2008-2009 The Parliament of the Commonwealth of Australia HOUSE OF REPRESENTATIVES Presented and read a first time Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 (Treasury) A Bill for an Act to amend legislation relating to indirect tax, and for related purposes [Page Break] 1 Short title ........................................................................................... 1 2 Commencement ................................................................................. 1 3 Schedule(s) ........................................................................................ 2 Schedule 1--Time limit on entitlements to input tax credits and fuel tax credits 3 Part 1--Amendments relating to input tax credits 3 A New Tax System (Goods and Services Tax) Act 1999 3 Income Tax Assessment Act 1997 9 Taxation Administration Act 1953 9 Part 2--Amendments relating to fuel tax credits 10 Fuel Tax Act 2006 10 Taxation Administration Act 1953 12 Part 3--Application of amendments 13 Schedule 2--Refund collection system 14 A New Tax System (Goods and Services Tax) Act 1999 14 A New Tax System (Wine Equalisation Tax) Act 1999 17 Taxation Administration Act 1953 18 Schedule 3--Agency provisions 20 A New Tax System (Goods and Services Tax) Act 1999 20 Taxation Administration Act 1953 23 Schedule 4--Gambling activities by entities outside Australia 24 A New Tax System (Goods and Services Tax) Act 1999 24 Schedule 5--Recovering overpaid refunds 25 A New Tax System (Goods and Services Tax) Act 1999 25 A New Tax System (Luxury Car Tax) Act 1999 25 Fuel Tax Act 2006 26 Taxation Administration Act 1953 26 Schedule 6--Interaction of associate provisions 28 A New Tax System (Goods and Services Tax) Act 1999 28 i Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 A Bill for an Act to amend legislation relating to 2 indirect tax, and for related purposes 3 The Parliament of Australia enacts: 4 1 Short title 5 This Act may be cited as the Tax Laws Amendment (2009 GST 6 Administration Measures) Act 2009. 7 2 Commencement 8 (1) Each provision of this Act specified in column 1 of the table 9 commences, or is taken to have commenced, in accordance with 10 column 2 of the table. Any other statement in column 2 has effect 11 according to its terms. 12 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 1 [Page Break] Column 1 Column 2 Column 3 Provision(s) Commencement Date/Details 1. Sections 1 to 3 The day this Act receives the Royal Assent. and anything in this Act not elsewhere covered by this table 2. Schedule 1 The day this Act receives the Royal Assent. 3. Schedule 2, 1 July 2010. 1 July 2010 items 1 and 2 4. Schedule 2, The later of: items 3 and 4 (a) immediately after the commencement of the provision(s) covered by table item 6; and (b) the start of 1 July 2010. 5. Schedule 2, 1 July 2010. 1 July 2010 items 5 to 23 6. Schedules 3 to The day this Act receives the Royal Assent. 6 1 Note: This table relates only to the provisions of this Act as originally 2 passed by both Houses of the Parliament and assented to. It will not be 3 expanded to deal with provisions inserted in this Act after assent. 4 (2) Column 3 of the table contains additional information that is not 5 part of this Act. Information in this column may be added to or 6 edited in any published version of this Act. 7 3 Schedule(s) 8 Each Act that is specified in a Schedule to this Act is amended or 9 repealed as set out in the applicable items in the Schedule 10 concerned, and any other item in a Schedule to this Act has effect 11 according to its terms. 12 2 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Amendments relating to input tax credits Part 1 1 Schedule 1--Time limit on entitlements to 2 input tax credits and fuel tax credits 3 Part 1--Amendments relating to input tax credits 4 A New Tax System (Goods and Services Tax) Act 1999 5 1 Section 11-99 (at the end of the table) 6 Add: 16 Time limit on entitlements to input tax Division 93 credits 7 2 Section 17-99 (after table item 9B) 8 Insert: 9C Providing additional consideration under Division 133 gross-up clauses 9 3 Paragraphs 19-70(2)(a) and 19-75(c) 10 Omit "or 129", substitute ", 129 or 133". 11 4 Section 19-99 (after table item 2) 12 Insert: 2A Providing additional consideration under Division 133 gross-up clauses 13 5 Section 37-1 (after table item 23) 14 Insert: 23A Providing additional consideration under Division 133 gross-up clauses 15 6 Section 37-1 (before table item 36) 16 Insert: 35C Time limit on entitlements to input tax Division 93 credits 17 7 After Division 90 18 Insert: Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 3 [Page Break] Part 1 Amendments relating to input tax credits 1 Division 93--Time limit on entitlements to input tax credits 2 93-1 What this Division is about 3 Your entitlements to input tax credits for creditable acquisitions 4 cease unless you include them in your net amounts within 4 years. 5 However, this time limit might not apply to any such entitlements 6 relating to amounts that the Commissioner has notified to you, that 7 arise as a result of fraud or evasion, or that you have notified to the 8 Commissioner. 9 Note: These amounts are dealt with in sections 105-50 and 105-55 in 10 Schedule 1 to the Taxation Administration Act 1953. 