Tax Laws Amendment (2006 Measures No. 2) Act 2006

No. 58, 2006

An Act to amend the law relating to taxation, and for related purposes

Contents

1 Short title

2 Commencement

3 Schedule(s)

4 Amendment of assessments

Schedule 1—F‑111 Deseal/Reseal Ex‑gratia Lump Sum Payments

Income Tax Assessment Act 1997

Schedule 2—Specific gift recipients

Income Tax Assessment Act 1997

Schedule 3—CGT treatment of options

Income Tax Assessment Act 1997

Income Tax (Transitional Provisions) Act 1997

Schedule 4—Compulsory acquisition

Income Tax Assessment Act 1997

Schedule 5—Franking deficit tax

Income Tax Assessment Act 1997

Income Tax (Transitional Provisions) Act 1997

Schedule 6—Choice of superannuation fund

Superannuation Guarantee (Administration) Act 1992

Schedule 7—Technical corrections and improvements

Part 1—Amendments commencing on Royal Assent

A New Tax System (Commonwealth‑State Financial Arrangements) Act 1999

A New Tax System (Goods and Services Tax) Act 1999

A New Tax System (Goods and Services Tax Transition) Act 1999

A New Tax System (Luxury Car Tax) Act 1999

A New Tax System (Wine Equalisation Tax) Act 1999

Commonwealth Places (Mirror Taxes) Act 1998

Fringe Benefits Tax Assessment Act 1986

Income Tax Assessment Act 1936

Income Tax Assessment Act 1997

Income Tax Rates Act 1986

Income Tax (Transitional Provisions) Act 1997

Sales Tax Legislation Amendment Act (No. 1) 1999

Superannuation Guarantee (Administration) Act 1992

Taxation Administration Act 1953

Taxation Laws Amendment Act (No. 2) 2000

Part 2—Amendments commencing at other times

A New Tax System (Family Assistance) (Consequential and Related Measures) Act (No. 2) 1999

Fuel Tax Act 2006

Income Tax Assessment Act 1936

Income Tax Assessment Act 1997

Taxation (Interest on Overpayments and Early Payments) Act 1983

Tax Laws Amendment (2004 Measures No. 1) Act 2004

Tax Laws Amendment (2004 Measures No. 2) Act 2004

Part 3—Amendments relating to asterisking

Division 1—Asterisking of “partnership”

Income Tax Assessment Act 1997

Division 2—Asterisking of “derived”

Income Tax Assessment Act 1997

Division 3—Asterisking of “market value”

Income Tax Assessment Act 1997

Division 4—Other asterisking amendments

Income Tax Assessment Act 1997

Taxation Administration Act 1953

Part 4—Technical amendments relating to legislative instruments

A New Tax System (Goods and Services Tax) Act 1999

Commonwealth Places (Mirror Taxes) Act 1998

Energy Grants (Credits) Scheme Act 2003

Excise Act 1901

Excise Tariff Act 1921

Fringe Benefits Tax Assessment Act 1986

Income Tax Assessment Act 1936

Income Tax Assessment Act 1997

Superannuation Contributions Tax (Assessment and Collection) Act 1997

Superannuation Contributions Tax (Members of Constitutionally Protected Superannuation Funds) Assessment and Collection Act 1997

Superannuation (Government Co‑contribution for Low Income Earners) Act 2003

Taxation Laws Amendment Act (No. 5) 2001

Tax Laws Amendment (2006 Measures No. 2) Act 2006

No. 58, 2006

An Act to amend the law relating to taxation, and for related purposes

[Assented to 22 June 2006]

The Parliament of Australia enacts:

1  Short title

  This Act may be cited as the Tax Laws Amendment (2006 Measures No. 2) Act 2006.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

Note: This table relates only to the provisions of this Act as originally passed by the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

 (2) Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.

3  Schedule(s)

  Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

4  Amendment of assessments

  Section 170 of the Income Tax Assessment Act 1936 does not prevent the amendment of an assessment if:

 (a) the assessment was made before the commencement of this section; and

 (b) the amendment is made within 4 years after that commencement; and

 (c) the amendment is made for the purpose of giving effect to Schedule 4.

Schedule 1—F‑111 Deseal/Reseal Ex‑gratia Lump Sum Payments

Income Tax Assessment Act 1997

1  Section 11‑15 (table item headed “defence”)

After:

insert:

2  Section 51‑5 (at the end of the table)

Add:

3  Application

The amendments made by this Schedule apply in relation to the 2005‑2006 income year and later income years.

Schedule 2—Specific gift recipients

Income Tax Assessment Act 1997

1  Subsection 30‑70(2) (at the end of the table)

Add:

2  Section 30‑105 (at the end of the table)

Add:

3  Section 30‑315 (after table item 86D)

Insert:

4  Section 30‑315 (after table item 112AF)

Insert:

Schedule 3—CGT treatment of options

Income Tax Assessment Act 1997

1  Section 116‑65

Repeal the section, substitute:

116‑65  Disposal etc. of a CGT asset the subject of an option

 (1) This section applies if:

 (a) you granted, renewed or extended an option to create (including grant or issue) or *dispose of a *CGT asset; and

 (b) another entity exercises the option; and

 (c) because of the exercise of the option, you create (including grant or issue) or dispose of the CGT asset.

 (2) The *capital proceeds from the creation (including grant or issue) or disposal include any payment you received for granting, renewing or extending the option.

 (3) The payment can include giving property: see section 103‑5.

2  Section 116‑70

Repeal the section, substitute:

116‑70  Option requiring both acquisition and disposal etc.

 (1) This section applies if:

 (a) you granted, renewed or extended an option; and

 (b) the option requires you both to *acquire, and to create (including grant or issue) or *dispose of, a *CGT asset.

 (2) The option is treated as 2 separate options and half of the *capital proceeds from the grant, renewal or extension is attributed to each option.

3  Subsection 134‑1(1)

Repeal the subsection, substitute:

 (1) This table sets out the effects of the exercise of an option (including an option that has been renewed or extended) on the *cost bases and *reduced cost bases of the grantor and the entity that exercises the option (the grantee).

Note 1: If you granted, renewed or extended an option, CGT event C3 or D2 may happen.

Note 2: Item 1 in the table is modified for certain options granted before 20 September 1985: see section 134‑1 of the Income Tax (Transitional Provisions) Act 1997.

Note 3: Item 1 in the table is modified for shares or rights acquired at a discount (within the meaning of Subdivision C of Division 13A of Part III of the Income Tax Assessment Act 1936) under an employee share scheme—in certain circumstances you can be taken to have paid the market value for an option: see Subdivision 130‑D and section 112‑15.

Income Tax (Transitional Provisions) Act 1997

4  Section 134‑1

Before “The modification in item 1”, insert “(1)”.

