Victorian Bills Victorian Bills[Index] [Search] [Download] [Related Items] [Help]
This is a Bill, not an Act. For current law, see the Acts databases.
PARLIAMENT OF VICTORIA
Duties (Amendment) Act 2001
Act No.
TABLE OF PROVISIONS
Clause Page
PART 1--PRELIMINARY 1
1. Purposes 1
2. Commencement 2
PART 2--DUTIES ACT 2000 3
3. Definitions 3
4. Declarations of trust 7
5. Unencumbered value of marketable securities 8
6. Aggregation of dutiable transactions--land used for primary
production 8
7. Exemptions and concessions for trusts 10
8. New section 48A inserted 11
48A. Amalgamation of industrial organisations 11
9. Land-rich private corporations 11
10. Credit for duty paid in another Australian jurisdiction 12
11. Statement of special hiring agreement 12
12. Mortgage duty 12
13. New section 155 substituted 13
155. Extent mortgage is enforceable 13
14. Further mortgage duty amendments 14
15. New section 165 substituted 17
165. Collateral securities 17
16. Refinancing of loans 17
17. Amendment of Part heading in Chapter 7 (Mortgages) 18
18. Insurance duty 18
19. New sections 234A and 234B inserted 18
234A. Amalgamation of industrial organisations 18
234B. Financial sector (transfers of business) 19
20. New sections 251A and 251B inserted 19
251A. Mortgage-backed securities 19
251B. Instruments issued for the purpose of creating, issuing or
marketing mortgage-backed securities 20
21. Instruments effecting more than one transaction 20
22. Returns systems 20
i
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Clause Page
23. New sections 264A, 264B and 264C inserted 21
264A. Application for authorisation 21
264B. Conditions of authorisation 21
264C. Gazettal or service of notices 22
24. Endorsement of instruments and payment of duty by authorised
persons 22
25. Registration of instruments 23
26. Payment of fees by stamps 23
27. Consequential amendment to Taxation Administration Act
1997 23
28. Consequential amendment to Road Safety Act 1986 24
29. Transitional provisions 24
30. Transitional provision for authorised persons 26
31. Statute law revision 27
PART 3--LAND TAX ACT 1958 28
32. Equalization factor for City of Melbourne 28
ENDNOTES 29
ii
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
PARLIAMENT OF VICTORIA
Initiated in Assembly 16 May 2001
A BILL
to make miscellaneous amendments to the Duties Act 2000, to amend
the Land Tax Act 1958 with respect to the land tax equalization
factor for the City of Melbourne and for other purposes.
Duties (Amendment) Act 2001
The Parliament of Victoria enacts as follows:
PART 1--PRELIMINARY
1. Purposes
The purposes of this Act are--
(a) to make miscellaneous amendments to the
5 Duties Act 2000;
(b) to amend the Land Tax Act 1958 with
respect to the land tax equalization factor for
the City of Melbourne.
1
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 2
Act No.
2. Commencement
(1) This Part and Part 3 come into operation on the
day on which this Act receives the Royal Assent.
(2) Part 2 comes into operation on 1 July 2001.
5 _______________
2
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 3
Act No.
PART 2--DUTIES ACT 2000
See:
3. Definitions Act No.
79/2000.
(1) In section 3 of the Duties Act 2000-- Statute Book:
www.dms.
(a) insert the following definitions-- dpc.vic.
gov.au
5 ' "authorised deposit-taking institution"
has the same meaning as in the Banking
Act 1959 of the Commonwealth;
"collateral mortgage" means a mortgage
that secures all or part of the same
10 advance as another mortgage, security
instrument or mortgage package that
has been duly stamped under this Act
or a corresponding Act;
"dutiable proportion", for a mortgage,
15 means the proportion of the amount
secured by the mortgage worked out
under section 159;
"industrial organisation" means an
association of employees or employers
20 registered as an organisation under the
Workplace Relations Act 1996 of the
Commonwealth;
"liability date", for a mortgage, means the
date the mortgage is liable under
25 section 152 for mortgage duty;
"mortgage-backed security" means--
(a) an entitlement or interest of a
person in--
(i) a right or entitlement of a
30 mortgagee or any other right
or entitlement in respect of a
3
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 3
Act No.
