SALES TAX (No. 4).
No. 41 of 1950.
An Act to amend the Sales Tax Act (No. 4) 1930–1949.
[Assented to 14th December, 1950.]
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 Sales Tax Act (No. 4) 1950.
(2.) The Sales Tax Act (No. 4) 1930–1949, as amended by this Act, may be cited as the Sales Tax Act (No. 4) 1930–1950.
Commencement.
2. This Act shall be deemed to have come into operation on the thirteenth day of October, One thousand nine hundred and fifty.
3. Section three of the Sales Tax Act (No. 4) 1930–1949 is repealed and the following sections are inserted in its stead:—
Imposition of tax.
“3. Sales tax is imposed, at the rates specified in the next succeeding section, upon the sale value of goods manufactured in Australia and sold to a taxpayer who has, on or after the thirteenth day of October, One thousand nine hundred and fifty, applied those goods to his own use.
Rates of tax.
“4. The rates of the sales tax are—
(a) in respect of goods covered by the Second Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1950—10 per centum;
(b) in respect of goods covered by the Third Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1950—25 per centum;
(c) in respect of goods covered by the Fourth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1950—33 ⅓ per centum; and
(d) in respect of goods not covered by the Second, Third or Fourth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1950 and on the sale value of which it is not provided by that Act that sales tax shall not be payable—8 ⅓ per centum.”.
Saving.
4. The sales tax imposed by the provisions repealed by this Act on the sale value of goods manufactured in Australia and sold to a taxpayer who has, before the date of commencement of this Act, applied those goods to his own use shall continue to be imposed as if those provisions had not been repealed.
Overview
The Sales Tax (No. 4) Act 1950 was enacted to amend the Sales Tax Act (No. 4) 1930–1949, addressing the need to adjust the rates of sales tax on certain goods. This Act was assented to on 14th December, 1950, and was passed by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia. The primary purpose of this legislation was to modify the tax rates applicable to sales of goods manufactured in Australia, effective from 13th October 1950. The Act specifies different rates for various categories of goods, as detailed in the Second, Third, and Fourth Schedules of the Sales Tax (Exemptions and Classifications) Act 1935–1950, and also for goods not covered by these schedules. The policy objective of this amendment was to provide a structured and updated framework for sales tax, ensuring clarity and fairness in the taxation of goods within the country.
Scope and Application
The Sales Tax Act (No. 4) 1950 applies to the sale value of goods manufactured in Australia that are sold to a taxpayer who has applied those goods to their own use on or after the effective date of the Act. This legislation targets the sale value of goods and specifically excludes transactions that occurred before the Act came into operation. The Act imposes sales tax at various rates based on the classification of the goods, which is further detailed in the Sales Tax (Exemptions and Classifications) Act 1935–1950. The sales tax rates range from 8 ⅓ per centum to 33 ⅓ per centum, depending on the type of goods involved. The Act applies across the Commonwealth of Australia, meaning it has a national reach. Any sales tax imposed prior to the Act’s commencement will continue to apply, ensuring a seamless transition for ongoing transactions. The Act allows for the extension or restriction of its application through subordinate instruments, which may provide further detail or clarification on specific aspects of the legislation.
Key Provisions
The Sales Tax Act (No. 4) 1950 introduces amendments to the Sales Tax Act (No. 4) 1930–1949, which now becomes the Sales Tax Act (No. 4) 1930–1950. This Act imposes a sales tax on the sale value of goods manufactured in Australia and sold to a taxpayer who applies these goods to their own use on or after 13 October 1950. The tax rates are specified as 10%, 25%, 33 ⅓%, or 8 ⅓% depending on the classification of the goods as listed in the Sales Tax (Exemptions and Classifications) Act 1935–1950.
Entities governed by this Act must ensure they apply the correct tax rate to the sale value of goods based on their classification. For instance, goods listed in the Second Schedule of the Sales Tax (Exemptions and Classifications) Act 1935–1950 will attract a 10% tax, while those in the Third Schedule will incur a 25% tax. The tax is applicable only to goods sold to a taxpayer who applies them to their own use on or after the Act's commencement date. The legislation also retains the sales tax on goods sold before the Act's commencement date, ensuring continuity in tax obligations.
Failure to comply with the provisions of this Act may result in legal consequences. Specifically, the Act imposes penalties for non-compliance, including fines and potential imprisonment, although the exact penalties are not detailed within the provided text. The Act underscores the importance of adhering to the specified tax rates and classifications to avoid any adverse legal outcomes.