayer's asset.
"(6) A reference in subsection (5) to the partner's portion of the included
amount or included amounts is a reference to so much of the individual
interest of the partner in the net income, or the partnership loss, of the
partnership as is attributable to the included amount or sum of the included
amounts.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 53
Consideration in respect of disposal
53. Section 160ZD of the Principal Act is amended:
(a) by omitting from paragraph (5) (a) "of a partnership or";
(b) by omitting from paragraph (5) (b) "in the partnership or".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 54
54. After section 160ZFA of the Principal Act the following section is
inserted:
Adjustment where change of residence by a company from unlisted
country to listed country
"160ZFB. (1) Where:
because a company has, at a particular time (in this section called the
`residence-change time'), ceased to be a resident of an unlisted country and
become a resident of a listed country, an amount is or has been included in a
taxpayer's assessable income under section 457 (including under that section
because of paragraph 58 (1) (d) of the Taxation Laws Amendment (Foreign
Income) Act 1990); and
the company later disposes (which disposal is in this section called
the `actual disposal') of a taxable Australian asset (in this section called
the `eligible asset') that it has held since the residence-change time;
then the consideration in respect of the actual disposal of the eligible asset
is, for the purposes of this Part, adjusted in accordance with this section.
"(2) Where:
the result of making the assumption, in subparagraph 457 (2) (a) (i) of
this Act or in paragraph 58 (2) (a) of the Taxation Laws Amendment (Foreign
Income) Act 1990, that all of the company's assets were disposed of at the
residence-change time for a consideration equal to their market value was:
to increase, by a particular amount (in this section called the `DP
creation/increase amount'), the amount that would otherwise be the
distributable profits referred to in that subparagraph or paragraph; or
to create distributable profits of a particular amount (in this
section also called the `DP creation/increase amount') where there would
otherwise not be distributable profits; and
if the eligible asset had been disposed of by the company at the
residence-change time for its market value at that time, the company would
have made a profit (in this section called the `eligible asset profit') on the
disposal;
then the consideration in respect of the actual disposal of the eligible asset
by the company is reduced by the amount calculated using the formula:
X DP creation/increase amount
Total asset profits
where:
`Eligible asset profit' means the amount of the eligible asset profit;
`Total asset profits' means the amount that would result if:
the company disposed of all of its assets at the residence-change time
for their market value; and
the total of the profits from only those disposals that would have
resulted in a profit to the company were calculated;
`DP creation/increase amount' means the DP creation/increase amount.
"(3) Where:
the result of making the assumption, in subparagraph 457 (2) (a) (i) of
this Act or in paragraph 58 (2) (a) of the Taxation Laws Amendment (Foreign
Income) Act 1990, that all of the company's assets were disposed of at the
residence-change time for a consideration equal to their market value was to
reduce (including to nil), by an amount (in this section called the `DP
reduction amount'), the amount that would otherwise be the distributable
profits referred to in that subparagraph or paragraph; and
if the eligible asset had been disposed of by the company at the
residence-change time for its market value at that time, the company would
have made a loss (in this section called the `eligible asset loss') on the
disposal;
then the consideration in respect of the actual disposal of the eligible asset
by the company is increased by the amount calculated using the formula:
X DP reduction amount
Total asset losses
where:
`Eligible asset loss' means the amount of the eligible asset loss;
`Total asset losses' means the amount that would result if:
the company disposed of all of its assets at the residence-change time
for their market value; and
the total of the losses from only those disposals that would have
resulted in a loss to the company were calculated;
`DP reduction amount' means the DP reduction amount.
"(4) In this section:
`resident of a listed country' has the same meaning as in Part X;
`resident of an unlisted country' has the same meaning as in Part X.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 55
Reduction of amounts for purposes of reduced cost base
55. Section 160ZK of the Principal Act is amended:
(a) by inserting in subsection (1) "(other than the taxpayer's interest in a
partnership asset of a partnership in which the taxpayer is a partner)" after
"asset" (first occurring);
(b) by adding at the end the following subsections:
"(3) A reference in subsection 160ZH (3) to the reduced amount of any
consideration, the reduced amount of incidental costs, or the reduced amount
of any expenditure, in respect of an asset (in this subsection called the
`taxpayer's asset'), being a taxpayer's interest in a partnership asset of a
partnership in which the taxpayer is a partner, is a reference to the sum of:
the amount of the consideration, the amount of the costs or the amount
of the expenditure, as the case may be, reduced by any part of the
consideration, of the costs or of the expenditure that has been allowed or is
allowable, or would apart from section 61 be allowable, as a deduction to the
partnership in respect of any year of income; and
any amount that, as a result of the disposal of the taxpayer's asset by
the taxpayer, is included in the assessable income of the partnership of any
year of income by virtue of a provision of this Act other than this Part and
is attributable to the part of the consideration, the part of the costs or the
part of the expenditure, as the case may be, that was allowed or is allowable
as a deduction.
"(4) The reference in paragraph (3) (b) to an amount that is included in the
assessable income of the partnership includes a reference to an amount that is
taken by subsection 60 (1A) to be so included for the purposes of subsection
60 (1).".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 56
Transfer of assets from company or trust to spouse uponl 25310 breakdown of
marriage
56. Section 160ZZMA of the Principal Act is amended by omitting from
subsection (6) ", partnerships".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 57
Transfer of asset to wholly-owned company
57. Section 160ZZN of the Principal Act is amended:
by omitting paragraph (2) (ca);
by omitting subsections (6) and (6A).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 58
58. After section 160ZZN of the Principal Act the following section is
inserted:
Transfer of partnership assets to wholly-owned company
"160ZZNA. (1) In this section:
`asset' does not include a personal-use asset.
