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STATE REVENUE LEGISLATION (AMENDMENT) BILL 1992
NEW SOUTH WALES
EXPLANATORY NOTE
(This Explanatory Note relates to this Bill as introduced into Parliament)
The object of this Bill is, in accordance with the announcement made on behalf of
the Government on 12 June 1992, generally to increase certain State charges as follows:
liquor licence fees -- up from 10% to 13%
low alcohol beer licence fees -- down from 10% to 7%
tobacco licence fees -- up from 50% to 75%
debits tax -- doubled
stamp duty on motor vehicle certificates of
registration -- up from 2% to 2.5%
rate of commission on win and place, quinella
and forecast totalizators -- up from 14% to 15%.
Clause 1 specifies the short title of the proposed Act.
Clause 2 provides for the commencement of the proposed Act on various days.
Those days are specified in the summary of the amendment of Acts below.
Clause 3 is a formal provision which provides for the amendment of the legislation
specified in Schedule 1.
Clause 4 provides that the proposed amendment to the Business Franchise Licences
(Tobacco) Act 1987 is to apply to and in respect of a fee payable for a licence taking
effect on or after 28 July 1992.
Clause 5 provides that the amendments concerning liquor fees do not apply to a
licensing or registration period commencing before 16 January 1993.
Clause 6 is intended to overcome any argument that, because the proposed Act
amends a rule, those amendments are somehow entrenched and may only be amended or
repealed in the future by an Act rather than by a rule.
SCHEDULE l--AMENDMENT OF LEGISLATION
The legislation amended and the effect of each amendment is summarised as follows:
Business Franchise Licences (Tobacco) Act 1987
The amendment increases the fee to be paid for a licence under that Act. The fee
is to be increased from $10 plus 50 per cent of the value of the relevant tobacco sold
to a fee of $10 plus 75 per cent of the value of the relevant tobacco sold.
The amendment is taken to have come into effect on 28 June 1992 so that the
increased fee will apply to licences which take effect on or after 28 July 1992.
Debits Tax Act 1990
The amendment doubles the amount of tax payable in respect of taxable and
eligible debits under that Act.
The increase is to take effect on 1 January 1993.
Liquor Act 1982
The amendments increase the level of liquor licence fees payable from 10 per cent
of liquor purchases to 13 per cent of liquor purchases and introduce a lesser licence
fee of 7 per cent in respect of low alcohol beer (3.5 per cent or less AC/VOL).
The change is to take effect for the licensing period commencing on 16 January
1993 but is to be phased in.
Proposed section 81A provides that, for the licensing period for liquor fees from
16 January 1993 to 15 January 1994, if liquor fees are paid by 2 instalments, the first
instalment (payable on or before 15 January 1993) is payable at the old rate and the
second instalment (payable on or before 15 May 1993) is payable at the new rate. In
addition, the proposed section provides that 25 per cent of the amount paid or
payable for beer comprised within the amount paid or payable for liquor required to
determine the fee is to be taken to be low alcohol beer, unless the person liable to pay
the fee can establish a higher percentage.
Proposed section 86A makes it an offence for a licensee to fail to keep accurate
records concerning low alcohol beer.
Registered Clubs Act 1976
The amendments have the same effect as those made to the Liquor Act 1982.
The change is to take effect for the registration period commencing on 16 January
1993 and is also to be phased in.
Stamp Duties Act 1920
The Second Schedule to that Act provides that the rate of stamp duty payable on
the issue of a motor vehicle certificate of registration is $2 for every $100 or part of
$100 of the value of the motor vehicle. The amendment increases the duty to $2.50
for every $100 or part of $100 of that value.
The increase is to take effect on 1 July 1992.
Totalizator Act 1916 and Totalizator (Off-course Betting) Act 1964
The amendments provide or the rate of commission on win and place, quinella
and forecast totalizators to be increased from 14% to 15% but so that the 1 % increase
is to be credited to the Consolidated Fund.
The increase is to take effect on 1 July 1992.
Win and Place Totalizator Rules 1964 (made under the Totalizator Act 1916)
The amendments adjust the basis for calculating totalizator dividends as a
consequence of the increase in the rate of commission on win and place totalizators.