Wheat (Termination of Tax) Act (No. 2) 1989

Overview

The Wheat (Termination of Tax) Act (No. 2) 1989 was enacted by the Queen, the Senate, and the House of Representatives of the Commonwealth of Australia to amend the Wheat Tax Act 1979 and formally terminate the wheat tax regime. The act addresses the need to adjust definitions and the rate of tax in accordance with changes introduced by the Wheat Marketing Act 1989 and the Wheat Industry Fund Levy Act 1989. By setting the tax rate retroactively to 1 July 1989 and making consequential amendments to definitions, the act ensures that the tax framework remains consistent with the broader legislative changes occurring in the wheat industry. The policy objective of the act is to streamline and modernise the tax regime in alignment with new industry structures and levy impositions.

Scope and Application

The Wheat (Termination of Tax) Act (No. 2) 1989 applies to the amendments of the Wheat Tax Act 1979, specifically targeting the entities involved in the wheat industry and the Board, as continued in existence by the Wheat Marketing Act 1989. The Act modifies the definitions of "Board", "season", and "wheat" within the Principal Act, and it sets the rate of tax applicable from 1 July 1989. It aims to effectively terminate the wheat tax by incorporating the rate of tax in force under the Wheat Tax Act 1957 as of 30 June 1989. The Act has a national reach within the Commonwealth of Australia and applies to all persons and entities involved in the wheat industry across the country. There are no stated exclusions, exemptions, or thresholds in this Act, and it does not extend or restrict its application through subordinate instruments.

Key Provisions

The Wheat (Termination of Tax) Act (No. 2) 1989 makes specific amendments to the Wheat Tax Act 1979, effective from 1 July 1989. The most significant sections include amendments to the definition of "Board" and "season" in Section 3, as well as the addition of a new subsection to Section 5 that sets the tax rate. Section 3(a) modifies the definition of "Board" to include its continuation under the Wheat Marketing Act 1989. Section 3(b) changes the definition of "season" from "6 succeeding periods" to "4 succeeding periods". Section 3(c) extends the definition of "wheat" to include wheat on which levy is imposed by the Wheat Industry Fund Levy Act 1989. Section 5(2) ensures that the tax rate in force under the Wheat Tax Act 1957 as of 30 June 1989 continues to apply from 1 July 1989 onwards. The Wheat (Termination of Tax) Act (No. 2) 1989 imposes specific obligations on the entities it governs, primarily those involved in wheat production and taxation. The Act requires that the Board, now defined under the Wheat Marketing Act 1989, must adhere to the new definitions and requirements set forth. The change in the definition of "season" from six to four succeeding periods may affect how tax periods are calculated and reported. Additionally, the inclusion of wheat subject to the Wheat Industry Fund Levy Act 1989 within the scope of "wheat" under this Act means that any tax implications must now be considered in relation to these levies. The Wheat (Termination of Tax) Act (No. 2) 1989 does not explicitly state specific offences, penalties, or consequences for breaches of its provisions within the text provided. However, it is reasonable to infer that any failure to comply with the tax rate or the newly defined terms could lead to legal challenges or disputes, potentially resulting in civil or administrative penalties under the broader Wheat Tax Act 1979 or related legislation. The precise nature of these penalties would depend on the interpretation of the amended provisions and the specific circumstances of any non-compliance.