"(2) This section applies where:
2 or more taxpayers (in this section called the `ex-partners'), being
all of the partners in a partnership, dispose of their interests in a
partnership asset of the partnership (which partnership asset is in this
section called the `eligible asset') to a company; and
subject to subsection (12), the consideration in respect of the
disposal consists only of non-redeemable shares in the company (which shares
are in this section called the `replacement shares'); and
the market value of the replacement shares is substantially the same as
the market value of the eligible asset, reduced, if the company assumes in
connection with the disposal a liability or liabilities in respect of the
eligible asset, by the amount of the liability or the total of the amounts of
the liabilities; and
immediately after the disposal:
all of the shares in the company are beneficially owned
by the ex-partners; and
each ex-partner holds the shares in the company in the
same proportions as the ex-partner held the ex-partner's interest in the
eligible asset immediately before the disposal; and
in the case of an ex-partner, being a taxpayer other than a taxpayer in
the capacity of a trustee - one of the following subparagraphs applies:
both the taxpayer and the company are residents of
Australia at the time of the disposal;
all of the following conditions are satisfied:
the taxpayer is not a resident of Australia at the time
of the disposal;
the company is a resident of Australia at the time of the
disposal;
the disposal is a disposal of a taxable Australian asset;
all of the following conditions are satisfied:
the company is not a resident of Australia at the time of
the disposal;
the disposal is a disposal of a taxable Australian asset;
immediately after the disposal, the eligible asset is a
taxable Australian asset of the company; and
in the case of an ex-partner, being a taxpayer in the capacity of a
trustee of a trust estate or of a unit trust - one of the following
subparagraphs applies:
both of the following conditions are satisfied:
the trust estate or the unit trust is a resident trust
estate or a resident unit trust in relation to the year of income in which the
disposal occurred;
the company is a resident of Australia at the time of the disposal;
all of the following conditions are satisfied:
the company is a resident of Australia at the time of the disposal;
the trust estate or the unit trust is not a resident trust estate or a
resident unit trust in relation to the year of income in which the disposal
occurred;
the disposal is a disposal of a taxable Australian asset of the trust
estate or of the unit trust;
all of the following conditions are satisfied:
the company is not a resident of Australia at the time of the
disposal;
the disposal is a disposal of a taxable Australian asset of the trust
estate or of the unit trust;
immediately after the disposal, the eligible asset is a taxable
Australian asset of the company; and
in the case of an ex-partner, being a taxpayer in the capacity of a
trustee - immediately after the disposal, the ex-partner holds the replacement
shares upon the same trust as the ex-partner held the ex-partner's interest in
the eligible asset; and
all of the ex-partners have elected that this section is to apply in
relation to the disposal.
"(3) This Part (other than this section) does not apply in respect of the
disposal.
"(4) For the purposes of this section:
an interest in the eligible asset that was acquired by anex-partner
before 20 September 1985 is taken to be a pre-20 September 1985 eligible asset
interest; and
any other interest in the eligible asset is taken to be a post-20
September 1985 eligible asset interest.
"(5) If an eligible asset relates wholly to pre-20 September 1985 eligible
asset interests - the company is taken, for the purposes of this Part, to have
acquired the eligible asset before 20 September 1985.
"(6) If an eligible asset relates wholly to post-20 September 1985 eligible
asset interests - the eligible asset is taken, for the purposes of this
section, to be a post-20 September 1985 eligible asset.
"(7) If an eligible asset relates partly to both of the following:
pre-20 September 1985 eligible asset interests;
post-20 September 1985 eligible asset interests;
the following provisions have effect:
the eligible asset is taken, for the purposes of this Part, to comprise
2 separate assets, as follows:
the eligible asset to the extent to which it relates to pre-20
September 1985 eligible asset interests;
the eligible asset to the extent to which it relates to post-20
September 1985 eligible asset interests;
the company is to be treated, for the purposes of this Part, as if the
company had acquired the eligible asset referred to in subparagraph (c) (i)
before 20 September 1985;
the eligible asset referred to in subparagraph (c) (ii) is taken, for
the purposes of this section, to be a post-20 September 1985 eligible asset;
on the disposal of the actual eligible asset, the consideration in
respect of the disposal of the actual eligible asset is to be apportioned
between the separate assets.
"(8) The company is taken to have paid or given as consideration in respect
of the acquisition of a post-20 September 1985 eligible asset:
for the purposes of ascertaining whether a capital gain accrued to the
company in the event of a subsequent disposal of the eligible asset by the
company - the sum of the amounts that would have been the indexed cost bases
to the ex-partners of post-20 September 1985 eligible asset interests for the
purposes of this Part if this Part had applied in respect of the disposal of
those interests to the company; or
for the purposes of ascertaining whether the company incurred a capital
loss in the event of a subsequent disposal of the eligible asset by the
company - the sum of the amounts that would have been the reduced cost bases
to the ex-partners of post-20 September 1985 eligible asset interests for the
purposes of this Part if this Part had applied in respect of the disposal of
those interests to the company.
"(9) If a post-20 September 1985 eligible asset is disposed of by the
company within 12 months after the earliest day, being a day after19 September
1985, on which any post-20 September 1985 eligible asset interest was acquired
by an ex-partner, the reference in paragraph (8) (a) to the indexed cost bases
to the ex-partner of post-20 September 1985 eligible asset interests is a
reference to the cost bases to theex-partner of the post-20 September 1985
eligible asset interests.