5  Section 134‑1

Omit “dispose of a CGT asset”, substitute “create (including grant or issue) or dispose of a CGT asset”.

6  At the end of section 134‑1

Add:

 (2) This section does not apply to an option if:

 (a) it has been renewed or extended; and

 (b) the last renewal or extension occurred on or after 20 September 1985.

7  Application

The amendments made by this Schedule apply in relation to options exercised on or after 27 May 2005.

Schedule 4—Compulsory acquisition

Income Tax Assessment Act 1997

1  Paragraph 40‑365(2)(c)

Repeal the paragraph, substitute:

 (c) the original asset is acquired by an entity (other than an Australian government agency or a *foreign government agency) under a power of compulsory acquisition conferred by a law covered under subsection (2A); or

 (d) you dispose of the original asset to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) the disposal takes place after a notice was served on you by or on behalf of the entity;

 (ii) the notice invited you to negotiate with the entity with a view to the entity acquiring the asset by agreement;

 (iii) the notice informed you that if the negotiations were unsuccessful, the asset would be compulsorily acquired by the entity;

 (iv) the compulsory acquisition would have been under a power of compulsory acquisition conferred by a law covered under subsection (2A); or

 (e) you dispose of land onto which the original asset was fixed to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) a mining lease was compulsorily granted over the land;

 (ii) the lease significantly affected your use of the land;

 (iii) the lease was in force just before the disposal;

 (iv) the entity to which you dispose of the land was the lessee under the lease; or

 (f) you dispose of land onto which the original asset was fixed to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) a mining lease would have been compulsorily granted over the land if you had not disposed of it;

 (ii) that lease would have significantly affected your use of the land;

 (iii) the entity to which you dispose of the land would have been the lessee under the lease.

2  After subsection 40‑365(2)

Insert:

 (2A) A law is covered under this subsection if it is:

 (a) an *Australian law (other than Chapter 6A of the Corporations Act 2001); or

 (b) a *foreign law (other than a foreign law corresponding to Chapter 6A of the Corporations Act 2001).

3  After paragraph 124‑70(1)(a)

Insert:

 (aa) it is compulsorily acquired by an entity (other than an Australian government agency or a *foreign government agency) under a power of compulsory acquisition conferred by a law covered under subsection (1A);

4  Paragraph 124‑70(1)(c)

Repeal the paragraph, substitute:

 (c) you *dispose of it to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) the disposal takes place after a notice was served on you by or on behalf of the entity;

 (ii) the notice invited you to negotiate with the entity with a view to the entity acquiring the asset by agreement;

 (iii) the notice informed you that if the negotiations were unsuccessful, the asset would be compulsorily acquired by the entity;

 (iv) the compulsory acquisition would have been under a power of compulsory acquisition conferred by a law covered under subsection (1A);

 (ca) you dispose of it to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) the asset is land over which a mining lease was compulsorily granted;

 (ii) the lease significantly affected your use of the land;

 (iii) the lease was in force just before the disposal;

 (iv) the entity to which you dispose of the land was the lessee under the lease;

 (cb) you dispose of it to an entity (other than a foreign government agency) in circumstances meeting all of these conditions:

 (i) the asset is land over which a mining lease would have been compulsorily granted if you had not disposed of it;

 (ii) that lease would have significantly affected your use of the land;

 (iii) the entity to which you dispose of the land would have been the lessee under the lease.

5  After subsection 124‑70(1)

Insert:

 (1A) A law is covered under this subsection if it is:

 (a) an *Australian law (other than Chapter 6A of the Corporations Act 2001); or

 (b) a *foreign law (other than a foreign law corresponding to Chapter 6A of the Corporations Act 2001).

6  Application

(1) The amendments made by this Schedule apply in relation to CGT events that happen after 1 pm (by legal time in the Australian Capital Territory) on 11 November 1999.

(2) The amendments made by this Schedule apply in relation to balancing adjustment events that occur after 30 June 2001.

(3) Former section 42‑293 of the Income Tax Assessment Act 1997 applies in relation to balancing adjustment events that occurred during the period:

 (a) starting just after 1 pm (by legal time in the Australian Capital Territory) on 11 November 1999; and

 (b) ending just before 1 July 2001;

as if the amendments made by this Schedule to section 40‑365 of that Act were made (with any necessary changes) to former section 42‑293.

(4) To avoid doubt:

 (a) those necessary changes to those amendments include the following:

 (i) item 1 applies in relation to former paragraph 42‑293(2)(c);

 (ii) references in item 1 to the original asset are taken to be references to the original plant;

 (iii) item 2 applies in relation to former section 42‑293; and

 (b) a choice under former subsection 42‑293(1) may be made after the commencement of this item in relation to those amendments; and

 (c) the Commissioner may allow, after the commencement of this item, a further period under former subsection 42‑293(3) in relation to those amendments.

Schedule 5—Franking deficit tax

Income Tax Assessment Act 1997

1  Subsection 205‑70(2) (method statement, steps 1 and 2)

Repeal the steps, substitute:

2  At the end of section 205‑70

Add:

Commissioner’s discretion

 (6) The 30% reductions in steps 1 and 2 of the method statement in subsection (2) do not apply in working out the amount of the *tax offset to which the entity is entitled for the relevant year if the Commissioner determines in writing, on application by the entity in the *approved form, that the excess referred to in those steps was due to events outside the control of the entity.

 (7) A determination under subsection (6) is not a legislative instrument.

Applicable franking debits

 (8) This subsection applies to *franking debits in the *franking account of an entity:

 (a) that arise under table item 1, 3, 5 or 6 in section 205‑30 for an income year; and

 (b) if the entity has franking debits covered by paragraph (a) for that income year—that arise under table item 2 in that section for that income year.

3  Application

The amendments made by items 1 and 2 apply to assessments for the 2004‑05 income year and later income years.

Income Tax (Transitional Provisions) Act 1997

4  At the end of section 205‑70

Add:

 (6) The 30% reductions for an entity in steps 2 and 3 of the method statement in subsection (3), and in steps 1, 2, 3 and 4 of the method statement in subsection (4), apply only to franking deficit tax that is attributable to franking debits of the entity:

 (a) that arose under table item 1, 3, 5 or 6 in section 205‑30 of the Income Tax Assessment Act 1997 for the relevant income year; and

 (b) if the entity has franking debits covered by paragraph (a) for the relevant income year—that arose under table item 2 in that section of that Act for the relevant income year.

 (7) The 30% reductions in those steps do not apply in working out the amount of the tax offset to which an entity is entitled for the relevant year if the Commissioner determines in writing, on application by the entity in the approved form, that the excess referred to in those steps was due to events outside the control of the entity.

 (8) A determination under subsection (7) is not a legislative instrument.