11 93-5 Time limit on entitlements to input tax credits 12 (1) You cease to be entitled to an input tax credit for a *creditable 13 acquisition to the extent that you have not taken it into account in 14 working out your *net amount for: 15 (a) the tax period to which the input tax credit would be 16 attributable under subsection 29-10(1) or (2); or 17 (b) any other tax period for which you give to the Commissioner 18 a *GST return during the period of 4 years after the day on 19 which you were required to give to the Commissioner a GST 20 return for the tax period referred to in paragraph (a). 21 Note: Section 93-10 sets out circumstances in which your entitlement to the 22 input tax credit does not cease under this section. 23 (2) This section has effect despite section 11-20 (which is about who is 24 entitled to input tax credits for creditable acquisitions). 25 93-10 Exceptions to time limit on entitlements to input tax credits 26 Commissioner has notified you of excess or refund etc. 27 (1) You do not cease under section 93-5 to be entitled to an input tax 28 credit to the extent that: 29 (a) the input tax credit arises out of circumstances that also gave 30 rise to the whole or a part of: 4 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Amendments relating to input tax credits Part 1 1 (i) an amount, or an amount of an excess, in relation to 2 which paragraph 105-50(3)(a) in Schedule 1 to the 3 Taxation Administration Act 1953 applies; or 4 (ii) a refund, other payment or credit in relation to which 5 paragraph 105-55(1)(b) in Schedule 1 to that Act 6 applies; and 7 (b) the Commissioner gave to you the notice referred to in that 8 paragraph not later than 4 years after the end of the tax period 9 to which the credit would be attributable under subsection 10 29-10(1) or (2) of this Act. 11 Note 1: Section 105-50 in Schedule 1 to the Taxation Administration Act 1953 12 deals with the time limit within which the Commissioner can recover 13 indirect tax amounts, and section 105-55 in Schedule 1 to that Act 14 deals with the time limit within which you can claim amounts relating 15 to indirect tax. 16 Note 2: Section 93-15 of this Act may preclude this subsection from applying 17 to the input tax credit, in which case section 93-5 of this Act will 18 apply. 19 Excess relates to amount avoided by fraud or evaded 20 (2) You do not cease under section 93-5 to be entitled to an input tax 21 credit to the extent that the input tax credit arises out of 22 circumstances that also gave rise to: 23 (a) the whole or a part of an amount in relation to which 24 paragraph 105-50(3)(b) in Schedule 1 to the Taxation 25 Administration Act 1953 applies; or 26 (b) an amount of an excess, in relation to which that paragraph 27 applies. 28 Note 1: Section 105-50 in Schedule 1 to the Taxation Administration Act 1953 29 deals with the time limit within which the Commissioner can recover 30 indirect tax amounts. 31 Note 2: Section 93-15 of this Act may preclude this subsection from applying 32 to the input tax credit, in which case section 93-5 of this Act will 33 apply. 34 You have notified the Commissioner of refund etc. 35 (3) You do not cease under section 93-5 to be entitled to an input tax 36 credit to the extent that: 37 (a) the input tax credit arises out of circumstances that also gave 38 rise to the whole or a part of a refund, other payment or credit Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 5 [Page Break] Part 1 Amendments relating to input tax credits 1 in relation to which paragraph 105-55(1)(a) in Schedule 1 to 2 the Taxation Administration Act 1953 applies; and 3 (b) you gave to the Commissioner the notice referred to in that 4 paragraph not later than 4 years after the end of the tax period 5 to which the credit would be attributable under subsection 6 29-10(1) or (2) of this Act. 7 Note 1: Section 105-55 in Schedule 1 to the Taxation Administration Act 1953 8 deals with the time limit within which you can claim amounts relating 9 to indirect tax. 10 Note 2: Section 93-15 of this Act may preclude this subsection from applying 11 to the input tax credit, in which case section 93-5 of this Act will 12 apply. 13 93-15 GST ceasing to be payable on the related supply 14 Section 93-10 does not apply if: 15 (a) GST has ceased to be payable (other than as a result of its 16 payment) on the supply that is related to the *creditable 17 acquisition for which you would be entitled to an input tax 18 credit but for this section; and 19 (b) at the time of the cessation, you did not hold a *tax invoice 20 for the creditable acquisition. 21 8 Section 129-80 (heading) 22 Repeal the heading, substitute: 23 129-80 Effect of adjustment under Division 19, 21 or 133 24 9 Section 129-80 25 Omit "Division 19 or 21", substitute "Division 19, 21 or 133". 26 10 Subsection 132-5(2) (paragraph (c) of the definition of 27 adjusted input tax credit) 28 Omit "Division 129", substitute "Division 129 or 133". 