Sales Tax Amendment Act (No. 8) 1981
No. 140 of 1981
An Act to amend the Sales Tax Act (No. 8) 1930
[Assented to 30 September 1981]
BE IT ENACTED by the Queen, and the Senate and the House of Representatives of the Commonwealth of Australia, as follows:
Short title, &c.
1. (1) This Act may be cited as the Sales Tax Amendment Act (No. 8) 1981.
(2) The Sales Tax Act (No. 8) 19301 is in this Act referred to as the Principal Act.
Commencement
2. This Act shall be deemed to have come into operation on 19 August 1981.
3. Sections 3 and 4 of the Principal Act are repealed and the following sections are substituted:
Imposition of tax
“3. Sales tax is imposed, at the rates specified in section 4, upon the sale value of goods imported into Australia and sold to a taxpayer who has, on or after 19 August 1981, applied those goods 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 Schedule to the Sales Tax (Exemptions and Classifications) Act 1935—30%;
(b) in respect of goods covered by the Third Schedule to that Act—5%;
(c) in respect of goods covered by the Fourth or Fifth Schedule to that Act—17.5% ; and
(d) in respect of goods not covered by the Second, Third, Fourth or Fifth Schedule to that Act 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—17.5%.”.
Saving
4. Where, before the commencement of this Act, sales tax was imposed by the provisions repealed by this Act upon the sale value of any goods, that sales tax continues to be imposed as if those provisions had not been repealed.
NOTE
1. No. 40, 1930, as amended. For previous amendments, see No. 40, 1931; No. 39, 1936; No. 37, 1938; No. 23, 1939; Nos. 10 and 84, 1940; No. 40, 1941; No. 14, 1942; No. 52, 1943; No. 65, 1946; No. 62, 1949; No. 45, 1950; No. 71, 1951; No. 52, 1952; No. 61, 1953; No. 53, 1954; No. 13, 1956; No. 79, 1957; No. 96, 1960; Nos. 9 and 84, 1961; No. 12, 1962; No. 83, 1964; No. 95, 1968; No. 76, 1970; No. 22, 1975; and No. 151, 1978.
Overview
The Sales Tax Amendment Act (No. 8) 1981 was enacted to make amendments to the Sales Tax Act (No. 8) 1930. This amendment was introduced to adjust the rates of sales tax on goods imported into Australia, ensuring that they align with the current economic conditions and fiscal policies of the time. The Act was assented to on 30 September 1981 and came into operation on 19 August 1981. The legislation was enacted by the Queen, in accordance with the authority of the Senate and the House of Representatives of the Commonwealth of Australia. The policy objective behind this amendment was to streamline and standardise the sales tax rates, thereby providing clarity and fairness in the taxation system concerning imported goods.
Scope and Application
The Sales Tax Amendment Act (No. 8) 1981 amends the Sales Tax Act (No. 8) 1930, imposing sales tax on the sale value of goods imported into Australia and subsequently applied to the taxpayer's own use. The Act applies to the sale value of goods imported by a taxpayer who has applied them to their own use on or after the commencement date of 19 August 1981. The Act specifies varying rates of sales tax for different categories of goods, with rates ranging from 5% to 30%, depending on the classification of the goods. This Act does not alter the imposition of sales tax on goods for which the tax was already applied before its commencement, ensuring continuity in tax obligations for such goods. The Act's amendments extend to the rates of sales tax as outlined in the substituted sections, effectively modifying the tax structure for imported goods sold to taxpayers.
Key Provisions
The Sales Tax Amendment Act (No. 8) 1981 makes specific changes to the Sales Tax Act (No. 8) 1930, referred to as the Principal Act, by repealing sections 3 and 4 and substituting them with new provisions. The key change is the imposition of sales tax on the sale value of goods imported into Australia and sold to a taxpayer who has applied those goods to their own use on or after 19 August 1981 (sections 3 and 4). The tax rates are revised to 30% for goods listed in the Second Schedule to the Sales Tax (Exemptions and Classifications) Act 1935, 5% for goods listed in the Third Schedule, and 17.5% for goods listed in the Fourth or Fifth Schedule or not covered by any of these schedules, and where no exemption is provided by the Sales Tax (Exemptions and Classifications) Act 1935.
This Act imposes obligations on taxpayers to calculate and remit the sales tax according to the newly specified rates. Taxpayers must determine the appropriate tax rate based on the classification of the goods they import and sell for their own use, ensuring compliance with the amended rates. It is essential for taxpayers to correctly classify the goods and apply the correct tax rate to avoid any non-compliance issues.
Failure to comply with the provisions of this Act can result in various legal consequences. The Act does not explicitly state penalties or consequences for non-compliance, but under the broader framework of the Sales Tax Act (No. 8) 1930, penalties for non-compliance typically include fines. The maximum penalties could be substantial, depending on the severity and frequency of the non-compliance, and could involve both civil and criminal liabilities. Taxpayers found to be in breach of the Act may face financial penalties, and in more severe cases, criminal prosecution.