PLANNING AND ENVIRONMENT ACT 1987 - SECT 201SMAA Liability to pay deferred GAIC in relation to subsequent dutiable transactions
PLANNING AND ENVIRONMENT ACT 1987 - SECT 201SMAA
Liability to pay deferred GAIC in relation to subsequent dutiable transactions(1) This section applies if—
(a) a person (the relevant person ) who is liable to pay a growth areas infrastructure contribution in relation to land has deferred the payment of the whole or part of that contribution under section 201SM(1); and
S. 201SMAA (1)(b) amended by No. 31/2011 s. 11(1).
(b) a subsequent dutiable transaction relating to land occurs in relation to the whole or part of the land in respect of which the contribution is imposed.
(2) Subject to this section, on the occurrence of that subsequent dutiable transaction—
(a) except in the case of a significant acquisition, the person who would be taken to be the transferee in respect of the subsequent dutiable transaction under Part 1 of Chapter 2 of the Duties Act 2000 becomes liable to pay the amount of deferred growth areas infrastructure contribution; or
(b) in the case of a subsequent dutiable transaction that is a sub-sale of dutiable property referred to in section 10(1)(a) of the Duties Act 2000 , the subsequent purchaser to whom the property is transferred becomes liable to pay the amount of deferred growth areas infrastructure contribution; or
(c) in the case of a subsequent dutiable transaction that is a significant acquisition, the following persons are jointly and severally liable to pay the amount of deferred growth areas infrastructure contribution—
(i) the person who makes the acquisition; and
S. 201SMAA (2)(c)(ii) amended by No. 38/2012 s. 23(1).
(ii) the landholder, or if the landholder is a unit trust scheme (within the meaning of the Duties Act 2000 ), the trustee of the landholder; and
(iii) if the significant acquisition results from an aggregation of acquisitions by the person referred to in subparagraph (i) and other persons—each of those other persons.
S. 201SMAA (3) amended by No. 66/2016 s. 25.
(3) Subject to subsection (4), the liability of the relevant person to pay the deferred growth areas infrastructure contribution is extinguished.
S. 201SMAA (4) amended by No. 38/2012 s. 23(2).
(4) If the subsequent dutiable transaction occurred in relation to less than the whole of the interest in the land or in a landholder that owns the land—
S. 201SMAA (4)(a) amended by No. 38/2012 s. 23(2).
(a) the liability of the subsequent transferee to pay the growth areas infrastructure contribution will be in proportion to the proportion of the interest in the land or landholder that was the subject of the subsequent dutiable transaction; and
(b) the relevant person remains liable to pay the remaining part of that deferred growth areas infrastructure contribution.
Example
ABC Pty Ltd bought type B land in 2011. The GAIC liability for the land was $600,000. ABC Pty Ltd paid 30% GAIC liability ($180,000) and deferred 70% of the liability. In 2012, ABC Pty Ltd sold 50% of its interest in the land to XYZ Pty Ltd.
XYZ Pty Ltd is liable to pay 50% of the deferred 70% GAIC plus interest and can elect to defer that amount of assumed liability. ABC Pty Ltd's deferral continues in respect of the remaining 50% of the deferred 70% GAIC plus interest. There is a charge on the land for the whole deferred GAIC plus interest when it comes due.
The relevant person is relieved of the liability to pay their deferred GAIC liability upon occurrence of the subsequent dutiable transaction relating to the land. The relief from liability can be partial or in full, depending on the extent of the disposed interest in the land or landholder by the relevant person.
(5) The liability under this section to pay a growth areas infrastructure contribution arises from the time the subsequent dutiable transaction relating to the land occurs.
S. 201SMAA (6) substituted by No. 31/2011 s. 11(2), amended by No. 66/2016 s. 13.
(6) Subject to sections 201SP, 201SPAA and 201SS, a growth areas infrastructure contribution for which a subsequent transferee is liable under this section must be paid to the Commissioner—
S. 201SMAA (6)(a) amended by No. 18/2023 s. 97(1)(a).
(a) if an application is made under section 201TE or 201TF for a reduction of, or an exemption from, the whole or part of the liability to pay the contribution, by the later of the following—
(i) within 3 months after the liability arises;
S. 201SMAA (6)(a)(ii) amended by No. 18/2023 s. 97(1)(b).
(ii) within 14 days after the person who made the application receives a notice under section 201TG of the determination of the application; or
(b) in any other case, within 3 months after the liability arises.
Note to s. 201SMAA (6) repealed by No. 18/2023 s. 97(2).
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(7) This section also applies to succeeding subsequent dutiable transactions relating to the land.
(8) In this section a dutiable transaction relating to land occurs—
(a) in the case of a dutiable transaction relating to land other than a significant acquisition, at the time at which the transaction would be taken to have occurred under Chapter 2 of the Duties Act 2000 ; and
(b) in the case of a significant acquisition—
(i) if the acquisition occurs on a particular day, on that day; or
(ii) if the acquisition occurs over a period of time, on the last day of that period.
(9) In this section "subsequent transferee" means a person referred to in subsection (2).
Note to s. 201SMAA inserted by No. 31/2011 s. 11(3).
Note
A reference to an amount of deferred growth areas infrastructure contribution in this section includes that contribution as indexed under section 201SMA and includes interest payable under this Subdivision in respect of that contribution under section 201SMA (see section 201SMA(8)).
S. 201SMA inserted by No. 23/2010 s. 9.