SALES TAX ASSESSMENT REGULATIONS 1992 NO. 365 SALES TAX ASSESSMENT REGULATIONS 1992 NO. 365 - TABLE OF PROVISIONS 1. Citation 2. Commencement 3. Interpretation 4. Eligible Australian traveller 5. Eligible foreign traveller 6. Prescribed rules for export sales 7. Excluded manufactures 8. Annotations on returns 9. Pre 14 May 1987 Commonwealth-controlled authorities 10. Goods brought into Australia on a temporary basis 11. Disposal of goods brought into Australia on a temporary basis 12. Notification of address for service 13. Address for service-change of address 14. Address for service 15. Official signatures 16. Postal service of notices etc. 17. Expenses allowed to persons required to attend before Commissioner SCHEDULE 1 SCHEDULE 2 SCHEDULE 3 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 1 Citation 1. These Regulations may be cited as the Sales Tax Assessment Regulations. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 2 Commencement 2. These Regulations commence on 1 January 1993. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 3 Interpretation 3. In these Regulations, unless the contrary intention appears: "Act" means the Sales Tax Assessment Act 1992; "approved" means approved by the Commissioner; "Collector" means a Collector for the purposes of the Customs Act 1901; "Comptroller" means the Comptroller-General of Customs. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 4 Eligible Australian traveller 4. "Eligible Australian traveller" means, for the purposes of the definition of the expression in section 5 of the Act, a person who intends to depart Australia and travel to a foreign country. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 5 Eligible foreign traveller 5. "Eligible foreign traveller" means, for the purposes of the definition of the expression in section 5 of the Act, a person: (a) who is not: (i) an Australian citizen; or (ii) the holder of a valid Australian passport; and (b) who intends to depart Australia and travel to a foreign country; and (c) who is the holder of a valid entry permit granted in relation to his or her visitor visa under the Migration Act 1958. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 6 Prescribed rules for export sales 6. For the purposes of the definition of "prescribed rules for export sales" in section 5 of the Act, the rules set out in Schedule 1 are prescribed. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 7 Excluded manufactures 7. For the purposes of paragraph (i) of the definition of "manufacture" in section 5 of the Act, the following combinations of parts or ingredients are prescribed: (a) a combination that, in the opinion of the Commissioner, is of a kind that is customarily undertaken by persons who, for the purposes for which articles or substances are intended by their manufacturers to be used, use the article or substance that is formed by a combination of that kind. (NOTE: Further paragraphs are expected to be added to this provision.) 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 8 Annotations on returns 8. (1) The Commissioner may authorise an officer to make on a return any mark that the Commissioner approves. (2) mark made on a return must be made in ink of a colour different from that used in making the return. (3) A person must not intentionally make a mark, except in accordance with this regulation, on a return that has been given to the Commissioner. Penalty for an offence under subregulation (3): $500. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 9 Pre 14 May 1987 Commonwealth-controlled authorities 9. For the purposes of paragraph (a) of the definition of "Commonwealth-controlled authority" in subsection 130 (3) of the Act, the bodies listed in Schedule 2 are specified. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 10 Goods brought into Australia on a temporary basis 10. (1) Subject to subregulation 11 (1), sales tax is not payable on goods: (a) to which subsection 162 (1) of the Customs Act 1901 applies; and (b) in respect of which a Collector has been given a security or an undertaking, to the satisfaction of the Collector, for the payment of sales tax; and (c) in respect of which the Collector has granted permission to take delivery under that subsection; and (d) in respect of which the applicable provisions of regulations made under section 162 of that Act are complied with; and (e) that are exported within the time provided under subsection 162 (3) of that Act. (2) Subject to subregulation 11 (2), sales tax is not payable on goods: (a) to which subsection 162A (1) of the Customs Act 1901 applies; and (b) in respect of which the Comptroller has accepted a security or an undertaking for the payment of sales tax that may become payable; and (c) in respect of which a Collector has granted permission to take delivery under subsection 162A (2) of that Act; unless paragraph 162A (5) (a) or (b) of that Act applies to the goods. (3) Sales tax is not payable on goods brought into