2002
THE LEGISLATIVE ASSEMBLY
FOR THE AUSTRALIAN CAPITAL TERRITORY

(As presented)
(Treasurer)
Treasury Legislation Amendment Bill 2002
Contents
	Page
Part 1	Preliminary
	1	Name of Act	2
	2	Commencement	2
Part 2	Taxation Administration Act 1999
	3	Act amended—pt 2	3
	4	Definitions for Act
Section 3, definition of market rate component	3
	5	Interest rate
Section 26 (2) and (3)	3
	6	New section 26 (5)	4
	7	Section 26	5
Part 3	Rates and Land Tax Act 1926
	8	Act amended—pt 3	6
	9	Section 22	6
	10	Payment by ratepayer’s debtor
Section 22AAA (11), definition of rates, paragraph (a)	8
	11	Interest on refund
New section 28B (3)	8
	12	Review of interest decision
Section 30 (5) (a)	8
Part 4	Rates and Land Rent (Relief) Act 1970
	13	Act amended—pt 4	10
	14	Interpretation for pt 2
Section 2B (3)	10
	15	Section 3 heading	10
	16	Effect of making a determination
Section 4 (3)	10
	17	Section 4 (4)	11
	18	Section 16	11
	19	Remission of interest
Section 17	11
	20	Section 23	11
	21	Objections
Section 23B (1) (b)	12
Part 5	Payroll Tax Act 1987
	22	Act amended—pt 5	13
	23	Exemption from tax—new starters
Section 9A (2) (a)	13
	24	Section 9A (2), note	13
	25	Section 9A (6)	13
Part 6	Repeals
	26	Rates and Land Rent (Relief) Regulations 1985	15
	27	Instrument under Taxation Administration Act 1999	15
	28	Instruments under Rates and Land Tax Act 1926	15
	29	Instrument under Rates and Land Rent (Relief) Act 1970	15

2002
THE LEGISLATIVE ASSEMBLY
FOR THE AUSTRALIAN CAPITAL TERRITORY

(As presented)
(Treasurer)
Treasury Legislation Amendment Bill 2002

A Bill for
An Act to amend certain laws relating to taxation, and for other purposes

    

The Legislative Assembly for the Australian Capital Territory enacts as follows:

Part 1	Preliminary
1	Name of Act
This Act is the Treasury Legislation Amendment Act 2002.
2	Commencement
	(1)	This Act, other than the provisions mentioned in subsections (2) to (4), commences on the day after its notification day.
	(2)	Part 2 and section 27 commence on 1 July 2002.
	(3)	Parts 3 and 4 and sections 26, 28 and 29 commence on 16 July 2002.
	(4)	Part 5 is taken to have commenced on 1 September 2001.

Part 2	Taxation Administration Act 1999
3	Act amended—pt 2
This part amends the Taxation Administration Act 1999.
4	Definitions for Act
Section 3, definition of market rate component
substitute
market rate component, in relation to interest for a day—see section 26 (2).
5	Interest rate
Section 26 (2) and (3)
substitute
	(2)	The market rate component for a day is—
	(a)	if a determination of a rate is, under section 139 (1) (b) (Determination of amounts payable under tax laws), in force for this paragraph for the day—the determined rate; or
	(b)	if paragraph (a) does not apply—the monthly 90-day bank bill rate worked out in accordance with the table and rounded to the 2nd decimal place (with 0.005 rounded to 0.01).

Table
If the day is….	the monthly 90-day bank bill rate is….	
in the 1st 6 months of a year		(a)	if, before 1 January of the year, the monthly 90-day bank bill rate for the previous November had been published—that rate;
or
	(b)	if paragraph (a) does not apply—the last monthly 90-day bank bill rate published before 1 January of the year.	
in the 2nd 6 months of a year		(a)	if, before 1 July of the year, the monthly 90-day bank bill rate for the previous May had been published—that rate;
or
	(b)	if paragraph (a) does not apply—the last monthly 90-day bank bill rate published before 1 July of the year.	
6	New section 26 (5)
substitute
	(5)	In this section:
monthly 90-day bank bill rate means the monthly average yield of 90-day bank accepted bills published by the Reserve Bank of Australia for a particular month.
7	Section 26
renumber subsections when Act next republished under the Legislation Act 2001