5  After section 205‑70

Insert:

205‑71  Modification of franking deficit tax offset rules

 (1) This section applies to events that occur on or after 1 July 2002 and before the start of the 2004‑05 income year.

 (2) The 30% reductions for an entity in steps 1 and 2 of the method statement in subsection 205‑70(2) of the Income Tax Assessment Act 1997 apply only to franking deficit tax that is attributable to franking debits of the entity:

 (a) that arose under table item 1, 3, 5 or 6 in section 205‑30 of the Income Tax Assessment Act 1997 for the relevant income year; and

 (b) if the entity has franking debits covered by paragraph (a) for the relevant income year—that arose under table item 2 in that section of that Act for the relevant income year.

 (3) The 30% reductions in steps 1 and 2 of the method statement in subsection 205‑70(2) of the Income Tax Assessment Act 1997 do not apply in working out the amount of the tax offset to which an entity is entitled for the relevant year if the Commissioner determines in writing, on application by the entity in the approved form, that the excess referred to in those steps was due to events outside the control of the entity.

 (4) A determination under subsection (3) is not a legislative instrument.

Schedule 6—Choice of superannuation fund

Superannuation Guarantee (Administration) Act 1992

1  After section 32Z

Insert:

32ZAA  Contributions satisfy State or Territory law requirements

 (1) This section applies to an employer that is a corporation to which paragraph 51(xx) of the Constitution applies.

 (2) A requirement in a law of a State or Territory that the employer make contributions to a superannuation fund on behalf of an employee is not enforceable to the extent that the employer instead makes the contributions on behalf of the employee, in compliance with this Part, to another superannuation fund that is a chosen fund.

2  Application

The amendment made by this Schedule applies to contributions made on or after 1 July 2006.

Schedule 7—Technical corrections and improvements

Part 1—Amendments commencing on Royal Assent

A New Tax System (Commonwealth‑State Financial Arrangements) Act 1999

1  Subsection 5(6) (definition of Commonwealth entity)

Repeal the definition.

A New Tax System (Goods and Services Tax) Act 1999

2  Paragraph 75‑11(2A)(e)

Omit “value of interest”, substitute “value of the interest”.

3  Subsection 126‑10(3)

Omit “Subdivision 38‑H”, substitute “section 38‑270”.

4  Application

The amendment made by item 3 applies to supplies made on or after 14 December 2004.

5  Subdivision 165‑C (heading)

Repeal the heading.

6  Subsection 177‑1(1)

Omit “*Commonwealth entities”, substitute “*untaxable Commonwealth entities”.

7  Subsection 177‑1(1)

Omit “Commonwealth entities should”, substitute “untaxable Commonwealth entities should”.

8  Subsection 177‑1(2)

Omit “a *Commonwealth entity”, substitute “an *untaxable Commonwealth entity”.

9  Subsection 177‑1(4)

Omit “a *Commonwealth entity” (first occurring), substitute “an *untaxable Commonwealth entity”.

10  Subsection 177‑1(4)

Omit “a *Commonwealth entity” (second and third occurring), substitute “an untaxable Commonwealth entity”.

11  Subsection 177‑1(5)

Repeal the subsection, substitute:

 (5) Untaxable Commonwealth entity means:

 (a) an Agency (within the meaning of the Financial Management and Accountability Act 1997); or

 (b) a Commonwealth authority (within the meaning of the Commonwealth Authorities and Companies Act 1997);

that cannot be made liable to taxation by a Commonwealth law.

12  Paragraph 177‑3(a)

Omit “a *Commonwealth entity”, substitute “an *untaxable Commonwealth entity”.

13  Section 195‑1 (definition of Commonwealth entity)

Repeal the definition.

14  Section 195‑1 (definition of reduced credit land transport)

Repeal the definition.

15  Section 195‑1

Insert:

untaxable Commonwealth entity has the meaning given by section 177‑1.

A New Tax System (Goods and Services Tax Transition) Act 1999

16  Subsection 13(4A)

Omit “a Commonwealth entity” (wherever occurring), substitute “an untaxable Commonwealth entity”.

17  Subsection 14(5)

Omit “a Commonwealth entity” (wherever occurring), substitute “an untaxable Commonwealth entity”.

A New Tax System (Luxury Car Tax) Act 1999

18  Subsection 21‑1(1)

Omit “*Commonwealth entities”, substitute “*untaxable Commonwealth entities”.

19  Subsection 21‑1(1)

Omit “Commonwealth entities” (last occurring), substitute “untaxable Commonwealth entities”.

20  Subsection 21‑1(2)

Omit “a *Commonwealth entity”, substitute “an *untaxable Commonwealth entity”.

21  Subsection 21‑1(4)

Repeal the subsection.

22  Section 27‑1 (definition of Commonwealth entity)

Repeal the definition.

23  Section 27‑1

Insert:

untaxable Commonwealth entity has the meaning given by section 177‑1 of the *GST Act.

A New Tax System (Wine Equalisation Tax) Act 1999

24  Subsection 27‑20(1)

Omit “*Commonwealth entities”, substitute “*untaxable Commonwealth entities”.

25  Subsection 27‑20(1)

Omit “Commonwealth entities” (last occurring), substitute “untaxable Commonwealth entities”.

26  Subsection 27‑20(2)

Omit “a *Commonwealth entity”, substitute “an *untaxable Commonwealth entity”.

27  Subsection 27‑20(4)

Repeal the subsection.

28  Section 33‑1 (definition of Commonwealth entity)

Repeal the definition.

29  Section 33‑1

Insert:

untaxable Commonwealth entity has the meaning given by section 177‑1 of the *GST Act.

Commonwealth Places (Mirror Taxes) Act 1998

30  Clause 4 of Schedule 1

Repeal the clause, substitute:

4  Western Australia

  The Stamp Act 1921 of Western Australia is a scheduled law.

31  Clause 6 of Schedule 1

Repeal the clause, substitute:

6  Tasmania

  The Pay‑roll Tax Act 1971 of Tasmania is a scheduled law.

Fringe Benefits Tax Assessment Act 1986

32  Subsection 136(1) (paragraph (e) of the definition of entertainment facility leasing expenses)

After “1936”, insert “or the Income Tax Assessment Act 1997”.

33  Subsection 136(1) (definition of entity) (the definition of entity inserted by item 3 of Schedule 7 to the Taxation Laws Amendment Act (No. 4) 2003)

Repeal the definition.

34  Section 162B

Omit “Income Tax Assessment Act 1936”, substitute “Income Tax Assessment Act 1997”.

Income Tax Assessment Act 1936

35  Subsection 6(1)

Insert:

international tax sharing treaty:

 (a) means an agreement between Australia and another country under which Australia and the other country share tax revenues from activities undertaken in an area identified by or under the agreement; and

 (b) does not include an agreement within the meaning of the International Tax Agreements Act 1953.