Australia that are goods specified in an instrument in force under subregulation 125A (2) of the Customs Regulations. (4) A security or an undertaking given in respect of goods may be enforced according to its tenor if: (a) in the case of goods referred to in subregulation (1)-the goods have been dealt with in a manner that is not in compliance with the subregulation or have not been exported in compliance with the subregulation; or (b) in the case of goods on which, under subregulation (2), sales tax is not payable-paragraph 162A (5) (a) or (b) of the Customs Act 1901 applies to the goods. (5) A security or an undertaking given in respect of goods is to be returned to the person who gave it if: (a) in the case of goods referred to in subregulation (1)-the goods have been dealt with, and exported, in compliance with the subregulation; or (b) in the case of goods on which, under subregulation (2), sales tax is not payable-paragraphs 162A (5) (a) and (b) of the Customs Act 1901 do not apply to the goods. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 11 Disposal of goods brought into Australia on a temporary basis 11. (1) If goods mentioned in subregulation 10 (1) are exported, otherwise than in accordance with subregulation 124 (3) of the Customs Regulations, subregulation 10 (1) ceases to apply to the goods. (2) If goods mentioned in subregulation 10 (2) are dealt with in a manner inconsistent with subregulation 125B (1) of the Customs Regulations without the consent of the Comptroller, subregulation 10 (2) ceases to apply to the goods. (3) If goods mentioned in subregulation 10 (3) are dealt with in a manner inconsistent with subregulation 125B (2) of the Customs Regulations, subregulation 10 (3) ceases to apply to the goods. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 12 Notification of address for service 12. (1) A person lodging a return or registering under the Act must notify the Commissioner, in writing, of an address in Australia as the person's address for service. Penalty: $500. (2) If a form of return provided or authorised by the Commissioner for a purpose of the Act requires the specification of an address in Australia as the address for service of the person making the return: (a) the specification in the form of such an address is compliance with subregulation (1); and (b) the address specified is, subject to regulation 14, the person's address for service. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 13 Address for service-change of address 13. If a person who has had an assessable dealing, in respect of which there is a sales tax liability, changes his or her address for service, the person must notify the Commissioner in writing of the new address for service within one month after the change. Penalty: $500. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 14 Address for service 14. A person's address for service for the purposes of the Act is: (a) the address last notified by the person to the Commissioner, in writing, as the person's address for service; or (b) if an address has not been so notified-the person's last-known place of business or residence in Australia; or (c) any other address that the Commissioner reasonably believes to be the person's address for service. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 15 Official signatures 15. (1) A document under the Act that purports to be signed by the authority of the Commissioner is as effective for all purposes as if it had been signed personally by the Commissioner. (2) A document required by the Act to be signed by the Commissioner, a Second Commissioner or a Deputy Commissioner is taken to have so been signed if it bears: (a) the written, printed or stamped name; or (b) a facsimile of the signature; of the person who is the Commissioner, a Second Commissioner or a Deputy Commissioner, as the case may be, when it is so required to be signed. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 16 Postal service of notices etc. 16. If a person on whom a notice or other document is required to be served under the Act has given the Commissioner an address in Australia for service of documents, the notice or document may be served on the person by post to that address. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - REG 17 Expenses allowed to persons required to attend before Commissioner 17. The scale set out in Schedule 3 prescribes the expenses allowed to a person who is required to attend and give evidence before the Commissioner or an authorised officer under subsection 108 (1) of the Act (except a person attending in respect of his or her own assessment or the assessment of a person whose representative he or she is). 