29 11 After Division 132 30 Insert: 6 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Amendments relating to input tax credits Part 1 1 Division 133--Providing additional consideration under 2 gross-up clauses 3 133-1 What this Division is about 4 You may have a decreasing adjustment for an acquisition that you 5 made if, to take account of a GST liability that the supplier is 6 subsequently found to have, you provide additional consideration 7 at a time when you can no longer claim an input tax credit. 8 133-5 Decreasing adjustments for additional consideration provided 9 under gross-up clauses 10 (1) You have a decreasing adjustment if: 11 (a) you made an acquisition on the basis that: 12 (i) it was not a *creditable acquisition because the supply to 13 which the acquisition relates was not a *taxable supply; 14 or 15 (ii) it was *partly creditable because the supply to which the 16 acquisition relates was only partly a taxable supply; and 17 (b) you provided *additional consideration for the acquisition in 18 compliance with a contractual obligation that required you, or 19 had the effect of requiring you, to provide additional 20 consideration if: 21 (i) in a case where subparagraph (a)(i) applies--the supply 22 was later found to be a taxable supply, or to be partly a 23 taxable supply; or 24 (ii) in a case where subparagraph (a)(ii) applies--the supply 25 was later found to be a taxable supply to a greater 26 extent; and 27 (c) GST on the supply has not ceased to be payable (other than 28 as a result of its payment); and 29 (d) at the time you provided the additional consideration, you 30 were no longer entitled to an input tax credit for the 31 acquisition. 32 Note: Section 93-5 may provide a time limit on your entitlement to an input 33 tax credit. Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 7 [Page Break] Part 1 Amendments relating to input tax credits 1 (2) The amount of the *decreasing adjustment is the difference 2 between: 3 (a) what would have been the *previously attributed input tax 4 credit amount for the acquisition if: 5 (i) the *additional consideration for the acquisition had 6 been provided as part of the original *consideration for 7 the acquisition; and 8 (ii) in a case where you have not held a *tax invoice for the 9 acquisition--you held such an invoice; and 10 (iii) subsection 29-10(4) did not apply in relation to the 11 acquisition; and 12 (b) the previously attributed input tax credit amount. 13 (3) To avoid doubt, additional consideration for an acquisition 14 includes a part of the *consideration for the acquisition that: 15 (a) relates to the amount of GST payable on the *taxable supply 16 to which the acquisition relates; and 17 (b) at the time of the acquisition, the parties to the transaction 18 under which the acquisition was made assumed was not 19 payable. 20 133-10 Availability of adjustments under Division 19 for acquisitions 21 (1) If: 22 (a) you have a *decreasing adjustment under this Division for an 23 acquisition; and 24 (b) the circumstances that gave rise to the adjustment also 25 constitute an *adjustment event; 26 you do not have a decreasing adjustment under section 19-70 for 27 the acquisition in relation to those circumstances. 28 (2) This section has effect despite section 19-70 (which is about 29 adjustments for acquisitions arising because of adjustment events). 30 12 Section 195-1 31 Insert: 32 additional consideration includes the meaning given by subsection 33 133-5(3). 8 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Amendments relating to input tax credits Part 1 1 13 Section 195-1 (after table item 6 of the definition of 2 decreasing adjustment) 3 Insert: 6A Section 133-5 *Decreasing adjustments for *additional consideration provided under gross-up clauses 4 Income Tax Assessment Act 1997 5 14 Subsection 995-1(1) 6 Insert: 7 tax invoice has the meaning given by section 195-1 of the *GST 8 Act. 9 Taxation Administration Act 1953 10 15 At the end of subsection 105-55(1) in Schedule 1 11 Add: 12 Note: Division 93 of the GST Act puts a time limit on your entitlement to an 13 input tax credit. Division 47 of the Fuel Tax Act 2006 puts a time limit 14 on your entitlement to a fuel tax credit. 15 16 After subsection 105-55(2) in Schedule 1 16 Insert: 17 (2A) A request by you to the Commissioner to treat a document as a *tax 18 invoice for the purposes of attributing a credit to a *tax period is 19 taken to be a notification, for the purposes of paragraph (1)(a), of 20 your entitlement to the credit if: 21 (a) you made the request within the 4 year period referred to in 22 that paragraph in relation to the credit; and 23 (b) the Commissioner agrees to the request (whether or not 24 within that period). 25 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 9 [Page Break] Part 2 Amendments relating to fuel tax credits 1 Part 2--Amendments relating to fuel tax credits 2 Fuel Tax Act 2006 3 17 At the end of Part 3-3 4 Add: 5 Division 47--Time limit on entitlements to fuel tax credits 6 Table of Subdivisions 7 Guide to Division 47 8 47-A Time limit on entitlements to fuel tax credits 9 Guide to Division 47 10 47-1 What this Division is about 11 Your entitlements to fuel tax credits cease unless you include them 12 in your net fuel amounts within 4 years. 13 However, this time limit might not apply to any such entitlements 14 relating to amounts that the Commissioner has notified to you, that 15 arise as a result of fraud or evasion, or that you have notified to the 16 Commissioner. 