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This is a Bill, not an Act. For current law, see the Acts databases.
South Australia
Statutes Amendment (Budget 2008)
Bill 2008
A BILL FOR
An Act to amend the First Home Owner Grant Act 2000, the
Stamp Duties Act 1923 and the Pay-roll Tax
Act 1971.
Contents
Part 1—Preliminary
1 Short
title
2 Commencement
3 Amendment provisions
Part 2—Amendment of First Home Owner Grant
Act 2000
4 Insertion of section
18B
18B Bonus grant
Part 3—Amendment of Stamp Duties
Act 1923
5 Amendment of section 71C—Concessional rates
of duty in respect of purchase of first home etc
Part 4—Amendment of Pay-roll Tax
Act 1971
6 Amendment of section 9—Imposition of
pay-roll tax on taxable wages
7 Amendment of section 11A—Deduction from
taxable wages
8 Amendment of section 13A—Meaning of prescribed
amount
9 Amendment of section 14—Registration
10 Amendment of
section 18K—Interpretation
Schedule 1—Transitional
provisions
1 Transitional provisions
The Parliament of South Australia enacts as
follows:
This Act may be cited as the Statutes Amendment (Budget 2008)
Act 2008.
(1) Part 1 will come into operation on the day on which this Act is
assented to by the Governor.
(2) Parts 2 and 3 will be taken to have come into operation on
5 June 2008.
(3) Part 4 will be taken to have come into operation on
1 July 2008.
(4) Schedule 1 will come into operation on the day on which this Act is
assented to by the Governor.
In this Act, a provision under a heading referring to the amendment of a
specified Act amends the Act so specified.
Part 2—Amendment
of First Home Owner Grant
Act 2000
After section 18A insert:
18B—Bonus grant
(1) Subject to this section, the amount of a first home owner grant under
section 18 will be increased by an amount under this section (the
first home bonus grant) if—
(a) the commencement date of the eligible transaction is on or after
5 June 2008; and
(b) the market value of the home to which the eligible transaction relates
is less than $450 000.
(2) Subject to subsection (3), the amount of the first home bonus
grant is as follows:
(a) if the market value of the home to which the eligible transaction
relates does not exceed $400 000—$4 000;
(b) if the market value of the home to which the eligible transaction
relates exceeds $400 000 (but is less than $450 000)—an amount
calculated in accordance with the following formula:
where—
A is the amount of the first home bonus grant
B is $4 000
C is 8
D is the market value of the home to which the eligible
transaction relates, rounded down to the nearest $100
E is $400 000.
(3) If, in a particular case, the sum of the first home owner grant and
the amount determined under subsection (2) would exceed the market value of
the home to which the eligible transaction relates, the amount of the first home
bonus grant under this section will be the market value of the home to which the
eligible transaction relates less the amount of the first home owner
grant.
(4) For the purposes of this section, but subject to subsections (5)
and (6), the market value of the home to which an eligible transaction
relates (the market value) will be determined as
follows:
(a) in the case of an eligible transaction constituted by a contract under
section 13(1)(a)—the market value will be taken to
be—
(i) unless subparagraph (ii) applies—the consideration for the
eligible transaction;
(ii) if the Commissioner considers that the consideration for the eligible
transaction may be less than the market value—the market value of the
property on which the home is situated, as determined by the Commissioner for
the purposes of this provision;
(b) in the case of an eligible transaction constituted by a comprehensive
home building contract under section 13(1)(b)—the market value will
be taken to be the sum of the following:
(i) —
(A) unless subsubparagraph (B) applies—the consideration for
the comprehensive home building contract under section 13(7);
(B) if the Commissioner considers that the total consideration payable for
the relevant building work may be less than the actual costs to build the
home—the actual costs to build the home, as determined by the Commissioner
for the purposes of this provision; and
(ii) the market value of the property on which the home is to be built, as
at the time when the building contract is made, as determined by the
Commissioner for the purposes of this provision;
(c) in the case of an eligible transaction constituted by the building of
a home by an owner builder under section 13(1)(c)—the market value
will be taken to be the market value of the property on which the home is
situated, as at the time when the eligible transaction is completed, as
determined by the Commissioner for the purposes of this provision.
(5) For the purposes of subsection (4), if an eligible transaction
relates to a home on a genuine farm, the relevant component of the farm will be
taken to constitute the property on which the home is situated, or is to be
built.
(6) If a person is entitled to a first home owner grant by virtue of the
operation of section 5(4)—
(a) if the relevant interest relates to a comprehensive home building
contract for the construction of a home—the market value of the home to
which the eligible transaction relates will be taken to be the consideration for
the comprehensive home building contract;
(b) in any other case—the market value of the home to which the
eligible transaction relates will be determined in accordance with a method
prescribed by the regulations.
(7) The Commissioner may adopt or approve any method the Commissioner
considers reasonable for the purposes of determining any value or costs under a
preceding subsection, including by requiring that a valuation of property be
made by a person appointed or approved by the Commissioner.
(8) If the Commissioner requires a valuation of property to be made for
the purposes of determining the value of any property under this section, the
Commissioner may, having regard to the merits of the case, charge the whole or
any part of the expenses of, or incidental to, the making of the valuation to
the applicant or applicants for the first home bonus grant and may recover the
amount so charged from the applicant or applicants as a debt due to the
Crown.
(9) To avoid doubt, the market value of any property on which a home to
which a grant under this section relates is situated will be the market value of
the land, the home and any other improvements.