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - SCHEDULE 1 SCHEDULE 1 Regulation 6 RULES FOR EXPORT SALES TO ELIGIBLE FOREIGN TRAVELLERS AND ELIGIBLE AUSTRALIAN TRAVELLERS Interpretation In this Schedule, unless the contrary intention appears: "AT declaration" means an approved form of declaration that, under AT rule 2 in this Schedule, must be made by an eligible Australian traveller purchasing goods under Table 2 of these Rules; "barrier copy", in relation to an invoice, means the copy of the invoice that is attached to the sealed package in which the goods to which the invoice relates are enclosed when the goods are passed into the possession of the purchaser; "CB declaration" means an approved form of declaration that, under CB rule 2 in this Schedule, may be required by the Commissioner to be made by an eligible foreign traveller or an eligible Australian traveller purchasing goods under Table 3 of these Rules; "FT declaration" means an approved form of declaration that, under FT rule 2 in this Schedule, must be made by an eligible foreign traveller purchasing goods under Table 1 of these Rules; "goods" means goods purchased by an eligible Australian traveller, or an eligible foreign traveller, that will be exported with him or her on the intended flight or voyage; "seller" includes any employee or agent of the seller and a requirement placed on the seller is satisfied by action of the seller's employee or agent in meeting the requirement; "specified departure date", in relation to a purchaser of goods, means the date on which the purchaser will depart Australia, according to the purchaser's travel ticket or other approved document shown at the time he or she takes possession of the goods. Table 1 SALES TO ELIGIBLE FOREIGN TRAVELLERS GOODS TAKEN POSSESSION OF ON THE AUSTRALIAN SIDE OF THE CUSTOMS BARRIER AND ACCOMPANYING THE TRAVELLER (1) Rule number (2) Summary of rule (3) Details of rule (4) What the Commissioner may approve (5) Time when the requirements the rule must be satisfied FT Rule 1 Seller to sight travel documents the seller must sight: (a) the purchaser's: (i) visitor visa, and valid entry permit granted in relation to the visa, under the Migration Act 1958; and (ii) ticket for travel from Australia to a foreign country; or (b) if appropriate-a document relating to the purchaser that is an approved document a document of a kind that provides evidence that the purchaser is about to travel from Australia to a foreign country before the purchaser takes possession of the goods FT Rule 2 Purchaser to sign an FT declaration the purchaser must sign, and retain a copy of, a declaration ("FT declaration") setting out, in the approved form: (a) details of the purchaser, the goods purchased and the proposed journey; and (b) if the following matters are true-that the purchaser: (i) is an eligible foreign traveller; and (ii) intends departing Australia with the goods within 30 days of taking possession; and (iii) is aware of the penalty for making a false or misleading statement; and (c) any other information or statement required by the approved form (a) the form of the FT declaration; (b) additional information and statements to be included in the FT declaration before the purchaser takes possession of the goods FT Rule 3 Seller to make an invoice the seller must make an invoice: (a) at the time of the sale; (b) in an approved form; (c) in duplicate; (d) containing a full description of the goods (a) forms of invoice that render obvious an alteration to, or deletion from, the contents of the invoice; (b) the information to be included in an invoice before the purchaser takes possession of the goods FT Rule 4 Seller to retain copies of certain documents the seller must retain: (a) the signed FT declaration; and (b) a copy of the invoice; and (c) a copy of each document required to be sighted under FT rule 1 x FT Rule 5 Time is limited within which the purchaser may take possession of the goods the purchaser must not take possession of the goods earlier than the commencement of the 30th calendar day before the specified departure date Table 2 SALES TO ELIGIBLE AUSTRALIAN TRAVELLERS GOODS TAKEN POSSESSION OF ON the AUSTRALIAN SIDE OF THE CUSTOMS BARRIER AND ACCOMPANYING THE TRAVELLER AT Rule 1 Seller to sight travel documents the seller must sight: (a) the purchaser's ticket for travel from Australia to a foreign country; or (b) if appropriate-a document relating to the purchaser that is an approved document a document of a kind that travel from Australia to a foreign country before the purchaser takes possession of the goods AT Rule 2 Purchaser to sign an AT declaration the purchaser must sign, and retain a copy of, a declaration ("AT declaration") setting out, in the approved form: (a) details of the purchaser, the goods purchased and the proposed journey; and (b) if the following matters are true-that the purchaser: (i) intends departing Australia with the goods within 30 days of taking possession; and (ii) will not interfere with the goods, the sealed package containing the goods or the copies of the invoice relating to the goods before submitting the sealed package to the seller in accordance with AT rule 7A or 7B; and (iii) will, in accordance with AT rule 7A or 