Commonwealth Numbered Acts

BOUNTY (ELECTRIC MOTORS) ACT 1984 No. 112 of 1984 - SECT 5

5. (1) For the purposes of this Act, the factory cost of a bountiable motor
includes-

   (a)  factory overhead charges (including rent, hire or leasing costs in
        relation to factory buildings, plant or equipment) apportioned on the
        basis of a full accounting period of the manufacturer of the motor;
        and

   (b)  expenditure on research and development.

(2) For the purposes of this Act, the factory cost of a bountiable motor does
not include-

   (a)  costs of general administration (other than factory administration),
        including, where the manufacturer is a body corporate, corporate
        expenses;

   (b)  selling and service charges;

   (c)  sales tax in respect of the completed motor;

   (d)  tax on income, other than tax on income deducted in respect of the
        wages, salaries or other remuneration of employees;

   (e)  costs incurred after the completion of the manufacture of the motor,
        other than costs of, or relating to, the testing or packing (excluding
        the cost of packaging) of the motor at registered premises;

   (f)  without limiting paragraph (e), the commissioning and installation of
        the completed motor for the intended user of the motor, whether or not
        the user is the manufacturer;

   (g)  the value of perquisites provided to employees of the manufacturer
        (including, where the manufacturer is a body corporate, staff of that
        body corporate) that does not form part of their taxable income;

   (h)  profit;

   (j)  bonuses paid out of profits;

   (k)  costs charged or levied on the manufacturer by an associate of the
        manufacturer that are not costs actually incurred by the associate;

   (m)  interest, other than interest on money borrowed from another person
        for the purpose of financing-

        (i)    bought-in material and stock;

        (ii)   work in progress;

        (iii)  research and development; or

        (iv)   the purchase of production plant, production equipment, or
               factory buildings, owned by the manufacturer;

   (n)  depreciation of buildings, other than depreciation at a rate of 4% per
        annum, or, if another rate is prescribed, that other rate, on the
        historic cost of factory buildings owned by the manufacturer;

   (p)  depreciation of machinery, plant or equipment, other than depreciation
        of machinery, plant or equipment owned by the manufacturer that is
        depreciation allowed by the Commissioner of Taxation for the purposes
        of a law of the Commonwealth relating to taxation;

   (q)  losses incurred on the sale or other disposal of buildings, machinery,
        plant or equipment;

   (r)  long service leave, other than provision for such leave;

   (s)  severance pay, other than severance pay in relation to service during
        a period that is within the bounty period and during which the
        manufacturer was a manufacturer of bountiable motors; and

   (t)  freight, and costs relating to vehicles, incurred in respect of the
        delivery of completed bountiable motors.