[Index] [Search] [Download] [Related Items] [Help]
This is a Bill, not an Act. For current law, see the Acts databases.
Western Australia Duties Amendment Bill 2022 Contents Part 1 -- Preliminary 1. Short title 2 2. Commencement 2 3. Act amended 2 Part 2 -- Amendments commencing on day after Royal Assent 4. Section 113 amended 3 5. Section 131 amended 3 6. Section 132 amended 4 7. Section 228 amended 4 8. Section 233 amended 4 9. Section 244B inserted 5 244B. If agreement for purchase of vehicle is terminated or vehicle is returned 5 10. Section 245 amended 7 11. Section 246 amended 7 12. Section 247 amended 9 13. Section 248 amended 9 14. Section 249 amended 9 15. Section 250 amended 10 16. Section 254 amended 10 17. Section 255 amended 10 18. Schedule 3 Division 10 inserted 10 Division 10 -- Provisions relating to Duties Amendment Act 2022 55. Terms used 10 56. Application of amendments made by Duties Amendment Act 2022 Part 2 11 67--1 page i Duties Amendment Bill 2022 Contents 57. Validation of certain reassessments and refunds of vehicle licence duty by CEO before commencement day 11 Part 3 -- Amendments commencing on 1 July 2022 19. Chapter 2 Part 5 Division 7A inserted 13 Division 7A -- Prospecting licences and related dutiable property 91DA. Transactions as to prospecting licences or related dutiable property alone not usually dutiable 13 20. Section 91H amended 14 21. Chapter 2 Part 6 Division 4A deleted 15 22. Section 147 amended 15 23. Section 204E amended 15 24. Schedule 2 amended 15 Division 1 -- General rate Division 2 -- Concessional rates 25. Schedule 3 clause 11A deleted 16 26. Schedule 3 clauses 58 and 59 inserted 17 58. Application of amendments made by Duties Amendment Act 2022 Part 3 17 59. Provisions relating to residential concession 17 Part 4 -- Amendment taken to have commenced on 13 June 2019 27. Schedule 3 clause 54 inserted 19 54. Provisions about derivative mining rights 19 page ii Western Australia LEGISLATIVE ASSEMBLY Duties Amendment Bill 2022 A Bill for An Act to amend the Duties Act 2008. The Parliament of Western Australia enacts as follows: page 1 Duties Amendment Bill 2022 Part 1 Preliminary s. 1 1 Part 1 -- Preliminary 2 1. Short title 3 This is the Duties Amendment Act 2022. 4 2. Commencement 5 This Act comes into operation as follows -- 6 (a) Part 1 comes into operation on the day on which this Act 7 receives the Royal Assent (assent day); 8 (b) Part 3 comes into operation on 1 July 2022; 9 (c) Part 4 is deemed to have come into operation on 10 13 June 2019; 11 (d) the rest of the Act comes into operation on the day after 12 assent day. 13 3. Act amended 14 This Act amends the Duties Act 2008. page 2 Duties Amendment Bill 2022 Amendments commencing on day after Royal Assent Part 2 s. 4 1 Part 2 -- Amendments commencing on day after Royal 2 Assent 3 4. Section 113 amended 4 (1) In section 113: 5 (a) delete "Duty" and insert: 6 7 (1) Duty 8 9 (b) delete "section 129(b) or (c)" and insert: 10 11 section 129 12 13 (c) delete "section 130(a)." and insert: 14 15 section 130. 16 17 (2) At the end of section 113 insert: 18 19 (2) A dutiable transaction that is duty endorsed to indicate 20 that duty is not chargeable because of subsection (1) is 21 taken not to be duty endorsed for the purposes of 22 section 42. 23 24 5. Section 131 amended 25 (1) In section 131(1) delete the passage that begins with "it is -- " 26 and ends with "if -- " and insert: 27 28 it is in accordance with a matrimonial instrument if -- 29 page 3 Duties Amendment Bill 2022 Part 2 Amendments commencing on day after Royal Assent s. 6 1 (2) In section 131(2) delete the passage that begins with "it is -- " 2 and ends with "if -- " and insert: 3 4 it is in accordance with a de facto relationship instrument if -- 5 6 Note: The heading to amended section 131 is to read: 7 Transactions in accordance with matrimonial instrument or 8 de facto relationship instrument 9 6. Section 132 amended 10 In section 132(1)(b) delete "the transaction was effected by, or". 