36  Subsection 6(1) (definition of non‑equity share)

Repeal the definition (including the note), substitute:

non‑equity share has the same meaning as in the Income Tax Assessment Act 1997.

37  Subsection 23AK(3) (definition of trust)

Omit “605(9)”, substitute “605(11)”.

38  Application

The amendment made by item 37 applies to assessments for the 2001‑02 income year and later income years.

39  Subparagraph 46AC(1)(b)(i)

Omit “income year”, substitute “year of income”.

40  Paragraph 82AM(3)(c)

Omit “income year”, substitute “year of income”.

41  Subsection 92(2A)

Omit “income year”, substitute “year of income”.

42  Section 102AAB (definition of listed country trust estate)

Omit “same meaning as in Part X”, substitute “meaning given by section 102AAE”.

43  Paragraph 102AAM(10)(b)

Omit “Column 2 of”.

44  Section 121AS (note 6)

Omit “Subdivision 126‑D”, substitute “Subdivision 126‑E”.

45  Subsection 136AA(1) (definition of international tax sharing treaty)

Repeal the definition.

46  Subsection 160AF(8) (definition of relevant debt deduction)

Omit “an income year”, substitute “a year of income”.

47  Subsection 170(14) (definition of international tax sharing treaty)

Repeal the definition.

48  Subsection 177EA(19)

Omit “income year”, substitute “year of income”.

49  Subsection 372(2)

Omit “Subject to subsections (3) and (4)”, substitute “Subject to subsection (4)”.

50  Paragraph 544(1)(b)

Omit “from a group”, substitute “form a group”.

Income Tax Assessment Act 1997

51  Section 2‑5 (pyramid)

Repeal the pyramid, substitute:

52  At the end of section 2‑5

Add:

Note: The Taxation Administration Act 1953 contains the provisions on collection and recovery of tax and provisions on administration.

53  At the end of subsection 4‑10(3)

Add:

Note: Division 63 explains what happens if your tax offsets exceed your basic income tax liability. How the excess is treated depends on the type of tax offset.

54  Subsection 4‑10(3A)

Repeal the subsection.

55  Application

The amendment made by item 54 applies to assessments for the 2006‑07 income year and later income years.

56  Subsection 6‑10(2) (note)

Repeal the note, substitute:

Note 1: Although an amount is statutory income because it has been included in assessable income under a provision of this Act, it may be made exempt income or non‑assessable non‑exempt income under another provision: see sections 6‑20 and 6‑23.

Note 2: Many provisions in the summary list in section 10‑5 contain rules about ordinary income. These rules do not change its character as ordinary income.

57  Section 11‑15 (table item headed “foreign aspects of income taxation”)

Omit:

58  Section 11‑15 (table item headed “foreign aspects of income taxation”)

Omit:

59  Section 13‑1 (table item headed “research and development”)

Omit “731”, substitute “73I”.

60  Subsection 26‑5(2) (note)

Repeal the note, substitute:

Note: See paragraph 25‑5(1)(ca) for the deductibility of penalties that arise under Subdivision 162‑D of the GST Act.

61  Subsection 30‑315(2) (table item 28A) (the table item 28A inserted by item 19 of Schedule 1 to the Taxation Laws Amendment Act (No. 4) 1999)

Renumber the item as 28AB.

62  Section 61‑496

Repeal the section, substitute:

61‑496  Entitlement to transfer

 (1) You may transfer your entitlement to so much of your *tax offset as is equal to the excess to the individual who was your *spouse as at the last day of the child care offset year.

Note: The excess part of a tax offset is worked out under Division 63.

 (2) If you make a transfer:

 (a) the transferee is entitled to the transferred part of the *tax offset for the child care offset year; and

 (b) you are no longer entitled to the transferred part of the tax offset.

 (3) A transfer cannot be revoked.

 (4) If you die during the child care offset year, the reference to your *spouse in subsection (1) is taken to be a reference to your spouse just before your death.

63  Subsection 61‑497(1)

Omit “it is”, substitute “you have applied for it”.

64  After Division 61

Insert:

Division 63—Common rules for tax offsets

Guide to Division 63

63‑1  What this Division is about

This Division sets out some rules that are common to all tax offsets.

Table of sections

63‑10 Priority rules

63‑10  Priority rules

 (1) If you have one or more *tax offsets for an income year, apply them against your basic income tax liability in the order shown in the table. To the extent that an amount of a tax offset remains, the table tells you what happens to it.

Note 1: Section 13‑1 lists tax offsets.

Note 2: Former Division 388 was repealed by the New Business Tax System (Capital Allowances—Transitional and Consequential) Act 2001.

Note 3: Section 160AFE of the Income Tax Assessment Act 1936 also affects how much of a foreign tax credit can be applied against your basic income tax liability.

Note 4: The remaining amount of a carry forward tax offset may be reduced by section 65‑30 or 65‑35 to take account of net exempt income.

Note 5: Tax offsets mentioned in items 5 and 10 are more commonly referred to as the Senior Australians Tax Offset.

 (2) Within each item, apply the tax offsets in the order in which they arose.

Note: This would be relevant if you have carry forward tax offsets of the same category for different income years.

65  Sections 65‑20 and 65‑25

Repeal the sections.

66  Section 65‑30

Omit “subsection 65‑25(1)”, substitute “Division 63”.

67  Subsection 65‑35(2)

Repeal the subsection, substitute:

 (2) You apply a *tax offset that is carried forward to a later year in accordance with the priorities set out in Division 63 as if it were a tax offset for that later year.

68  Sections 67‑30 and 67‑35

Repeal the sections.

69  Application

The amendments made by items 62 to 68 apply to assessments for the 2006‑07 income year and later income years.

70  Subsections 70‑105(2) and (6)

Omit “person on whom”, substitute “entity on which”.

71  After subsection 87‑40(1)

Insert:

Agent rules do not apply

 (1A) The rules in section 960‑105 (Certain entities treated as agents) do not apply to this section.

72  Section 109‑60 (table item 4A)

After “Division 326”, insert “of Schedule 2H”.

73  Section 112‑97 (table item 5A)

After “Division 326”, insert “of Schedule 2H”.

74  Section 112‑150 (table item 7) (the table item 7 inserted by item 2 of Schedule 11 to the Taxation Laws Amendment Act (No. 2) 2002)

Repeal the item.

75  Section 112‑150 (before table item 9)

Insert:

76  Subsection 115‑45(2) (note)

Repeal the note, substitute:

Note: This section does not prevent a capital gain from being a discount capital gain if there are at least 300 members or beneficiaries of the company or trust and control of the company or trust is not and cannot be concentrated (see section 115‑50).

77  Subsection 124‑520(2)

After “Division 326”, insert “in Schedule 2H”.

