INCOME TAX ASSESSMENT (No. 2).

No. 37 of 1945.

An Act to amend the Income Tax Assessment Act 1936–1944, as amended by the Income Tax Assessment Act 1945.

[Assented to 11th October, 1945.]

BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—

Short title and citation.

1.—(1.)   This Act may be cited as the Income Tax Assessment Act (No. 2) 1945.

(2.)    Section one of the Income Tax Assessment Act 1945 is amended by omitting sub-section (3.).

(3.)   The Income Tax Assessment Act 1936–1944, as amended by the Income Tax Assessment Act 1945, is in this Act referred to as the Principal Act.

(4.)   The Principal Act, as amended by this Act, may be cited as the Income Tax Assessment Act 1936–1945.

Commencement.

2.  This Act shall come into operation on the day on which it receives the Royal Assent.

Income Tax.

3.  Section seventeen of the Principal Act is amended—

(a) by adding at the end of sub-section (1.) the words “, but not including a taxable income which does not exceed Two hundred pounds derived by a person who is not a company”; and                                                                               (b) by

(b) by omitting sub-section (2.).

Private companies

4.  Section one hundred and three of the Principal Act is amended—

(a) by omitting from paragraph (a) of the definition of “distributable income” in sub-section (1.) the word “and”; and

(b) by inserting after that paragraph the following paragraph:—

“(ab) any contribution paid in the year of income under the Social Services Contribution Assessment Act 1945, less any refund received in the year of income of contribution paid under that Act; and”.

Amount of rebates in certain cases.

5.  Section one hundred and sixty ad of the Principal Act is amended by inserting before paragraph (a) the following paragraph:—

“(aa) for the purposes of assessments for the financial year which commenced on the first day of July, One thousand nine hundred and forty-five, the sum of the rebates allowable under this Division shall not exceed the difference between the total tax payable before allowing the rebates and an amount equal to fifty per centum of the amount of tax which would have been payable (after deducting all rebates) if the rates of tax set out in the Income Tax Act 1945, prior to any amendment of that Act, had been applied in the assessment of the taxpayer, and the amendments made by the Income Tax Assessment Act (No. 2) 1945 (other than the insertion of this paragraph) were disregarded;”.

Rate of tax for rebate purposes.

6.  Section one hundred and sixty ae of the Principal Act is amended by adding at the end of paragraph (a) the words “, and adding to the amount so calculated—

(i) for the purposes of any assessment for the year of tax which commenced on the first day of July, One thousand nine hundred and forty-five—the amount of nine pence; and

(ii) for the purposes of any assessment for any subsequent year of tax—the amount of eighteen pence;”.

Release of liability of members of Defence Force on death.

7.  Section two hundred and sixty-five a of the Principal Act is amended—

(a) by inserting in sub-section (5.), after the word “Act”, the words “, or in pursuance of that Division as applied by the Social Services Contribution Assessment Act 1945,”; and

(b) by omitting from that sub-section the word “tax” (second occurring) and inserting in its stead the words “income tax or social services contribution”.

8.  After section two hundred and sixty-five a of the Principal Act the following section is inserted:—

Treatment of amounts received by Commissioner.

“265b.  Notwithstanding anything contained in any other law, the amount which the Commissioner shall treat as having come into his possession under this Act in any financial year shall be so much of the total amount which comes into his possession in pursuance of this Act and of the Social Services Contribution Assessment Act 1945 in that year as remains after deducting therefrom the amount which, under that last-mentioned Act, he is required to treat as having come into his possession in that year under that Act.”.

Application of amendments.

9.  The amendments effected by section three of this Act shall apply to all assessments for the financial year beginning on the first day of July, One thousand nine hundred and forty-six, and all subsequent years.