LOANS (TAXATION EXEMPTION) ACT 1978 

LOANS (TAXATION EXEMPTION) ACT 1978 
- TABLE OF PROVISIONS

PART I--PRELIMINARY 
1.   Short title [see Note 1]    
2.   Commencement [see Note 1]    
3.   Interpretation    
4.   Exemption from taxation of certain documents and payments    
5.   Application of Act    

LOANS (TAXATION EXEMPTION) ACT 1978

- LONG TITLE

An Act to provide for the exemption from taxation of
certain documents and payments relating to certain overseas borrowings by or on
behalf of the Commonwealth

LOANS (TAXATION EXEMPTION) ACT 1978
- SECT 1   Short title [see Note 1] 

 
        This Act may be cited as the Loans (Taxation Exemption) Act 1978.

LOANS (TAXATION EXEMPTION) ACT 1978
- SECT 2   Commencement [see Note 1] 

 
        This Act shall come into operation on the day on which it receives the Royal
Assent.

LOANS (TAXATION EXEMPTION) ACT 1978
- SECT 3   Interpretation 

 
(1)  In this Act, unless the contrary intention appears:

"law" means a law of the Commonwealth or of a State or Territory;
"prescribed borrowing" means a borrowing of moneys outside
Australia by or on behalf of the Commonwealth upon terms and conditions that do
not provide for the issue of stock or securities of a kind to which
section 6B of the Loans Securities Act 1919 applies.

(2)  A reference in this Act to tax or duty shall be read as including a
reference to withholding tax within the meaning of the Income Tax Assessment
Act 1936 and to tax or duty in respect of:

        (a)  the estates of deceased persons;
        (b)  property derived from deceased persons; and
        (c)  gifts or other dispositions of property.

LOANS (TAXATION EXEMPTION) ACT 1978
- SECT 4   Exemption from taxation of certain documents and payments 

 
(1)  Where, by the terms and conditions upon which a prescribed borrowing has
been made, the Commonwealth has given an undertaking, however expressed, to the
effect that a document relating to the borrowing will be exempt from, free of,
or not subject to taxes imposed in Australia, the document is not subject to
any tax or duty under any law. 
(2)  Where, by the terms and conditions upon which a prescribed borrowing has
been made, the Commonwealth has given an undertaking, however expressed, to the
effect that an amount payable by or on behalf of the Commonwealth in respect of
the borrowing, whether by way of principal, interest, commitment fee or
otherwise, will be exempt from, free of, or not subject to, taxes imposed in
Australia, except where the person beneficially entitled to the amount is a
person included in a particular class of persons consisting of or including all
residents of Australia, the amount:
        (a)  is not subject to any tax or duty under any law; and
        (b)  shall be disregarded for all purposes in determining the liability of any
person to pay tax or duty under any law or in determining the amount of any
such liability,

unless, at the time of the act, transaction or event that, according to the
provisions of the law imposing the tax or duty, gave rise to liability to the
tax or duty, the person beneficially entitled to the amount was a person
included in that particular class of persons.

LOANS (TAXATION EXEMPTION) ACT 1978
- SECT 5   Application of Act 

 
        This Act has effect notwithstanding anything contained in any law.

LOANS (TAXATION EXEMPTION) ACT 1978

- NOTES

Compilation Information

Loans (Taxation Exemption) Act 1978
Act No. 160 of 1978 as amended
This compilation was prepared on 27 November 2000 
The text of any of those amendments not in forceon that date is appended in
the Notes section
Prepared by the Office of Legislative Drafting,Attorney-General's
Department, Canberra
  
  
  

LOANS (TAXATION EXEMPTION) ACT 1978

- NOTES

LOANS (TAXATION EXEMPTION) ACT 1978Notes to the Loans (Taxation Exemption) Act 1978

Note 1
The Loans (Taxation Exemption) Act 1978 as shown in this compilation
comprises Act No. 160, 1978 amended as indicated in the Tables below.
Table of Acts

Act

Number
and year

Date
of Assent

Date
of commencement

Application,
saving or transitional provisions

Loans
(Taxation Exemption) Act 1978

160,
1978

28
Nov 1978

28
Nov 1978