Part 3	Rates and Land Tax Act 1926
8	Act amended—pt 3
This part amends the Rates and Land Tax Act 1926.
9	Section 22
substitute
22	Recovery of rates
	(1)	The following amounts are amounts owing to the Territory by the owner of a parcel:
	(a)	the amount of unpaid overdue rates;
	(b)	interest worked out in accordance with this section;
	(c)	the costs and expenses reasonably incurred by the Territory in attempting to recover an amount payable under this subsection.
Note	The Legislation Act 2001, s 177 (Recovery of amounts owing under laws) provides that an amount owing by a person to another person may be recovered as a debt in a court of competent jurisdiction.
	(2)	The interest payable is worked out—
	(a)	for each month during which, or during a part of which, an amount mentioned in subsection (1) remains unpaid; and
	(b)	on the first day of that month; and
	(c)	at the interest rate applying to that day; and
	(d)	on the total of the amounts mentioned in subsection (1) that are unpaid on a day when the interest is worked out.
	(3)	The Minister may, in writing, determine an interest rate for this section.
	(4)	A determination under subsection (3) is a disallowable instrument.
Note	A disallowable instrument must be notified, and presented to the Legislative Assembly, under the Legislation Act 2001.
	(5)	For subsection (2) (c), the interest rate applying to a day is—
	(a)	if a determination under subsection (3) provides for an interest rate for the day—the rate provided under the determination for the day; or
	(b)	if paragraph (a) does not apply—the interest rate applying under the Taxation Administration Act 1999, division 5.1 (Interest) to the day.
Note	The Taxation Administration Act 1999, s 26 (Interest rate), sets out the interest rate applying to any day for div 5.1 of that Act.
	(6)	If a court enters judgment for an amount of rates, whether the judgment is only for the amount of rates or includes other amounts, the rates do not cease, for this section, to be unpaid rates only because of the entry of the judgment.
	(7)	If interest is payable on a judgment debt for an amount of rates owing under subsection (1) (a), or for an amount that includes an amount of such rates, the amount of interest payable under subsection (1) (b) on those rates is reduced—
	(a)	for a judgment for an amount of rates—by the amount of interest payable on the judgment; or
	(b)	for a judgment for an amount that includes an amount of rates—by an amount equal to the proportion of the judgment interest attributable to the rates.
	(8)	If an amount worked out under this section contains a fraction of a cent, the amount must be rounded to the nearest cent, with 0.5 cent being disregarded.
	(9)	In this section:
due date, for rates for a parcel, means—
	(a)	the date specified in an assessment notice for the parcel as the date by which the rates may be paid in full; or
	(b)	an instalment day.
Note	Section 14 (Assessment of rates) deals with assessment notices.
overdue rates, for a parcel, means rates that have become payable, but have not been paid, by the due date.
Note	Section 15 (Payment of rates) deals with when rates become payable.
10	Payment by ratepayer’s debtor
Section 22AAA (11), definition of rates, paragraph (a)
omit
22 (3)
substitute
22 (1)
11	Interest on refund
New section 28B (3)
insert
	(3)	If no rate is determined under subsection (1) (a) for a day for which a calculation is to be made under subsection (1) (b), the interest rate applying to the day is the market rate component applying under the Taxation Administration Act 1999, section 26 (Interest rate) to the day.
12	Review of interest decision
Section 30 (5) (a)
substitute
	(a)	is worked out at the rate applying under section 28B (Interest on refund); and

