LEASES (COMMERCIAL AND RETAIL) ACT 2001 - SECT 64 Working out turnover rent
LEASES (COMMERCIAL AND RETAIL) ACT 2001 - SECT 64
Working out turnover rentIn working out turnover rent under a lease, the lessor or tenant must take into account the amount of the tenant's turnover, less the following amounts:
(a) the amount of a loss incurred in the resale or disposal of goods reasonably purchased in the ordinary course of business from a customer as a trade-in;
(b) deposits and instalments received for a lay-by, hire-purchase or credit sale, that are refunded to a customer;
(c) refunds on a transaction if the proceeds of the transaction have been included as part of turnover;
(d) service, finance or interest charges payable by the tenant to a financier in relation to the provision of credit to customers other than commissions on credit or store cards;
(e) the price of merchandise exchanged between premises of the tenant if the exchange is made only for the convenient operation of the tenant's business and not to conclude a sale made at, in, from or on the leased premises;
(f) the price of merchandise returns to shippers, wholesalers or manufacturers;
(g) the proceeds of sale of the tenant's fixtures and fittings after their use in the conduct of the business at or from the premises;
(h) a discount allowed to a customer in the course of business;
(i) written-off uncollected credit accounts;
(j) an amount directly or indirectly attributable to GST;
(k) the net amount paid or payable by the tenant directly or indirectly attributable to a purchase tax, receipt tax or other similar tax imposed at the point of sale or hire of goods or services;
(l) delivery charges;
(m) proceeds of goods sold on consignment, other than a commission kept in relation to a sale;
(n) sales of lottery and similar
tickets, other than commissions.