78  Subsection 124‑780(1) (note 3)

Omit “Subdivision 126‑D”, substitute “Subdivision 126‑E”.

79  Subsection 124‑870(4) (note)

Omit “ut before”, substitute “but before”.

80  Subdivision 126‑D (the Subdivision 126‑D inserted by item 4 of Schedule 11 to the Taxation Laws Amendment Act (No. 2) 2002)

Reletter as Subdivision 126‑E.

81  Subdivision 126‑E (as relettered)

Relocate to after Subdivision 126‑D (the Subdivision 126‑D inserted by item 19 of Schedule 1 to the Family Law Legislation Amendment (Superannuation) (Consequential Provisions) Act 2001).

82  Group heading before section 126‑185

Repeal the heading, substitute:

Guide to Subdivision 126‑E

83  Section 152‑200

Repeal the section, substitute:

152‑200  What this Subdivision is about

84  Section 152‑300

Omit “The concession in section 152‑205 (small business 50% reduction) applies”, substitute “You may choose not to apply the concession in section 152‑205 (small business 50% reduction)”.

85  Section 152‑400

Omit “The concession in section 152‑205 (small business 50% reduction) applies”, substitute “You may choose not to apply the concession in section 152‑205 (small business 50% reduction)”.

86  Section 204‑45 (heading)

Repeal the heading, substitute:

204‑45  Effect of a determination about distributions to favoured members

87  Section 204‑45

After “paragraph 204‑30(3)(c)”, insert “(about distributions to favoured members)”.

88  Paragraph 205‑70(1)(c)

Omit “that offset exceeded the amount that would have been its income tax liability for that year if it did not have that offset (but had all its other tax offsets)”, substitute “some of the offset remained after applying section 63‑10 (tax offset priority rules)”.

89  Subsection 205‑70(2) (method statement, step 4)

Repeal the step, substitute:

90  At the end of subsection 205‑70(2) (after the note)

Add:

Example: The following apply to a corporate tax entity that satisfies the residency requirement for an income year:

• the entity’s income tax liability for that year would be $100,000 if its tax offsets were disregarded;
• for that year, the entity has a tax offset of $60,000 under this section (the franking deficit offset) and a tax offset of $80,000 in respect of overseas tax paid by the entity (the foreign tax credit).

 Under section 63‑10 (about tax offset priority rules), the foreign tax credit must be applied before the franking deficit offset is applied. As a result, that credit and $20,000 of the franking deficit offset combine to reduce the entity’s income tax liability to nil. The remaining $40,000 of the franking deficit offset will be included in a franking deficit offset for the next income year for which the entity satisfies the residency requirement.

91  Subsection 205‑70(3)

Repeal the subsection (including the note and the example).

92  Application

The amendments made by items 86 to 91 apply to assessments for the 2006‑07 income year and later income years.

93  Subsection 214‑25(2)

Repeal the subsection, substitute:

 (2) The return must be in the *approved form.

94  Subsection 320‑134(3) (note)

Omit “assumptions mentioned in section 67‑30 (about getting a refund of a tax offset)”, substitute “tax offset priority rules in Division 63”.

95  Subsection 701‑55(5)

Omit “Part 3.1 or 3.3”, substitute “Part 3‑1 or 3‑3”.

96  Subparagraphs 701‑70(3)(a)(i) and (ii)

Omit “or”.

97  Subparagraph 701‑75(3)(a)(i)

Omit “or”.

98  Paragraphs 715‑270(5)(c), (d) and (e)

Reletter as paragraphs 715‑270(5)(a), (b) and (c).

99  Subsection 723‑110(3)

Renumber as subsection 723‑110(2).

100  Subparagraph 727‑465(b)(ii)

Omit “gaining entity.”, substitute “gaining entity;”.

101  Subsection 820‑120(4) (table items 3 and 4)

Renumber as table items 2 and 3.

102  Subsection 820‑225(3) (table items 3 and 4)

Renumber as table items 2 and 3.

103  Paragraph 900‑30(7)(b)

Omit “Income Tax Assessment Act 1997”, substitute “Income Tax Assessment Act 1936”.

104  At the end of Subdivision 960‑E

Add:

960‑105  Certain entities treated as agents

 (1) This Act applies to an entity as if the entity were an agent of another entity (the principal) if:

 (a) the principal is outside Australia; and

 (b) the entity is in Australia and, on behalf of the principal, holds money of the principal or has control, receipt or disposal of money of the principal.

 (2) This Act, or a provision of this Act, applies to an entity as if the entity were an agent of another entity if the Commissioner determines in writing that the entity is the agent or sole agent of the other entity for the purposes of this Act or of that provision.

 (3) A determination under subsection (2) is not a legislative instrument.

105  At the end of Division 960

Add:

Subdivision 960‑S—Market value

Guide to Subdivision 960‑S

960‑400  What this Subdivision is about

Table of sections

Operative provisions

960‑405 Effect of GST on market value of an asset

960‑410 Market value of non‑cash benefits

Operative provisions

960‑405  Effect of GST on market value of an asset

 (1) The market value of an asset at a particular time is reduced by the amount of the *input tax credit (if any) to which you would be entitled assuming that:

 (a) you had *acquired the asset at that time; and

 (b) the acquisition had been solely for a *creditable purpose.

 (2) Subsection (1) does not apply:

 (a) to an asset the *supply of which cannot be a *taxable supply; or

 (b) in working out the *market value of economic benefits, or of *equity or loan interests, for the purposes of Part 3‑95 (about value shifting).

Note: Some assets, such as shares, cannot be the subject of a taxable supply.

960‑410  Market value of non‑cash benefits

  In working out the market value of a *non‑cash benefit, disregard anything that would prevent or restrict conversion of the benefit to money.

106  Subsection 995‑1(1) (paragraph (a) of the definition of adopted child)

Omit “the law of a State or Territory”, substitute “a *State law or *Territory law”.

107  Subsection 995‑1(1) (paragraph (b) of the definition of adopted child)

Omit “the law of a State or Territory”, substitute “a State law or Territory law”.

108  Subsection 995‑1(1) (definition of agent)

Repeal the subsection, substitute:

agent: this Act applies to some entities that are not agents in the same way as it applies to agents: see section 960‑105.

109  Subsection 995‑1(1) (definition of dividend)

Omit “subsections 6(1), (4) and (5)”, substitute “subsections 6(1) and (4)”.

110  Subsection 995‑1(1) (paragraph (a) of the definition of firearms surrender arrangements)

Repeal the paragraph, substitute:

 (a) an *Australian law; or

111  Subsection 995‑1(1) (definition of foreign superannuation fund) (the definition of foreign superannuation fund inserted by item 18 of Schedule 10 to the Taxation Laws Amendment Act (No. 1) 1998)

Repeal the definition.

