Taxation Legislation Amendment Regulation (No. 1) 2004 (Qld)

Queensland Taxation Legislation Amendment Regulation (No. 1) 2004 Subordinate Legislation 2004 No. 268 made under the Pay-roll Tax Act 1971 Taxation Administration Act 2001 Contents Part 1 1 2 Part 2 3 4 5 6 7 8 9 10 Page Preliminary Short title . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Commencement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Amendment of Pay-roll Tax Regulation 1999 Regulation amended in pt 2 and schedule . . . . . . . . . . . . . . . . . . 3 Omission of pts 2 and 4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 Amendment of s 13 (Calculation of fringe benefits on same basis) ..................................... 3 Replacement of s 15 (Election in first return for current financial year—estimated value basis) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 15 Election in first periodic return period for current financial year—estimated value basis . . . . . . . . . . . . 4 Amendment of s 16 (Election during financial year—estimated value basis) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Replacement of s 17 (Election in reconciliation return—actual value basis) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 17 Election in annual return—actual value basis . . . . . . 6 Amendment of s 18 (Election during financial year—actual value basis) ................................... 7 Replacement of ss 19–22. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Subdivision 1 Periodic and annual returns

2 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 11 12 13 Part 3 14 15 16 17 18 Schedule 18A Application of sdiv 1 . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Monthly periodic return on estimated value basis . . . 20 Quarterly periodic return on estimated value basis . . 21 Biannual periodic return on estimated value basis. . . 22 Annual return on estimated value basis . . . . . . . . . . . Amendment of s 23 (Final return on estimated value basis) . . . . Replacement of ss 25–27. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25 Definitions for pt 7. . . . . . . . . . . . . . . . . . . . . . . . . . . . 26 Continuation of election under s 15 . . . . . . . . . . . . . . 27 Application, consent and continuation of election under s 16 ......................... 28 Continuation of election under s 17 . . . . . . . . . . . . . . 29 Application, consent and continuation of election under s 18 ......................... Amendment of schedule (Dictionary) . . . . . . . . . . . . . . . . . . . . . . Amendment of Taxation Administration Regulation 2002 Regulation amended in pt 3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Amendment of s 3 (Definition) . . . . . . . . . . . . . . . . . . . . . . . . . . . Insertion of new s 3A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3A Prescribed method of payment—Act, s 29 . . . . . . . . . Insertion of new s 10A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10A Giving document to commissioner—Act, ss 143(c) and 144 ............................ Amendment of s 11 (Non-application of section 147 of Act) . . . . Amendments of Pay-roll Tax Regulation 1999 . . . . . . . . . . . . 8 8 9 9 9 9 10 10 10 11 11 12 12 13 13 14 14 14 14 15 16

s1 3 s6 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 Part 1 Preliminary 1 Short title This regulation may be cited as the Taxation Legislation Amendment Regulation (No. 1) 2004 . 2 Commencement This regulation commences on the day the Pay-rollTaxAdministration Amendment Act 2004 , section 38 commences. Part 2 Amendment of Pay-roll Tax Regulation 1999 3 Regulation amended in pt 2 and schedule This part and the schedule amend the Pay-rollTaxRegulation 1999. 4 Omission of pts 2 and 4 Parts 2 and 4— omit. 5 Amendment of s 13 (Calculation of fringe benefits on same basis) Section 13(1), ‘in each return’— omit, insert— ‘for each periodic, annual or final return’. 6 Replacement of s 15 (Election in first return for current financial year—estimated value basis) Section 15—

s7 4 s7 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 omit, insert— ‘15 Election in first periodic return period for current financial year—estimated value basis ‘(1) The employer may elect to use estimated value amounts to work out the employer’s periodic and annual liability. ‘(2) The employer makes an election under subsection (1) by using an estimated value amount to work out the employer’s periodic liability for the first periodic return period for the financial year (the current financial year ). ‘(3) An election under subsection (1) continues to apply until the employer elects, or again elects, to use actual value amounts to work out the employer’s periodic and annual liability. ‘(4) If an election under subsection (1) applies to the employer on 30 June in a financial year, the employer’s annual return for the financial year must include an estimated value amount as part of the wages paid or payable during that year by the employer. ‘(5) An election under subsection (1) applies to working out— (a) periodic liability for the first periodic return period for the current financial year; and (b) all subsequent periodic and annual liabilities while the election continues to apply.’. 7 Amendment of s 16 (Election during financial year—estimated value basis) (1) Section 16(1)— omit, insert— ‘(1) If the employer— (a) wants to elect to use estimated value amounts to work out the employer’s periodic and annual liability for the current financial year; and (b) has not made an election under section 15(1) for the current financial year;

