Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) In this Act, unless the contrary intention appears:
"eligible former partner of a qualifying sugarcane farmer" has the meaning given by subsection (2).
"eligible interest" has the meaning given by subsections (5) and (6).
"qualifying sugarcane farmer" has the meaning given by subsections (3) and (4).
"RASF closing day" has the meaning given by section 1185N.
"RASF commencement day" has the meaning given by section 1185N.
"relevant sugarcane farm asset" means any relevant farm asset that is a produce of, or is used for the purposes of, a sugarcane farm enterprise.
Note: For relevant farm asset see subsection 17A(1).
"sugarcane farm" means a farm that is used predominantly for the purposes of a sugarcane farm enterprise.
Note: For farm see subsection 17A(1).
"sugarcane farm enterprise" means a farm enterprise where:
(a) a majority of the enterprise is undertaken for the purposes of growing commercial quantities of sugar cane; or
(b) if paragraph (a) does not apply--a significant proportion of the enterprise is undertaken for the purposes of growing commercial quantities of sugar cane and the Secretary has determined, in accordance with any guidelines made by the Secretary for the purposes of this paragraph, that there are special circumstances that mean that the farm enterprise should be treated as an enterprise to which paragraph (a) applies.
Note: For farm enterprise see subsection 17A(1).
"total net value" has the meaning given by section 1185S.
(a) in relation to an eligible interest in a sugarcane farm--has the meaning given by subsections (7), (8), (10), (11) and (12); or
(b) in relation to an eligible interest in a relevant sugarcane farm asset--has the meaning given by subsections (9), (11) and (12).
Note: Subsection 17A(1) also contains other definitions relevant to the operation of Part 3.14B.
(2) A person is an eligible former partner of a qualifying sugarcane farmer if:
(a) the person was, but no longer is (whether because of death or any other reason), the partner of another person; and
(b) on the day on which the person ceased to be the partner of the other person, the other person was a qualifying sugarcane farmer; and
(c) after ceasing to be the partner of the other person, the person has not again become a member of a couple; and
(d) the person has an eligible interest in a sugarcane farm or sugarcane farms in which the other person had an eligible interest.
Note: For eligible interest see subsection (5).
(3) A person is a qualifying sugarcane farmer if:
(a) the person has, has not ceased to have, and has continuously had for a period of at least 15 years, an eligible interest in a farm; and
(b) the farm is a sugarcane farm and has been a sugarcane farm:
(i) for at least the last 2 years; and
(ii) at all times since 29 April 2004; and
(c) during a period of 15 years, the person or the person's partner:
(i) has contributed a significant part of his or her labour and capital to the development of a farm or farms; and
(ii) has derived a significant part of his or her income from that farm or those farms; and
(d) during at least the last 2 years:
(i) that contribution of labour and capital has been to the development of a sugarcane farm or sugarcane farms; and
(ii) that derivation of income has been from that sugarcane farm or those sugarcane farms.
Note: For eligible interest see subsection (5).
(4) A person is also a qualifying sugarcane farmer if:
(a) the person has an eligible interest in one or more than one sugarcane farm; and
(b) the eligible interest in the farm, or each of the farms, was acquired by the person before 29 April 2004; and
(c) the person or the person's partner or former partner has been involved in farming in Australia for a continuous period of 20 years, or for periods that together add up to 20 years, by:
(i) contributing a significant part of his or her labour to farm enterprises; and
(ii) deriving a significant part of his or her income from farm enterprises; and
(d) during at least the last 2 years:
(i) that contribution of labour has been to sugarcane farm enterprises; and
(ii) that derivation of income has been from sugarcane farm enterprises.
Note: For eligible interest see subsection (5).
