Pay-roll Tax Assessment (No. 2)
No. 148 of 1965
An Act to amend the Pay-roll Tax Assessment Act 1941-1963, as amended by the Pay‑roll Tax Assessment Act 1965, in relation to Decimal Currency.
[Assented to 18 December, 1965]
BE it enacted by the Queen’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 Pay-roll Tax Assessment Act (No. 2) 1965.
(2.) The Pay-roll Tax Assessment Act 1941-1963, as amended by the Pay-roll Tax Assessment Act 1965, is in this Act referred to as the Principal Act.
(3.) Section 1 of the Pay-roll Tax Assessment Act 1965 is amended by omitting sub-section (3.).
(4.) The Principal Act, as amended by this Act, may be cited as the Pay-roll Tax Assessment Act 1941-1965.
Commencement.
2. This Act shall come into operation on the fourteenth day of February, One thousand nine hundred and sixty-six.
General exemptions.
3. Section 14 of the Principal Act is amended—
(a) by omitting from paragraph (c) of (sub-section 1b.) the word “and” (last occurring); and
(b) by omitting paragraph (d) of sub-section (1b.) and inserting in its stead the following paragraphs:—
“(d) the amount prescribed in respect of each month from and including the month of September, One thousand nine hundred and fifty-seven, to and including the month of January, One thousand nine hundred and sixty-six, is Eight hundred and sixty-six pounds thirteen shillings and fourpence; and
“(e) the amount prescribed in respect of the month of February, One thousand nine hundred and sixty-six, and in respect of each subsequent month, is One thousand seven hundred and thirty-three dollars and thirty-three cents.”.
Annual adjustment of tax.
4. Section 16 of the Principal Act is amended—
(a) by omitting from paragraph (e) of sub-section (2a.) the word “and” (last occurring); and
(b) by omitting paragraph (f) of sub-section (2a.) and inserting in its stead the following paragraphs:—
“(f) the amount prescribed in respect of the financial year ending on the thirtieth day of June in each year from and including the year One thousand nine hundred and fifty-nine to and including the year One thousand nine hundred and sixty-five, is Ten thousand four hundred pounds; and
“(g) the amount prescribed in respect of the financial year ending on the thirtieth day of June, One thousand nine hundred and sixty-six, and in respect of each subsequent financial year, is Twenty thousand eight hundred dollars.”.
Overview
The Pay-roll Tax Assessment (No. 2) Act 1965 was enacted to amend the Pay-roll Tax Assessment Act 1941-1963 in response to the transition to decimal currency in Australia. The Act was assented to on 18 December 1965 and came into operation on 14 February 1966. This legislation was introduced by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, aiming to update the prescribed tax amounts to reflect the new currency system. The amendments include adjustments to the monthly and annual tax amounts, ensuring that the legislation remains consistent with the decimal currency system adopted in 1966.
Scope and Application
The Pay-roll Tax Assessment (No. 2) Act 1965 amends the Pay-roll Tax Assessment Act 1941-1963 to accommodate decimal currency, coming into effect on 14 February 1966. The Act adjusts the Principal Act to reflect the shift from the old currency system to decimal currency. This legislative change applies to all employers and employees subject to payroll tax under the Principal Act, impacting the calculations and reporting of payroll tax in the specified period. The amendments extend to the financial year ending on 30 June each year, with adjustments made to the prescribed amounts for tax calculations. The Act does not explicitly state exclusions or exemptions, but they are likely to be consistent with the provisions of the Principal Act, which may include specific categories of employees or employers. The scope of the Act is jurisdictional, applying within the Commonwealth of Australia, as it amends a federal law. The Act does not introduce new subordinate instruments but updates existing provisions within the Principal Act.
Key Provisions
The Pay-roll Tax Assessment (No. 2) Act 1965 amends the Pay-roll Tax Assessment Act 1941-1963, as amended by the Pay-roll Tax Assessment Act 1965, to reflect the change to decimal currency in Australia. This Act, referred to as the Principal Act, updates specific monetary amounts to align with the new currency system. The Act introduces new section numbers and modifies existing sections to reflect the updated currency values.
The key sections of the Act involve amendments to the Principal Act. Section 3 modifies section 14 of the Principal Act, changing the prescribed monthly amounts for payroll tax exemptions from September 1957 to January 1966 and setting new rates for February 1966 onwards. Section 4 updates section 16 of the Principal Act, altering the prescribed amounts for annual payroll tax adjustments for financial years from 1959 to 1965 and setting new rates for the financial year ending June 1966 and beyond.
The Act imposes obligations on taxpayers to ensure they comply with the updated payroll tax rates and exemptions as stipulated. Employers are required to accurately calculate payroll tax based on the new monetary values provided in the amended sections. The Act also necessitates that employers maintain records and documentation to demonstrate compliance with these tax adjustments.
Failure to comply with the provisions of the Act may result in penalties. While the Act does not explicitly state the penalties for non-compliance, under the Principal Act, penalties for incorrect payroll tax assessments typically include fines and interest on unpaid taxes. The maximum penalties for serious or repeated non-compliance can be significant, potentially including both civil and criminal sanctions. It is imperative for employers to adhere to the new rates and ensure all tax calculations are precise to avoid these consequences.