Departure Tax Collection Amendment Act 1988

Overview

The Departure Tax Collection Amendment Act 1988 (No. 48 of 1988) was enacted to amend the Departure Tax Collection Act 1978. This legislation was introduced to address specific issues and gaps in the existing framework for the collection of departure tax, primarily by redefining the roles and responsibilities of tax collectors and the entities involved in the collection process. The Act was assented to on 15 June 1988 and commenced on 1 July 1988. Enacted by the Queen, with the authority of the Senate and the House of Representatives of the Commonwealth of Australia, the policy objective of the Act was to streamline and clarify the mechanisms for the collection of departure tax by introducing the concept of approved agents and repealing certain sections that were no longer relevant. The Act ensures that the administration of departure tax remains efficient and compliant with current legislative requirements.

Scope and Application

The Departure Tax Collection Amendment Act 1988 amends the Departure Tax Collection Act 1978, which applies to Commonwealth, state, and territory jurisdictions within Australia. The Act specifies the appointment of approved agents who are responsible for the collection of departure tax, replacing the previous categories of international air operators and other bodies or persons with this new classification. This change extends the application of the Act to approved agents, who are now tasked with the obligation to collect the departure tax from relevant parties. The Act also repeals sections 11a, 11b, and 11c of the Principal Act, which previously dealt with the administration and enforcement of the departure tax collection. The amendments are designed to streamline the tax collection process by focusing on approved agents and their roles, thereby clarifying the scope of entities involved in the collection of departure tax. The Act’s provisions are complemented by potential subordinate instruments that may further define the responsibilities and qualifications of approved agents, ensuring a structured and regulated approach to departure tax collection.

Key Provisions

The Departure Tax Collection Amendment Act 1988 (Act) makes significant changes to the Departure Tax Collection Act 1978 (Principal Act). Firstly, it amends the definitions in section 3 of the Principal Act by removing several terms, including "aerial work operation," "charter operation," "international air operator," "international airport," "international flight," "master," and "private operation" (section 3). The Act also amends section 11 of the Principal Act to change references to "international air operators or other bodies or persons" to "approved agents" in various subsections (section 4). Furthermore, sections 11a, 11b, and 11c of the Principal Act are repealed (section 5). Under the amended Principal Act, approved agents are now responsible for collecting tax stamps and exemption stamps instead of international air operators or other bodies or persons (section 4). The Act also modifies section 15 of the Principal Act to include provisions for the appointment of approved agents, allowing for the creation of regulations that define the roles and responsibilities of these agents (section 6). The Act imposes specific obligations on approved agents, who are now tasked with the collection of departure tax and exemption stamps. These agents must comply with the regulations made under the amended Principal Act, ensuring that they properly collect and remit the required taxes and fees. The Act does not explicitly state the obligations of international air operators or other entities, as these roles have been transferred to approved agents. The Act does not outline specific offences or penalties for breaches. However, under the Principal Act, there are potential civil and criminal consequences for non-compliance with tax regulations. Civil penalties may include fines, while criminal penalties could involve imprisonment, reflecting the seriousness of tax evasion and non-compliance. The exact penalties would depend on the nature and severity of the breach, as detailed in the Principal Act and any subsequent regulations.