mortgage or pool of
mortgages; or
(ii) money payable by a
mortgagor under a mortgage
5 or pool of mortgages
(whether or not on the same
terms and conditions as
apply under the mortgage)--
whether or not the person is
10 entitled to a transfer or assignment
of the mortgage or pool of
mortgages; or
(b) an instrument that--
(i) is a debenture, promissory
15 note, bill of exchange, stock,
bond, note or other document
creating, evidencing or
acknowledging
indebtedness; and
20 (ii) is issued or made by a
corporation--
the payments under which are
derived by the corporation
substantially, or to the extent
25 declared under sub-section (2)(c),
from the receipts, whether of
capital or income, from a
mortgage or pool of mortgages; or
(c) an entitlement, interest or
30 instrument of a class declared
under sub-section (2)(a); or
(d) an instrument by which an interest
in or mortgage or charge over an
entitlement, interest or instrument
4
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 3
Act No.
mentioned in paragraph (a), (b) or
(c) is created--
but does not include--
(e) a mortgage (other than a mortgage
5 referred to in paragraph (d)); or
(f) a transfer of a mortgage; or
(g) a declaration of trust; or
(h) an entitlement, interest or
instrument of a class declared
10 under sub-section (2)(b);
"pool of mortgages" means a pool or
collection of assets--
(a) that consists solely of mortgages;
or
15 (b) that consists substantially, or to
the extent declared under sub-
section (2)(d), of mortgages or of
money paid under mortgages, or
both, and may include--
20 (i) cash;
(ii) investments of a kind
referred to in section 4(1)(a),
(b), (c), (d), (e), (f), (g), (h),
(i), (ia), (j), (k) or (o) of the
25 Trustee Act 1958 as in force
immediately before the
commencement of section 4
of the Trustee and Trustee
Companies (Amendment)
30 Act 1995;
(iii) assets of a class of assets
declared under sub-section
(2)(e);
5
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 3
Act No.
"referrable point", for the dutiable
proportion of a mortgage, means the
document or approved method used to
work out the dutiable proportion under
5 section 159;';
(b) for the definition of "Australian Stock
Exchange" substitute--
' "Australian Stock Exchange" means
Australian Stock Exchange Limited
10 (A.C.N. 008 624 691);';
(c) in the definition of "complying
superannuation fund", after "section 42"
insert "or 42A";
(d) for the definition of "mortgage" substitute--
15 ' "mortgage"--
(a) subject to paragraph (b), has the
meaning given by section 149;
(b) for the purposes of section 251A
and the definitions of "mortgage-
20 backed security" and "pool of
mortgages" means a mortgage of
any estate or interest in land,
including a leasehold estate or
interest in land, whether the land
25 is situated in Victoria or
elsewhere, and includes a charge
over any such land;';
(e) at the foot of the definition of "person"
insert--
30 'Note: "person" also includes a body corporate--see
section 38 of the Interpretation of Legislation
Act 1984.';
(f) in the definition of "recognised stock
exchange", for paragraphs (b) and (c)
35 substitute--
6
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 3
4
Act No.
"(b) Bendigo Stock Exchange Ltd (A.C.N.
087 708 898); or
(c) Newcastle Stock Exchange Limited
(A.C.N. 000 902 063); or
5 (d) a stock exchange prescribed as a
recognised stock exchange for the
purposes of this Act;".
(2) At the end of section 3 of the Duties Act 2000
insert--
10 "(2) The Governor in Council, by order published
in the Government Gazette, may declare--
(a) a class of entitlements, interests or
instruments to be mortgage-backed
securities;
15 (b) a class of entitlements, interests or
instruments not to be mortgage-backed
securities;
(c) the extent to which payments are
derived by a corporation from the
20 receipts of a mortgage or pool of
mortgages;
(d) the extent to which a pool of assets
consists of mortgages or money paid
under mortgages, or both, to be a pool
25 of mortgages;
(e) a class of assets to be assets included in
a pool of mortgages.".
