A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003
Statutory Rules 2003 No. 125
made under the
A New Tax System (Commonwealth–State Financial Arrangements) Act 1999
This compilation was prepared on 6 October 2006
taking into account amendments up to SLI 2006 No. 258
The text of any of those amendments not in force
on that date is appended in the Notes section
Prepared by the Office of Legislative Drafting and Publishing,
Attorney‑General’s Department, Canberra
Contents
1 Name of Regulations [see Note 1]
2 Commencement [see Note 1]
3 Definition
4 Transitional GST year
Notes
1 Name of Regulations [see Note 1]
These Regulations are the A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003.
2 Commencement [see Note 1]
These Regulations commence on gazettal.
3 Definition
In these Regulations:
Act means the A New Tax System (Commonwealth–State Financial Arrangements) Act 1999.
4 Transitional GST year
For paragraph (b) of the definition of transitional GST year in section 4 of the Act, the following GST years are prescribed:
(a) the GST year commencing on 1 July 2003;
(b) the GST year commencing on 1 July 2004;
(c) the GST year commencing on 1 July 2005;
(d) the GST year commencing on 1 July 2006;
(e) the GST year commencing on 1 July 2007;
(f) the GST year commencing on 1 July 2008.
Note A transitional GST year for section 4 of the Act is described by a figure referring to 2 years (for example, the 2003–04 transitional GST year is the transitional GST year commencing on 1 July 2003).
Notes to the A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003
Note 1
The A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003 (in force under the A New Tax System (Commonwealth–State Financial Arrangements) Act 1999) as shown in this compilation comprise Statutory Rules 2003 No. 125 amended as indicated in the Tables below.
Under the Legislative Instruments Act 2003, which came into force on 1 January 2005, it is a requirement for all non‑exempt legislative instruments to be registered on the Federal Register of Legislative Instruments. From 1 January 2005 the Statutory Rules series ceased to exist and was replaced with Select Legislative Instruments (SLI series). Numbering conventions remain the same, ie Year and Number.
Table of Instruments
Year and
Number | Date of notification
in Gazette or FRLI registration | Date of
commencement | Application, saving or
transitional provisions |
2003 No. 125 | 19 June 2003 | 19 June 2003 | |
2006 No. 258 | 5 Oct 2006 (see F2006L03223) | 6 Oct 2006 | — |
Table of Amendments
ad. = added or inserted am. = amended rep. = repealed rs. = repealed and substituted |
Provision affected | How affected |
R. 4................. | am. 2006 No. 258 |
Overview
The A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003, which were made under the A New Tax System (Commonwealth–State Financial Arrangements) Act 1999, were introduced to provide the necessary regulatory framework for implementing the tax reforms and financial arrangements between the Commonwealth and the states. These regulations were enacted to address the need for a structured and legally binding agreement on how revenue raised by the Commonwealth would be distributed to the states. The regulations were prepared by the Office of Legislative Drafting and Publishing, Attorney-General’s Department, and came into force on the date of their gazettement. The policy objective of these regulations is to ensure the smooth and transparent implementation of the financial agreements established under the Act, facilitating effective revenue sharing and fiscal stability between the Commonwealth and the states.
Scope and Application
The A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003, made under the A New Tax System (Commonwealth–State Financial Arrangements) Act 1999, apply to the Commonwealth and states of Australia, establishing a framework for financial arrangements between the Commonwealth and the states. These Regulations provide detailed provisions to implement the tax and fiscal arrangements set out in the Act, including definitions, transitional rules, and the allocation of GST revenue. They apply to all entities and persons involved in the financial relations between the Commonwealth and the states, including government bodies, businesses, and other entities as specified within the Act. The Regulations cover the entire Commonwealth of Australia and its states, ensuring uniformity in the application of financial arrangements across jurisdictions. However, specific exclusions or exemptions within the Act itself are not detailed in these Regulations, but may be found in other relevant legislation or subordinate instruments. The application of these Regulations can be extended or modified through amendments and subordinate instruments, as evidenced by the updates to the original Statutory Rules 2003 No. 125, such as the amendment SLI 2006 No. 258, which came into effect on 6 October 2006.
Key Provisions
The A New Tax System (Commonwealth–State Financial Arrangements) Regulations 2003 (the Regulations) operate under the A New Tax System (Commonwealth–State Financial Arrangements) Act 1999 (the Act). The Regulations, which came into force on 19 June 2003, define the administrative and procedural aspects of the Act. One of the key sections is Section 3, which provides definitions necessary for interpreting the Regulations, such as clarifying what is meant by "Act" (Section 3(1)). Section 4 prescribes specific GST years for transitional purposes, listing six consecutive years starting from 1 July 2003 up to 1 July 2008 (Section 4). These definitions and transitional provisions are critical for ensuring a smooth implementation of the tax system changes.
The Regulations impose certain obligations on the parties they govern. For instance, they require adherence to the definitions provided, which are essential for correctly applying the Act's provisions. Additionally, entities must ensure compliance with the prescribed transitional GST years, which is vital for accurate reporting and tax obligations during the transition period. These obligations ensure consistency and clarity in the application of the tax laws, thereby facilitating compliance and reducing the risk of misinterpretation or non-compliance.
Failure to comply with the Regulations can result in various consequences. While the specific offences and penalties are not detailed in the Regulations themselves, breaches of the Act, which the Regulations implement, can lead to legal actions. In the case of tax-related offences, the consequences can include fines and, in severe cases, imprisonment. The exact penalties would depend on the specific breach and the provisions of the Act. However, it is clear that non-compliance carries significant legal and financial risks, underscoring the importance of adhering to the Regulations.