11 Note: The heading to amended section 132 is to read: 12 Reassessment of transaction if s. 131 becomes applicable 13 7. Section 228 amended 14 In section 228 in the definition of new vehicle paragraph (b): 15 (a) delete "section 246(1) or 247(1)," and insert: 16 17 section 246(1)(a) or (3)(a) or 247(1)(a), 18 19 (b) delete "section 246(1)(a)(ii) or 247(1)" and insert: 20 21 section 246(1)(a)(ii) or (3)(a) or 247(1)(a) 22 23 8. Section 233 amended 24 (1) In section 233(1) delete "amount of duty payable on" and insert: 25 26 liability to duty of 27 page 4 Duties Amendment Bill 2022 Amendments commencing on day after Royal Assent Part 2 s. 9 1 (2) In section 233(3) delete "subsection (1)" and insert: 2 3 subsection (1), or a reassessment made under section 244B(2) 4 by the CEO, 5 6 9. Section 244B inserted 7 After section 244A insert: 8 9 244B. If agreement for purchase of vehicle is terminated 10 or vehicle is returned 11 (1) Duty is not chargeable on the grant or transfer of a 12 licence for a vehicle if -- 13 (a) the application for the grant or transfer of the 14 licence is the result of an agreement for a 15 person (the purchaser) to purchase the vehicle 16 from another person (the seller); and 17 (b) either -- 18 (i) the agreement is rescinded, annulled or 19 otherwise terminated before the 20 purchaser takes possession of the 21 vehicle; or 22 (ii) after the purchaser takes possession of 23 the vehicle, the purchaser returns the 24 vehicle for a refund or a replacement 25 vehicle and the return is accepted; 26 and 27 (c) any money that is refundable on the occurrence 28 of the relevant event referred to in 29 paragraph (b) is refunded to the purchaser. page 5 Duties Amendment Bill 2022 Part 2 Amendments commencing on day after Royal Assent s. 9 1 (2) The appropriate reassessment officer must, on 2 application in the approved form, make any 3 reassessment necessary as a result of the operation of 4 subsection (1). 5 (3) In subsection (2) -- 6 appropriate reassessment officer means -- 7 (a) the CEO if -- 8 (i) the seller is a dealer; and 9 (ii) the application for the grant or transfer 10 of the licence to the purchaser is made 11 by the seller; and 12 (iii) the agreement is rescinded, annulled or 13 otherwise terminated before the 14 purchaser takes possession of the 15 vehicle as referred to in 16 subsection (1)(b)(i); 17 or 18 (b) otherwise -- the Commissioner. 19 (4) The time limits in the Taxation Administration Act 20 section 17 apply to a reassessment under 21 subsection (2), whether made by the CEO or the 22 Commissioner. 23 (5) If, as the result of a reassessment made by the CEO 24 under subsection (2), it appears that an overpayment of 25 tax has been made, the CEO must refund the tax. 26 (6) Despite the Taxation Administration Act 27 section 16(1)(c), the Commissioner is not required to 28 make a reassessment under that section if tax is 29 refundable by the CEO under subsection (5). 30 (7) If duty is not chargeable on the grant or transfer of a 31 licence for a vehicle under subsection (1), duty is also 32 not chargeable on a subsequent transfer of the licence page 6 Duties Amendment Bill 2022 Amendments commencing on day after Royal Assent Part 2 s. 10 1 for the vehicle from the purchaser to the seller if the 2 application for the subsequent transfer is made as a 3 result of the occurrence of the relevant event referred to 4 in subsection (1)(b). 