Part 4	Rates and Land Rent (Relief) Act 1970
13	Act amended—pt 4
This part amends the Rates and Land Rent (Relief) Act 1970.
14	Interpretation for pt 2
Section 2B (3)
omit
under section 4 (3) or section 16.
substitute
under section 4 (Effect of making a determination) or 16 (Interest payable on amount after revocation of determination).
15	Section 3 heading
substitute
3	Deferral of rent and rates
16	Effect of making a determination
Section 4 (3)
substitute
	(3)	A person whose obligation to pay an amount is deferred because of the making of a determination must pay interest on the amount at the rate applying under section 23 (Interest rate).
	(4)	Interest is payable on an amount from the date of deferral of the obligation to pay the amount until the day when the amount is paid or the determination is revoked.
17	Section 4 (4)
omit everything before paragraph (a), substitute
	(5)	For subsection (4), the date of deferral of an amount of rent or rates is—
18	Section 16
substitute
16	Interest payable on amount after revocation of determination
If, on the revocation of a determination, a person to whom a determination relates does not pay an amount owing to the Territory under this Act, the person must pay to the Territory interest on the unpaid part of the amount at the rate applying under section 23 (Interest rate).
19	Remission of interest
Section 17
omit
under section 4 (3) or section 16.
substitute
under section 4 (Effect of making a determination) or 16 (Interest payable on amount after revocation of determination).
20	Section 23
substitute
23	Interest rate
	(1)	The Minister may, in writing, determine a rate at which interest is payable on an amount—
	(a)	deferred because of the making of a determination under section 3 (Deferral of rent and rates); or
	(b)	unpaid after the date of revocation of a determination.
	(2)	A determination under subsection (1) is a disallowable instrument.
Note	A disallowable instrument must be notified, and presented to the Legislative Assembly, under the Legislation Act 2001.
	(3)	If, for a day for which interest is payable on an amount mentioned in subsection (1) (a), no interest rate has been determined under subsection (1), interest is payable on the amount for the day at the market rate component applying under the Taxation Administration Act 1999, section 26 (Interest rate) to the day.
	(4)	If, for a day for which interest is payable on an amount mentioned in subsection (1) (b), no interest rate has been determined under subsection (1), interest is payable on the amount for the day at a rate equal to the interest rate applying under the Taxation Administration Act 1999, division 5.1 (Interest) to the day.
Note	The Taxation Administration Act 1999, s 26 (Interest rate), sets out the interest rate applying to any day for div 5.1 of that Act.
21	Objections
Section 23B (1) (b)
omit
deferment
substitute
deferral

Part 5	Payroll Tax Act 1987
22	Act amended—pt 5
This part amends the Payroll Tax Act 1987.
23	Exemption from tax—new starters
Section 9A (2) (a)
substitute
	(a)	recognised training; and
24	Section 9A (2), note
omit
25	Section 9A (6)
substitute
	(6)	The Minister may, in writing, declare that approved training is not recognised training.
	(7)	A declaration under subsection (6) is a disallowable instrument.
Note	A disallowable instrument must be notified, and presented to the Legislative Assembly, under the Legislation Act 2001.
	(8)	In this section:
approved training means—
	(a)	training that is approved training for the Vocational Education and Training Act 1995; or
	(b)	training for the purpose of enabling a person to become qualified in a vocation that is a prescribed vocation for the Vocational Education and Training Act 1995.
Note	The Vocational Education and Training Act 1995, s 4 (1), defines approved training and prescribed vocation for that Act.
recognised training means approved training other than training declared under subsection (6) not to be recognised training.

Part 6	Repeals
26	Rates and Land Rent (Relief) Regulations 1985
repeal
Rates and Land Rent (Relief) Regulations 1985 No 16
27	Instrument under Taxation Administration Act 1999
repeal
Taxation Administration Act (Interest Rates) Order 2001 (No 1) NI No 65
28	Instruments under Rates and Land Tax Act 1926
repeal
Rates and Land Tax (Interest Rates) Determination 2001 (No 1) DI No 342
Rates and Land Tax (Interest Rates) Determination 2001 (No 2) DI No 343
29	Instrument under Rates and Land Rent (Relief) Act 1970
repeal
Rates and Land Rent (Relief) (Interest Rates) Determination 2001 (No 1) NI No 66

Endnote
Republications of amended laws
1	For the latest republications of amended laws, see www.legislation.act.gov.au.

© Australian Capital Territory 2002