112  Subsection 995‑1(1) (definition of market value)

Repeal the definition, substitute:

market value has a meaning affected by Subdivision 960‑S.

113  Subsection 995‑1(1) (definition of non‑equity share)

Repeal the definition, substitute:

non‑equity share means a *share that is not an *equity interest in the company.

Note: A share will not be an equity interest if it is characterised as, or forms part of a larger interest that is characterised as, a debt interest under Subdivision 974‑B.

Income Tax Rates Act 1986

114  Paragraph 14(2)(c)

Omit “$630”, substitute “$594”.

115  Application

The amendment made by item 114 applies to assessments for the 2005‑06 income year and later income years.

116  Paragraph 1(b) of Part I of Schedule 7

Repeal the paragraph, substitute:

 (b) for each part of the ordinary taxable income specified in the table—the rate applicable under the table.

117  Paragraph 1(b) of Part II of Schedule 7

Repeal the paragraph, substitute:

 (b) for each part of the ordinary taxable income specified in the table—the rate applicable under the table.

118  Paragraph 2(b) of Part I of Schedule 10

Omit “column 1”, substitute “item 1”.

119  Application

The amendment made by item 118 applies to assessments for the 2003‑04 income year and later income years.

Income Tax (Transitional Provisions) Act 1997

120  After section 40‑12

Insert:

40‑13  Accelerated depreciation for split or merged plant

 (1) This section applies to a depreciating asset that is plant if:

 (a) you entered into a contract to acquire the plant, you otherwise acquired it or you started to construct it before 11.45 am, by legal time in the Australian Capital Territory, on 21 September 1999; and

 (b) you held it at the end of 30 June 2001; and

 (c) on or after 1 July 2001:

 (i) the plant is split into 2 or more depreciating assets; or

 (ii) the plant is merged into another depreciating asset.

 (2) For a case where the plant is split into 2 or more depreciating assets, the new Act applies as if you had acquired the assets into which it is split before the time mentioned in paragraph (1)(a) while you continue to hold those assets.

 (3) For a case where the plant is merged into another depreciating asset, section 40‑125 of the new Act does not apply to the asset, or to your interest in the asset, into which it is merged while you continue to hold it.

121  Paragraphs 40‑75(1)(b) and (c)

Reletter as paragraphs 40‑75(1)(a) and (b).

122  Section 40‑95

Repeal the section.

123  Part 3‑35

Relocate to after Part 3‑6.

124  At the end of Subdivision 960‑E

Add:

960‑115  Certain entities treated as agents

  A declaration made by the Commissioner for the purposes of paragraph (b) of the definition of agent in subsection 995‑1(1) of the Income Tax Assessment Act 1997 and in force immediately before the Tax Laws Amendment (2006 Measures No. 2) Act 2006 received the Royal Assent continues to have effect for the purposes of section 960‑105 of the Income Tax Assessment Act 1997.

Sales Tax Legislation Amendment Act (No. 1) 1999

125  Subsection 2(1)

Omit “(1)”.

126  Subsection 2(2)

Repeal the subsection.

127  Items 1 to 6, 9 and 10 of Schedule 2

Repeal the items.

128  Subitem 12(1) of Schedule 2

Repeal the subitem.

Superannuation Guarantee (Administration) Act 1992

129  Subsection 31(1)

Omit “(1)”.

130  Subsection 31(1)

Omit “section 46”, substitute “this Act”.

Taxation Administration Act 1953

131  Subsection 8AAB(5) (table item 17A)

Repeal the item.

132  After subsection 14ZW(1BA)

Insert:

 (1BB) If:

 (a) the taxation objection is against an assessment by the Commissioner of the amount of an administrative penalty under Division 284; and

 (b) that penalty relates to an assessment of the person; and

 (c) the person has longer than 60 days to lodge a taxation objection against the assessment referred to in paragraph (b);

the person must lodge the taxation objection within that longer period.

133  Application

The amendment made by item 132 applies to assessments of the amounts of administrative penalties made by the Commissioner after the day on which this Act receives the Royal Assent.

134  Section 18

Omit all the words after “in particular”, substitute “, prescribing penalties not exceeding a fine of 5 penalty units for offences against the regulations.”.

135  Section 16‑30 in Schedule 1

Repeal the section, substitute:

16‑30  Failure to withhold: administrative penalty for entity other than exempt Australian government agency

  An entity (except an *exempt Australian government agency) that:

 (a) fails to withhold an amount as required by Division 12; or

 (b) fails to pay an amount to the Commissioner as required by Division 13 or 14;

is liable to pay to the Commissioner a penalty equal to that amount.

Note 1: An entity may become liable under this section in respect of a payment it made or received that is taken to have been subject to withholding tax as a result of a Commissioner’s determination under subsection 177F(2A) of the Income Tax Assessment Act 1936 (see also subsection 177F(2F) of that Act).

Note 2: Division 298 in this Schedule contains machinery provisions for administrative penalties.

136  Sections 16‑40 and 16‑43 in Schedule 1

Repeal the sections, substitute:

16‑40  Failure to withhold: administrative penalty for exempt Australian government agency in relation to dividend, interest or royalty payment

  An *exempt Australian government agency that:

 (a) fails to withhold an amount as required by Division 12 from a *withholding payment covered by Subdivision 12‑F (about dividend, interest or royalty payment); or

 (b) fails to pay to the Commissioner an amount as required by Division 14 in respect of a withholding payment covered by that Subdivision;

is liable to pay to the Commissioner a penalty equal to that amount.

Note 1: An exempt Australian government agency may become liable under this section in respect of a payment it made or received that is taken to have been subject to withholding tax as a result of a Commissioner’s determination under subsection 177F(2A) of the Income Tax Assessment Act 1936 (see also subsection 177F(2F) of that Act).

Note 2: Division 298 in this Schedule contains machinery provisions for administrative penalties.

16‑43  Failure to withhold: administrative penalty for exempt Australian government agency in relation to payment to foreign resident etc.

  An *exempt Australian government agency that:

 (a) fails to withhold an amount as required by Division 12 from a *withholding payment covered by Subdivision 12‑FB (about payments to foreign residents); or

 (b) fails to pay to the Commissioner an amount as required by Division 14 in respect of a withholding payment covered by that Subdivision;

is liable to pay to the Commissioner a penalty equal to that amount.

Note: Division 298 in this Schedule contains machinery provisions for administrative penalties.

137  Sections 16‑45 and 16‑50 in Schedule 1

Repeal the sections.

138  Application

The amendments made by items 135 to 137 apply to administrative penalties imposed after the day on which this Act receives the Royal Assent.

139  Transitional

(1) If, under section 16‑45 in Schedule 1 to the Taxation Administration Act 1953 as in force immediately before the commencement of this item, the Commissioner has refused to any extent to remit to an entity an amount of penalty, the entity may, in the manner set out in Part IVC of that Act, object against the decision.

