New South Wales Consolidated Acts

SNOWY HYDRO CORPORATISATION ACT 1997 - SECT 9

9 Tax-equivalents

(1) The Snowy Hydro Company must from time to time pay to the Treasurer for payment into the Consolidated Fund such amounts as the Tax Assessor determines to be equivalent to the amounts that would be payable by the Snowy Hydro Company if it were liable to pay Commonwealth taxes.

(2) If the State of Victoria holds shares in the Snowy Hydro Company during a period in respect of which payments are required to be made under this section, the Treasurer is required to pay to a Minister of that State such proportion of the payments made as is equal to the proportion of the shares in the Snowy Hydro Company that are held by that State during that period. Payments to the State of Victoria (including adjustments for payments in respect of a part of a financial year) are to be made in accordance with arrangements agreed between the Treasurer and a Minister of that State.

(3) The Snowy Hydro Company is not required to make payments under this section to the extent that it is or becomes liable to pay any Commonwealth taxes.

(4) Payments are to be made by the Snowy Hydro Company under this section on such terms as the Tax Assessor determines to be equivalent to the terms on which the amounts would be payable (including terms as to instalments and times of payment) if the Snowy Hydro Company were liable to pay corresponding Commonwealth taxes.

(5) The Snowy Hydro Company and the Treasurer may enter into agreements regarding the amounts to be paid by the Company under this section or the terms on which they are to be paid, and any such agreements have effect despite anything in subsections (1) and (4).

(6) The determinations of the Tax Assessor under this section are to be made so as to give effect to any such agreements.

(7) Any determination of the Tax Assessor under this section is final, and the Treasurer and the Snowy Hydro Company are required to make all the necessary payments and refunds to give effect to the determination.

(8) The Premier may nominate any person to be the Tax Assessor for the Snowy Hydro Company, and may revoke any such nomination. A nomination under this subsection may only be made with the approval of a Minister of the State of Victoria if it is made at a time when that State holds shares in the Company.

(9) This section applies to the subsidiaries of the Snowy Hydro Company in the same way as it applies to the Snowy Hydro Company, and (where relevant) applies to the Snowy Hydro Company and its subsidiaries as a group.

(10) Any liability under this section to make payments to the State of Victoria is to be met out of the Consolidated Fund, which is appropriated accordingly.

(11) Amounts required to be paid under this section by the Snowy Hydro Company, or its subsidiaries, are called tax-equivalents.

(12) In this section:
"Commonwealth taxes" means taxes payable under the law of the Commonwealth.
"Tax Assessor" means the person nominated for the time being under subsection (8) as the Tax Assessor.