(5) A person has an eligible interest in a sugarcane farm if:
(a) the person has a legal estate or interest in the farm; or
(b) the person has a transferable legal right or a transferable licence to occupy the farm for a particular purpose of the farm enterprise; or
(c) as the mortgagor of a legal estate or interest in the farm (being an estate or interest that is not registered under a relevant State land law), the person has an equitable estate or interest in the farm; or
(d) the person is a shareholder in a proprietary company that has a legal estate or interest in the farm; or
(e) the value of the person's assets includes an amount calculated (in accordance with section 1208E) by reference to the value of the farm.
Note: The eligible interest in a sugarcane farm that is relevant for the operation of Part 3.14B is the interest held by a person immediately before that interest is transferred to an eligible descendant. So, for example, to find out whether an interest is covered by paragraph (e), the provisions of Part 3.18 must be applied in relation to the person's circumstances as they were immediately before the transfer.
(6) A person has an eligible interest in a relevant sugarcane farm asset if:
(a) the person has a legal interest in the relevant farm asset; or
(b) the person is a shareholder in a proprietary company that has a legal estate or interest in the relevant farm asset; or
(c) the value of the person's assets includes an amount calculated (in accordance with section 1208E) by reference to the value of the relevant farm asset.
Note: The eligible interest in a relevant sugarcane farm asset that is relevant for the operation of Part 3.14B is the interest held by a person immediately before that interest is transferred to an eligible descendant. So, for example, to find out whether an interest is covered by paragraph (c), the provisions of Part 3.18 must be applied in relation to the person's circumstances as they were immediately before the transfer.
(7) Subject to subsections (8), (10), (11) and (12), an eligible interest that a person has in a sugarcane farm is transferred to another person if, and only if, the eligible interest:
(a) ceases to be vested in the person; and
(b) becomes vested in the other person.
(8) To avoid any doubt, it is stated that if a person who transfers a legal estate or interest in a sugarcane farm to another person is, under a relevant State land law, registered as being the proprietor (whether that word or any other word is used) of that estate or interest, the legal estate or interest in the farm is taken not to have become vested in the other person unless and until the transfer is registered in accordance with that law.
Note: For relevant State land law see subsection 17A(1).
(9) Subject to subsections (11) and (12), an eligible interest that a person has in a relevant sugarcane farm asset is transferred to another person if, and only if, the eligible interest:
(a) ceases to be vested in the person; and
(b) becomes vested in the other person.
(10) If, as the mortgagor of a legal estate or interest in a sugarcane farm (see paragraph (5)(c)), a person has an eligible interest in the farm, the person is taken to have transferred that eligible interest in the farm to another person only if the person:
(a) has, under a relevant State land law, become registered as the proprietor (whether that word or any other word is used) of the legal estate or interest in the farm; and
(b) has then transferred that legal estate or interest to the other person.
(11) If a person has an eligible interest in a sugarcane farm or a relevant sugarcane farm asset because (see paragraphs (5)(d) and (6)(b)) the person is a shareholder in a proprietary company that has a legal estate or interest in the farm, or a legal interest in the relevant farm asset (as the case may be), the person is taken to have transferred to another person his or her eligible interest in the farm or relevant farm asset only if the person:
(a) has acquired the company's legal estate or interest in the farm or the company's legal interest in the relevant farm asset; and
(b) has then transferred it to the other person.
(12) An eligible interest that a person (the first person ) has in a sugarcane farm or a relevant sugarcane farm asset because (see paragraphs (5)(e) and (6)(c)) the value of the first person's assets includes an amount calculated (in accordance with section 1208E) by reference to the value of the farm or relevant farm asset is transferred to another person if:
(a) the first person is divested of that eligible interest; and
(b) as a result, the other person gains an eligible interest in the farm or relevant farm asset of a value that is referrable to the full value of the eligible interest divested.
(13) To avoid doubt, if:
(a) a person is able to transfer an eligible interest under either subsection (11) or (12); and
(b) the person transfers that interest under subsection (12);
the person is not required to meet the requirements of subsection (11) in relation to the transfer.
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