Sales Tax (No. 6)
No. 93 of 1968
An Act to amend the Sales Tax Act (No. 6) 1930–1964.
[Assented to 21 November 1968]
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 Sales Tax Act (No. 6) 1968.
(2.) The Sales Tax Act (No. 6) 1930–1964, as amended by this Act, may be cited as the Sales Tax Act (No. 6) 1930–1968.
Commencement.
2. This Act shall be deemed to have come into operation on the fourteenth day of August, One thousand nine hundred and sixty-eight.
3. Sections three and four of the Sales Tax Act (No. 6) 1930–1964 are repealed and the following sections inserted in their stead:—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 imported into Australia by a taxpayer and, on or after the fourteenth day of August, One thousand nine hundred and sixty-eight, sold by him or applied by him to his own use.
Rates of tax.
“4. The rates of the sales tax imposed by this Act are—
(a) in respect of goods covered by the Second or Fifth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1967—25 per centum;
(b) in respect of goods covered by the Third Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1967—2½ per centum; and
(c) in respect of goods not covered by the Second, Third or Fifth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1967 and on the sale value of which it is not provided by that Act that the sales tax imposed by this Act shall not be payable —15 per centum.”.
Saving.
4. The sales tax imposed by the provisions repealed by this Act upon the sale value of goods imported into Australia by a taxpayer and, on or after the twelfth day of August, One thousand nine hundred and sixty-four, and before the date of commencement of this Act, sold by him or applied by him to his own use continues to be imposed as if those provisions had not been repealed.
Overview
The Sales Tax Act (No. 6) 1968 was enacted by the Queen’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia to amend the Sales Tax Act (No. 6) 1930–1964. The legislation came into operation on 14 August 1968, and it primarily serves to revise the rates of sales tax on the sale value of goods imported into Australia. This Act was introduced to address discrepancies and ensure consistency in the application of sales tax rates on various categories of goods, thereby aligning the tax system with contemporary economic conditions and legislative requirements. The objective was to clarify and update the sales tax structure, ensuring it remained effective and fair in its application across different goods classifications.
Scope and Application
The Sales Tax Act (No. 6) 1968 applies to the sale value of goods imported into Australia by a taxpayer, and sold or applied to the taxpayer’s own use on or after the specified commencement date of 14 August 1968. The Act imposes sales tax at varying rates, as detailed in the Act itself, on these transactions, with different rates applying depending on the classification of the goods as per the Second, Third or Fifth Schedule to the Sales Tax (Exemptions and Classifications) Act 1935–1967. The legislation extends to the entire Commonwealth of Australia, impacting taxpayers across the nation. Although the primary focus of the Act is on sales tax, it also includes provisions that preserve the sales tax imposed by earlier repealed provisions, ensuring continuity in tax obligations for certain transactions. The Act does not explicitly outline exclusions, exemptions, or thresholds beyond what is detailed in the referenced Sales Tax (Exemptions and Classifications) Act 1935–1967, suggesting that further specifics can be found in subordinate instruments or related legislation.
Key Provisions
The Sales Tax Act (No. 6) 1968 amends the Sales Tax Act (No. 6) 1930–1964, introducing new sections regarding the imposition and rates of sales tax on goods imported into Australia. Section 3 of the Act states that sales tax is imposed at specified rates on the sale value of goods imported by a taxpayer and sold or used by them on or after 14 August 1968. Section 4 specifies the rates of sales tax: 25% for goods listed in the Second or Fifth Schedule of the Sales Tax (Exemptions and Classifications) Act 1935–1967, 2½% for goods in the Third Schedule, and 15% for goods not covered by these schedules unless otherwise exempted by the Sales Tax (Exemptions and Classifications) Act 1935–1967.
The Act imposes obligations on taxpayers to correctly calculate and remit sales tax on the sale or use of imported goods, according to the specified rates. Taxpayers must ensure they categorise the goods correctly under the schedules of the Sales Tax (Exemptions and Classifications) Act 1935–1967 to determine the applicable tax rate. The Act mandates that sales tax imposed by the repealed provisions on sales or use of goods between 12 August 1964 and the commencement date of this Act will continue to be imposed, ensuring a seamless transition for taxpayers affected by the amendments.
The Act does not explicitly state any new offences or penalties within its provisions. However, failure to comply with the sales tax obligations imposed by the Act, such as incorrectly calculating or remitting sales tax, may lead to penalties under other relevant tax laws or administrative actions by the Australian Taxation Office. Taxpayers should refer to the broader tax legislation for details on potential penalties and consequences for non-compliance.