5 6 10. Section 245 amended 7 In section 245 delete "section 246(1) or (2) or 247(1)" and 8 insert: 9 10 section 246(1)(a), (2)(a) or (3)(a) or 247(1)(a) 11 12 11. Section 246 amended 13 (1) In section 246(1)(b)(i) delete "paragraph (a) or" and insert: 14 15 paragraph (a), subsection (3)(a) or 16 17 (2) After section 246(2) insert: 18 19 (3) Duty is not chargeable on the grant of a licence for a 20 vehicle to a dealer if -- 21 (a) the dealer acquired the vehicle solely for the 22 purpose of using it as a service demonstrator 23 vehicle; and 24 (b) at the time of acquisition, the vehicle has not 25 been used; and 26 (c) the application for the grant of the licence is 27 accompanied by, or includes, a declaration in 28 the approved form to the effect that -- 29 (i) while the dealer holds the licence the 30 vehicle will not be used for any purpose 31 other than a purpose referred to in page 7 Duties Amendment Bill 2022 Part 2 Amendments commencing on day after Royal Assent s. 11 1 paragraph (a), subsection (1)(a) or 2 section 247(1)(a); and 3 (ii) the dealer understands the effect of 4 sections 248 and 249. 5 (4) For the purposes of subsection (3)(a), a vehicle is used 6 as a service demonstrator vehicle if -- 7 (a) a dealer uses the vehicle to loan to customers 8 while their vehicles are being serviced or 9 repaired, or otherwise undergoing mechanical 10 work undertaken, by or on behalf of the dealer; 11 and 12 (b) each loan to a customer referred to in 13 paragraph (a) is made -- 14 (i) without charge or for a nominal charge 15 only; and 16 (ii) for the purpose of demonstrating the 17 vehicle to encourage the customer to 18 purchase a new vehicle of the same 19 make, model and model year from the 20 dealer; 21 and 22 (c) the vehicle is of a make of vehicles that the 23 dealer is authorised to supply under an 24 agreement or arrangement with the 25 manufacturer or principal distributor; and 26 (d) the model year of the vehicle is the latest model 27 year released by the manufacturer in Australia 28 for that model of vehicle. 29 30 Note: The heading to amended section 246 is to read: 31 If licence is for vehicle in dealer's trading stock, demonstrator 32 vehicle or service demonstrator vehicle page 8 Duties Amendment Bill 2022 Amendments commencing on day after Royal Assent Part 2 s. 12 1 12. Section 247 amended 2 In section 247(1)(b)(i) delete "section 246(1) or (2); and" and 3 insert: 4 5 section 246(1)(a), (2)(a) or (3)(a); and 6 7 13. Section 248 amended 8 In section 248: 9 (a) delete "under section 246(1) or (2)" and insert: 10 11 under section 246(1), (2) or (3) 12 13 (b) delete "in section 246(1) or (2) or 247(1)," and insert: 14 15 in section 246(1)(a), (2)(a) or (3)(a) or 247(1)(a), 16 17 14. Section 249 amended 18 In section 249(1): 19 (a) delete "under section 246(1) or (2)" and insert: 20 21 under section 246(1), (2) or (3) 22 23 (b) delete "in section 246(1) or (2) or 247(1)" and insert: 24 25 in section 246(1)(a), (2)(a) or (3)(a) or 247(1)(a) 26 27 (c) in the Penalty delete "Penalty:" and insert: 28 29 Penalty for this subsection: 30 page 9 Duties Amendment Bill 2022 Part 2 Amendments commencing on day after Royal Assent s. 15 1 15. Section 250 amended 2 In section 250(6)(b) delete "was effected by or". 3 16. Section 254 amended 4 In section 254 delete "246(1)(b) or (2)(b)" and insert: 5 6 246(1)(b), (2)(b) or (3)(c) 7 8 17. Section 255 amended 9 In section 255(b) delete "that duty and penalty tax" and insert: 10 11 the amount of duty and penalty tax paid to the CEO, other than 12 any amount refunded under section 244B(5), 13 14 18. Schedule 3 Division 10 inserted 15 After Schedule 3 Division 9 insert: 16 17 Division 10 -- Provisions relating to Duties Amendment 18 Act 2022 19 55. Terms used 20 (1) In this Division -- 21 commencement day means the day on which the Duties 22 Amendment Act 2022 Part 2 comes into operation. 