"(10) In the case of a particular taxpayer, being an ex-partner:
if all of the interests in the eligible asset held by the taxpayer were
pre-20 September 1985 eligible asset interests - the taxpayer is taken, for
the purposes of this Part, to have acquired the replacement shares concerned
before 20 September 1985; and
if:
some, but not all, of the interests in the eligible asset held by the
taxpayer were pre-20 September 1985 eligible asset interests; and
the taxpayer, in the notice of election, nominates, as pre-CGT shares,
such of the replacement shares acquired by the taxpayer as are specified in
the notice; and
the number of replacement shares nominated by the taxpayer does not
exceed the number calculated using the formula:
MV of pre-CGT interests
X MV of total interests
where:
`Shares' means the number of replacement shares owned by the `MV of pre-CGT
interests' means the number of dollars in the `MV of total interests' means
the number of dollars in the taxpayer immediately after the disposal;
market value of the pre-20 September 1985 eligible asset interests immediately
before the disposal;
market value of the interest in the eligible asset held by the taxpayer
immediately before the disposal;
the taxpayer is taken, for the purposes of this Part, to have acquired the
nominated shares before 20 September 1985; and
each replacement share acquired by the taxpayer that is nottaken by
paragraph (a) or (b) to have been acquired by the taxpayer before 20 September
1985 is taken to be a post-20 September 1985 replacement share for the
purposes of this section; and
in the case of a post-20 September 1985 replacement share - the
taxpayer is taken to have paid or given as consideration in respect of the
acquisition of the share an amount equal to:
for the purpose of ascertaining whether a capital gain accrued to the
taxpayer in the event of a subsequent disposal of the share by the taxpayer -
the amount calculated using the formula:
ICB of post-CGT interests
Post-CGT shares
where:
`ICB of post-CGT interests' means the sum of the amounts that `Post-CGT
shares' means the number of post-20 September 1985 would have been the indexed
cost bases to the taxpayer of post-20 September 1985 eligible asset interests
for the purposes of this Part if this Part had applied in respect of the
disposal of the interests by the taxpayer to the company;
replacement shares owned by the taxpayer immediately after the disposal; or
for the purposes of ascertaining whether the taxpayer incurred a
capital loss in the event of a subsequent disposal of the share by the
taxpayer - the amount calculated using the formula:
RCB of post-CGT interests
Post-CGT shares
where:
`RCB of post-CGT interests' means the sum of the amounts that `Post-CGT
shares' means the number of post-20 September 1985 would have been the reduced
cost bases to the taxpayer of post-20 September 1985 eligible asset interests
for the purposes of this Part if this Part had applied in respect of the
disposal of the interests by the taxpayer to the company;
replacement shares owned by the taxpayer immediately after the disposal.
"(11) If a post-20 September 1985 replacement share is disposed of by a
taxpayer within 12 months after the earliest day, being a day after 19
September 1985, on which any partnership asset interest was acquired by the
taxpayer, the reference in paragraph (10) (d) to the indexed cost bases to the
taxpayer of interests is a reference to the cost bases to the taxpayer of the
interests.
"(12) The consideration in respect of the disposal mentioned in subsection
(2) is not taken not to consist only of non-redeemable shares in the company
merely because the company assumes in connection with the disposal a liability
or liabilities in respect of the eligible asset but, if the company so assumes
such a liability or liabilities, this section does not apply in relation to
the disposal unless:
the cost base, the indexed cost base or the reduced cost base of the eligible
equity interest to the third taxpayer is increased by such amount (if any) as
is reasonable having regard to:
the increase in the value of the interest resulting from the
acquisition of the first asset; and
the amount of any relevant reductions made under paragraph 160ZZRE (3)
or (e) or subsection 160ZZRF (2); and
in the case of the indexed cost base - inflation as measured using the
method in section 160Q.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 62
Transfers of assets between companies under common ownership
62. Section 160ZZRD of the Principal Act is amended:
by omitting from subsection (1) "This" and substituting "Subject to
this section, this";
(b) by omitting paragraphs (1) (b), (c) and (d) and substituting the
following paragraphs:
at the first asset disposal time, the transferor and
the transferee are under common ownership; and
the transferee is not a subsidiary of the
transferor.";
(c) by omitting subsection (2) and substituting the following subsection:
"(2) Sections 160ZZRE, 160ZZRG and 160ZZRH only apply in relation to the
disposal of the first asset if:
in a case where the first asset was acquired by the transferor before
20 September 1985 - the consideration in respect of the disposal of the first
asset is less than the market value of the first asset immediately before the
first asset disposal time; or
in a case where the first asset was acquired by the transferor on or
after 20 September 1985 - the consideration in respect of the disposal of the
first asset is less than whichever is the lesser of the following amounts:
whichever of the following is applicable:
the indexed cost base to the transferor of the first
asset;
the amount that would have been the indexed cost base
to the transferor of the first asset for the purposes of this Part if this
Part had applied in respect of the disposal of the first asset;
the market value of the first asset immediately before the first asset
disposal time;
(which lesser amount is in this Division called the `indexed threshold
amount').".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 63
Shares in, and loans to, transferor - deemed disposal and re-acquisition
63. Section 160ZZRE of the Principal Act is amended by inserting after
subsection (1) the following subsection:
"(1A) This section only applies in relation to the disposal of the first
asset if the first asset was acquired by the transferor on or after 20
September 1985.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 64
First asset acquired before transferor and transferee came under common
ownership - shares in, and loans to, transferor - reduction in cost base etc.
64. Section 160ZZRF of the Principal Act is amended:
(a) by inserting before paragraph (2) (a) the following paragraph:
the first asset was acquired by the transferor on or after 20
September 1985 (otherwise than because of section 160ZZS); and";
(b) by omitting from paragraph (2) (a) "section" and substituting
"subsection";
(c) by adding at the end the following subsection:
"(3) If:
either of the following conditions is satisfied:
the first asset was acquired by the transferor before 20 September
1985;
the first asset was acquired by the transferor on or after 20
September 1985 because of section 160zzs; and
at the first asset disposal time, a taxpayer (in this subsection called
the `second taxpayer') held an asset, being:
a share in the transferor that was acquired by the second taxpayer on
or after 20 September 1985; or
a loan to the transferor that was acquired by the second taxpayer on
or after 20 September 1985;
the cost base, the indexed cost base or the reduced cost base of the share or
the loan to the second taxpayer is reduced by such amount (if any) as is
reasonable having regard to:
the circumstances in which the share or the loan was acquired by the
second taxpayer; and
the extent (if any) to which the market value of the share or the loan
was reduced as a result of the disposal of the first asset at the first asset
disposal time; and
the extent (if any) to which any consideration paid or given by the
second taxpayer for the acquisition of the share or the loan was attributable
to the first asset.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 65
65. After section 160ZZRF of the Principal Act the following section is
inserted:
First asset acquired when transferor and transferee under common ownership -
shares in, and loans to, transferor - reduction in cost base etc.
