INCOME TAX (WAR-TIME ARRANGEMENTS).
No. 32 of 1944.
An Act to amend the Income Tax (War-time Arrangements) Act 1942-1943.
[Assented to 6th October, 1944.]
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 and citation.
1.—(1.) This Act may be cited as the Income Tax (War-time Arrangements) Act 1944.
(2.) The Income Tax (War-time Arrangements) Act 1942-1943 is in this Act referred to as the Principal Act.
(3.) The Principal Act, as amended by this Act, may be cited as the Income Tax (War-time Arrangements) Act 1942-1944.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
3. After section seven of the Principal Act the following section is inserted:—
Additional payments in certain cases.
“7a.—(1.) Where the amount paid (whether before or after the commencement of this section) in respect of the long service leave or furlough of any officer in relation to whom the last preceding section applies is less than the amount which would have been so paid if it were calculated upon the salary of the officer immediately prior to his re-transfer, death or resignation, the State shall pay the amount of the difference to the officer or other person to whom the first mentioned amount was or is paid, and the Commonwealth shall pay to the State an amount equal to the amount of the difference so paid, in addition to any payment under section nine of this Act.
“(2.) In this section, ‘salary’ has the same meaning as in sections seventy-three and seventy-four of the Commonwealth Public Service Act 1922-1943.”.
Payments to State by Commonwealth.
4. Section nine of the Principal Act is amended—
(a) by inserting after the figure and symbols “(2.)” the word, figure and symbols “or (4.)”; and
(b) by inserting after the word “State” (fifth occurring), the words “(but not including any payment made by the State under section seven a of this Act)”.
Officers’ rights in State during period of transfer.
5. Section ten of the Principal Act is amended by omitting paragraph (b) of sub-section (1.) and inserting in its stead the following paragraph:—
“(b) in the case of a transferred officer who was a temporary officer of the State service—
(i) of being appointed a permanent officer of the State service; or
(ii) of the taking of any action affecting his eligibility to contribute to any State Fund established for the purpose of providing superannuation or other benefits.”.
Overview
The Income Tax (War-time Arrangements) Act 1944 was enacted to amend the Income Tax (War-time Arrangements) Act 1942-1943, addressing issues that arose during wartime concerning the taxation and employment arrangements of officers. This Act was introduced by the Commonwealth Parliament to ensure that officers who were transferred from state to federal service during wartime were treated fairly in terms of their long service leave and furlough payments. The policy objective was to mitigate any financial discrepancies that might occur due to changes in their salary calculations and to ensure that the Commonwealth adequately compensated the states for any additional payments made to officers. The Act aimed to provide a mechanism for the Commonwealth to reimburse states for payments made under specific conditions, thus maintaining financial equity and supporting the war effort by ensuring that officers were treated justly.
Scope and Application
The Income Tax (War-time Arrangements) Act 1944 applies to officers who have been transferred between the Commonwealth and the State services during the war, particularly focusing on those who have been re-transferred, deceased, or resigned. This Act is a direct amendment to the Income Tax (War-time Arrangements) Act 1942-1943, aiming to address the financial discrepancies that arise from the recalculation of long service leave or furlough payments based on the officers' previous salaries. The Commonwealth is required to compensate the State for any differences in payments, ensuring that officers receive the full amount they would have earned if calculated on their prior salary. This Act operates on a national level, impacting both Commonwealth and State officers who fall under the specified conditions. The Act does not explicitly state exclusions but implicitly excludes those officers not affected by re-transfer, death, or resignation. Any further specification or clarification of application is potentially addressed through subordinate instruments or administrative practices.
Key Provisions
The Income Tax (War-time Arrangements) Act 1944 amends the Income Tax (War-time Arrangements) Act 1942-1943. Section 3 introduces a new section 7a which provides that if an officer receives less payment for long service leave or furlough than they would have if calculated based on their pre-transfer salary, the State must compensate the difference. The Commonwealth, in turn, must reimburse the State for this amount, in addition to any payments made under section 9 of the Act. Section 4 modifies section 9 of the Principal Act, ensuring that payments to the State do not include those made under the new section 7a. It also adjusts references within the Act to accommodate this change.
The Act imposes specific obligations on both the State and the Commonwealth regarding payments related to officers' leave and furlough. The State must ensure that any officer who receives less than their pre-transfer salary amount for leave or furlough is compensated for the shortfall. The Commonwealth is required to reimburse the State for these payments. Additionally, the Act modifies the rights of transferred officers during their period of transfer, as outlined in section 5, to clarify their eligibility for permanent positions and their ability to contribute to State superannuation or benefit funds.
Failure to comply with the provisions of this Act may result in financial liabilities for both the State and the Commonwealth. For example, if the State does not compensate officers as required under section 7a, it may face claims from affected officers. Similarly, if the Commonwealth fails to reimburse the State, it could result in legal action or financial disputes. The Act does not explicitly outline criminal penalties, but breaches of its provisions could lead to civil consequences such as compensation claims or legal actions to enforce the payment obligations.