SALES TAX (No. 4).
No. 67 of 1951.
An Act to amend the Sales Tax Act (No. 4) 1930-1950.
[Assented to 11th December, 1951.]
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) 1951.
(2.) The Sales Tax Act (No. 4) 1930-1950, as amended by this Act, may be cited as the Sales Tax Act (No. 4) 1930-1951.
Commencement.
2. This Act shall be deemed to have come into operation on the twenty-seventh day of September, One thousand nine hundred and fifty-one.
3. Sections three and four of the Sales Tax Act (No. 4) 1930-1950 are repealed and the following sections inserted in their stead:—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 twenty-seventh day of September, One thousand nine hundred and fifty-one, 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 1935-1951—20 per centum;
(b) in respect of goods covered by the Third Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1951—25 per centum;
(c) in respect of goods covered by the Fourth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1951—33⅓ per centum;
(d) in respect of goods covered by the Fifth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1951—50 per centum;
(e) in respect of goods covered by the Sixth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1951—66⅔ per centum; and
(f) in respect of goods not covered by the Second, Third, Fourth, Fifth or Sixth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1951 and on the sale value of which it is not provided by that Act that sales tax shall not be payable—12½ per centum.”.
Saving.
4. The sales tax imposed by the provisions repealed by this Act upon the sale value of goods manufactured in Australia and sold to a taxpayer who has, on or after the thirteenth day of October, One thousand nine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, and before the date of commencement of this Act, applied those goods to his own use continues to be imposed as if those provisions had not been repealed.
Overview
The Sales Tax Act (No. 4) 1951 was enacted by the Parliament of Australia to amend the Sales Tax Act (No. 4) 1930-1950, with the aim of updating the rates and provisions governing sales tax. The Act addresses the need to modernise the sales tax regime by introducing new tax rates and maintaining certain existing tax obligations for goods sold to taxpayers who use the goods for their own purposes. It aims to ensure a consistent and updated tax structure that aligns with contemporary economic conditions. The Act maintains continuity by preserving the tax obligations for goods sold and used prior to the Act's commencement, thus providing a seamless transition for taxpayers affected by the changes.
Scope and Application
The Sales Tax Act (No. 4) 1951 applies to the sale value of goods manufactured in Australia and sold to a taxpayer who applies those goods to their own use on or after 27 September 1951. The Act imposes sales tax at various rates on different categories of goods as specified in the Sales Tax (Exemptions and Classifications) Act 1935-1951, with exemptions and rates detailed in the Second to Sixth Schedules of that Act. The Act applies nationally across the Commonwealth of Australia, impacting all entities and individuals engaged in the sale of goods within its jurisdiction. There are no explicit exclusions or exemptions stated within the Act itself, although it refers to other legislation for detailed classifications and exemptions. The Act can be extended or restricted through subordinate instruments, such as the schedules mentioned, which provide further specifications on the application of the tax.
Key Provisions
The Sales Tax (No. 4) Act 1951 amends the Sales Tax Act (No. 4) 1930-1950 by introducing new rates for sales tax on goods manufactured in Australia and sold to a taxpayer who applies those goods to their own use (section 3). The new tax rates, as outlined in section 4 of the amended Act, vary based on the classification of the goods, ranging from 12½ per cent for goods not specified in the schedules to 66⅔ per cent for goods listed in the Sixth Schedule of the Sales Tax (Exemptions and Classifications) Act 1935-1951.
This Act imposes a specific obligation on taxpayers to apply the correct sales tax rate to the sale value of goods they use themselves, based on the classification of those goods as per the Sales Tax (Exemptions and Classifications) Act 1935-1951 (section 4). Taxpayers must ensure they have accurately classified the goods they use for their own purposes to apply the appropriate tax rate. Additionally, section 4 retains the sales tax imposed by the repealed provisions on goods used by taxpayers between the thirteenth day of October, 1950, and the date of the Act's commencement, ensuring continuity in tax application for that period.
Failure to comply with the sales tax requirements of the Act may result in civil or criminal penalties. While the specific penalties are not detailed in the provided excerpt, it is common under Australian tax legislation for breaches to incur financial penalties, and in severe cases, criminal charges. The precise penalties and consequences would be further elaborated in related Acts or regulations, or could be determined by the courts in the event of a prosecution.