23 (2) A term used in clause 56(1)(b) or (2) or 57 has the same 24 meaning as it has in Chapter 5. page 10 Duties Amendment Bill 2022 Amendments commencing on day after Royal Assent Part 2 s. 18 1 56. Application of amendments made by Duties Amendment 2 Act 2022 Part 2 3 (1) The amendments made by the Duties Amendment Act 2022 4 Part 2 apply in relation to the imposition of duty on -- 5 (a) transactions that occur on or after commencement 6 day; and 7 (b) grants or transfers of licences for vehicles that occur 8 on or after commencement day. 9 (2) Despite subclause (1), section 244B applies in relation to the 10 imposition of duty on the grant or transfer of a licence for a 11 vehicle that occurs before commencement day if the 12 relevant event referred to in section 244B(1)(b)(i) or (ii), 13 whichever is applicable, occurs on or after commencement 14 day. 15 57. Validation of certain reassessments and refunds of 16 vehicle licence duty by CEO before commencement day 17 (1) This clause applies if -- 18 (a) in the period beginning on 1 July 2008 and ending 19 immediately before commencement day, the CEO 20 made a reassessment determining that no duty was 21 payable on the grant or transfer of a licence for a 22 vehicle; and 23 (b) the application for the grant or transfer was the 24 result of an agreement to purchase the vehicle from 25 a dealer and was made by the dealer on behalf of 26 the purchaser; and 27 (c) the agreement was rescinded, annulled or otherwise 28 terminated before the purchaser took possession of 29 the vehicle. 30 (2) The reassessment is, and is taken to have always been, 31 validly made. 32 (3) If, as a result of the reassessment, the CEO refunded an 33 amount of duty paid on the grant or transfer of the licence 34 for the vehicle, the refund is, and is taken to have always 35 been, validly made. page 11 Duties Amendment Bill 2022 Part 2 Amendments commencing on day after Royal Assent s. 18 1 (4) The rights, obligations and liabilities of all persons are taken 2 to be, and to have always been, the same as if the 3 reassessment had been validly made. 4 (5) Anything done, or purportedly done, before commencement 5 day is as valid and effective, and is taken to have always 6 been as valid and effective, as it would have been if the 7 reassessment had been validly made. 8 page 12 Duties Amendment Bill 2022 Amendments commencing on 1 July 2022 Part 3 s. 19 1 Part 3 -- Amendments commencing on 1 July 2022 2 19. Chapter 2 Part 5 Division 7A inserted 3 After Chapter 2 Part 5 Division 7 insert: 4 5 Division 7A -- Prospecting licences and related dutiable 6 property 7 91DA. Transactions as to prospecting licences or related 8 dutiable property alone not usually dutiable 9 (1) Subject to subsections (2) and (3), a transaction is not a 10 dutiable transaction if the only dutiable property the 11 subject of the transaction consists of any or all of the 12 following -- 13 (a) a prospecting licence granted under the Mining 14 Act 1978 section 40; 15 (b) an estate or interest in a prospecting licence 16 granted under the Mining Act 1978 section 40; 17 (c) a derivative mining right in relation to a 18 prospecting licence granted under the Mining 19 Act 1978 section 40; 20 (d) a right under an application for a prospecting 21 licence under the Mining Act 1978 section 41; 22 (e) a part of, or an interest in, a right of a kind 23 referred to in paragraph (c) or (d). 24 (2) A transaction referred to in subsection (1) is a dutiable 25 transaction if, under section 37, it is aggregated with a 26 transaction that is a dutiable transaction and the 27 transactions are treated as a single dutiable transaction. page 13 Duties Amendment Bill 2022 Part 3 Amendments commencing on 1 July 2022 s. 20 1 (3) A transaction referred to in subsection (1) is a dutiable 2 transaction if -- 3 (a) there is a relevant acquisition for the purposes 4 of Chapter 3 or an agreement for the making of 5 such an acquisition; and 6 (b) the transaction and the acquisition or agreement 7 together form, evidence, give effect to or arise 8 from what is, substantially one arrangement. 