17 Note: These amounts are dealt with in sections 105-50 and 105-55 in 18 Schedule 1 to the Taxation Administration Act 1953. 19 Subdivision 47-A--Time limit on entitlements to fuel tax credits 20 Table of Sections 21 47-5 Time limit on entitlements to fuel tax credits 22 47-10 Exceptions to time limit on entitlements to fuel tax credits 23 47-5 Time limit on entitlements to fuel tax credits 24 You cease to be entitled to a fuel tax credit to the extent that you 25 have not taken it into account in working out your *net fuel amount 26 for: 10 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Amendments relating to fuel tax credits Part 2 1 (a) the *tax period or *fuel tax return period to which the fuel tax 2 credit would be attributable under subsection 65-5(1), (2) or 3 (3); or 4 (b) any other tax period, or fuel tax return period, for which you 5 give to the Commissioner a return under section 61-15 during 6 the period of 4 years after the day on which you were 7 required to give to the Commissioner such a return for the tax 8 period or fuel tax return period referred to in paragraph (a). 9 Note: Section 47-10 sets out circumstances in which your entitlement to the 10 fuel tax credit does not cease under this section. 11 47-10 Exceptions to time limit on entitlements to fuel tax credits 12 Commissioner has notified you of excess or refund etc. 13 (1) You do not cease under section 47-5 to be entitled to a fuel tax 14 credit to the extent that: 15 (a) the fuel tax credit arises out of circumstances that also gave 16 rise to the whole or a part of: 17 (i) an amount, or an amount of an excess, in relation to 18 which paragraph 105-50(3)(a) in Schedule 1 to the 19 Taxation Administration Act 1953 applies; or 20 (ii) a refund, other payment or credit in relation to which 21 paragraph 105-55(1)(b) or (3)(b) in Schedule 1 to that 22 Act applies; and 23 (b) the Commissioner gave to you the notice referred to in that 24 paragraph not later than 4 years after the end of the tax period 25 to which the credit would be attributable under subsection 26 65-5(1), (2) or (3) of this Act. 27 Note: Section 105-50 in Schedule 1 to the Taxation Administration Act 1953 28 deals with the time limit within which the Commissioner can recover 29 indirect tax amounts, and section 105-55 in Schedule 1 to that Act 30 deals with the time limit within which you can claim amounts relating 31 to indirect tax. 32 Excess relates to amount avoided by fraud or evaded 33 (2) You do not cease under section 47-5 to be entitled to a fuel tax 34 credit to the extent that the fuel tax credit arises out of 35 circumstances that also gave rise to: Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 11 [Page Break] Part 2 Amendments relating to fuel tax credits 1 (a) the whole or a part of an amount in relation to which 2 paragraph 105-50(3)(b) in Schedule 1 to the Taxation 3 Administration Act 1953 applies; or 4 (b) an amount of an excess, in relation to which that paragraph 5 applies. 6 Note: Section 105-50 in Schedule 1 to the Taxation Administration Act 1953 7 deals with the time limit within which the Commissioner can recover 8 indirect tax amounts. 9 You have notified the Commissioner of refund etc. 10 (3) You do not cease under section 47-5 to be entitled to a fuel tax 11 credit to the extent that: 12 (a) the fuel tax credit arises out of circumstances that also gave 13 rise to the whole or a part of a refund, other payment or credit 14 in relation to which paragraph 105-55(1)(a) or (3)(a) in 15 Schedule 1 to the Taxation Administration Act 1953 applies; 16 and 17 (b) you gave to the Commissioner the notice referred to in that 18 paragraph not later than 4 years after the end of the tax period 19 to which the credit would be attributable under subsection 20 65-5(1), (2) or (3) of this Act. 21 Note: Section 105-55 in Schedule 1 to the Taxation Administration Act 1953 22 deals with the time limit within which you can claim amounts relating 23 to indirect tax. 24 Taxation Administration Act 1953 25 18 At the end of subsection 105-55(3) in Schedule 1 26 Add: 27 Note: Division 47 of the Fuel Tax Act 2006 puts a time limit on your 28 entitlement to a fuel tax credit. 29 12 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] Application of amendments Part 3 1 Part 3--Application of amendments 2 19 Application of amendments relating to input tax credits 3 The amendments made by Part 1 of this Schedule apply, and are taken 4 to have applied, in relation to acquisitions and adjustments that are 5 taken into account in: 6 (a) GST returns given to the Commissioner under the A New Tax 7 System (Goods and Services Tax) Act 1999 after 7.30 pm 8 Australian Eastern Standard Time on 12 May 2009; or 9 (b) assessments made by the Commissioner under 10 Subdivision 105-A in Schedule 1 to the Taxation 11 Administration Act 1953 after that time; or 12 (c) amendments of: 13 (i) GST returns referred to in paragraph (a); or 14 (ii) assessments referred to in paragraph (b). 