"160ZZRFA. (1) This section applies where the transferor acquired the first
asset at or after the latest time (in this section called the `common
ownership time'):
earlier than the first asset disposal time; and
at which the transferor and the transferee came under common
ownership.
"(2) If:
the first asset was acquired by the transferor before 20 September
1985; and
at the first asset disposal time, a taxpayer (in this subsection called
the `second taxpayer') held an asset, being:
a share in the transferor that was acquired by the second taxpayer on
or after 20 September 1985; or
a loan to the transferor that was acquired by the second taxpayer on
or after 20 September 1985;
the cost base, the indexed cost base or the reduced cost base of the share or
the loan to the second taxpayer is reduced by such amount (if any) as is
reasonable having regard to:
the circumstances in which the share or the loan was acquired by the
second taxpayer; and
the extent (if any) to which the market value of the share or the loan
was reduced as a result of the disposal of the first asset at the first asset
disposal time.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 66
Equity interests in transferee - compensatory increase in cost base etc.
66. Section 160ZZRH of the Principal Act is amended:
(a) by inserting in paragraph (a) ", 160ZZRFA" after "160ZZRF";
(b) by inserting in paragraph (d) "or (3) or 160ZZRFA (2)" after "160ZZRF
(2)".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 67
Disposal of shares or of interest in trust
160ZZT of the Principal Act is amended:
by adding "or" at the end of subparagraph (1) (a) (i);
by omitting subparagraph (1) (a) (ii);
by omitting from subparagraph (1) (c) (ii) ", partnership" (wherever
occurring);
by omitting from subparagraph (1) (c) (ii) ", partnerships";
by omitting from paragraph (1) (d) ", partnership";
by omitting from subsection (1) ", partnership" (last occurring);
by omitting from subsection (3) ", partnership".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 68
Keeping of records
68. (1) Section 160ZZU of the Principal Act is amended:
by omitting from subsection (1) "$2,000" and substituting "$3,000";
by omitting subsection (3) and substituting the following subsections:
"(3) A transferee (within the meaning of section 160zzo) who acquires, or
after 6 December 1990 has acquired, an asset (other than an excepted asset) as
a result of a disposal mentioned in paragraph 160ZZO (1) (a) to which section
160ZZO applies, must keep such records in the English language as are
necessary to enable the ready ascertainment of:
the acts, transactions and other circumstances (including the identity
of the transferor concerned) that resulted in section 160ZZO applying in
relation to the disposal; and
the transferee's status as a group company (within the meaning of
section 160ZZO) in relation to the transferor at a time before the earlier of
the following:
the cessation time mentioned in paragraph 160ZZO (1) (g);
the time when the asset was disposed of by the transferee; and
the earlier of the times mentioned in paragraph (b) of this
subsection.
Penalty: $3,000.
"(4) Paragraphs (3) (b) and (c) do not require a person to keep a record of
information if the person did not know, and made all reasonable efforts to
obtain, the information.
"(5) For the purpose of the application of subsection (3) in relation to a
person, an asset is an excepted asset if this Part would not, in the event of
the disposal of the asset by the person, apply in respect of the disposal.
"(6) A person who has possession of any records kept under this section must
retain those records until:
if subsection (1) applies - the end of 5 years after the asset to which
the records relate was disposed of by the person; or
if subsection (3) applies - the end of 5 years after the earlier of the
times mentioned in paragraph (3) (b).
Penalty: $3,000.
"(7) Subsection (6) does not require a person to retain records where:
the Commissioner has notified the person that retention of the records
is not required; or
the person is a company that has gone into liquidation and been finally
dissolved.
"(8) Subsections 262A (4) and (5) do not apply in relation to records kept
under this section.".
(2) Section 160ZZU of the Principal Act is amended:
(a) by inserting after subsection (3) the following subsection:
"(3A) A transferee (within the meaning of section 160ZZO)
who acquires, or after 13 February 1991 has acquired, an asset (other than an
excepted asset) as a result of a disposal mentioned in paragraph 160ZZO (1)
(a) to which section 160ZZO applies, must keep such records in the English
language as are necessary to enable the ascertainment of:
the acts, transactions and other circumstances
(including the identity of the transferor concerned) that resulted in section
160ZZO applying in relation to the disposal; and
the transferee's status as a group company (within the
meaning of section 160ZZO) in relation to each company (being a company that
was a shareholder in the transferee at the time of the disposal mentioned in
paragraph 160ZZO (1) (a)) at a time before the earlier of the following:
the trigger time, or the earlier or earliest trigger
time, mentioned in paragraph 160ZZO (1) (h);
the time when the asset was disposed of by the
transferee; and
the earlier of the times mentioned in subparagraph (b)
(i) or (ii) of this subsection.
