Australian Capital Territory Consolidated Acts

LAND TAX ACT 2004 - SECT 19

    (1)     Interest on an amount of unpaid overdue land tax is worked out—

        (a)     for each calendar month that the amount remains unpaid; and

        (b)     on the 1st day of that month; and

        (c)     at the interest rate applying to that day; and

        (d)     on the total amount of overdue land tax that is unpaid on a day when the interest is worked out.

Note     The Minister may determine an interest rate for this section under the Taxation Administration Act, section 139.

    (2)     For subsection (1) (a), if an amount remains unpaid for part of a calendar month, interest is payable for the whole month.

Example

Fred's land tax is due on 15 August. He doesn't pay it until 5 October. Fred has to pay interest worked out for the overdue period from 16 August to 5 October. Because of the operation of s (2), Fred has to pay interest for the period from 16 August to 15 October. Interest for the month from 16 August to 15 September is at the rate applying on 16 August, which is the 1 st day of the 1 st month that the amount remains unpaid (see s (1)). Interest for the month from 16 September to 15 October is at the rate applying on 16 September, which is the 1 st day of the 2 nd month that the amount remains unpaid (see s (1)).

Note     An example is part of the Act, is not exhaustive and may extend, but does not limit, the meaning of the provision in which it appears (see Legislation Act, s 126 and s 132).

    (3)     The Taxation Administration Act, section 25 (Interest in relation to tax defaults) does not apply to unpaid overdue land tax.