4. Declarations of trust
In the Table in section 8 of the Duties Act 2000,
30 in column 3, omit ", or directing the declaration
of,".
7
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 6
Act No.
5. Unencumbered value of marketable securities
In section 22 of the Duties Act 2000, after sub-
section (4) insert--
"(5) In computing for the purposes of this
5 Chapter the unencumbered value of any
marketable securities of a company, there
must be disregarded any provision in the
constitution of the company which, or the
operation of which, restricts or would restrict
10 the sale or disposition or reduces or would
reduce the unencumbered value of the
marketable securities, and the marketable
securities are to be valued as if no such
provision existed.
15 (6) Despite anything to the contrary in this
section, the Commissioner may adopt as the
unencumbered value of any marketable
securities of a company the net benefit that,
in the opinion of the Commissioner, the
20 holder of the marketable securities would
receive after payment of all income taxes in
respect of the marketable securities in the
event of the company being voluntarily
wound up at the time the dutiable transaction
25 occurred, whether or not any such winding
up was intended or contemplated at that
time.".
6. Aggregation of dutiable transactions--land used for
primary production
30 In section 24 of the Duties Act 2000, after sub-
section (2) insert--
8
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
"(2A) Dutiable transactions are not to be
aggregated under this section if the
Commissioner is satisfied that--
(a) each item or part of dutiable property to
5 which the arrangement referred to in
sub-section (1) relates is--
(i) an estate in land referred to in
section 9(1)(ga), (h) or (ha) of the
Land Tax Act 1958; or
10 (ii) goods in Victoria held or used in
connection with land referred to in
sub-paragraph (i); or
(iii) property referred to in section
10(1)(e) as it relates to property
15 referred to in sub-paragraph (i) or
(ii); and
(b) following the series of dutiable
transactions giving effect to or arising
from the arrangement referred to in
20 sub-section (1), the land referred to in
paragraph (a) will continue to be used
for primary production.
(2B) A transferee of a dutiable transaction
referred to in sub-section (2A) must make a
25 written declaration to the Commissioner, at
or before the time at which an instrument or
statement relating to the transaction is
lodged for stamping--
(a) disclosing details known to the
30 transferee of all of the items or parts of
the dutiable property included or to be
included in the arrangement referred to
in sub-section (1); and
9
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 7
Act No.
(b) that following the series of dutiable
transactions giving effect to or arising
from the arrangement, the land will
continue to be used for primary
5 production.
(2C) A declaration required by sub-section (2B)
must be in the approved form.".
7. Exemptions and concessions for trusts
(1) In section 33 of the Duties Act 2000, for sub-
10 sections (3) and (4) substitute--
"(3) No duty is chargeable under this Chapter in
respect of a transfer of dutiable property to a
person other than a special trustee if the
Commissioner is satisfied that the transfer is
15 made solely--
(a) because of the retirement of a trustee or
the appointment of a new trustee, or
other change in trustees; and
(b) in order to vest the property in the
20 trustees for the time being entitled to
hold it.
(4) If the Commissioner is not satisfied as
mentioned in sub-section (3), the transfer is
chargeable with duty, unless sub-section (5)
25 applies.".
(2) In section 36 of the Duties Act 2000--
(a) in sub-section (1), for "the trusts contained in
a declaration of trust" substitute "a trust";
(b) in sub-section (2), for paragraph (a)
30 substitute--
10
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 8
9
Act No.
"(a) wholly or substantially the same as the
property that became an asset of the
trust and that--
(i) duty charged by this Act has been
5 paid upon the property becoming
an asset of the trust; or
(ii) no duty was chargeable upon the
property becoming an asset of the
trust; or".
