Gold Tax Collection Act 1939

Legislation au C1939A00051 Not in force Act

Legislation content

GOLD TAX COLLECTION.

 

No. 51 of 1939.

An Act relating to the Imposition and Collection of a Tax upon Gold.

[Assented to 15th December, 1939.]

BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—

Short title.

1. This Act may be cited as the Gold Tax Collection Act 1939.

Commencement.

2. This Act shall be deemed to have come into operation on the fifteenth day of September, One thousand nine hundred and thirty-nine.

Extension to Territories.

3. This Act shall extend to the Territories of the Commonwealth.

Definitions.

4. In this Act, unless the contrary intention appears—

“tax” means tax imposed by the Gold Tax Act 1939;

“the Account” means the Gold Tax (New Guinea) Trust Account established in pursuance of this Act;

“the Bank” means the Commonwealth Bank of Australia;

“wrought gold” means gold and gold alloys which on view have apparently been worked or manufactured for trade purposes, and includes the waste products arising from the working and manufacturing of gold and gold alloys for trade purposes.


Liability to gold tax.

5. The tax in respect of any gold shall be payable by the person (in this Act referred to as “the taxpayer”) who delivers the gold to the Bank, or to an agent of the Bank.

Exemptions.

6. The following gold shall be exempt from tax:—

(a) Gold imported into Australia from any place not being a Territory of the Commonwealth; and

(b) Gold coin and wrought gold, unless and until the Treasurer otherwise directs by notice published in the Gazette.

Payment of tax.

7.—(1.) Tax shall be a debt due by the taxpayer to the Commonwealth and shall be payable in accordance with the provisions of this section.

(2.) The Bank, or the agent of the Bank, as the case may be, shall deduct from any amount payable in respect of gold delivered to the Bank, or to an agent of the Bank, the amount of tax imposed upon the gold so delivered, and shall pay the amount so deducted to the Commonwealth at the prescribed time and in the prescribed manner.

Penalty: One thousand pounds.

(3.) The deduction of any amount of tax in pursuance of sub-section (2.) of this section shall operate—

(a) so as to discharge the liability of the taxpayer to pay that tax; and

(b) so as to discharge, pro tanto, the liability of the Bank to make payment to the taxpayer for the gold in respect of which the tax was payable.

(4.) If any amount of tax is not deducted as required by sub-section (2.) of this section, the taxpayer shall forthwith pay the tax to the Commonwealth in the prescribed manner.

Penalty: One thousand pounds.

(5.) The Commonwealth may sue for and recover in any court of competent jurisdiction—

(a) any amount of tax deducted in pursuance of sub-section (2.) of this section and not paid to the Commonwealth; and

(b) any amount of tax payable by a taxpayer in pursuance of sub-section (4.) of this section and not paid to the Commonwealth.

Refund of tax.

8.—(1.) The Commonwealth shall, subject to the regulations, refund to a taxpayer who is a bona fide prospector the amount of tax upon the first twenty-five ounces of gold on which he directly or indirectly pays tax in any year.

(2.) For the purposes of this section—

“bona fide prospector” means a person (other than a company) who satisfies a prescribed authority that—

(a) he has personally performed the whole or the major part of the field work of prospecting for and obtaining the gold upon which he has paid tax; or


(b) he is one of two or more persons who together have personally performed the whole or major part of such work;

“year” means the year commencing on the date of the passing of this Act or any year commencing on any anniversary of that date.

(3.) The Commonwealth shall pay to any taxpayer any amount of tax overpaid by him.

Avoidance of tax.

9.—(1.) A person shall not by any wilful act, default or neglect, or by any fraud, art or contrivance whatever, avoid or evade or attempt to avoid or evade liability to pay tax.

Penalty: One thousand pounds.

(2.) A prosecution for an offence against this section may be commenced at any time within six years after the commission of the offence.

Offences in relation to refunds.

10. A person shall not—

(a) obtain any refund of tax which is not payable;

(b) obtain any refund of tax by means of any false or misleading statement; or

(c) present to any officer or other person doing duty in relation to this Act or the regulations, or make to any such officer or person any statement which is false in any particular.

Penalty: One hundred pounds or imprisonment for six months.

Gold Tax (New Guinea) Trust Account.

11.—(1.) For the purposes of this Act there shall be a Trust Account which shall be known as the Gold Tax (New Guinea) Trust Account.

(2.) The Account shall be a Trust Account for the purposes of section sixty-two a of the Audit Act 1901–1934.

