Federal Register of Legislation - Australian Government

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A Bill for an Act to amend the Income Tax Rates Act 1986, and for related purposes
Administered by: Treasury
For authoritative information on the progress of bills and on amendments proposed to them, please see the House of Representatives Votes and Proceedings, and the Journals of the Senate as available on the Parliament House website.
Registered 25 May 2012
Introduced HR 24 May 2012
Table of contents.

2010‑2011‑2012

 

The Parliament of the

Commonwealth of Australia

 

HOUSE OF REPRESENTATIVES

 

 

 

 

Presented and read a first time

 

 

 

 

 

 

 

 

 

Tax Laws Amendment (Income Tax Rates) Bill 2012

 

No.      , 2012

 

(Treasury)

 

 

 

A Bill for an Act to amend the Income Tax Rates Act 1986, and for related purposes

  

  


Contents

1............ Short title............................................................................................. 1

2............ Commencement................................................................................... 1

3............ Schedule(s)......................................................................................... 1

Schedule 1—Non‑resident personal tax rates                                                       3

Income Tax Rates Act 1986                                                                                        3

 


A Bill for an Act to amend the Income Tax Rates Act 1986, and for related purposes

The Parliament of Australia enacts:

1  Short title

                   This Act may be cited as the Tax Laws Amendment (Income Tax Rates) Act 2012.

2  Commencement

                   This Act commences on the day this Act receives the Royal Assent.

3  Schedule(s)

                   Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.


 

Schedule 1Non‑resident personal tax rates

  

Income Tax Rates Act 1986

1  Subsection 3(1)

Insert:

second resident personal tax rate means the rate mentioned in item 2 of the table in clause 1 of Part I of Schedule 7.

2  Subparagraph 15(2)(a)(i)

Repeal the subparagraph, substitute:

                              (i)  the amount ascertained by applying the second resident personal tax rate to that eligible taxable income; or

3  Subparagraph 15(2)(b)(i)

Repeal the subparagraph, substitute:

                              (i)  the amount ascertained by applying the second resident personal tax rate to $416, and then adding 66% of the amount by which that eligible taxable income exceeds $416; or

4  Subparagraph 15(4)(c)(i)

Repeal the subparagraph, substitute:

                              (i)  the amount ascertained by applying the second resident personal tax rate to the amount of the eligible part of that share; or

5  Subparagraph 15(4)(d)(i)

Repeal the subparagraph, substitute:

                              (i)  the amount ascertained by applying the second resident personal tax rate to $416, and then adding 66% of the amount by which the eligible part of that share exceeds $416; or

6  Clause 1 of Part II of Schedule 7 (table)

Repeal the table, substitute:

Tax rates for non‑resident taxpayers

Item

For the part of the ordinary taxable income of the taxpayer that:

The rate is:

1

does not exceed $80,000

The second resident personal tax rate

2

exceeds $80,000 but does not exceed $180,000

37%

3

exceeds $180,000

45%

7  Clause 1A of Part II of Schedule 7 (note)

Repeal the note, substitute:

Note 1:       This clause will be repealed on 1 July 2016. See Part 2 of Schedule 2 to the Tax Laws Amendment (2011 Measures No. 7) Act 2011.

Note 2:       In the 2011‑12 year of income, the rate applicable under item 1 of the table was 29%.

8  Application provision

The amendments made by this Schedule apply to the 2012‑2013 year of income and later years of income.