Sales Tax (Exemptions and Classifications) Act 1960

Administered by Department of the Treasury

Legislation au C1960A00065 Not in force Act

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SALES TAX (EXEMPTIONS AND) CLASSIFICATIONS).

 

No. 65 of 1960.

An Act to amend the Sales Tax (Exemptions and Classifications) Act 1935-1959.

[Assented to 30th November, 1960.]

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 (Exemptions and Classifications) Act 1960.

(2.) The Sales Tax (Exemptions and Classifications) Act 1935-1959 is in this Act referred to as the Principal Act.


(3.) The Principal Act, as amended by this Act, may be cited as the Sales Tax (Exemptions and Classifications) Act 1935-1960.

Commencement.

2.—(1.) Subject to this section, this Act shall be deemed to have come into operation on the seventeenth day of August, One thousand nine hundred and sixty.

(2.) The amendment effected by paragraph, (f) .of section five of this Act shall be deemed to have come into operation on the first day of January, One thousand nine hundred and fifty-eight.

(3.) The amendment effected by paragraph (h) of section five of this Act shall be deemed to have come into operation on the twentieth day of May, One thousand nine hundred and sixty.

Goods incorporating cathode ray tubes.

3. Section six of the Principal Act is amended by omitting the words “valves or” (wherever occurring).

4. After section six a of the Principal Act the following section is inserted:—

Goods incorporating tanks.

“6aa. Notwithstanding anything contained in any Sales Tax Assessment Act, sales tax is not payable upon so much of the sale value under any Sales Tax Assessment Act of goods in which are incorporated any tanks as specified in sub-item (11) of item 7 in the First Schedule to this Act as is equal to the amount which, in (the opinion of the Commissioner, would have been the sale value of those tanks under that Act if the transaction, act or operation in relation to which the first-mentioned sale value arose had been a transaction, act or operation in relation to those tanks only.”.

First Schedule.

5. The First Schedule to the Principal Act is amended—

(a) by adding at the end of item 7 the following sub-item:—

“(11) Tanks :for bulk-milk tankers for use by producers, carriers, manufacturers or distributors of milk or other dairy produce exclusively for the collection of milk from farms, including pumping equipment and other fittings for those tanks, but not including any road vehicle, chassis or undercarriage to which any such tank is, or is :to he, fitted, or parts for, any such vehicle, chassis or undercarriage

Nos. 1 to 9”;

(b) by inserting in item 74h, after the word “forty-seven,”, the words “by the International Atomic Energy Agency”;

(c) by inserting in item 74ha, after the word “Schedule”, the words”, of the International Atomic Energy Agency”;

(d) by inserting in item 74hb, after the word “Schedule”, the words “,of the International Atomic Energy Agency”;

(e) by inserting in sub-item (2) of item 90f, after the word “filtering”, the word “,desalting”;


(f) by inserting in sub-item (1) of item 111, after the words “New Guinea”, the words “,the Territory of Christmas Island”;

(g) by omitting sub-item (1) of item 121;

(h) by omitting from sub-item (2) of item 121 the figures and letter “181 (a) (3)” and inserting in their stead the figures and letter “181 (j) (1)”; and

(i) by inserting after item 135 the following item:—

“135a. Motor vehicles (and parts therefor) for use in the transportation to and from gainful employment of a person in respect of whom the Director-General of Social Services, or an officer appointed by him for the purpose, has certified that he has lost the use of one or both legs to such an extent that he is permanently unable to use public transport, not being goods for sale

Nos. 1 to 9”.

Second Schedule.

6. The Second Schedule to the Principal Act is amended—

(a) by omitting from item 2 all the words before paragraph (a) and inserting in their stead the following words:—

“Plate made wholly or principally of platinum, gold, silver or other precious metal and plated ware plated with platinum, gold or other precious metal (other than silver), including articles of rolled gold and gold filled articles, but not including—”;

(b) by omitting items 3 and 4;

(c) by adding at the end of item 31 the words “;electric shavers and other mechanical shavers and parts and accessories for those shavers”;

(d) by inserting in item 52, after the word “batteries”, the words “or cathode ray tubes”; and

(e) by inserting after item 52 the following item:—

“53. Thermionic valves of a kind used in apparatus for radio or television transmission or reception, but not including—

(a) cathode ray tubes;

(b) rectifying valves in respect of which the product of the number that is the peak inverse voltage rating expressed in volts and the number that is the peak plate current rating expressed in amperes exceeds 10,000; or

(c) other valves in respect of which the rating for plate dissipation under Class ‘C’ Telegraphy continuous carrier wave conditions exceeds 25 watts”.


Third Schedule.

7. The Third Schedule to the Principal Act is amended by inserting in item 1, after the word “Act”, the words “or pewter or silverplated ware (other than cutlery, cutlery sharpeners or scissors) or cut-glass ware”.

Rebate of tax on certain thermionic valves.