9 (4) Without limiting subsection (3), unless the 10 Commissioner is satisfied to the contrary, a transaction 11 and an acquisition or agreement together form, 12 evidence, give effect to or arise from what is, 13 substantially one arrangement if -- 14 (a) the transaction has taken place, and the 15 acquisition or agreement has been made, within 16 12 months; and 17 (b) in respect of both the transaction and the 18 acquisition or agreement, the person liable to 19 pay duty is the same person (whether that 20 person is the only person liable to pay duty or is 21 liable to pay duty with the same or different 22 persons). 23 (5) A reference in subsection (4) to a person liable to pay 24 duty on the transaction is a reference to a person that 25 would be liable to pay duty if the transaction were a 26 dutiable transaction. 27 28 20. Section 91H amended 29 In section 91H(1)(d) delete "endorsed." and insert: 30 31 endorsed or is not a dutiable transaction. 32 page 14 Duties Amendment Bill 2022 Amendments commencing on 1 July 2022 Part 3 s. 21 1 21. Chapter 2 Part 6 Division 4A deleted 2 Delete Chapter 2 Part 6 Division 4A. 3 22. Section 147 amended 4 Delete section 147(3). 5 23. Section 204E amended 6 In section 204E(2) delete "endorsed," and insert: 7 8 endorsed or is not a dutiable transaction, 9 10 24. Schedule 2 amended 11 (1) After the heading to Schedule 2 insert: 12 13 [s. 3, 9, 26 and 184] 14 15 (2) Delete Schedule 2 Divisions 1 and 2 and insert: 16 17 Division 1 -- General rate Dutiable value (rounded down General rate of duty to nearest whole dollar) $0 -- $120 000 $1.90 per $100 or part of $100 $120 001 -- $150 000 $2 280 + $2.85 per $100 or part of $100 above $120 000 $150 001 -- $360 000 $3 135 + $3.80 per $100 or part of $100 above $150 000 $360 001 -- $725 000 $11 115 + $4.75 per $100 or part of $100 above $360 000 page 15 Duties Amendment Bill 2022 Part 3 Amendments commencing on 1 July 2022 s. 25 Dutiable value (rounded down General rate of duty to nearest whole dollar) $725 001 and upwards $28 453 + $5.15 per $100 or part of $100 above $725 000 1 Division 2 -- Concessional rates Concessional Dutiable value (rounded down Concessional rate of transaction to nearest whole dollar) duty s. 143 First home owners If the property $0 -- $430 000 Nil includes a home $430 001 -- $530 000 $19.19 per $100 or part of $100 above $430 000 If the property $0 -- $300 000 Nil does not include a home $300 001 -- $400 000 $13.01 per $100 or part of $100 above $300 000 s. 147 $0 -- $120 000 $1.50 per $100 or part Residential or of $100 business property $120 001 -- $200 000 $1 800 + $4.04 per $100 or part of $100 above $120 000 2 3 25. Schedule 3 clause 11A deleted 4 Delete Schedule 3 clause 11A. page 16 Duties Amendment Bill 2022 Amendments commencing on 1 July 2022 Part 3 s. 26 1 26. Schedule 3 clauses 58 and 59 inserted 2 At the end of Schedule 3 Division 10 insert: 3 4 58. Application of amendments made by Duties Amendment 5 Act 2022 Part 3 6 (1) The amendments made by the Duties Amendment Act 2022 7 Part 3 apply in relation to the imposition of duty on 8 transactions or acquisitions that occur on or after 9 1 July 2022. 10 (2) Without limiting subclause (1) -- 11 (a) section 91DA(2) applies in relation to the 12 imposition of duty on a transaction referred to in 13 section 91DA(1) that occurs on or after 1 July 2022, 14 whether the other transaction referred to in 15 section 91DA(2) occurs before, on or after that day; 16 and 17 (b) section 91DA(3) applies in relation to the 18 imposition of duty on a transaction referred to in 19 section 91DA(1) that occurs on or after 1 July 2022, 20 whether the acquisition or agreement referred to in 21 section 91DA(3) occurs before, on or after 22 1 July 2022. 