(10) This section does not give rise to an entitlement to a first home
bonus grant if the Commissioner is satisfied that the contract that formed the
basis of the eligible transaction replaces a contract made before
5 June 2008 (the earlier contract), and that the earlier
contract was—
(a) a contract for the purchase of the same home; or
(b) a comprehensive home building contract to build the same or a
substantially similar home.
(11) In this section—
genuine farm means land as to which the Commissioner is
satisfied—
(a) the land is to be used for primary production by the person seeking
the benefit of this section; and
(b) the land is, by itself, or in conjunction with other land owned by
that person, capable of supporting economically viable primary production
operations;
relevant component of a genuine farm means the part of the
farm constituted by the home and its curtilage, or the part of the land that is
to constitute the site and curtilage of a home that is to be built.
Part 3—Amendment
of Stamp Duties
Act 1923
5—Amendment of
section 71C—Concessional rates of duty in respect of purchase of first
home etc
Section 71C—after subsection (7) insert:
(8) This section does not apply to a conveyance—
(a) if the conveyance gives effect to a contract entered into on or after
5 June 2008; or
(b) if the conveyance relates to land where a party to the conveyance has,
on or after 5 June 2008, entered into a contract for the construction
of a dwelling house on the relevant land (as described in
subsection (1)(a)(iv)(A)); or
(c) if the conveyance relates to land where the construction of a dwelling
house has commenced on or after 5 June 2008.
Part 4—Amendment
of Pay-roll Tax
Act 1971
6—Amendment of
section 9—Imposition of pay-roll tax on taxable wages
Section 9(1)(g)—delete paragraph (g) and substitute:
(g) in relation to wages paid or payable on or after 1 July 2008
and before 1 July 2009—5% of those wages;
(h) in relation to wages paid or payable on or after
1 July 2009—4.95% of those wages.
7—Amendment of
section 11A—Deduction from taxable wages
Section 11A(1), definition of prescribed amount,
(a)(iv)—delete subparagraph (iv) and substitute:
(iv) commencing on or after 1 July 2002 and ending before
1 July 2008, means $42 000;
(v) commencing on or after 1 July 2008 and ending before
1 July 2009, means $46 000;
(vi) commencing on or after 1 July 2009, means
$50 000;
8—Amendment of
section 13A—Meaning of prescribed amount
Section 13A(2)(c), definition of A—delete the
definition and substitute:
A is—
(a) in relation to a financial year commencing before
1 July 2002—$456 000;
(b) in relation to a financial year commencing on or after
1 July 2002 and before
1 July 2008—$504 000;
(c) in relation to the financial year commencing on
1 July 2008—$552 000;
(d) in relation to a financial year commencing on or after
1 July 2009—$600 000
9—Amendment of
section 14—Registration
Section 14(4)—delete "the prescribed amount is
$8 000" and substitute:
the prescribed amount is—
(a) in relation to the financial year commencing on
1 July 2008—$10 000;
(b) in relation to a financial year commencing on or after
1 July 2009—$11 000.
10—Amendment of
section 18K—Interpretation
Section 18K(2)(c), definition of A—delete the
definition and substitute:
A is—
(a) in relation to a financial year commencing before
1 July 2002—$456 000;
(b) in relation to a financial year commencing on or after
1 July 2002 and before
1 July 2008—$504 000;
(c) in relation to the financial year commencing on
1 July 2008—$552 000;
(d) in relation to a financial year commencing on or after
1 July 2009—$600 000
Schedule
1—Transitional provisions
(1) If—
(a) a person is entitled to a first home bonus grant under
section 18B of the First Home Owner Grant Act 2000, as enacted
by this Act (the relevant entitlement); and
(b) the person has—
(i) in respect of a conveyance that relates to the land on which the home
under that Act is situated or is to be built (as the case may be), received a
benefit under section 71C of the Stamp Duties Act 1923;
or
(ii) received a benefit constituted by an ex gratia payment by the
State in order to provide for the first home bonus grant envisaged by this Act
for the period between 5 June 2008 and the date of enactment of this
Act,
the amount of the relevant entitlement will be reduced by the amount of the
benefit provided under section 71C of the Stamp Duties Act 1923
or by the amount of the ex gratia payment, or both (including so as
to fully set off the amount of the relevant entitlement).
(2) If—
(a) a person has received a benefit constituted by an
ex gratia payment by the State in order to provide for the first
home bonus grant envisaged by this Act for the period between
5 June 2008 and the date of the enactment of this Act; and
(b) the person has also, in respect of a conveyance that relates to the
land on which the home that is relevant to the ex gratia payment is
situated, or is to be built, (as the case may be), received a benefit under
section 71C of the Stamp Duties Act 1923 (the relevant
benefit),
the Commissioner of State Taxation may recover the amount of the relevant
benefit from any person who claimed that benefit as a debt due to the
Crown.
(3) If—
(a) a person has received a benefit under section 71C of the Stamp
Duties Act 1923 (the relevant benefit); and
(b) the conveyance on which the benefit is based falls within the ambit of
subsection (8) of section 71C of the Stamp Duties Act 1923
(as enacted by this Act),
the Commissioner of State Taxation may recover the amount of the relevant
benefit from any person who claimed that benefit as a debt due to the
Crown.
(4) To avoid doubt, any set off or right of recovery under this clause
extends to a benefit obtained before the commencement of this clause.