A New Tax System (Luxury Car Tax Imposition—General) Act 1999
Act No. 79 of 1999 as amended
This compilation was prepared on 14 October 2008
taking into account amendments up to Act No. 100 of 2008
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
Contents
1 Short title [see Note 1]
2 Commencement
3 Imposition
4 Rate
5 Act does not impose a tax on property of a State
Notes
An Act to implement A New Tax System by imposing a luxury car tax, so far as that tax is neither a duty of customs nor a duty of excise
1 Short title [see Note 1]
This Act may be cited as the A New Tax System (Luxury Car Tax Imposition—General) Act 1999.
2 Commencement
This Act commences on 1 July 2000.
3 Imposition
(1) The tax that is payable under the A New Tax System (Luxury Car Tax) Act 1999 is imposed by this section under the name of luxury car tax.
(2) This section imposes luxury car tax only so far as that tax is neither a duty of customs nor a duty of excise within the meaning of section 55 of the Constitution.
4 Rate
The rate of luxury car tax payable under the A New Tax System (Luxury Car Tax) Act 1999 is 33%.
Note: Luxury car tax is only calculated on the value of the car that exceeds the luxury car tax threshold in that Act.
5 Act does not impose a tax on property of a State
(1) This Act does not impose a tax on property of any kind belonging to a State.
(2) Property of any kind belonging to a State has the same meaning as in section 114 of the Constitution.
Notes to the A New Tax System (Luxury Car Tax Imposition—General) Act 1999
Note 1
The A New Tax System (Luxury Car Tax Imposition—General) Act 1999 as shown in this compilation comprises Act No. 79, 1999 amended as indicated in the Tables below.
For all relevant information pertaining to application, saving or transitional provisions see Table A.
Table of Acts
Act | Number
and year | Date
of Assent | Date of commencement | Application, saving or transitional provisions |
A New Tax System (Luxury Car Tax Imposition—General) Act 1999 | 79, 1999 | 8 July 1999 | 1 July 2000 | |
A New Tax System (Luxury Car Tax Imposition—General) Amendment Act 2008 | 100, 2008 | 3 Oct 2008 | Schedule 1: (a)
Remainder: Royal Assent | Sch. 1 (item 2) |
|
(a) Subsection 2(1) (item 2) of the A New Tax System (Luxury Car Tax Imposition—General) Amendment Act 2008 provides as follows:
(1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.
Commencement information |
Column 1 | Column 2 | Column 3 |
Provision(s) | Commencement | Date/Details |
2. Schedule 1 | Immediately after the commencement of the Tax Laws Amendment (Luxury Car Tax) Act 2008. | 3 October 2008 |
Table of Amendments
ad. = added or inserted am. = amended rep. = repealed rs. = repealed and substituted |
Provision affected | How affected |
S. 4.................... | am. No. 100, 2008 |
Table A
Application, saving or transitional provisions
A New Tax System (Luxury Car Tax Imposition—General) Amendment Act 2008 (No. 100, 2008)
Schedule 1
2 Application
The amendment made by this Schedule applies to taxable supplies of luxury cars and taxable importations of luxury cars on or after 1 July 2008.
Overview
The A New Tax System (Luxury Car Tax Imposition—General) Act 1999, as amended, is a legislative framework introduced to implement the luxury car tax as part of the broader A New Tax System (GST) framework. Enacted by the Australian Parliament, the Act was designed to address the gap in revenue generation from the luxury car market while ensuring compliance with constitutional constraints, particularly by avoiding the imposition of a duty of customs or excise. The policy objective of this Act is to ensure that the luxury car tax is levied in a manner that aligns with the constitutional limitations and the overall tax reform agenda of the time.
The Act specifies the imposition of a luxury car tax at a rate of 33%, calculated on the value of a car exceeding the luxury car tax threshold. Importantly, the Act explicitly states that it does not impose a tax on property belonging to a State, thereby adhering to the constitutional provision outlined in section 114 of the Constitution. The Act was brought into force on 1 July 2000, with subsequent amendments, such as those made by the A New Tax System (Luxury Car Tax Imposition—General) Amendment Act 2008, ensuring its ongoing relevance and effectiveness in the evolving tax landscape.
Scope and Application
The A New Tax System (Luxury Car Tax Imposition—General) Act 1999 applies to luxury cars, imposing a luxury car tax on them as part of the Australian New Tax System. The tax applies to taxable supplies and importations of luxury cars in Australia, and it is imposed at a rate of 33%. This Act ensures that the tax is neither a duty of customs nor a duty of excise, clarifying its jurisdictional reach within the Commonwealth. Notably, the Act explicitly states that it does not impose a tax on property belonging to any state, adhering to constitutional limitations. The Act commenced on 1 July 2000, and subsequent amendments, such as those made by the A New Tax System (Luxury Car Tax Imposition—General) Amendment Act 2008, have been incorporated to adjust the tax thresholds and application details. These amendments apply to supplies and importations of luxury cars on or after 1 July 2008, extending and refining the scope of the original Act.
Key Provisions
The A New Tax System (Luxury Car Tax Imposition—General) Act 1999 (sections 3 and 4) establishes the imposition of luxury car tax on luxury cars. This tax is levied at a rate of 33% on the value of the car that exceeds the luxury car tax threshold specified in the A New Tax System (Luxury Car Tax) Act 1999. The tax is not considered a duty of customs or excise as per section 55 of the Constitution. The Act explicitly states that it does not impose a tax on property belonging to any State, as defined in section 114 of the Constitution (section 5).
Entities and individuals subject to this Act must ensure that the luxury car tax is correctly calculated and paid in accordance with the provisions set forth in the A New Tax System (Luxury Car Tax) Act 1999. This includes determining the value of the car, identifying whether it exceeds the luxury car tax threshold, and then applying the 33% tax rate to the excess value. Compliance with these obligations is critical for avoiding any legal repercussions.
Failure to comply with the provisions of this Act can result in significant consequences. The Act does not explicitly detail specific offences, penalties, or civil/criminal consequences within its text. However, under the broader A New Tax System (Luxury Car Tax) Act 1999, non-compliance may lead to penalties such as fines, interest on unpaid tax, and potentially legal action to recover the tax owed. The exact penalties and consequences would be governed by the overarching tax legislation and administrative practices of the Australian Taxation Office.