(2) The objection must be made before the end of 60 days after the day on which this Act receives the Royal Assent (the assent day).

(3) An objection that was purported to have been made against such a refusal before the assent day has effect as if it had been made under this item on the assent day.

140  Section 18‑5 in Schedule 1

Omit “A person”, substitute “An entity”.

141  Subsection 18‑15(1) in Schedule 1

Omit “A person”, substitute “An entity”.

142  Subsection 18‑15(1) in Schedule 1

Omit “the person” (wherever occurring), substitute “the entity”.

143  Subsection 18‑20(1) in Schedule 1

Omit “A person”, substitute “An entity”.

144  Subsection 18‑20(1) in Schedule 1

Omit “the person” (wherever occurring), substitute “the entity”.

145  Subsection 18‑25(1) in Schedule 1

Omit “A person”, substitute “An entity”.

146  Section 18‑27 in Schedule 1

Omit “A person”, substitute “An entity”.

147  Section 18‑27 in Schedule 1

Omit “the person’s”, substitute “the entity’s”.

148  Section 18‑27 in Schedule 1

Omit “the person”, substitute “the entity”.

149  Subsection 18‑30(1) in Schedule 1

Omit “A person”, substitute “An entity”.

150  Paragraph 18‑30(1)(a) in Schedule 1

Omit “the person’s”, substitute “the entity’s”.

151  Paragraph 18‑30(1)(b) in Schedule 1

Omit “the person”, substitute “the entity”.

152  Paragraph 18‑35(1)(b) in Schedule 1

Omit “section 16‑50”, substitute “section 298‑25”.

153  Subsection 18‑35(1) in Schedule 1

Omit “the person”, substitute “the entity”.

154  Paragraph 18‑35(2)(b) in Schedule 1

Omit “section 16‑45”, substitute “section 298‑20”.

155  Subsection 18‑40(1) in Schedule 1

Omit “the person”, substitute “the entity”.

156  Subsections 18‑42(1) and (2) in Schedule 1

Omit “the person”, substitute “the entity”.

157  Subsection 18‑42(3) in Schedule 1

Omit “section 16‑45”, substitute “section 298‑20”.

158  Paragraph 18‑45(1)(a) in Schedule 1

Omit “the person”, substitute “the entity”.

159  Paragraph 18‑45(1)(b) in Schedule 1

Omit “persons” (wherever occurring), substitute “entities”.

160  Paragraph 18‑45(2)(a) in Schedule 1

Omit “the person”, substitute “the entity”.

161  Paragraph 18‑45(2)(b) in Schedule 1

Omit “persons” (wherever occurring), substitute “entities”.

162  Subsection 18‑45(3) in Schedule 1

Omit “section 16‑45”, substitute “section 298‑20”.

163  Subparagraph 18‑75(1)(a)(ii) in Schedule 1

Omit “a person or persons”, substitute “an entity or entities”.

164  Subsection 250‑10(2) in Schedule 1 (table item 5)

Before “33‑5”, insert “33‑3,”.

165  Application

The amendment made by item 164 applies to GST returns, and net amounts, for tax periods ending on or after 22 February 2001.

166  Subsection 250‑10(2) in Schedule 1 (table item 100)

Repeal the item.

167  Paragraph 284‑225(3)(a) in Schedule 1

Omit “or the part of, it”, substitute “or the part of it,”.

168  At the end of section 298‑5 in Schedule 1

Add:

 ; or (c) an administrative penalty is imposed on an entity by a provision of Division 16 in this Schedule.

169  Subsection 340‑5(3) in Schedule 1

Repeal the subsection, substitute:

 (3) The Commissioner may release you, in whole or in part, from the liability if you are an entity specified in the column headed “Entity” of the following table and the condition specified in the column headed “Condition” of the table is satisfied.

Taxation Laws Amendment Act (No. 2) 2000

170  Items 14 to 17 of Schedule 6

Repeal the items.

Part 2—Amendments commencing at other times

A New Tax System (Family Assistance) (Consequential and Related Measures) Act (No. 2) 1999

171  Item 20 of Schedule 10

Repeal the item, substitute:

20  Subsection 159J(6) (paragraph (aad) of the definition of separate net income)

Repeal the paragraph, substitute:

 (aad) does not include any part of benefit PP (partnered) paid under the Social Security Act 1991, as in force immediately before the commencement of item 1 of Schedule 10 to the A New Tax System (Family Assistance) (Consequential and Related Measures) Act (No. 2) 1999, that is exempt under section 52‑10 because of paragraph (e) of the item dealing with parenting payment (benefit PP (partnered)) in the table in section 52‑15 of the Income Tax Assessment Act 1997; and

Fuel Tax Act 2006

172  Section 110‑5 (definition of untaxable Commonwealth entity)

Omit “to Commonwealth entity”.

Income Tax Assessment Act 1936

173  Paragraphs 70B(2A)(b) and (c)

Repeal the paragraphs, substitute:

 (b) segregated current pension assets (as defined in Part IX) of a complying superannuation fund (as defined in that Part).

174  Subsection 73BAG(1)

Omit “Subsections 73(23) and (24B)”, substitute “Subsections 73B(23) and (24B)”.

175  Paragraphs 92(2A)(b) and (c)

Repeal the paragraphs, substitute:

 (b) a segregated current pension asset (as defined in Part IX) of a complying superannuation fund (as defined in that Part).

176  Section 94D (all the subsections after subsection 94D(3))

Repeal the subsections, substitute:

 (4) The place of residence of a VCMP is the place at which the partnership has its central management and control.

 (5) A limited partnership that is a foreign hybrid limited partnership in relation to a year of income because of subsection 830‑10(1) of the Income Tax Assessment Act 1997 is not a corporate limited partnership in relation to the year of income.

Note: As result, both the normal partnership provisions and special provisions relating to foreign hybrid limited partnerships will apply to the entity.

 (6) If, for the purpose of applying this Act and the Income Tax Assessment Act 1997 in relation to a partner’s interest in a limited partnership, the partnership is a foreign hybrid limited partnership in relation to a year of income because of subsection 830‑10(2) of that Act, the partnership is not a corporate limited partnership in relation to the partner’s interest in relation to the year of income.

Note: As result, both the normal partnership provisions and special provisions relating to foreign hybrid limited partnerships will apply to the entity, but only in relation to the partner’s interest.

177  Section 94F

Omit “paragraph 94D(d)”, substitute “paragraph 94D(1)(d)”.

178  Paragraph 485AA(1)(a)

Omit “subsection 94D(5)”, substitute “subsection 94D(6)”.

Income Tax Assessment Act 1997

179  Subparagraph 30‑125(1)(c)(i)

Omit “subsections (4) and (5)”, substitute “section 30‑130”.