15 20 Application of amendments relating to fuel tax credits 16 The amendments made by Part 2 of this Schedule apply, and are taken 17 to have applied, in relation to acquisitions, manufacturing, importations 18 and adjustments that are taken into account in: 19 (a) returns given to the Commissioner under section 61-15 of the 20 Fuel Tax Act 2006 on or after 1 July 2010; or 21 (b) amendments of such returns. 22 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 13 [Page Break] 1 Schedule 2--Refund collection system 2 3 A New Tax System (Goods and Services Tax) Act 1999 4 1 After paragraph 38-185(3)(e) 5 Insert: 6 ; and (f) if that entity is covered by paragraph 168-5(1A)(c)--the 7 supplier has a declaration by that entity stating that: 8 (i) a payment has not been sought under section 168-5 for 9 the supply; and 10 (ii) if the goods are wine (within the meaning of the A New 11 Tax System (Wine Equalisation Tax) Act 1999)--a 12 payment has not been sought under section 25-5 of that 13 Act for the supply. 14 2 At the end of subsection 38-185(3) 15 Add: 16 Note: The entity will be covered by paragraph 168-5(1A)(c) if the entity is 17 an individual who resides in an external Territory. 18 3 After paragraph 38-185(4)(e) 19 Insert: 20 ; and (f) if the associate is covered by paragraph 168-5(1A)(c)--the 21 supplier has a declaration by the associate stating that: 22 (i) a payment has not been sought under section 168-5 for 23 the supply; and 24 (ii) if the goods are wine (within the meaning of the A New 25 Tax System (Wine Equalisation Tax) Act 1999)--a 26 payment has not been sought under section 25-5 of that 27 Act for the supply. 28 4 At the end of subsection 38-185(4) 29 Add: 30 Note: The associate will be covered by paragraph 168-5(1A)(c) if the 31 associate is an individual who resides in an external Territory. 32 5 Section 168-1 14 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 After "baggage,", insert "or you are a resident of an external Territory 2 and send goods home,". 3 6 Before subsection 168-5(1) 4 Insert: 5 Exporting goods as accompanied baggage 6 7 After subsection 168-5(1) 7 Insert: 8 Resident of external Territory sending goods home 9 (1A) If: 10 (a) you make an acquisition of goods the supply of which to you 11 is a *taxable supply; and 12 (b) the acquisition is of a kind specified in the regulations; and 13 (c) at the time of the acquisition, you are an individual to whom 14 one of the following subparagraphs applies: 15 (i) you reside in an external Territory; 16 (ii) your domicile is in an external Territory; 17 (iii) you have actually been in an external Territory, 18 continuously or intermittently, during more than half of 19 the last 12 months; and 20 (d) at the time of the acquisition, you are not *registered or 21 *required to be registered; and 22 (e) you leave Australia, and export the goods to the external 23 Territory: 24 (i) in circumstances not covered by paragraph (1)(c); and 25 (ii) in circumstances specified in the regulations; 26 the Commissioner must, on behalf of the Commonwealth, pay to 27 you an amount equal to: 28 (f) the amount of the GST payable on the taxable supply; or 29 (g) such proportion of that amount of GST as is specified in the 30 regulations. 31 8 Before subsection 168-5(2) 32 Insert: Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 15 [Page Break] 1 Paying the refund 2 9 Subsection 168-5(2) 3 Omit "The amount", substitute "An amount payable under this section". 4 10 At the end of section 168-5 5 Add: 6 You may be found not to be a resident of an external Territory 7 (3) Subparagraph (1A)(c)(ii) does not apply to you if the 8 Commissioner is satisfied that your permanent place of abode is 9 outside that external Territory. 10 (4) Subparagraph (1A)(c)(iii) does not apply to you if the 11 Commissioner is satisfied: 12 (a) that your usual place of abode is outside that external 13 Territory; and 14 (b) that you do not intend to take up residence in that Territory. 15 11 At the end of Division 168 16 Add: 17 168-10 Supplies later found to be GST-free supplies 18 (1) If: 19 (a) you are paid an amount under subsection 168-5(1A) for a 20 supply; and 21 (b) the supply is or becomes a *GST-free supply; 22 you become liable to repay the amount (the recoverable amount) 23 to the Commonwealth on the later of the following days (the due 24 day): 25 (c) the day you were paid the recoverable amount; 26 (d) the day the supply becomes a GST-free supply. 27 (2) You are liable to pay general interest charge on the whole, or any 28 part, of the recoverable amount that remains unpaid after the due 29 day for each day in the period that: 30 (a) starts on the due day; and 31 (b) finishes at the end of the last day at the end of which any of 32 the following remains unpaid: 16 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 (i) the recoverable amount; 2 (ii) general interest charge on any of the recoverable 3 amount. 4 A New Tax System (Wine Equalisation Tax) Act 1999 5 12 Section 25-1 6 After "baggage,", insert "or you are a resident of an external Territory 7 and send wine home,". 