7B, submit the sealed package to the seller for removal of the barrier copy of the invoice; and (iv) is aware of the penalty for making a false or misleading statement; and (c) any other information or statement required by the approved form (a) the form of the AT declaration; (b) additional information and statements to be included in the AT declaration before the purchaser takes possession of the goods AT Rule 3 Seller to make an invoice the seller must make an invoice: (a) at the time of the sale; (b) in an approved form; (c) in triplicate; (d) containing a full description of the goods (a) forms of invoice that render obvious an alteration to, or deletion from, the contents of the invoice; (b) the information to be included in an invoice before the purchaser takes possession of the goods AT Rule 4 Seller to retain copies of certain documents the seller must retain: (a) the signed AT declaration; and (b) a copy of the invoice x AT Rule 5 Time is limited within which the purchaser may take possession of the goods the seller must not pass possession of the goods to the purchaser earlier than the commencement of the 30th calendar day before the specified departure date AT Rule 6 Purchaser may only take possession of goods in a sealed package the seller must not pass possession of the goods to the purchaser unless: (a) the goods are enclosed in a package that is: (i) of an approved kind; and (ii) sealed by an approved method so that the goods cannot be removed from the package without the seal being broken; and (b) the barrier copy of the invoice is attached to the exterior of the package by an approved method; and (c) the customer copy of the invoice is placed inside the package by a method that, if possible, enables the invoice to be be read without need to break the seal of the package (a) the kind of package; (b) the method of sealing the package; (c) the method of attaching the barrier copy of the invoice to the package before the purchaser takes possession of the goods AT Rule 7A Invoice to be retrieved at the point of surrender of goods before the Customs barrier if, before the purchaser presents himself or herself to Customs as departing Australia, the purchaser surrenders the sealed package to the carrier with whom the purchaser is to travel-the seller must retrieve the barrier copy of the invoice at the point of surrender of the package at the time that the purchaser surrenders the sealed package AT Rule 7B Invoice to be retrieved when beyond the Customs barrier if the sealed package is carried beyond the Customs barrier by the purchaser in his or her own possession-the purchaser must then surrender the sealed package to the seller and the seller must retrieve the barrier copy of the invoice after the purchaser presents himself or herself to Customs as departing Australia and before he or she departs on the flight or voyage AT Rule 8 Sealed package to be examined the seller must examine the sealed package when dealing with it under AT rule 7a or 7b to ascertain whether it: (a) remains sealed; or (b) has been tampered with immediately before the barrier copy of the invoice is retrieved under AT rule 7a or 7b AT Rule 9 Tampering or other discrepancy in respect of sealed package is to be notified the seller must notify the Commissioner as soon as is practicable, in the approved form, if the seller becomes aware that: (a) a package is no longer sealed, or has otherwise been tampered with; or (b) the goods enclosed in the package are not the goods described in the customer copy of the invoice or the barrier copy of the invoice, as the case may be the form in which notification is to be given AT Rule 10 Retrieved invoices must be validated the seller must validate a retrieved barrier copy of an invoice: (a) as soon as is practicable; and (b) by the approved method the method by which a retrieved barrier copy of an invoice is to be validated AT Rule 11 Invoices must be matched the seller must reconcile the retrieved barrier copy of an invoice against the seller's copy of the invoice, by an approved method methods of reconciling a retrieved barrier copy of an invoice against the seller's copy of the invoice Table 3 SALES TO ELIGIBLE FOREIGN TRAVELLERS AND ELIGIBLE AUSTRALIAN TRAVELLERS GOODS TAKEN POSSESSION OF ON THE OUTWARD DEPARTURE SIDE OF THE CUSTOMS BARRIER AND ACCOMPANYING THE TRAVELLER CB Rule 1 Seller to sight travel documents the seller of the goods must sight: (a) the purchaser's boarding pass or ticket for travel from Australia to a foreign country; or (b) if appropriate-a document relating to the purchaser that is an approved document (a) a document of a kind that provides evidence that the purchaser is to travel from Australia to a foreign country; (b) a document of a kind that provides evidence that the purchaser was beyond the Customs barrier when taking possession of the goods before the purchaser takes possession of the goods CB Rule 2 Purchaser may have to sign a CB declaration if the purchaser