180  Subparagraph 30‑125(1)(c)(ii)

Omit “subsections (4), (5) and (6)”, substitute “subsection (6) of this section and section 30‑130”.

181  Subparagraph 30‑125(2)(d)(i)

Omit “subsections (4) and (5)”, substitute “section 30‑130”.

182  Subparagraph 30‑125(2)(d)(ii)

Omit “subsections (4), (5) and (6)”, substitute “subsection (6) of this section and section 30‑130”.

183  Subsections 30‑125(4), (4A) and (5)

Repeal the subsections.

184  Subsection 30‑125(6)

After “gift fund”, insert “(see section 30‑130)”.

185  After section 30‑125

Insert:

30‑130  Maintaining a gift fund

 (1) The entity must maintain for the principal purpose of the fund, authority or institution a fund (the gift fund):

 (a) to which gifts of money or property for that purpose are to be made; and

 (b) to which contributions described in item 7 or 8 of the table in section 30‑15 in relation to a *fund‑raising event held for that purpose are to be made; and

 (c) to which any money received by the entity because of such gifts or contributions is to be credited; and

 (d) that does not receive any other money or property.

 (2) The entity must use the gift fund only for the principal purpose of the fund, authority or institution.

186  Subsections 30‑265(2) and (3)

Repeal the subsections, substitute:

 (2) It must maintain a public fund that meets the requirements of section 30‑130, or would meet those requirements if the *environmental organisation were a fund, authority or institution.

187  Subsections 30‑289(2) and (3)

Repeal the subsections, substitute:

 (2) It must maintain a public fund that meets the requirements of section 30‑130.

188  Subsections 30‑300(3) and (4)

Repeal the subsections, substitute:

 (3) It must maintain a public fund that meets the requirements of section 30‑130, or would meet those requirements if the *cultural organisation were a fund, authority or institution.

189  Paragraphs 51‑35(c) and (d)

Repeal the paragraphs, substitute:

 (c) a payment by an entity or authority on the condition that the student will (or will if required) become, or continue to be, an employee of the entity or authority;

 (d) a payment by an entity or authority on the condition that the student will (or will if required) enter into, or continue to be a party to, a contract with the entity or authority that is wholly or principally for the labour of the student;

190  Section 118‑355

Repeal the section.

191  Subsection 701‑10(6)

Omit “*tax cost is set by this subsection”, substitute “*tax cost is set by this section”.

192  Paragraph 830‑10(1)(d)

Omit “subsection 94D(4)”, substitute “subsection 94D(5)”.

193  Subsection 995‑1(1) (definition of small withholder)

After “section 16‑105”, insert “in Schedule 1 to the Taxation Administration Act 1953”.

Taxation (Interest on Overpayments and Early Payments) Act 1983

194  Subsection 3(1) (at the end of paragraphs (a), (b) and (c) of the definition of decision to which this Act applies)

Add “or”.

195  Subsection 3(1) (paragraph (ca) of the definition of decision to which this Act applies)

Repeal the paragraph, substitute:

 (ca) in a case where the expression is used in relation to relevant tax of a kind referred to in items 5 to 50 of the table in section 3C—a decision of the Commissioner to amend an assessment made in relation to a taxpayer reducing the liability of the taxpayer to tax; or

196  Subsection 3(1) (at the end of paragraph (cb) of the definition of decision to which this Act applies)

Add “or”.

197  Subsection 3(1) (paragraph (d) of the definition of decision to which this Act applies)

Omit “paragraph (ka) or (na) of the definition of relevant tax”, substitute “item 120 of the table in section 3C”.

198  Subsection 3(1) (paragraph (e) of the definition of decision to which this Act applies)

Omit “paragraph (n) of the definition of relevant tax”, substitute “item 135 of the table in section 3C”.

199  Subsection 3(1) (at the end of paragraphs (a) and (b) of the definition of person)

Add “and”.

200  Subsection 3(1) (definition of relevant tax)

Repeal the definition, substitute:

relevant tax has the meaning given by section 3C.

201  At the end of Part I

Add:

3C  Meaning of relevant tax

  In this Act:

relevant tax means any of these:

202  Sub‑subparagraph 10(1)(a)(iii)(A)

Omit “paragraph (a), (b), (c), (d), (e) or (g) of the definition of relevant tax in subsection 3(1)”, substitute “items 5 to 85, or 105, of the table in section 3C”.

203  Sub‑subparagraph 10(1)(a)(iii)(AA)

Omit “paragraph (a) of the definition of relevant tax in subsection 3(1)”, substitute “items 5 to 50 of the table in section 3C”.

204  Sub‑subparagraph 10(1)(a)(iii)(B)

Omit “paragraph (ba) of the definition of relevant tax in subsection 3(1)”, substitute “item 65 of the table in section 3C”.

205  Sub‑subparagraph 10(1)(a)(iii)(C)

Omit “paragraph (bb) of the definition of relevant tax in subsection 3(1)”, substitute “item 70 of the table in section 3C”.

206  Paragraph 10(1)(aa)

Omit “paragraph (a) of the definition of relevant tax in subsection 3(1)”, substitute “items 5 to 50 of the table in section 3C”.

207  Section 10A

Omit “paragraph (f) or (m) of the definition of relevant tax in subsection 3(1)”, substitute “item 100 or 125 of the table in section 3C”.

208  Subparagraph 12(1)(a)(i)

Omit “paragraph (a) of the definition of relevant tax in subsection 3(1)”, substitute “items 5 to 50 of the table in section 3C”.

209  Subparagraph 12(1)(a)(ii)

Omit “paragraph (f), (k), (m), (n) or (p) of the definition of relevant tax in subsection 3(1)”, substitute “item 100, 115, 125, 135 or 140 of the table in section 3C”.

Tax Laws Amendment (2004 Measures No. 1) Act 2004

210  Items 31 and 40 of Schedule 10

Repeal the items.

211  Item 41 of Schedule 10 (link note)

Repeal the link note.

Tax Laws Amendment (2004 Measures No. 2) Act 2004

212  Section 2 (table item 19)

Repeal the item, substitute:

Part 3—Amendments relating to asterisking

Division 1—Asterisking of “partnership”

Income Tax Assessment Act 1997

213  Asterisking of “partnership”

The provisions of the Income Tax Assessment Act 1997 listed in the table are amended as set out in the table.

Division 2—Asterisking of “derived”

Income Tax Assessment Act 1997

214  Asterisking of “derived”

The provisions of the Income Tax Assessment Act 1997 listed in the table are amended as set out in the table.

Division 3—Asterisking of “market value”

Income Tax Assessment Act 1997

215  Asterisking of “market value”

The provisions of the Income Tax Assessment Act 1997 listed in the table are amended as set out in the table.