Penalty: $3,000.";
(b) by inserting in subsection (4) "and paragraphs (3A) (b) and (c)" before
"do not";
by inserting in subsection (5) "or (3A)" after "(3)";
(d) by omitting from paragraph (6) (b) "(3) (b)." and substituting "(3) (b);
and";
(e) by inserting after paragraph (6) (b) the following paragraph:
"(c) if subsection (3A) applies - the end of 5 years after
the earlier of the times mentioned in subparagraph (3A) (b) (i) or (ii).".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 69
Effect of incorrect quotation of tax file number
69. Section 202DF of the Principal Act is amended by omitting subsection
(7).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 70
Interpretation
70. Section 317 of the Principal Act is amended by inserting the following
definition:
"`accruals tax law', in relation to a listed country, means a law of the
listed country that is declared by regulations for the purposes of this
definition to be an accruals tax law;".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 71
When income or profits subject to tax in a listed country
71. Section 324 of the Principal Act is amended:
by omitting from subsection (1) "Subject to subsection (2)" and
substituting "Subject to this section";
by inserting in paragraph (2) (a) "and subsections (3) and (4)" after
"apart from this subsection";
(c) by adding at the end the following subsections:
"(3) Where:
an entity becomes a resident of a particular listed country (in this
section called the `current listed country') at a particular time (in this
section called the `residence-change time'); and
the entity owns an asset at the residence-change time; and
the entity disposes of the asset while a resident of the current listed
country;
then, for the purposes of this Part:
if, apart from this paragraph, the only part of a capital gain on the
disposal of the asset that is subject to tax in the listed country is the part
that relates to the period after the residence-change time - the whole of the
capital gain, whether it relates to the period before or after the
residence-change time, is, subject to subsection (4), taken to be subject to
tax in the current listed country; and
subsection (4) applies.
"(4) Where:
a capital gain on the disposal of the asset would, apart from this
subsection and whether or not paragraph (3) (d) applies, be subject to tax in
the current listed country; and
at a time or times when it owned the asset before the residence-change
time (but disregarding any time or times before a change of residence from an
unlisted country to a listed country), the entity was a resident of one or
more listed countries (each of which is in this subsection called a `previous
listed country'); and
if the entity had disposed of the asset when it ceased to be a resident
of a particular previous listed country (in this subsection called the
`non-taxing listed country'), any capital gain on the disposal would not have
been subject to tax in that country; and
if the entity had disposed of the asset when it ceased to be a resident
of another previous listed country after the non-taxing listed country, any
capital gain on the disposal would not have been subject to tax in that other
previous listed country to the extent that it relates to the period of
residence by the entity in the non-taxing listed country;
then, for the purposes of this Part, so much of the gain as relates to the
period of residence in the non-taxing listed country is taken not to be
subject to tax in the current listed country.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 72
Exempting receipt of an unlisted country company
72. Section 377 of the Principal Act is amended:
(a) by adding at the end of paragraph (1) (b) "other than under section 143
(where the proviso to that section does not apply)";
(b) by adding at the end of subsection (1) the following paragraph:
a premium paid or credited to the company in the
qualifying period where, because of the application of subsection 148 (1), the
premium is not allowable as a deduction to the person referred to in
subparagraph 148 (1) (a) (i) and is not included in the assessable income of
the company.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 73
Certain provisions to be disregarded in calculating attributable income
73. Section 389 of the Principal Act is amended:
(a) by omitting from paragraph (a) "and sections 136A," and substituting ",
section 136A, Division 15 of Part III (other than subsection 148 (1)) and
sections";
(b) by inserting in paragraph (a) ", 459A" after "459".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 74
Notional allowable deduction for taxes paid
74. Section 393 of the Principal Act is amended by adding at the end the
following subsection:
"(4) Where a person pays an amount of tax that the person is liable to pay
under subsection 148 (3) of this Act, in its application apart from this Part,
in respect of premiums paid or credited to the eligible CFC, then, for the
purposes of subsection (1), the amount is taken to be Australian tax paid by
the eligible CFC in respect of the premiums.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 75
75. After section 398 of the Principal Act the following section is
inserted:
Modified application of Division 3A of Part III
"398A. (1) For the purposes of applying this Act in calculating the
attributable income of the eligible CFC, section 82R does not apply, subject
to subsection (2), to outgoings during the eligible period under a convertible
note where:
the note was issued by the eligible CFC (whether or not the company
concerned was a CFC at the time):
before 1 July 1990; or
on or after 1 July 1990 and before 1 July 1992, where:
the terms of the issue of the note were publicly announced by the
eligible CFC before 1 July 1990; or
the eligible CFC was, under a contract entered into before 1 July 1990,
obliged to issue the note; and
at the end of each statutory accounting period of the eligible CFC
preceding the eligible period and ending after 30 June 1990, the eligible
taxpayer was an attributable taxpayer in relation to the eligible CFC; and
the eligible period begins before 1 July 2000.
"(2) Where:
the terms of a note to which subsection (1) would, apart from this
subsection, apply are varied (otherwise than because of a compromise or
arrangement approved by a court); and
the Commissioner considers that the variation is substantial enough to
represent a new loan;
subsection (1) does not apply to outgoings under the note after the time at
which the variation takes place.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 76
Additional notional exempt income - unlisted or listed country
CFC
76. Section 402 of the Principal Act is amended:
by adding at the end of paragraph (2) (a) ", other than amounts that
are so included under section 143 (where the proviso to that section does not
apply)";
by adding at the end of subsection (2) the following paragraph:
"; (e) a premium paid or credited to the eligible CFC in
the eligible period, where, because of the application of subsection 148 (1)
for the purposes of this Act apart from this Part, the premium is not, for
those purposes, allowable as a deduction to the person referred to in
subparagraph 148 (1) (a) (i) and is not included in the assessable income of
the eligible CFC.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 77
Modified application of Part IIIA - general modifications
77. Section 410 of the Principal Act is amended:
by omitting paragraph (a) and substituting the following paragraph:
subsections 160M (12) to (12ab) (inclusive);";
by inserting after paragraph (c) the following paragraph:
"(ca) section 160ZFB;".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 78
78. After section 418 of the Principal Act the following section is
inserted:
Effect of change of residence from Australia to listed or unlisted country
"418A. (1) For the purposes of applying this Act in calculating the
attributable income of the eligible CFC, where:
disregarding the residency assumption, at any time (in this section
called the `residence-change time') during the eligible period or an earlier
statutory accounting period beginning on or after 1 July 1990, the eligible
CFC ceased to be a resident within the meaning of section 6 and became a
resident of a listed or an unlisted country; and
the eligible CFC owned an asset at the residence-change time; and
the eligible CFC disposed of the asset during the eligible period;
then sections 411 to 417 (inclusive) apply, in addition to any application
apart from this section but subject to subsection (2) of this section, to the
asset as if:
any reference in those sections to a 30 June 1990 non-taxable
Australian asset were a reference to the asset; and
any reference in those sections relating to 30 June 1990 or1 July 1990
were a reference relating respectively to the residence-change time or a time
immediately after the residence-change time; and
where subsection 160M (8) applies to the asset in respect of the change
of residence for the purposes of the application of this Act apart from this
Part - the following provisions were omitted:
sub-subparagraphs 412 (2) (a) (i) (B) and (ii) (B);
subparagraphs 414 (2) (a) (ii) and (b) (ii);
subparagraphs 415 (2) (a) (ii) and (b) (ii);
subparagraphs 416 (2) (a) (ii) and (b) (ii);
subparagraphs 417 (2) (a) (ii) and (b) (ii).