(3.) There shall be payable to the credit of the Account, out of the Consolidated Revenue Fund, which is hereby appropriated accordingly, all tax paid in respect of gold produced in the Territory of New Guinea.

(4.) The moneys standing to the credit of the Account shall be applied for or in relation to the defence of the Territory of New Guinea or for other purposes of that Territory.

Regulations.

12. The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters which by this Act are required or permitted to be prescribed, or which are necessary or convenient to be prescribed for carrying out or giving effect to this Act, and, in particular, for prescribing matters providing for or in relation to—

(a) applications for, and the making of, refunds of tax; and

(b) penalties not exceeding a fine of One hundred pounds or imprisonment for a period of six months, for offences against the regulations.

Overview

The Gold Tax Collection Act 1939 was enacted to address the need for the imposition and collection of a tax on gold in Australia, particularly in the context of gold production in the Territory of New Guinea. This Act was passed by the Commonwealth Parliament of Australia and received royal assent on 15th December 1939. The primary objective of this legislation was to establish the framework for the imposition and collection of a tax on gold, with proceeds being directed towards the defence and other purposes of the Territory of New Guinea. It outlines the definitions relevant to the Act, such as the tax, the Gold Tax (New Guinea) Trust Account, and wrought gold, as well as detailing the liability for the tax, exemptions, payment procedures, and penalties for non-compliance. Additionally, it provides for the refund of tax to bona fide prospectors and establishes a Trust Account for the gold tax collected in New Guinea. The Act also empowers the Governor-General to make regulations to ensure the effective implementation of the Act. The Gold Tax Collection Act 1939 aims to regulate the tax on gold comprehensively, ensuring that it is collected efficiently and fairly, while also providing mechanisms for refunds and penalties for non-compliance. This Act plays a crucial role in managing the financial resources derived from gold production, particularly in New Guinea, and ensuring that these resources are used for the benefit of the territory.

Scope and Application

The Gold Tax Collection Act 1939 applies to the imposition and collection of a tax on gold within the Territories of the Commonwealth of Australia. The Act is applicable to any person, referred to as the taxpayer, who delivers gold to the Commonwealth Bank of Australia or an agent of the bank. The tax applies to all gold unless it is specifically exempt under the Act, such as gold imported from places outside the Commonwealth or gold coins and wrought gold unless otherwise directed by the Treasurer. The Act also outlines provisions for the payment, avoidance, and refund of the tax, and includes penalties for non-compliance. Additionally, the Act establishes a Gold Tax (New Guinea) Trust Account for tax revenues collected in the Territory of New Guinea, which can be used for the defence of the territory or other specified purposes. The Governor-General has the authority to make regulations under this Act to prescribe matters necessary for its implementation, including the application process for refunds and penalties for offences against these regulations.

Key Provisions

The Gold Tax Collection Act 1939 (section 1) establishes a tax on gold and outlines the procedures for its collection, which came into effect on 15 September 1939 (section 2). The Act extends to the territories of the Commonwealth (section 3) and includes definitions for key terms such as "tax," "the Account," "the Bank," and "wrought gold" (section 4). The tax is payable by the person delivering gold to the Commonwealth Bank of Australia or its agent (section 5). Exemptions from tax include gold imported from outside the Commonwealth and gold coin or wrought gold, unless otherwise directed by the Treasurer (section 6). Tax is to be deducted from the amount payable for the gold and paid to the Commonwealth by the Bank or its agent, with failure to do so resulting in a penalty of one thousand pounds (section 7). The Commonwealth has the right to sue for unpaid tax (section 7(5)). Bona fide prospectors are entitled to a refund of tax on the first twenty-five ounces of gold they pay tax on each year (section 8(1)). The Act also includes provisions for avoiding tax, with penalties of one thousand pounds for wilful acts or fraud to evade tax (section 9) and one hundred pounds or imprisonment for six months for offences related to tax refunds (section 10). Additionally, a Gold Tax (New Guinea) Trust Account is established to which all tax collected from gold produced in New Guinea is credited (section 11). The Governor-General has the authority to make regulations, including penalties not exceeding one hundred pounds or six months imprisonment for offences against these regulations (section 12).

Legal classification tags

Area of Law
Taxation Law
Instrument
Act
Concepts
Definitions & Interpretation
Offence Provisions
Enforcement Powers
Licensing & Registration
Reporting & Disclosure Obligations
Avoidance of tax

Interactions

Authorises

All Versions

Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.