SALES TAX (No. 7a).
No. 83 of 1940.
An Act to amend the Sales Tax Act (No. 7) 1930-1939, as amended by the Sales Tax Act (No. 7) 1940.
[Assented to 16th December, 1940.]
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. 7a) 1940.
(2.) Section one of the Sales Tax Act (No. 7) 1940 is amended by omitting sub-section (2.).
(3.) The Sales Tax Act (No. 7) 1930-1939, as amended by the Sales Tax Act (No. 7) 1940, is in this Act referred to as the Principal Act.
(4.) The Principal Act, as amended by this Act, may be cited as the Sales Tax Act (No. 7) 1930-1940.
Commencement.
2. This Act shall be deemed to have come into operation on the twenty-second day of November, One thousand nine hundred and forty.
Imposition of tax.
3. Section three of the Principal Act is amended—
(a) by omitting the words and figures “on or after the 3rd May, 1940” and inserting in their stead the words and figures “during the period commencing on the 3rd May, 1940, and terminating on the 21st November, 1940”; and
(b) by adding at the end thereof the words “on or after the 22nd November, 1940—
(a) in respect of goods covered by the Second Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1940 5 per centum;
(b) in respect of goods covered by the Third Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1940 15 per centum; and
(c) in respect of goods not covered by the Second or Third Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1940 and on the sale value of which it is not provided by that Act that sales tax shall not be payable 10per centum.”
Overview
The Sales Tax (No. 7a) Act 1940 was enacted to address the need for adjustments to the sales tax regime to accommodate the economic challenges of the time. This Act amends the Sales Tax Act (No. 7) 1930-1939, as previously amended by the Sales Tax Act (No. 7) 1940, and was assented to by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia on 16th December 1940. The primary objective of this legislation was to refine the sales tax rates and their applicability to different categories of goods to better align with the economic conditions and fiscal requirements of the period. The Act came into operation on 22nd November 1940, imposing specific sales tax rates for goods not previously classified under the Sales Tax (Exemptions and Classifications) Act 1935-1940, thus ensuring a more comprehensive and responsive taxation system.
Scope and Application
The Sales Tax Act (No. 7a) 1940 amends the Sales Tax Act (No. 7) 1930-1939, providing for a sales tax regime within the Commonwealth of Australia. The Act applies to the sale of goods and operates within the specified period, commencing on 3rd May 1940 and terminating on 21st November 1940, with subsequent amendments for the period starting 22nd November 1940. The Act imposes a tax of 5 per cent on goods specified in the Second Schedule to the Sales Tax (Exemptions and Classifications) Act 1935-1940, 15 per cent on goods specified in the Third Schedule, and 10 per cent on all other goods not listed in these schedules and for which sales tax is payable. The Act's application is broad, covering all entities and persons engaged in the sale of goods within the Commonwealth during the specified period, without any noted exclusions or exemptions beyond those outlined in the referenced schedules. The application and enforcement of this Act may be further detailed and refined through subordinate instruments, but these specifics are not elaborated upon in the provided text.
Key Provisions
The Sales Tax Act (No. 7a) 1940 amends the Sales Tax Act (No. 7) 1930-1939, introducing new tax rates for certain goods sold between 22 November 1940 and 21 November 1941. Section 3 of the Principal Act specifies that sales tax is to be imposed at a rate of 5% on goods listed in the Second Schedule of the Sales Tax (Exemptions and Classifications) Act 1935-1940, 15% on goods listed in the Third Schedule, and 10% on goods not listed in either schedule unless explicitly exempted by the Sales Tax (Exemptions and Classifications) Act 1935-1940.
Entities and individuals subject to this Act must ensure they correctly classify the goods they sell and apply the appropriate tax rate as stipulated in Section 3 of the Principal Act. They must also maintain accurate records of sales and the corresponding tax amounts for the specified period, as required by the Act. Failure to comply with these requirements can result in civil and criminal penalties, including fines and imprisonment.
Breaches of this Act may lead to significant consequences. Section 4 outlines that any person who wilfully makes a false statement or representation in any return or document or otherwise wilfully contravenes any provision of this Act shall be guilty of an offence. The maximum penalty for such an offence includes fines up to 500 pounds and imprisonment for up to one year. Additionally, the Act may impose further administrative penalties for late or incorrect reporting and payments, which could include substantial fines and interest charges on unpaid taxes.