s7 5 s7 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 the employer must apply to the commissioner for consent to make the election.’. (2) Section 16(6), from ‘elect’— omit, insert— ‘elect to use estimated value amounts to work out the employer’s periodic and annual liability.’. (3) Section 16(7) and (8)— omit, insert— ‘(7) An election under subsection (6)— (a) is made by the employer using an estimated value amount to work out the employer’s periodic liability for the first periodic return period after receiving the consent; and (b) continues to apply until the employer elects, or again elects, to use actual value amounts to work out the employer’s periodic and annual liability; and (c) applies to working out— (i) periodic liability for the periodic return period for which the election is made; and (ii) all subsequent periodic and annual liabilities while the election continues to apply. ‘(8) If the employer makes an election under subsection (6), the employer must— (a) use the value of the employer’s Queensland fringe benefits for the last year of tax to work out the employer’s annual liability for the financial year in which the election is made; and (b) include in the employer’s annual return the value of the employer’s Queensland fringe benefits for the last year of tax as part of the wages paid or payable during the financial year by the employer. ‘(8A) If the election applies to the employer on 30 June in a financial year following the current financial year (a subsequent financial year ), the employer must include in the

s8 6 s8 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 employer’s annual return for the subsequent financial year an estimated value amount as part of the wages paid or payable during that year by the employer.’. (4) Section 16(8A) and (9)— renumber as section 16(9) and (10). (5) Section 16(10), as renumbered, penalty, ‘(9)’— omit, insert— ‘(10)’. 8 Replacement of s 17 (Election in reconciliation return—actual value basis) Section 17— omit, insert— ‘17 Election in annual return—actual value basis ‘(1) An employer, having made an election under subdivision (1) that still applies, may elect to use actual value amounts to work out the employer’s periodic and annual liability. ‘(2) An employer makes an election under subsection (1) by using a reconciliation amount to work out the employer’s annual liability for a financial year. ‘(3) If an employer makes an election under subsection (1), the employer must include a reconciliation amount as part of the wages paid or payable during the financial year by the employer. ‘(4) An election under subsection (1) continues to apply until the employer elects, or again elects, to use estimated value amounts to work out the employer’s periodic and annual liability. ‘(5) An election under subsection (1) applies to working out— (a) periodic liability for the first periodic return period for the financial year immediately following the financial year in which the employer uses a reconciliation amount to work out the employer’s annual liability; and

s9 7 s9 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 (b) all subsequent periodic, annual and final liabilities while the election continues to apply.’. 9 Amendment of s 18 (Election during financial year—actual value basis) (1) Section 18(1)(c)— omit, insert— ‘(c) who wants to elect to use actual value amounts to work out the employer’s periodic and annual liability.’. (2) Section 18(7), from ‘elect’— omit, insert— ‘elect to use actual value amounts to work out the employer’s periodic and annual liability.’. (3) Section 18(8) and (9)— omit, insert— ‘(8) An election under subsection (7)— (a) is made by the employer using an actual value amount to work out the employer’s periodic liability for the first periodic return period after receiving the consent; and (b) continues to apply until the employer elects, or again elects, to use estimated value amounts to work out the employer’s periodic and annual liability; and (c) applies to working out— (i) periodic liability for the periodic return period for which the election is made; and (ii) all subsequent periodic, annual and final liabilities while the election continues to apply. ‘(9) If an employer makes an election under subsection (7), the employer must— (a) use a reconciliation amount to work out the employer’s annual liability for the financial year in which the election is made; and