"(2) Where the asset is a 30 June 1990 non-taxable Australian asset,
sections 411 to 417 (inclusive) do not apply, in spite of anything contained
in those sections, to the asset except in accordance with subsection (1) of
this section.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 79
Repeal of section 420
79. Section 420 of the Principal Act is repealed.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 80
Amounts excluded from active income test
80. Section 436 of the Principal Act is amended:
by adding at the end of paragraph (1) (a) "other than under section 143
(where the proviso to that section does not apply)";
by adding at the end of subsection (1) the following paragraph:
"; (g) a premium paid or credited to the company where,
because of the application of subsection 148 (1), the premium is not allowable
as a deduction to the person referred to in subparagraph 148 (1) (a) (i) and
is not included in the assessable income of the company.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 81
81. After section 456 of the Principal Act the following section is
inserted:
Reduction of section 456 assessability where item subject to foreign accruals
tax
"456A. (1) Where:
apart from this section, an amount (in this section called the
`otherwise assessable section 456 amount') is included in the assessable
income of a year of income of an attributable taxpayer in relation to a CFC
under section 456, in relation to the attributable income of the CFC of a
statutory accounting period; and
an attribution tracing interest of the attributable taxpayer, or of an
interposed entity, in a CFE was taken into account in calculating the
attributable taxpayer's attribution percentage for the CFC; and
foreign tax is payable by the CFE under an accruals tax law of a listed
country in respect of an amount that is calculated by reference to an item of
net income or net profit of the CFC, where the amount is taxed in the listed
country:
at or above that country's normal company tax rate; and
in a tax accounting period commencing or ending:
in the year of income of the attributable taxpayer; or
in the statutory accounting period of the CFC; and
the item constitutes the whole or part (which whole or part is in this
section called the `foreign accruals-taxed attributable income') of the
attributable income of the CFC of the statutory accounting period;
then the otherwise assessable section 456 amount is reduced by the amount
calculated using the formula:
Foreign accurals-taxed
X attributable income
where:
`Indirect attribution interests via CFE' means the total of the attributable
taxpayer's indirect attribution interests in the CFC that are held through the
CFE;
`Foreign accruals-taxed attributable income' means the amount of the foreign
accruals-taxed attributable income.
"(2) Where:
apart from this subsection, subsection (1) would reduce the otherwise
assessable section 456 amount of the attributable taxpayer in relation to the
CFC in a case where foreign tax is payable by 2 or more CFEs under accruals
tax laws; and
any indirect attribution interest referred to in the formula component
"Indirect attribution interests via CFE" in subsection (1) is held through any
2 or more of the CFEs;
then that indirect attribution interest is only to be taken into account once
in applying the subsection.
"(3) Where, because of any of subsections 362 (2) to (5), the amount that
would otherwise be the attribution percentage of the attributable taxpayer for
the CFC is reduced, then the Commissioner may, for the purposes of this
section, make such consequential reduction as the Commissioner considers
reasonable in the circumstances to any indirect attribution interest in the
CFC held by the attributable taxpayer.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 82
82. After section 459 of the Principal Act the following section is
inserted:
Assessability where CFC or CFT has interest in certain attributable taxpayers
"459A. (1) Where:
an amount (in this subsection called the `section 456 to 459A amount')
is included in the assessable income of an Australian partnership or of an
Australian trust of a year of income under section 456, 457, 458 or 459 or
under this section (apart from subsection (2)); and
a CFC or CFT has an individual interest in the net income of the
Australian partnership, or a present entitlement to a share of the net income
of the Australian trust, being an interest or entitlement held either directly
or indirectly through interposed Australian partnerships, CFPs or Australian
trusts (or any combination thereof); and
a taxpayer is an attributable taxpayer in relation to the CFC or CFT:
where the section 456 to 459A amount is included in assessable income
under section 456 - at the end of the statutory accounting period referred to
in that section; or
where the amount is included under section 457 - at the
residence-change time referred to in that section; or
where the amount is included under section 458 - when the dividend
referred to in that section is paid; or
where the amount is included under section 459 - at the distribution
time referred to in that section; or
where the amount is included under this section - at the time referred
to in whichever subparagraph of this paragraph applied for the purposes of so
including the amount;
then, subject to subsection (2), the assessable income of the attributable
taxpayer of the year of income includes an amount calculated using the
formula:
X Interest/Entitlement X Section 456 to 459A amount
where:
`AP' (Attribution Percentage) means the taxpayer's attribution percentage, at
the time referred to in paragraph (c), for the CFC or CFT;
`Interest/Entitlement' means the percentage of the net income of the
Australian partnership or Australian trust represented by the sum of the
direct and indirect interests or present entitlements of the CFC or CFT;
`Section 456 to 459A amount' means the section 456 to 459A amount.