10 (3) In section 36 of the Duties Act 2000, for sub-
section (3) substitute--
"(3) Sub-section (1) applies only if the transferee
was, or became, a beneficiary at the time at
which duty became chargeable.".
15 8. New section 48A inserted
After section 48 of the Duties Act 2000 insert--
"48A. Amalgamation of industrial organisations
No duty is chargeable under this Chapter in
respect of a transfer of dutiable property
20 made under, or in accordance with, the rules
of an industrial organisation, if the transfer is
made to another industrial organisation as a
consequence of the amalgamation of two or
more industrial organisations.".
25 9. Land-rich private corporations
(1) In section 77 of the Duties Act 2000--
(a) in paragraph (c) for "unit--" substitute
"unit; or";
(b) after paragraph (c) insert--
11
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 12
Act No.
"(d) the variation or alteration of a right of a
holder of any such share or unit,
including on payment of a call on
partially paid-up shares; or
5 (e) in the case of a company limited by
guarantee, becoming a member of the
company, removing a person from
membership of the company or altering
members' rights--";
10 (c) for "(b) or (c)" substitute "(b), (c), (d) or
(e)".
(2) In section 80(1) of the Duties Act 2000, after
"Commissioner" insert "within 3 months after the
date of the relevant acquisition".
15 (3) In section 84(1)(a) of the Duties Act 2000, after
"Chapter 2" insert "(other than an acquisition
consisting of a change in beneficial ownership of
the land as a result of the issue, transfer,
redemption or cancellation of units in a unit trust
20 scheme)".
10. Credit for duty paid in another Australian jurisdiction
In section 137(1) of the Duties Act 2000, omit
"that charges duty at a rate that equals or exceeds
the rate referred to in section 134".
25 11. Statement of special hiring agreement
In section 146(1) of the Duties Act 2000, for
"$10 000" substitute "$1 333 333".
12. Mortgage duty
(1) In the Duties Act 2000--
30 (a) in section 148, after "mortgages." insert
'Duty chargeable under this Chapter is called
"mortgage duty".'.
(b) in section 149--
12
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 13
Act No.
(i) in paragraph (a), for "the date referred
to in section 152(1) or (2)" substitute
"the liability date";
(ii) in paragraph (b), for "any property"
5 substitute "property wholly or partly";
(iii) in paragraph (c), after "property" insert
"wholly or partly in Victoria";
(iv) in paragraph (d), after "property" insert
"wholly or partly";
10 (c) in section 152(2), after "in respect of it"
insert "under this or a corresponding Act".
(2) In section 152 of the Duties Act 2000, for sub-
section (3) substitute--
"(3) An instrument of security that does not affect
15 property in Victoria at the date of first
execution but that affects land in Victoria at
any time within 12 months after that date
becomes liable to duty as a mortgage on the
date on which it first affects the land, unless
20 it is duly stamped under a corresponding
Act.".
(3) In section 152(4) of the Duties Act 2000 omit "or
instruments creating a charge on property in
Victoria".
25 13. New section 155 substituted
For section 155 of the Duties Act 2000
substitute--
'155. Extent mortgage is enforceable
13
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
(1) A mortgage or mortgage package on which
duty is imposed under this Act or a
corresponding Act is enforceable only to the
extent of the amount secured by the
5 mortgage or mortgage package in respect of
which duty has been paid under this Act or a
corresponding Act.
(2) Sub-section (1) does not apply if the
property affected by a mortgage or mortgage
10 package ("secured property") is partly in
and partly outside Victoria if--
(a) duty has been paid on the total
advances under the mortgage or
mortgage package when the mortgage
15 duty paid is taken with the duty paid
under a corresponding Act; and
(b) the proportion of secured property in
Victoria used to determine mortgage
duty liability is--
20 (i) based on a referrable point for the
dutiable proportion of the
mortgage; and
(ii) not incorrect by more than 5%.'.