23 59. Provisions relating to residential concession 24 (1) In this clause -- 25 former Chapter 2 Part 6 Division 4A means Chapter 2 26 Part 6 Division 4A as in force before its repeal by the Duties 27 Amendment Act 2022 section 21. 28 (2) Despite the repeal of former Chapter 2 Part 6 Division 4A 29 by the Duties Amendment Act 2022 section 21 -- 30 (a) sections 147F and 147G, as in force immediately 31 before 1 July 2022, continue to apply on and after 32 1 July 2022 to a dutiable transaction that -- 33 (i) occurred before 1 July 2022; and page 17 Duties Amendment Bill 2022 Part 3 Amendments commencing on 1 July 2022 s. 26 1 (ii) was an eligible transaction for the purposes 2 of former Chapter 2 Part 6 Division 4A; 3 and 4 (b) any reassessment made under section 147F, as it 5 applies under paragraph (a), must be made at the 6 applicable concessional rate of duty that applied 7 when the transaction occurred. 8 (3) If, immediately before 1 July 2022, a transaction that 9 occurred before that day was both a concessional transaction 10 for the purposes of section 147 and a concessional 11 transaction for the purposes of former Chapter 2 Part 6 12 Division 4A, then on and after that day -- 13 (a) the taxpayer may elect for the transaction to be 14 assessed or reassessed under Chapter 2 Part 6 15 Division 4 or former Chapter 2 Part 6 Division 4A; 16 and 17 (b) the Commissioner may, with the consent or at the 18 request of the taxpayer, treat an application for 19 assessment or reassessment under one of those 20 Divisions as an application for assessment or 21 reassessment under the other Division. 22 (4) Subclauses (2) and (3) do not limit the effect of clause 58(1) 23 or the Interpretation Act 1984 section 37. 24 page 18 Duties Amendment Bill 2022 Amendment taken to have commenced on 13 June 2019 Part 4 s. 27 1 Part 4 -- Amendment taken to have commenced on 2 13 June 2019 3 27. Schedule 3 clause 54 inserted 4 At the end of Schedule 3 Division 9 insert: 5 6 54. Provisions about derivative mining rights 7 (1) The exemption from duty in section 91F(3) applies despite 8 the acquisition of the previous right not being duty endorsed 9 if that acquisition -- 10 (a) occurred before commencement day; and 11 (b) was not a dutiable transaction. 12 (2) Section 91G(2) or (3) applies for the purpose of determining 13 the dutiable value of a transfer or agreement referred to in 14 section 91G(1)(c) despite the acquisition of the previous 15 right not being duty endorsed as required by 16 section 91G(1)(b) if that acquisition -- 17 (a) occurred before commencement day; and 18 (b) was not a dutiable transaction. 19 (3) The exemption from duty in section 91H(1) applies despite 20 the acquisition of the derivative mining right in relation to 21 the prospecting licence or exploration licence not being duty 22 endorsed as required by section 91H(1)(d) (as in force on 23 commencement day) if that acquisition -- 24 (a) occurred before commencement day; and 25 (b) was not a dutiable transaction. 26 (4) Section 204E(2) applies for the purpose of determining the 27 unencumbered value of a mining tenement despite the 28 acquisition of the derivative mining right not being duty page 19 Duties Amendment Bill 2022 Part 4 Amendment taken to have commenced on 13 June 2019 s. 27 1 endorsed as required by that section (as in force on 2 commencement day) if that acquisition -- 3 (a) occurred before commencement day; and 4 (b) was not a dutiable transaction. 5
[Index] [Search] [Download] [Related Items] [Help]