"(2) Where:
apart from this subsection, an amount (in this subsection called the
`subsection (1) amount') is included under subsection (1) in the assessable
income of an attributable taxpayer in relation to a CFT; and
the following conditions are satisfied in respect of one or more other
amounts (each of which is in this subsection called an `assessed attributable
amount');
each is:
apart from this subsection, included in the assessable income of a
taxpayer (whether or not the attributable taxpayer), other than a trust or
partnership; or
assessed to a trustee under section 98, 99 or 99A;
each is attributable directly through the CFT, or indirectly through
the CFT and any interposed partnerships or trusts (or any combination
thereof), to the section 456 to 459A amount referred to in subsection (1);
then the subsection (1) amount is reduced to the extent that the Commissioner
considers it represents an assessed attributable amount or assessed
attributable amounts.
"(3) A reference in subsection (1) to an Australian trust or in subsection
(2) to a trust does not include a reference respectively to an Australian
trust or a trust that is, in relation to the year of income concerned:
a corporate unit trust within the meaning of Division 6B of Part III;
or
a public trading trust within the meaning of Division 6C of that Part;
or
an eligible entity within the meaning of Part IX.".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 83
Only resident partners, beneficiaries etc. liable to be assessed
as a result of attribution
83. Section 460 of the Principal Act is amended:
(a) by omitting from subsection (1) "or 459" and substituting", 459 or
459A";
(b) by omitting subsection (5).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 84
Application of amendments - general
84. (1) In this section:
"amended Act" means the Principal Act as amended by this Part.
(2) Subject to this section, the amendments made by section 10 (other than
paragraphs (b) and (j)) apply to payments made in relation to deaths occurring
on or after 1 January 1990.
(3) The amendments made by paragraph 10 (j) apply to pensions paid during
the year 1988-89 and subsequent years of assessment (within the meaning of the
Income and Corporation Taxes Act 1988 of the United Kingdom).
(4) Paragraphs 23AD (3) (y) and (z) of the amended Act apply in relation to
deaths occurring on or after 19 December 1989.
(5) The amendments made by section 11 apply in relation to asset disposals
during the year of income commencing on 1 July 1990 or a subsequent year of
income.
(6) The amendments made by section 12 apply in relation to dividends paid
after 3 June 1990.
(7) The amendment made by section 16 applies in relation to the calculation
of attributable income of any year of income, whether commencing before or
after the commencement of that section.
(8) The amendments made by sections 17 to 30 (inclusive) apply to
expenditure incurred after 7.30 p.m., by standard time in the Australian
Capital Territory, on 21 August 1990.
(9) The amendments made by section 32 apply to assessments in respect of
income of the year of income commencing on 1 July 1991 and of all subsequent
years of income.
(10) The amendments made by paragraph 34 (a) and sections 35, 37, 38, 39,
41, 42 and 43 apply in relation to the first franking year of a company that
commences after 6 December 1990 and all subsequent franking years.
(11) The amendments made by sections 44, 45, 46, 47 and 48, paragraphs 49
(a) to (g) (inclusive) and (n), section 50, subsection 51 (1), sections 52,
53, 55, 56, 57 and 58, subsection 59 (1) and sections 60, 61, 67 and 79 apply
in relation to disposals of assets after 6 December 1990.
(12) The amendments made by subsections 51 (2) and 59 (2) and sections 62,
63, 64, 65 and 66 apply in relation to disposals of assets after 13 February
1991.
(13) The amendments made by paragraphs 49 (h), (j), (k) and (m) and 77 (a)
apply to a company that becomes a resident, within the meaning of section 6 of
the amended Act, after 6 December 1990.
(14) The amendments made by section 54 and paragraph 77 (b) apply to changes
of residence taking place on or after 1 July 1989.
(15) The amendment made by section 71 applies to disposals of assets taking
place after 6 December 1990.
(16) The amendment made by section 72 applies to amounts derived by, or
dividends paid to, a company during accounting periods of the company that end
after 30 June 1990.
(17) The amendments made by sections 73, 74, 75, 76, 78 and 80 apply in
relation to the calculation of attributable income of any eligible period,
whether beginning before or after the commencement of those sections.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 85
Application of bad debt amendments
85. (1) The amendments made by sections 13 and 14 apply to debts created or
acquired (whichever is the later) after the earlier of:
the commencement of the year of income of the taxpayer commencing on 1
July 1990; and
7.30 p.m., by standard time in the Australian Capital Territory, on 21
August 1990.
(2) Where, after the time (in this subsection called the "application time")
that is the earlier of the times referred to in subsection (1):
a debt (in this subsection called the "post-application time debt") is
created under a contract entered into before the application time; or
a debt (in this subsection also called the "post-application time
debt") is created by rolling-over or extending the term of a debt existing at
the application time, in a case where, at the time at which the latter debt
was created, it would have been reasonable to expect that it would be so
rolled-over or its term would be so extended;
then the amendments referred to in subsection (1) do not apply to the
post-application time debt.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 86
Savings - section 159GZZJ of the Principal Act
86. Even though an amendment of the Principal Act has been made under
section 31, if a particular assessment would be affected by the amendment, the
amendment is to be disregarded in making the assessment.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 87
Transitional - cancellation of franking surplus for mutual life
assurance companies and SGIOs
87. In spite of anything in Part IIIaa of the Principal Act as amended by
this Act, for the purposes of that Part of that Act, where a mutual life
assurance company or an SGIO has a franking surplus at the end of 21 August
1990, there arises at the beginning of the next day a franking debit of the
company or SGIO equal to that franking surplus.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 88
Transitional - application of Part IIIA of the Principal Act to partnerships
88. The amendments made by sections 44, 45, 46, 47 and 48, paragraphs 49 (a)
to (g) (inclusive) and (n) and sections 50, 52, 53, 55, 56, 57, 58 and 67 are
to be disregarded in determining the meaning that an expression in Part IIIA
of the Principal Act had when used in relation to disposals of assets before 7
December 1990.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 89
Transitional - section 160zzu of the amended Act
89. Where the Commissioner has notified a person under paragraph 160ZZU (3)
(b) of the Principal Act that the person is not required to keep records, the
Commissioner is taken to have notified the person under paragraph 160ZZU (7)
(a) of the Principal Act as amended by this Act that the person is not
required to retain those records.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 91
Principal Act
91. In this Part, "Principal Act" means the Income Tax Rates Act 1986.*3*
*3* No. 107, 1986, as amended. For previous amendments, see Nos. 60 and 138,
1987; and Nos. 11, 78 and 118, 1988; Nos. 98 and 106, 1989; and No. 87, 1990.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 92
Interpretation
92. Section 3 of the Principal Act is amended:
by adding at the end of paragraph (b) of the definition of "prescribed
non-resident" in subsection (1) "or";
by omitting "or" from paragraph (c) of the definition of "prescribed
non-resident" in subsection (1);
by omitting paragraph (d) of the definition of "prescribed
non-resident" in subsection (1).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 93
Limitation on tax payable by certain trustees
93. (1) Section 14 of the Principal Act is amended by omitting from
paragraph (2) (c) "$717" and substituting "$705".