14. Further mortgage duty amendments
25 (1) In section 157 of the Duties Act 2000, for sub-
section (1) substitute--
"(1) A mortgage is chargeable with duty assessed
on the amount of advances actually secured
by it and recoverable under it.".
30 (2) In section 157(2) of the Duties Act 2000, for "to
secure an amount" substitute "to be stamped in
respect of an amount of advances".
(3) In section 157 of the Duties Act 2000, for sub-
section (3) substitute--
14
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 14
Act No.
"(3) For the purpose of sub-section (1), if--
(a) a mortgage has been duly stamped for
an amount of advances secured by the
mortgage; and
5 (b) a further advance secured by the
mortgage is made; and
(c) the total amount of advances secured by
the mortgage exceeds the amount for
which the mortgage has been duly
10 stamped--
the amount of advances secured by the
mortgage is the amount by which the amount
of advances secured by the mortgage
exceeds the amount for which the mortgage
15 has been duly stamped.".
(4) In the Duties Act 2000--
(a) in section 158(1), for "amount of the
contingent liability" substitute "whole or
part of the amount of the contingent liability
20 secured by the mortgage";
(b) in section 159(2), for "date of the advance or
further advance" substitute "liability date";
(c) in section 159(4) and (6), for "date referred
to in section 152(1) or (2)" substitute
25 "liability date";
(d) in section 159(9)(b)--
(i) in sub-paragraph (i), for "loan"
substitute "advance";
(ii) in sub-paragraph (ii), for "loan"
30 substitute "mortgage".
15
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 14
Act No.
(5) In section 160 of the Duties Act 2000, for sub-
sections (1) to (5) substitute--
'(1) If--
(a) at a liability date, 2 or more security
5 instruments secure or partly secure the
same money; and
(b) at least one of the instruments is a
security affecting property wholly or
partly outside Victoria; and
10 (c) at least one of the instruments is a
mortgage--
the instruments are known as a "mortgage
package".
(2) Also, a "mortgage package" may include--
15 (a) a mortgage executed after the liability
date if the Commissioner is satisfied
that the mortgage was intended to be
part of the package; and
(b) a mortgage previously collateral to an
20 earlier advance under some or all of the
other mortgages in the package.
(3) Mortgage duty must be assessed in
accordance with the Part on the mortgage
package as if the instruments comprising the
25 mortgage package were one mortgage first
executed on the day the last instrument to be
executed was executed.
(4) If 2 or more mortgages over property within
Victoria form part of the security for a
30 mortgage package, one of those mortgages
must be stamped with the mortgage duty
paid in Victoria for the mortgage package
and the other mortgages must be stamped as
collateral mortgages.
16
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 15
16
Act No.
(5) Evidence of the location and percentage
value of any property is to be made by either
party to the mortgage by way of the
statement referred to in section 159(7).'.
5 (6) In the Duties Act 2000--
(a) in section 161--
(i) in sub-section (1), for "has occurred"
substitute "has been made";
(ii) in sub-section (4), for "160(5) and (6)
10 apply" substitute "160(6) applies";
(b) in section 164(b)(i), for "loan" substitute
"advance".
15. New section 165 substituted
For section 165 of the Duties Act 2000
15 substitute--
"165. Collateral securities
Mortgage duty is not chargeable in respect of
that part of an amount secured by a collateral
mortgage that is secured by--
20 (a) a mortgage or security instrument that
has been duly stamped under this Act
or a corresponding Act; or
(b) a mortgage package that has been duly
stamped under section 160 or a
25 corresponding Act.".
16. Refinancing of loans
In section 166(3) of the Duties Act 2000, for
"(being an amount in relation to which mortgage
duty has been paid or in relation to which an
30 exemption from duty has been obtained)"
substitute "(being an amount in relation to which
the earlier mortgage was duly stamped)".
17
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
17. Amendment of Part heading in Chapter 7 (Mortgages)
For the heading to Part 4 of Chapter 7 of the
Duties Act 2000 substitute--
"PART 4--EXEMPTIONS".
