TAXATION LAWS AMENDMENT ACT (NO. 3) 2003 - SCHEDULE 5 Petroleum resource rent tax

TAXATION LAWS AMENDMENT ACT (NO. 3) 2003 - SCHEDULE 5

Petroleum Resource Rent Tax Assessment Act 1987

1   Section   2

Insert:

"external petroleum" , in relation to a petroleum project, means petroleum, or constituents of petroleum, recovered from an area or areas other than the production licence area or production licence areas in relation to the project.

4   Section   2 (at the end of the definition of petroleum project or project )

Add ", and includes the extended meaning given by subsection 19(2B)".

5   Section   2

Insert:

"processing of external petroleum" , in relation to a petroleum project, includes the stabilisation, transportation, storage or recovery of external petroleum in relation to the project.

7   After subsection 19(2A)

Insert:

  (2B)   For the purposes of this Act, there shall be taken to be included, as part of any petroleum project within the meaning of subsection   ( 1) or (2), the carrying on of any processing of external petroleum wholly or partly using the operations, facilities and other things comprising the project:

  (a)   in the case of an eligible production licence referred to in subsection   ( 1)--while that licence is in force; or

  (b)   in the case of 2 or more eligible production licences referred to in subsection   ( 2)--while any of those licences are in force.

Note:   Under subsection   ( 4), the operations, facilities and other things comprising the project are limited to those used in relation to petroleum recovered from the one or more production licence areas in relation to the project.

8   After paragraph 23(1)(a)

Insert:

  (aa)   assessable tolling receipts;

9   Paragraph 24(1)(a)

Omit "petroleum, or a constituent of petroleum, recovered from the production licence area or areas in relation to the project", substitute "petroleum from the project".

10   Paragraphs 24(1)(b), (c), (d) and (e)

Omit "recovered from the area or areas to which paragraph   ( a) applies", substitute "from the project".

11   Subsection 24(2)

Insert:

"petroleum from the project" means any petroleum or a constituent of petroleum:

  (a)   that is recovered from the production licence area or areas in relation to the petroleum project in question; or

  (b)   that is external petroleum in relation to the project.

12   After section   24

Insert:

24A   Assessable tolling receipts

    For the purposes of this Act, a reference to assessable tolling receipts derived by a person in relation to a petroleum project is a reference to the consideration receivable by the person in relation to the processing of external petroleum in relation to the project.

14   Subsection 37(1)

Omit "in carrying on or providing".

15   Paragraph 37(1)(a)

Before "operations and", insert "in carrying on or providing".

16   Paragraph 37(1)(b)

Before "such of the following", insert "in carrying on or providing".

17   After paragraph 37(1)(b)

Insert:

  and (c)   in procuring another person to stabilise, transport, store, recover or process petroleum recovered from the eligible exploration or recovery area (other than any production licence area) in relation to the project, if that stabilisation, transportation, storage, recovery or processing constitutes the processing of external petroleum in relation to another petroleum project;

18   After paragraph 38(b)

Insert:

  and (c)   in purchasing, as part of the project, external petroleum in relation to the project; and

  (d)   in procuring another person to stabilise, transport, store, recover or process petroleum recovered from the production licence area or areas in relation to the project, if that stabilisation, transportation, storage, recovery or processing constitutes the processing of external petroleum in relation to another petroleum project;

19   At the end of section   38

Add:

  (2)   To avoid doubt, carrying on or providing the operations, facilities and other things comprising the project referred to in paragraph   ( 1)(b) includes carrying on or providing the operations, facilities and other things in relation to the processing of external petroleum in relation to the project.

21   At the end of section   41

Add:

  (2)   This section does not apply if the other person carries on or provides the operations, facilities or other things as part of the processing of external petroleum in relation to a petroleum project other than the project to which the operations, facilities or other things referred to in subsection   ( 1) relate.