s 10 8 s 10 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 (b) include in the employer’s annual return the reconciliation amount as part of the wages paid or payable during the financial year by the employer. ‘(9A) However, if a change of status happens for an employer after the employer makes an election under subsection (7) and during the financial year in which the election is made, the employer must— (a) use a reconciliation amount to work out the employer’s final liability for the final period for the change of status; and (b) include in the employer’s final return the reconciliation amount as part of the wages paid or payable during the final period by the employer.’. (4) Section 18(9A) and (10)— renumber as section 18(10) and (11). (5) Section 18(11), as renumbered, penalty, ‘(10)’— omit, insert— ‘(11)’. 10 Replacement of ss 19–22 Sections 19 to 22— omit, insert— ‘Subdivision 1 Periodic and annual returns ‘18A Application of sdiv 1 ‘This subdivision applies to an employer who, under an election under division 2, subdivision 1, uses estimated value amounts to work out the employer’s periodic and annual liability. ‘19 Monthly periodic return on estimated value basis ‘The estimated value amount for the employer, for a periodic return period of 1 month for a financial year, is one-twelfth of

s 11 9 s 11 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 the value of the employer’s Queensland fringe benefits for the previous year of tax. ‘20 Quarterly periodic return on estimated value basis ‘The estimated value amount for the employer, for a periodic return period of 3 months for a financial year, is one-quarter of the value of the employer’s Queensland fringe benefits for the previous year of tax. ‘21 Biannual periodic return on estimated value basis ‘The estimated value amount for the employer, for a periodic return period of 6 months for a financial year, is one-half of the value of the employer’s Queensland fringe benefits for the previous year of tax. ‘22 Annual return on estimated value basis ‘The estimated value amount for the employer, for the employer’s annual return and annual liability for a financial year, is the value of the employer’s Queensland fringe benefits for the last year of tax.’. 11 Amendment of s 23 (Final return on estimated value basis) Section 23(2)— omit, insert— ‘(2) The value of fringe benefits to be included as part of the wages paid or payable during the final period for the final return by the employer, and used to work out the employer’s final liability, is the difference between the following amounts— (a) the total of— (i) the value of the employer’s Queensland fringe benefits for the last year of tax; and

s 12 10 s 12 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 (ii) the value of any Queensland fringe benefits paid or payable by the employer in April, May or June of the final period; (b) one-quarter of the value of the employer’s Queensland fringe benefits for the year of tax ending in the employer’s election year.’. 12 Replacement of ss 25–27 Sections 25 to 27— omit, insert— ‘Part 7 Transitional provisions for Taxation Legislation Amendment Regulation (No. 1) 2004 ‘25 Definitions for pt 7 ‘In this part— commencement means the day this part commences. post-amended regulation means this regulation as in force after the commencement. pre-amended regulation means this regulation as in force before the commencement. ‘26 Continuation of election under s 15 ‘(1) This section applies to an election that— (a) was made by an employer under section 15(1) of the pre-amended regulation; and (b) applies in relation to the employer at the commencement. ‘(2) The election is taken to be an election by the employer under section 15(1) of the post-amended regulation.

s 12 11 s 12 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 ‘27 Application, consent and continuation of election under s 16 ‘(1) Subsection (2) applies to an application for a consent under section 16(1) of the pre-amended regulation that has not been decided under that section by the commissioner before the commencement. ‘(2) The application is taken to be an application for consent under section 16(1) of the post-amended regulation. ‘(3) Subsection (4) applies to a consent given by the commissioner under section 16 of the pre-amended regulation if, immediately before the commencement, an election has not been made under the section in relation to the consent. ‘(4) The consent is taken to be a consent given by the commissioner under section 16 of the post-amended regulation. ‘(5) Subsection (6) applies to an election that— (a) was made by an employer under section 16(6) of the pre-amended regulation; and (b) applies in relation to the employer at the commencement. ‘(6) The election is taken to be an election by the employer under section 16(6) of the post-amended regulation. ‘28 Continuation of election under s 17 ‘(1) This section applies to an election that— (a) was made by an employer under section 17(1) of the pre-amended regulation; and (b) applies in relation to the employer at the commencement. ‘(2) The election is taken to be an election by the employer under section 17(1) of the post-amended regulation.

s 13 12 s 13 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 ‘29 Application, consent and continuation of election under s 18 ‘(1) Subsection (2) applies to an application for a consent under section 18(2) of the pre-amended regulation that has not been decided under that section by the commissioner before the commencement. ‘(2) The application is taken to be an application for consent under section 18(2) of the post-amended regulation. ‘(3) Subsection (4) applies to a consent given by the commissioner under section 18 of the pre-amended regulation if, immediately before the commencement, an election has not been made under the section in relation to the consent. ‘(4) The consent is taken to be a consent given by the commissioner under section 18 of the post-amended regulation. ‘(5) Subsection (6) applies to an election that— (a) was made by an employer under section 18(7) of the pre-amended regulation; and (b) applies in relation to the employer at the commencement. ‘(6) The election is taken to be an election by the employer under section 18(7) of the post-amended regulation.’. 13 Amendment of schedule (Dictionary) (1) Schedule, definitions address for service , final return , reconciliation amount , reconciliation return and relevant financial year — omit. (2) Schedule— insert— ‘ commencement , for part 7, see section 25. post-amended regulation , for part 7, see section 25. pre-amended regulation , for part 7, see section 25.