5 18. Insurance duty
In the Duties Act 2000--
(a) in section 184, for paragraph (c)
substitute--
"(c) who is authorized under the Insurance
10 Act 1973 of the Commonwealth to
carry on insurance business.";
(b) in section 202(c) for "Insurance Act 1973"
substitute "Life Insurance Act 1995";
(c) in section 204(1), for paragraph (a)
15 substitute--
"(a) if the insurer's registration under the
Life Insurance Act 1995 of the
Commonwealth is cancelled; or".
19. New sections 234A and 234B inserted
20 After section 234 of the Duties Act 2000 insert--
"234A. Amalgamation of industrial organisations
(1) No duty is chargeable under this Chapter on
an application for transfer of registration of a
motor vehicle made to effect a transfer of the
25 vehicle from an industrial organisation to
another industrial organisation as a
consequence of the amalgamation of two or
more industrial organisations.
(2) Sub-section (1) applies only if the transfer is
30 made under, or in accordance with, the rules
of the transferring industrial organisation.
18
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 20
Act No.
234B. Financial sector (transfers of business)
No duty is chargeable under this Chapter on
an application for transfer of registration of a
motor vehicle made as a consequence of the
5 vehicle becoming an asset of a receiving
body under Part 3 of the Financial Sector
(Transfers of Business) Act 1999 of the
Commonwealth.".
20. New sections 251A and 251B inserted
10 After section 251 of the Duties Act 2000 insert--
"251A. Mortgage-backed securities
(1) No duty is chargeable under this Act in
respect of a mortgage over the interest of a
person in a pool of mortgages relating to
15 debt securities that are mortgage-backed
securities issued by the person to secure the
repayment of financial accommodation
provided to the person.
(2) No duty is chargeable under this Act in
20 respect of a mortgage of a mortgage or pool
of mortgages or part of a pool of mortgages
in connection with creating, issuing,
marketing or securing a mortgage-backed
security.
25 (3) No duty is chargeable under this Act in
respect of--
(a) the issue or making of a mortgage-
backed security; or
(b) the transfer or assignment of or other
30 dealing with a mortgage-backed
security; or
19
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 20
21
Act No.
(c) the discharge, cancellation or
termination of a mortgage-backed
security.
(4) No duty is chargeable under this Act in
5 respect of a mortgage of a mortgage or pool
of mortgages or part of a pool of mortgages
for the purpose of creating, issuing,
marketing or securing a mortgage-backed
security--
10 (a) to a person entitled to a mortgage-
backed security or a trustee or agent for
such a person; or
(b) by or to a person who issues, makes or
endorses a mortgage-backed security;
15 or
(c) to a person who provides security
(whether as a guarantor, surety or
otherwise) to a person entitled to a
mortgage-backed security or a trustee
20 or agent for such a person--
if the mortgage is executed on or after 1 July
2001.
251B. Instruments issued for the purpose of
creating, issuing or marketing mortgage-
25 backed securities
No duty is chargeable under this Act in
respect of an instrument that, in the
Commissioner's opinion, was executed for
the purpose of creating, issuing or marketing
30 mortgage-backed securities.".
21. Instruments effecting more than one transaction
In section 261 of the Duties Act 2000, for
"several" substitute "two or more".
22. Returns systems
20
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
(1) In section 264(1) of the Duties Act 2000, for "by
instrument" substitute "by written notice".
(2) In section 264 of the Duties Act 2000, for sub-
section (2) substitute--
5 "(2) An authorisation may be given on the
initiative of the Commissioner or on
application.
(3) The Commissioner may vary or cancel an
authorisation by written notice.".
10 23. New sections 264A, 264B and 264C inserted
After section 264 of the Duties Act 2000 insert--
"264A. Application for authorisation
(1) An application for an authorisation under
this Part must be made to the Commissioner
15 in the approved form.
(2) The Commissioner may grant or refuse an
application for an authorisation under this
Part.