pays for the goods on the Australian side of the Customs barrier and will not take possession of the goods until he or she has passed through the Customs barrier, he or she must sign, and retain a copy of, a declaration ("CB declaration") setting out, in the approved form: (a) details of the purchaser, the goods purchased and the proposed journey; and (b) a declaration that he or she is aware of the penalty for making a false or misleading statement; and (c) any other information or statement required by the approved form (a) the form of the CB declaration; (b) additional information and statements to be included in the CB declaration before the purchaser takes possession of the goods CB Rule 3 Seller to make an invoice the seller must make an invoice or receipt: (a) at the time of the sale; (b) in an approved form; (c) in duplicate; (d) containing a full description of the goods (a) forms of invoice that render obvious an alteration to, or deletion from, the contents of the invoice; (b) the information to be included in an invoice before the purchaser takes possession of the goods CB Rule 4 Seller to retain copies of certain documents the seller must retain: (a) a copy of the invoice and: (b) the signed CB declaration (if any); and (c) if the goods are paid for on the Australian side of the Customs barrier and pass into the possession of the purchaser only after the purchaser has passed through the Customs barrier-an approved document giving evidence of that fact a document of a kind that provides evidence that the goods have been passed into the possession of the purchaser after he or she has passed through the Customs barrier before the purchaser takes possession of the goods Note: x Subsection 127 (1) of the Act provides that the taxpayer for an assessable dealing, or the claimant for a credit, must: "(a) keep records that record and explain all transactions and other acts engaged in by the person that are relevant to that assessable dealing or credit claim; (b) retain those records for at least 5 years after the completion of the acts or transactions to which they relate." Subsection 127 (3) provides that the Commissioner may notify the person that he or she is not required to retain the records. 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - SCHEDULE 2 SCHEDULE 2 Regulation 9 NON-EXEMPT AUTHORITIES ESTABLISHED BEFORE 14 MAY 1987 Army and Air Force Canteen Service Aussat Pty. Ltd. Australian Canned Fruits Corporation Australian Capital Territory Gaming and Liquor Authority Australian Dairy Corporation Australian Dried Fruits Corporation Australian Honey Board Australian Industry Development Corporation Australian Meat and Live-stock Research and Development Corporation Australian Postal Commission Australian Telecommunications Commission Australian Tobacco Board Australian Wheat Board Australian Wine and Brandy Corporation Australian Wool Corporation Building and Construction Industry Long Service Leave Board Commonwealth Accommodation and Catering Services Ltd. Commonwealth Bank of Australia Commomwealth Bank Officers Superannuation Corporation Commonwealth Development Bank of Australia Commonwealth Savings Bank of Australia Federal Airports Corporation Housing Loans Insurance Corporation Meat Research Corporation Phosphate Mining Corporation of Christmas Island Qantas Airways Ltd. Stevedoring Industry Finance Committee Superannuation Fund Investment Trust 1992 No. 365 SALES TAX ASSESSMENT REGULATIONS - SCHEDULE 3 SCHEDULE 3 Regulation 17 SCALE OF EXPENSES 1. Person attending to give evidence because of that person's professional, scientific or other special skill of knowledge-in respect of each day on which that person so attends, an amount of: (a) not less than the lesser amount specified in the High Court Rules, as in force from time to time, in relation to expenses of witnesses posessing such skill or knowledge; and (b) not more than the greater amount so specified. 2. Person, other than a person referred to in Item 1, attending to give evidence: (a) in the case of a person remunerated by wages, salary or fees-such amount as is provided for in the High Court Rules, as in force from time to time, in relation to expenses of witnesses so remunerated; or (b) in any other case-such amount as is provided for in the High Court Rules, as in force from time to time, in relation to expenses of witnesses generally. 3. Person attending to give expert evidence-in addition to any other amount payable to that person under Item 1 or 2, a reasonable amount for qualifying to give that evidence. 4. Any person attending to give evidence-such amount as is reasonable: (a) in respect of that person's travel to and from the place at which that person so attends; and (b) if that person is required to be absent overnight from that person's usual place of residence-for meals and accommodation. - NOTES 1992 No. 365*1* SALES TAX ASSESSMENT REGULATIONS *1*Notified in the Commonwealth of Australia Gazette on 9 November 1992.