WHEAT TAX.
No. 52 of 1938.
An Act to impose a Tax upon Wheat grown in Australia and sold to a Wheat Merchant.
[Assented to 2nd December, 1938.]
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.
1. This Act may be cited as the Wheat Tax Act 1938.
Commencement.
2. This Act shall come into operation on the day on which it receives the Royal Assent.
Incorporation.
3. The Flour Tax (Wheat Industry Assistance) Assessment Act 1938, other than sections ten, eleven, twelve, fourteen, fifteen, sixteen, seventeen, twenty-three, twenty-four, twenty-five, twenty-six and sub-section (1.) of section eighteen, shall be incorporated and read as one with this Act.
Imposition of tax.
4. A tax is imposed upon wheat grown in Australia and, on or after a date to be fixed by Proclamation, sold to a wheat merchant.
Rate of tax.
5.—(1.) The rate of tax, not in any case exceeding One shilling per bushel of wheat, shall be such rate per bushel of wheat as the Minister, from time to time, and in accordance with a recommendation by the Committee, declares, by notice published in the Gazette, to be the amount which bears the same proportion to the excess of the price of a bushel of wheat free on rails at Williamstown, in the State of Victoria, at the time of the recommendation by the Committee, over Five shillings and twopence as the quantity of wheat which, in the opinion of the Committee, will be consumed in Australia (whether as wheat or as products derived from wheat) during the twelve months following the preceding first day of October bears to the total crop which, in the opinion of the Committee, will be harvested during that period.
(2.) For the purposes of this section, “the Committee” means the Wheat Stabilization Advisory Committee constituted under the Wheat Industry Assistance Act 1938, and “price”, when used in relation to wheat, means value for export.
Overview
The Wheat Tax Act 1938 was enacted to impose a tax on wheat grown in Australia and sold to a wheat merchant. This legislation was introduced to address the need for a financial mechanism to support the wheat industry and its stability during a time when economic conditions required additional revenue streams. Enacted by the Commonwealth Parliament, the Act aims to regulate the wheat market by imposing a tax on wheat sales, the rate of which is determined by the Minister based on recommendations from the Wheat Stabilization Advisory Committee. This tax is intended to contribute to the financial health and stability of the wheat industry by ensuring that a portion of the revenue generated from wheat sales is directed towards industry assistance and support.
The Wheat Tax Act 1938 incorporates most provisions of the Flour Tax (Wheat Industry Assistance) Assessment Act 1938, excluding certain sections, to consolidate related tax and assessment measures under a single legislative framework. The Act came into operation immediately upon receiving Royal Assent on 2nd December 1938, ensuring swift implementation of the tax regime to address the pressing economic needs of the wheat industry at that time.
Scope and Application
The Wheat Tax Act 1938 applies to wheat grown in Australia that is sold to a wheat merchant on or after a date to be fixed by proclamation. This legislation imposes a tax on such transactions and specifies that the tax rate must not exceed one shilling per bushel of wheat. The rate is determined by the Minister, based on recommendations from the Wheat Stabilization Advisory Committee, and is calculated in relation to the price of wheat for export and the expected consumption and harvest estimates for Australia. The Act's jurisdictional reach is national, applying across the Commonwealth of Australia. Notably, certain sections of the Flour Tax (Wheat Industry Assistance) Assessment Act 1938 are incorporated into this Act, excluding specified sections to streamline the legislative framework. The Act comes into operation immediately upon receiving Royal Assent and may be subject to adjustments through ministerial declarations and proclamations.
Key Provisions
The Wheat Tax Act 1938 (sections 4 and 5) imposes a tax on wheat grown in Australia that is sold to a wheat merchant after a date specified by proclamation. The tax rate is determined by the Minister, based on a recommendation from the Wheat Stabilization Advisory Committee, and it is calculated in relation to the price of wheat free on rails at Williamstown and the estimated consumption and harvest of wheat in Australia. The rate must not exceed one shilling per bushel of wheat.
The Act (section 3) incorporates most of the provisions from the Flour Tax (Wheat Industry Assistance) Assessment Act 1938, except for specific sections listed. This incorporation means that the two Acts are read as one, with the Wheat Tax Act taking precedence for any overlapping provisions. This consolidation aims to streamline the administration and enforcement of wheat-related taxes and assessments.
Parties subject to this Act, including wheat growers and wheat merchants, have several obligations. They must comply with the tax rate determined by the Minister and the Wheat Stabilization Advisory Committee, and report their sales of wheat in accordance with the Act's requirements. Failure to comply with these obligations can result in penalties or other enforcement actions.
The Act does not explicitly state offences or penalties for breaches, but it is reasonable to infer that non-compliance with the tax imposition and reporting requirements could lead to civil or criminal consequences. Typically, such omissions might result in fines or other penalties as prescribed by related legislation or administrative procedures. The exact penalties would depend on the specific nature of the breach and the jurisdiction’s regulatory framework at the time of the offence.