264B. Conditions of authorisation
20 (1) An authorisation under this Part is subject to
any conditions specified by the
Commissioner in the notice of authorisation
or by subsequent written notice.
(2) The conditions of an authorisation may
25 include--
(a) conditions as to the means by which
returns are to be lodged or payments
are to be made;
(b) conditions requiring the payment of
30 interest, calculated at the interest rate
determined in accordance with
21
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 23
24
Act No.
section 25 of the Taxation
Administration Act 1997, on any
amounts that are not paid at the times
they are required to be paid in
5 accordance with the authorisation.
(3) If an authorisation is given under this Part to
a specified person or persons of a specified
class, the conditions of the authorisation are
binding on that person or persons of that
10 class and that person or a person of that class
is guilty of an offence if any of the
conditions is contravened.
Penalty: 100 penalty units in the case of a
body corporate;
15 20 penalty units in any other case.
264C. Gazettal or service of notices
A written notice under this Part may be
given by--
(a) publishing it in the Government
20 Gazette; or
(b) serving it on the person to whom it
relates.".
24. Endorsement of instruments and payment of duty by
authorised persons
25 (1) In section 265 of the Duties Act 2000, for sub-
section (3) substitute--
"(3) An instrument is taken--
(a) to be duly stamped to the amount of
duty shown on the endorsement; or
22
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 26
Act No.
(b) to be duly stamped as exempt from
duty if the endorsement states that the
instrument or transaction is exempt--
but without affecting liability for the
5 payment of duty in relation to the instrument
or transaction under this Act.".
(2) At the foot of section 265(5) of the Duties Act
2000 omit "Penalty: 5 penalty units.".
(3) In section 265 of the Duties Act 2000, after sub-
10 section (5) insert--
"(6) If an authorised person contravenes sub-
section (5), the Commissioner may recover
in a court of competent jurisdiction as a debt
due to the State an amount equal to double
15 the amount that would have been payable by
the authorised person under section 266 had
the correct amount of duty been endorsed on
the instrument.".
25. Registration of instruments
20 In section 269 of the Duties Act 2000, at the end
of paragraph (b) insert--
'; or
(c) it is marked "interim stamp only" in
accordance with section 30 or 121.'.
25 26. Payment of fees by stamps
Part 4 of Chapter 12 of the Duties Act 2000 is
repealed.
27. Consequential amendment to Taxation
Administration Act 1997
30 In Schedule 1 to the Duties Act 2000, after
item 6.5 insert--
23
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 29
Act No.
'6.6 After section 100 insert--
"100A. Objections concerning the value of land
(1) If an objection concerns the value of any land,
the Commissioner must refer the matter to the
5 Valuer-General for valuation of the land.
(2) The objector must pay the cost of the valuation
under sub-section (1) if--
(a) the objector had provided any
information to the Commissioner as to
10 the value of the land; and
(b) the Valuer-General's valuation exceeds
the value provided by the objector by
15% or more; and
(c) the valuation as determined on the
15 objection, or on appeal or review,
exceeds the value provided by the
objector by 15% or more.".'.
28. Consequential amendment to Road Safety Act 1986
In Schedule 1 to the Duties Act 2000, after item 5
20 insert--
'5A. Road Safety Act 1986
In sections 5AB(1)(j) and 9A(1), for "Stamps Act
1958" substitute "Duties Act 2000".'.
29. Transitional provisions
25 (1) In clause 4 of Schedule 2 to the Duties Act 2000,
for "after" substitute "on or after".
(2) In clause 5 of Schedule 2 to the Duties Act 2000,
after sub-clause (3) insert--
"(3A) Despite sub-clause (2), section 68 of the former Act
30 continues to apply to a dutiable transaction or series
of dutiable transactions that take place on or after
1 July 2001 if the agreement giving rise to that
24
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
transaction or series of transactions was entered into
before 1 July 2001.".