8 13 Before subsection 25-5(1) 9 Insert: 10 Exporting wine as accompanied baggage 11 14 After subsection 25-5(1) 12 Insert: 13 Resident of external Territory sending wine home 14 (1A) If: 15 (a) you have *borne wine tax on wine that you purchased; and 16 (b) the purchase is of a kind specified in the regulations; and 17 (c) an amount is payable to you under subsection 168-5(1A) of 18 the *GST Act for the *taxable supply corresponding to the 19 purchase; 20 the Commissioner must, on behalf of the Commonwealth, pay to 21 you an amount equal to: 22 (d) the amount of the wine tax that you have borne on the wine; 23 or 24 (e) such proportion of that amount of wine tax as is specified in 25 the regulations. 26 15 Before subsection 25-5(2) 27 Insert: 28 Working out amounts of wine tax borne 29 16 Before subsection 25-5(3) Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 17 [Page Break] 1 Insert: 2 Paying the refund 3 17 Subsection 25-5(3) 4 Omit "The amount", substitute "An amount payable under this section". 5 18 At the end of Division 25 6 Add: 7 25-10 Purchases later found to be GST-free supplies 8 (1) If: 9 (a) you are paid an amount under subsection 25-5(1A) for a 10 purchase; and 11 (b) the supply corresponding to the purchase is or becomes a 12 *GST-free supply; 13 you become liable to repay the amount (the recoverable amount) 14 to the Commonwealth on the later of the following days (the due 15 day): 16 (c) the day you were paid the recoverable amount; 17 (d) the day the supply becomes a GST-free supply. 18 (2) You are liable to pay general interest charge on the whole, or any 19 part, of the recoverable amount that remains unpaid after the due 20 day for each day in the period that: 21 (a) starts on the due day; and 22 (b) finishes at the end of the last day at the end of which any of 23 the following remains unpaid: 24 (i) the recoverable amount; 25 (ii) general interest charge on any of the recoverable 26 amount. 27 Taxation Administration Act 1953 28 19 Subsection 8AAB(5) (after table item 1AA) 29 Insert: 1AB 168-10 A New Tax System (Goods and Services Tax) Act 1999 18 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 20 Subsection 8AAB(5) (before table item 1A) 2 Insert: 1AD 25-10 A New Tax System (Wine Equalisation Tax) Act 1999 3 21 Subsection 250-10(2) in Schedule 1 (before table item 15) 4 Insert: 13 repayments of amounts 168-10 A New Tax System (Goods and paid under tourist Services Tax) Act 1999 refund scheme 5 22 Subsection 250-10(2) in Schedule 1 (after table item 20) 6 Insert: 21 repayments of amounts 25-10 A New Tax System (Wine paid under tourist Equalisation Tax) Act 1999 refund scheme 7 23 Application 8 (1) The amendments made by this Schedule apply in relation to goods 9 acquired, and wine purchased, on or after 1 July 2010. 10 (2) However, if this Act does not receive the Royal Assent on or before 11 1 July 2010, the amendments made by items 3 and 4 of this Schedule 12 apply in relation to goods acquired, and wine purchased, on or after the 13 day this Act receives the Royal Assent. 14 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 19 [Page Break] 1 Schedule 3--Agency provisions 2 3 A New Tax System (Goods and Services Tax) Act 1999 4 1 Division 153 (heading) 5 Repeal the heading, substitute: 6 Division 153--Agents etc. and insurance brokers 7 2 Section 153-1 8 Omit "acquisition made through an agent", substitute "acquisition made 9 through, or facilitated by, an entity on your behalf". 10 3 Subsection 153-15(2) (note) 11 Repeal the note, substitute: 12 Note: If Subdivision 153-B is to apply to the supply, there will be an 13 arrangement under which only your agent can issue the tax invoice: 14 see paragraph 153-50(1)(d). 15 4 Subdivision 153-B (heading) 16 Repeal the heading, substitute: 17 Subdivision 153-B--Principals and intermediaries as separate 18 suppliers or acquirers 19 5 Section 153-50 (heading) 20 Repeal the heading, substitute: 21 153-50 Arrangements under which intermediaries are treated as 22 suppliers or acquirers 23 6 Section 153-50 24 Before "An", insert "(1)". 25 7 Section 153-50 26 Omit "(the agent)", substitute "(the intermediary)". 27 8 Paragraph 153-50(a) 20 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 Repeal the paragraph, substitute: 2 (a) the intermediary will, on the principal's behalf, do any or all 3 of the following: 4 (i) make supplies to third parties; 5 (ii) facilitate supplies to third parties (including by issuing 6 *invoices relating to, or receiving *consideration for, 7 such supplies); 8 (iii) make acquisitions from third parties; 9 (iv) facilitate acquisitions from third parties (including by 10 providing consideration for such acquisitions); and 11 9 Paragraphs 153-50(c), (d) and (e) 12 Omit "agent" (wherever occurring), substitute "intermediary". 13 10 At the end of section 153-50 14 Add: 15 (2) For the purposes of subsection (1), an entity can be an intermediary 16 whether or not the entity is the agent of the principal. 17 11 Subsection 153-55(1) 18 Omit "agent" (wherever occurring), substitute "intermediary". 19 12 Subsection 153-55(2) 20 Omit "to the agent", substitute "to the intermediary". 21 13 Paragraph 153-55(2)(a) 22 Omit "agent's supply) that the agent", substitute "intermediary's 23 supply) that the intermediary". 24 14 Paragraph 153-55(2)(b) 25 Omit "agent in respect of the agent's", substitute "intermediary in 26 respect of the intermediary's". 