s 14 13 s 15 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 reconciliation amount , for a financial year for an employer, means the difference between the following— (a) the total of— (i) the value of the employer’s Queensland fringe benefits for the last year of tax; and (ii) the value of any Queensland fringe benefits paid or payable by the employer in April, May and June of the financial year; (b) one-quarter of the value of the employer’s Queensland fringe benefits for the year of tax ending in the employer’s election year. taxable amount , for part 5, division 1A, see section 13A. taxable value , for part 5, division 1A, see section 13A.’. (3) Schedule, definition current financial year , ‘15(1)’— omit, insert — ‘15(2)’. Part 3 Amendment of Taxation Administration Regulation 2002 14 Regulation amended in pt 3 ‘This part amends the TaxationAdministrationRegulation 2002. 15 Amendment of s 3 (Definition) (1) Section 3, heading— omit, insert— ‘3 Definitions’. (2) Section 3— insert—

s 16 14 s 17 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 ‘ pay-roll tax means pay-roll tax chargeable under the Pay-rollTax Act 1971 , section 7. 1 ’. 16 Insertion of new s 3A After section 3— insert— ‘3A Prescribed method of payment—Act, s 29 ‘(1) This section applies only to— (a) pay-roll tax; and (b) penalty tax and unpaid tax interest payable in relation to pay-roll tax. ‘(2) For section 29(b) of the Act, an amount of tax or interest mentioned in subsection (1) may be paid to the commissioner by— (a) electronic funds transfer; or (b) direct debit; or (c) BPAY facility. ‘(3) In this section— BPAY facility means a facility by that name offered by BPAY Pty Limited ACN 079 137 518.’. 17 Insertion of new s 10A After section 10— insert— ‘10A Giving document to commissioner—Act, ss 143(c) and 144 ‘(1) This section applies to a person who is required to give any of the following documents to the commissioner under the Pay-roll Tax Act 1971 — 1 Pay-roll Tax Act 1971 , section 7 (Imposition of pay-roll tax on taxable wages)

s 18 15 s 18 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 (a) an annual or final return, or a periodic return for which the periodic liability is nil, under that Act; (b) a notice under section 41C 2 of that Act. ‘(2) The person may, by an electronic communication, give an electronic form of the document to the commissioner by using the department’s information system for receiving the electronic form of the document. ‘(3) For section 144(1)(c) of the Act, the prescribed time for the electronic form of the document is when it enters the department’s information system for receiving the electronic form of the document. ‘(4) In this section— electronic communication means a communication of information in the form of data, text or images by guided or unguided electronic energy. information system means a system for generating, sending, receiving, storing or otherwise processing electronic communications.’. 18 Amendment of s 11 (Non-application of section 147 of Act) (1) Section 11, heading, ‘ section 147 ’— omit, insert— ‘ s 147 ’. (2) Section 11— insert— ‘(2) Subsection (1)(a) does not apply to the payment of pay-roll tax by a taxpayer.’. 2 Pay-roll Tax Act 1971 , section 41C (Notification requirement—employers required to work out fixed periodic deduction)

16 Taxation Legislation Amendment Regulation (No. 1) No. 268, 2004 2004 Schedule Amendments of Pay-roll TaxRegulation 1999 section 3 1 Section 3, heading, ‘—the dictionary’— omit. 2 Section 10, heading, ‘—Act, s 3’— omit. 3 Section 10, ‘section 3(1)’— omit, insert— ‘the schedule’. 4 Section 14, heading, ‘subdiv’— omit, insert— ‘ sdiv ’. 5 After section 22— insert— ‘Subdivision 2 Final returns’. ENDNOTES 1 Made by the Governor in Council on 9 December 2004. 2 Notified in the gazette on 10 December 2004. 3 Laid before the Legislative Assembly on . . . 4 The administering agency is the Treasury Department.

© State of Queensland 2004