8.—(1.) Where—

(a) duty of customs or duty of excise has been paid in respect of thermionic valves of a kind used in apparatus for radio or television transmission or reception thet were entered for home consumption, under the law relating to duties of customs or excise, before the seventeenth day of August, One thousand nine hundred and sixty; and

(b) a person becomes liable to pay sales tax upon the sale value of those valves or of any goods in which those valves are incorporated,

that person is entitled to a rebate of sales tax—

(c) in the case of valves in respect of which duty of customs has been paid—of an amount equla to such part of the duty so paid as is equal to the duty of excise that would have been payable on those valves if they had been manufactured in Australia; or

(d) in the case of valves in respect of which duty of excise has been paid—of an amount equla to the duty so paid.

(2.) Where a person has become enttiled to a rebate under this section in relation to any goods, no other person shall become entitled to a further rebate under this section in relation to the same goods.

 

Overview

The Sales Tax (Exemptions and Classifications) Act 1960 was enacted to amend the Sales Tax (Exemptions and Classifications) Act 1935-1959, addressing various issues related to sales tax exemptions and classifications. This Act was assented to on 30 November 1960 by the Queen's Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia. The primary objective of this Act is to refine and update the existing sales tax framework to ensure more accurate tax classifications and exemptions, particularly in relation to goods incorporating specific components such as cathode ray tubes and tanks used for milk collection. The legislative amendments introduced in this Act also aim to provide clarity and consistency in the application of sales tax, particularly in relation to the classification of goods and the rebate of taxes on certain thermionic valves. This Act, along with its schedules, modifies various aspects of the Principal Act, including the insertion of new sections to exempt sales of goods incorporating tanks, the amendment of the First Schedule to include new items such as tanks for bulk-milk tankers and motor vehicles for disabled persons, and adjustments to the Second and Third Schedules to address the classification and exemption of specific goods and materials. These amendments aim to ensure that the sales tax system is fair and accurately reflects the intended use and classification of goods, thereby addressing gaps in the previous legislation and providing clearer guidelines for tax authorities and taxpayers alike.

Scope and Application

The Sales Tax (Exemptions and Classifications) Act 1960 amends the Sales Tax (Exemptions and Classifications) Act 1935-1959, introducing specific exemptions and classifications for sales tax purposes. This Act applies to the sale of various goods and services within the Commonwealth of Australia, encompassing both individuals and entities involved in transactions involving the specified goods. Notably, the Act exempts certain goods, such as tanks for bulk-milk tankers used exclusively by milk producers, carriers, manufacturers, or distributors, from sales tax. It also modifies classifications for goods like cathode ray tubes, thermionic valves used in radio or television apparatus, and electric shavers, detailing what is included and excluded from these classifications. The Act provides for rebates on sales tax for certain thermionic valves where duty of customs or excise has been previously paid, ensuring taxpayers are not doubly charged for the same goods. Additionally, the application of the Act can be extended or restricted through subordinate instruments, providing flexibility in its implementation and enforcement.

Key Provisions

The Sales Tax (Exemptions and Classifications) Act 1960 amends the Sales Tax (Exemptions and Classifications) Act 1935-1959, introducing several key changes. Section 3 removes the reference to “valves or” in section six of the Principal Act, while section 4 introduces a new section 6aa, which exempts from sales tax the portion of the sale value of goods incorporating tanks as specified in the First Schedule to the Act. These changes came into effect on different dates as specified in section 2 of the Act. The Act imposes specific obligations on parties and entities it governs. For instance, businesses selling goods that incorporate tanks must determine the sale value attributable to the tanks and exempt that portion from sales tax. Similarly, businesses dealing in thermionic valves must ensure they comply with the new classifications and rebate provisions outlined in sections 5 and 8 of the Act. These obligations are critical for maintaining compliance with the amended legislation. Failure to comply with the provisions of the Act can result in various penalties and consequences. Although specific penalties are not mentioned in the text, breaches of sales tax laws typically result in fines, interest on unpaid taxes, and potentially legal action to recover the owed amounts. Additionally, ongoing non-compliance may lead to more severe consequences, including legal penalties or even criminal charges in cases of deliberate evasion. The Act also includes provisions for rebates of sales tax on certain thermionic valves. Under section 8, a person who has paid duty of customs or duty of excise on these valves before a specified date is entitled to a rebate of sales tax. This rebate is calculated based on the duty paid and the applicable duty of excise. This provision aims to alleviate the tax burden on businesses that have already paid duties on these items, ensuring they do not face double taxation. In summary, the Sales Tax (Exemptions and Classifications) Act 1960 introduces significant changes to the sales tax regime, including new exemptions, classifications, and rebate provisions. It imposes clear obligations on businesses to accurately determine and report sales tax liabilities, with potential penalties for non-compliance. Understanding and adhering to these provisions is essential for maintaining compliance and avoiding adverse consequences.

Legal classification tags

Area of Law
Taxation Law
Instrument
Act
Concepts
Commencement Provisions
Reporting & Disclosure Obligations
Rebate of tax
Tax exemption

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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.