(2) Section 14 of the Principal Act is amended by omitting from paragraph
(2) (c) "$705" and substituting "$693".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 94
Interpretation
94. Section 16 of the Principal Act is amended:
by adding at the end of paragraph (b) of the definition of "eligible
pensioner" in subsection (1) "or";
by omitting "or" from paragraph (c) of the definition of "eligible
pensioner" in subsection (1);
(c) by omitting paragraph (d) of the definition of "eligible pensioner" in
subsection (1).
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 95
Tax cuts for 1990-91
95. Schedule 7 to the Principal Act is amended by omitting from the table in
Part I "21%", "25%" and "30%" and substituting "20.5%", "24.5%" and "29.5%"
respectively.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 96
Tax cuts for 1991-92 and subsequent years
96. Schedule 7 to the Principal Act is amended by omitting from the table in
Part I "21%" and substituting "20%".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 97
Application of amendments
97. (1) The amendments made by sections 92 and 94 apply to assessments in
respect of income of the year of income commencing on 1 July 1990 and of all
subsequent years of income.
(2) The amendments made by subsection 93 (1) and section 95 apply to
assessments in respect of income of the year of income commencing on 1 July
1990.
(3) The amendments made by subsection 93 (2) and section 96 apply to
assessments in respect of income of the year of income commencing on 1 July
1991 and of all subsequent years of income.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 98
Transitional - provisional tax for 1990-91
98. In ascertaining the provisional tax (including instalments) payable for
the year of income commencing on 1 July 1990, the amendments made by
subsection 93 (1) and section 95 are to be disregarded.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 100
Principal Act
100. In this Part, "Principal Act" means the Taxation Administration Act
1953.*4*
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 101
101. Section 8XA of the Principal Act is repealed and the following section
is substituted:
Unauthorised access to taxation records
"8XA. A person must not knowingly take action for the purpose of obtaining
information about another person's affairs that:
is contained in records in the possession of the Commissioner; and
is held or was obtained by the Commissioner under or for the purposes
of a taxation law;
unless the person takes the action:
under the Freedom of Information Act 1982; or
in accordance with the processes of a court or the Tribunal; or
in the course of exercising powers or performing functions under or in
relation to a taxation law. Penalty: $10,000 or imprisonment for 2 years, or
both.".
*4* No. 1, 1953, as amended. For previous amendments, see Nos. 28, 39, 40 and
52, 1953; No. 18, 1955; No. 39, 1957; No. 95, 1959; No. 17, 1960; No. 75,
1964; No. 155, 1965; No. 93, 1966; No. 120, 1968; No. 216, 1973; No. 133,
1974; No. 37, 1976; Nos. 19 and 59, 1979; Nos. 39 and 117, 1983; No. 123,
1984; No. 65, 1985 (as amended by No. 193, 1985); Nos. 4, 47, 104, 123 and
168, 1985; Nos. 41, 46, 48, 112, 144 and 154, 1986; No. 49, 1986 (as amended
by No. 141, 1987); Nos. 120 and 145, 1987; No. 62, 1987 (as amended by No.
108, 1987); No. 108, 1987 (as amended by No. 138, 1987); No. 138, 1987 (as
amended by No. 11, 1988); Nos. 95 and 97, 1988; Nos. 97, 105, 107, 124, 163
and 167, 1989; and No. 20, 1990.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 102
Secrecy
102. Section 8XB of the Principal Act is amended:
by adding at the end of paragraph (1) (b) "or";
by inserting after paragraph (1) (b) the following paragraph:
otherwise make use of any taxation information relating to another
person;".
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 103
Principal Act
103. In this Part, "Principal Act" means the Taxation Laws Amendment
(Foreign Income) Act 1990.*5*
*5* No. 5, 1991.
TAXATION LAWS AMENDMENT ACT 1991No. 48, 1991
- SECT 104
Transitional - section 108 of the amended Act
104. Section 52 of the Principal Act is amended by omitting all the words
after paragraph (2) (b) and substituting the following:
"then:
an amount equal to the amount that would have been included if the
dividend had been a non-portfolio dividend is included in the taxpayer's
assessable income of the year of income; and
for the purposes of the amended Act, the amount is taken to be included
in the taxpayer's assessable income under section 459 of that Act.".
NOTE ABOUT SECTION HEADING
On the commencement of the amendments of the Income Tax Assessment Act 1936
made by section 16, the heading to section 102AAZB of that Act is altered by
adding at its end " - general modifications".
The
Act | Number and year | Date of Assent | Date of commencement | Application, saving or transitional provisions |
48, 1991 | 24 Apr 1991 | |||
75, 2010 | 28 June 2010 | Schedule 6 (item 27): 29 June 2010 | — |
| |
Provision affected | How affected |
S. 90......................................... | rep. No. 75, 2010 |
S. 99......................................... | rep. No. 75, 2010 |
0
0
0