STATES GRANTS (ENTERTAINMENTS TAX REIMBURSEMENT).
No. 43 of 1942.
An Act to make provision for the Grant of Financial assistance to States, and for other purposes.
[Assented to 21st September, 1942.]
Preamble.
BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, for the purpose of appropriating the grant originated in the House of Representatives, as follows:—
Short title.
1. This Act may be cited as the States Grants (Entertainments Tax Reimbursement) Act 1942.
Commencement.
2. This Act shall come into operation on a date to be fixed by Proclamation.
Grants to States.
3.—(1.) In respect of the financial year which commenced on the first day of July, One thousand nine hundred and forty-two, there shall be payable by way of financial assistance to each State mentioned in the First Schedule to this Act the amount set forth in that Schedule against the name of that State provided the Treasurer is satisfied that that State has not, after the date fixed by Proclamation in pursuance of section two of this Act, levied and collected a tax upon payments for admission to entertainments.
(2.) In every other financial year during which this Act is in operation in respect of which the Treasurer is satisfied that a State mentioned in the Second Schedule to this Act has not levied and collected a tax upon payments for admission to entertainments, there shall be payable by way of financial assistance to that State the amount set forth in that Schedule against the name of that State.
Appropriation.
4. Payments in accordance with this Act shall be made out of the Consolidated Revenue Fund, which is hereby appropriated accordingly.
Duration of Act.
5. This Act shall continue in operation until the last day of the first financial year to commence after the date on which His Majesty ceases to be engaged in the present war, and no longer.
THE SCHEDULES.
—
THE FIRST SCHEDULE.
| £ |
New South Wales............................................. | 120,623 |
Victoria................................................... | 279,944 |
South Australia.............................................. | 72,782 |
Western Australia............................................. | 73,640 |
Tasmania.................................................. | 27,352 |
| 574,341 |
—
THE SECOND SCHEDULE.
| £ |
New South Wales............................................. | 160,830 |
Victoria................................................... | 373,259 |
South Australia.............................................. | 97,043 |
Western Australia............................................. | 98,186 |
Tasmania.................................................. | 36,469 |
| 765,787 |
Overview
The States Grants (Entertainments Tax Reimbursement) Act 1942 was enacted by the Parliament of Australia to address the financial strain on states resulting from their decision to refrain from imposing taxes on payments for admission to entertainments. The Act provides financial assistance to states as a reimbursement for their foregone revenue during the period of the Second World War. The Act outlines the amounts to be granted to each state based on specific schedules, contingent upon the states not imposing entertainment taxes. The objective is to support the states' financial stability while they abstain from entertainment taxes, thus ensuring they do not bear an undue financial burden during the war. The Act is designed to remain in effect until the conclusion of the war, as stated in section 5 of the Act.
Scope and Application
The States Grants (Entertainments Tax Reimbursement) Act 1942 is an Australian Commonwealth legislation that provides financial assistance to certain states under specific conditions related to the taxation of entertainments. This Act applies to the states of New South Wales, Victoria, South Australia, Western Australia, and Tasmania, as detailed in the schedules attached to the Act. The financial assistance is contingent upon the states not having levied or collected a tax on payments for admission to entertainments. The Act's financial support is disbursed from the Consolidated Revenue Fund and is applicable from the date fixed by proclamation until the cessation of His Majesty's engagement in the current war, with an additional financial year thereafter. The Act includes specific amounts for each state, outlined in the First and Second Schedules, which detail the financial assistance provided in different financial years. The scope of the Act is confined to the reimbursement of states that refrain from imposing taxes on entertainment admissions during the specified period.
Key Provisions
The States Grants (Entertainments Tax Reimbursement) Act 1942 primarily deals with the distribution of financial assistance to specific states under certain conditions. Section 3(1) provides for payments to states for the financial year beginning on July 1, 1942, as listed in the First Schedule, provided that the Treasurer is satisfied that these states have not levied or collected a tax on payments for admission to entertainments. Section 3(2) stipulates that for any subsequent financial years during which the Act is in effect, payments will be made to states listed in the Second Schedule if they have not levied such taxes. The payments are to be made from the Consolidated Revenue Fund, as outlined in Section 4.
Under this Act, states must ensure they do not impose taxes on admission payments for entertainments to be eligible for the financial assistance outlined in the schedules. The Treasurer's satisfaction that no such taxes have been levied is a prerequisite for the disbursement of funds. The Act is designed to provide financial relief to states that comply with these conditions. Section 5 specifies that the Act will remain in effect until the conclusion of the first financial year after the cessation of hostilities in the ongoing war.
The Act also imposes obligations on the states to refrain from levying taxes on entertainment admissions to maintain their eligibility for financial assistance. Failure to comply with this requirement could result in the withholding of the scheduled payments. The Treasurer's role is crucial in verifying that states have adhered to the conditions set forth in the Act.
Breach of the Act's provisions, specifically the failure to refrain from levying taxes on entertainment admissions, can lead to significant consequences. Although the Act does not explicitly detail offences, penalties, or civil/criminal consequences for non-compliance, the withholding of financial assistance could be interpreted as a primary punitive measure. The Act’s cessation at the end of the first financial year following the war’s end also implies that continued non-compliance would not only result in the loss of current assistance but also future payments.