(3) In clause 5 of Schedule 2 to the Duties Act 2000,
after sub-clause (5) insert--
5 "(6) Despite anything to the contrary in section 28, the rate
of duty chargeable on a transfer of land that is made
as a result of an agreement entered into before 21
April 1998 is chargeable to the nearest whole dollar
of the amount determined as follows or, if that
10 amount is an amount of dollars and fifty cents, to the
nearest whole dollar below that amount--
Dutiable value of
Rate of duty
the land
Not more than $20 000 1!4% of the dutiable
value
More than $20 000 but $280 plus 2!4% of that
not more than $100 000 part of the dutiable
value that exceeds
$20 000
More than $100 000 but $2200 plus 6% of that
not more than $760 000 part of the dutiable
value that exceeds
$100 000
More than $760 000 $41 800 plus 5!5% of
the dutiable value that
exceeds $760 000".
(4) In clause 6(2)(c) of Schedule 2 to the Duties Act
2000, for "that section" substitute "those
sections".
15 (5) In clause 6 of Schedule 2 to the Duties Act 2000,
for sub-clause (3) substitute--
"(3) However, sub-clause (2) and Chapter 3 do not apply
so as to aggregate, for the purpose of determining
whether a relevant acquisition has been made or
20 whether duty is chargeable under this Act, interests
that were acquired before the commencement day and
that would not have been aggregated under the law as
in force at the time the interests were acquired.".
25
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 30
29
Act No.
(6) In clause 9 of Schedule 2 to the Duties Act
2000--
(a) in sub-clause (1)(b), for "a further advance
that occurs" insert "an advance or a further
5 advance that is made";
(b) in sub-clause (2), for "A mortgage"
substitute "Subject to sub-clause (4), a
mortgage".
(7) In clause 9 of Schedule 2 to the Duties Act 2000,
10 after sub-clause (3) insert--
"(4) Despite sub-clause (2), a mortgage first executed
before the commencement day that secures amounts
liable or contingently liable under a bill facility
referred to in section 150(1)(b) is chargeable with
15 duty under Chapter 7 on or after that day on the
amount by which the advances secured by it exceeds
the amount secured or contingently secured by it on
30 June 2001.
(5) Despite sub-clause (3), if--
20 (a) an advance was made under a mortgage before
the commencement day, being a mortgage over
property partly within and partly outside
Victoria; and
(b) the mortgage is not stamped before the
25 commencement day--
duty on the mortgage is to be determined in
accordance with section 137DA of the former Act as
in force immediately before the commencement day.".
30. Transitional provision for authorised persons
30 In Schedule 2 to the Duties Act 2000, after clause
15 insert--
"16. Authorised persons
(1) A person who, immediately before the
commencement day, was an authorized person under
35 section 40A of the former Act is taken to be an
authorised person under section 264.
26
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Act No.
(2) A condition to which the authorization of a person
under section 40A was subject immediately before the
commencement day is taken to be a condition
specified on the person's authorisation by the
5 Commissioner under section 264B.".
31. Statute law revision
In section 238(4) of the Duties Act 2000, for
"sub-section (4)" substitute "sub-section (3)".
_______________
10
27
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
s. 32
Act No.
PART 3--LAND TAX ACT 1958
See: 32. Equalization factor for City of Melbourne
Act No.
6289.
In section 3 of the Land Tax Act 1958, after sub-
Reprint No. 10
section (5) insert--
as at
14 October
5 "(5A) Despite anything to the contrary in sub-
1999
and
section (5) or the Land Tax (Equalization
amending
Factors) Regulations 2000, the prescribed
Act No.
69/2000.
equalization factor that applies for the year
LawToday:
2001 in respect of land within the area of the
www.dms.
dpc.vic.
10 City of Melbourne is, and must be taken
gov.au
always to have been, 1·06.".
28
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
Duties (Amendment) Act 2001
Endnotes
Act No.
ENDNOTES
By Authority. Government Printer for the State of Victoria.
29
541189B.I1-18/5/2001 BILL LA CIRCULATION 18/5/2001
[Index] [Search] [Download] [Related Items] [Help]