27 15 Subsection 153-55(2) 28 Omit "The agent", substitute "The intermediary". 29 16 Subsection 153-55(3) Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 21 [Page Break] 1 Omit "agent for the agent's", substitute "intermediary for the 2 intermediary's". 3 17 Paragraphs 153-55(3)(a) and (b) 4 Omit "agent" (wherever occurring), substitute "intermediary". 5 18 Subsection 153-60(1) 6 Omit "agent" (wherever occurring), substitute "intermediary". 7 19 Subsection 153-60(2) 8 Omit ", the agent", substitute ", the intermediary". 9 20 Paragraph 153-60(2)(a) 10 Omit "agent's acquisition) that the agent", substitute "intermediary's 11 acquisition) that the intermediary". 12 21 Paragraph 153-60(2)(b) 13 Omit "agent by the principal in respect of the agent's", substitute 14 "intermediary by the principal in respect of the intermediary's". 15 22 Subsection 153-60(2) 16 Omit "from the agent", substitute "from the intermediary". 17 23 Subsection 153-60(3) 18 Omit "agent for the agent's", substitute "intermediary for the 19 intermediary's". 20 24 Paragraphs 153-60(3)(a) and (b) 21 Omit "agent" (wherever occurring), substitute "intermediary". 22 25 Subsection 153-65(1) 23 Repeal the subsection, substitute: 24 (1) The Commissioner may determine in writing that: 25 (a) supplies of a specified kind to third parties that any entity 26 (the intermediary) makes or facilitates (including by issuing 27 *invoices relating to, or receiving *consideration for, such 28 supplies) on behalf of any other entity (the principal); or 22 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 (b) acquisitions of a specified kind from third parties that any 2 entity (the intermediary) makes or facilitates (including by 3 providing consideration for such acquisitions) on behalf of 4 any other entity (the principal); 5 are taken to be supplies or acquisitions that are of a kind to which 6 an arrangement of a kind referred to in section 153-50 applies, and 7 that are made in accordance with that arrangement. 8 26 Subsection 153-65(2) 9 Omit "either the agent", substitute "either the intermediary". 10 27 Paragraph 153-65(2)(a) 11 Omit "that the agent makes to third parties", substitute "to third parties 12 that the intermediary makes or facilitates (including by issuing *invoices 13 relating to, or receiving *consideration for, such supplies)". 14 28 Paragraph 153-65(2)(b) 15 Omit "that the agent makes from third parties", substitute "from third 16 parties that the intermediary makes or facilitates (including by 17 providing consideration for such acquisitions)". 18 29 Subsections 188-24(1) and (2) 19 Omit "agent", substitute "intermediary". 20 Taxation Administration Act 1953 21 30 Subsection 382-5(5) in Schedule 1 22 Omit "agent", substitute "intermediary (within the meaning of that 23 section)". 24 31 Application 25 The amendments made by this Schedule apply in relation to supplies 26 and acquisitions made on or after 1 July 2010. 27 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 23 [Page Break] 1 Schedule 4--Gambling activities by entities 2 outside Australia 3 4 A New Tax System (Goods and Services Tax) Act 1999 5 1 Subsection 126-10(3) 6 Omit "under section 38-270". 7 2 Application 8 (1) The amendment made by this Schedule applies in relation to monetary 9 prizes that you become liable to pay on or after the first day of the first 10 quarterly tax period that starts on or after the commencement of this 11 Schedule. 12 (2) For the purposes of subitem (1), it does not matter whether quarterly tax 13 periods are the tax periods that apply to you. 14 24 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 Schedule 5--Recovering overpaid refunds 2 3 A New Tax System (Goods and Services Tax) Act 1999 4 1 Section 35-5 5 Before "If", insert "(1)". 6 2 At the end of section 35-5 (after the notes) 7 Add: 8 (2) However, if the amount paid, or applied under the Taxation 9 Administration Act 1953, exceeds the amount to which you are 10 properly entitled under subsection (1), the excess is to be treated as 11 if it were GST that became payable, and due for payment, by you 12 at the time when the amount was paid or applied. 13 Note: The main effect of treating the amount as if it were GST is to apply 14 the collection and recovery rules in Part 3-10 in Schedule 1 to the 15 Taxation Administration Act 1953, such as a liability to pay the 16 general interest charge under section 105-80 in that Schedule. 17 3 Application 18 The amendment made by item 2 applies in relation to amounts payable 19 under subsection 35-5(1) of the A New Tax System (Goods and Services 20 Tax) Act 1999 (as amended by this Schedule) for tax periods starting on 21 or after the commencement of this Schedule. 22 A New Tax System (Luxury Car Tax) Act 1999 23 4 At the end of Division 17 24 Add: 25 17-15 Excess credits must be repaid 26 If the amount of a credit you claim exceeds the amount to which 27 you are properly entitled under section 17-5, the excess is to be 28 treated as if it were luxury car tax that became payable, and due for 29 payment, by you at the time when the credit was paid or applied to 30 you. 31 Note: The main effect of treating the amount as if it were luxury car tax is to 32 apply the collection and recovery rules in Part 3-10 in Schedule 1 to Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 25 [Page Break] 1 the Taxation Administration Act 1953, such as a liability to pay the 2 general interest charge under section 105-80 in that Schedule. 3 5 Application 4 The amendment made by item 4 applies in relation to claims made on or 5 after the commencement of this Schedule. 6 Fuel Tax Act 2006 7 6 At the end of section 61-5 8 Add: 9 (3) However, if the amount (the refund) paid, or applied under the 10 Taxation Administration Act 1953, for a *tax period or *fuel tax 11 return period exceeds the *amount to which you are properly 12 entitled under subsection (1) for that period, you must pay the 13 excess to the Commissioner as if: 14 (a) the excess were a *net fuel amount for that period; and 15 (b) that net fuel amount were an amount greater than zero and 16 equal to the excess; and 17 (c) despite section 61-10, that net fuel amount became payable, 18 and due for payment, by you at the time when the refund was 19 paid or applied. 20 Note: Treating the excess as if it were a net fuel amount has the effect of 21 applying the collection and recovery rules in Part 3-10 in Schedule 1 22 to the Taxation Administration Act 1953, such as a liability to pay the 23 general interest charge under section 105-80 in that Schedule. 24 7 Application 25 The amendment made by item 6 applies in relation to amounts payable 26 under subsection 61-5(1) of the Fuel Tax Act 2006 for tax periods, and 27 fuel tax return periods, starting on or after the commencement of this 28 Schedule. 29 Taxation Administration Act 1953 30 8 Subsection 250-10(2) in Schedule 1 (after table item 10) 31 Insert: 12 excess refund of GST 35-5(2) A New Tax System (Goods and Services Tax) Act 1999 26 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 9 Subsection 250-10(2) in Schedule 1 (after table item 15) 2 Insert: 16 excess luxury car tax 17-15 A New Tax System (Luxury Car credits Tax) Act 1999 3 10 Subsection 250-10(2) in Schedule 1 (before table item 20) 4 Insert: 18 excess wine tax credits 17-25 A New Tax System (Wine Equalisation Tax) Act 1999 5 11 Subsection 250-10(2) in Schedule 1 (table item 36) 6 Omit "61-10", substitute "61-5(3), 61-10". 7 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 27 [Page Break] 1 Schedule 6--Interaction of associate 2 provisions 3 4 A New Tax System (Goods and Services Tax) Act 1999 5 1 Subsection 38-185(1) (after table item 2) 6 Insert: 2A Export of a supply of goods without *consideration to an *associate goods--supplies of the supplier, but only if the supplier exports them from to associates Australia. without consideration 7 2 At the end of section 38-185 8 Add: 9 (4) Without limiting item 2A in the table in subsection (1), a supplier 10 of goods is treated, for the purposes of that item, as having 11 exported the goods from Australia if: 12 (a) before the goods are exported, the supplier supplies them to 13 an entity that: 14 (i) is an *associate of the supplier; and 15 (ii) is not *registered or *required to be registered; and 16 (b) the associate exports the goods from Australia within 60 days 17 (or such further period as the Commissioner allows) after the 18 earlier of the following: 19 (i) the day the goods were delivered in Australia to the 20 associate; 21 (ii) the day the goods were made available in Australia to 22 the associate; and 23 (c) the goods have been entered for export within the meaning of 24 section 113 of the Customs Act 1901; and 25 (d) since their supply to the associate, the goods have not been 26 altered or used in any way, except to the extent (if any) 27 necessary to prepare them for export; and 28 (e) the supplier has sufficient documentary evidence to show that 29 the goods were exported. 28 Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 [Page Break] 1 However, if the goods are reimported into Australia, the supply is 2 not GST-free unless the reimportation is a *taxable importation. 3 3 At the end of Subdivision 72-A 4 Add: 5 72-20 Supplies and acquisitions that would otherwise be sales etc. 6 (1) If, apart from a lack of *consideration: 7 (a) a supply to your *associate from you; or 8 (b) a supply to you from your associate; 9 would be a sale or some other kind of supply, the supply is taken 10 for the purposes of the *GST law to be a supply of that kind. 11 (2) If, apart from a lack of *consideration: 12 (a) an acquisition by your *associate from you; or 13 (b) an acquisition by you from your associate; 14 would be by sale or some other means, the acquisition is taken for 15 the purposes of the *GST law to be an acquisition by that means. 16 72-25 Supplies that would otherwise be GST-free, input taxed or 17 financial supplies 18 The fact that a supply to or from your *associate is without 19 *consideration does not stop the supply from being any of the 20 following for the purposes of the *GST law: 21 (a) a *GST-free supply; 22 (b) a supply that is *input taxed; 23 (c) a *financial supply. 24 4 Application 25 The amendments made by this Schedule apply in relation to supplies, 26 and acquisitions, made on or after the commencement of this Schedule. Tax Laws Amendment (2009 GST Administration Measures) Bill 2009 No. , 2009 29