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A New Tax System (Wine Equalisation Tax) Act 1999

Authoritative Version
  • - C2012C00636
  • In force - Superseded Version
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Act No. 62 of 1999 as amended, taking into account amendments up to Indirect Tax Laws Amendment (Assessment) Act 2012
An Act about a tax, relating to certain alcoholic beverages, to implement A New Tax System, and for related purposes
Administered by: Treasury
Registered 30 Aug 2012
Start Date 01 Jul 2012
End Date 09 Dec 2012

A New Tax System (Wine Equalisation Tax) Act 1999

Act No. 62 of 1999 as amended

This compilation was prepared on 28 August 2012
taking into account amendments up to Act No. 39 of 2012

The text of any of those amendments not in force
on that date is appended in the Notes section

The operation of amendments that have been incorporated may be
affected by application provisions that are set out in the Notes section

Prepared by the Office of Legislative Drafting and Publishing,
Attorney‑General’s Department, Canberra

  

  

  


Contents

Part 1—Introduction                                                                                                            1

Division 1—Preliminary                                                                                              1

1‑1......... Short title [see Note 1]........................................................................ 1

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

1‑3......... How the wine tax law applies to things outside Australia and things happening before commencement 1

1‑4......... States and Territories are bound by the wine tax law.......................... 1

Division 2—Overview of the wine tax legislation                                          2

2‑1......... What this Act is about......................................................................... 2

2‑5......... Liability to tax (Part 2)........................................................................ 2

2‑10....... Quoting (Part 3).................................................................................. 2

2‑15....... Wine tax credits (Part 4)...................................................................... 2

2‑20....... Payment of wine tax (Part 5)............................................................... 3

2‑25....... Miscellaneous (Part 6)........................................................................ 3

2‑30....... Interpretative provisions (Part 7)......................................................... 3

2‑33....... Administration, collection and recovery provisions in the Taxation Administration Act 1953 3

Division 3—Defined terms                                                                                         4

3‑1......... When defined terms are identified....................................................... 4

3‑5......... When terms are not identified.............................................................. 4

3‑10....... Identifying the defined term in a definition.......................................... 4

Division 4—Status of Guides and other non‑operative material           5

4‑1......... Non‑operative material........................................................................ 5

4‑5......... Explanatory sections........................................................................... 5

4‑10....... Other material...................................................................................... 5

Part 2—Wine tax                                                                                                                    6

Division 5—General rules for taxability                                                            6

5‑1......... What this Division is about................................................................. 6

5‑5......... General rules for taxing assessable dealings....................................... 6

5‑10....... Sale time brought forward if purchaser uses the wine before title passes 12

5‑15....... Royalty‑inclusive sale (AD2c and AD12c) or AOU (AD3d and AD13d)              13

5‑20....... Indirect marketing sale (AD2d and AD12d)..................................... 13

5‑25....... Untaxed sale (AD2e and AD12e) or AOU (AD3a and AD13a)...... 14

5‑30....... Local entry of imported wine (AD10)............................................... 14

Division 7—Exemptions                                                                                            18

7‑1......... What this Division is about............................................................... 18

7‑5......... Exemption for dealings that are GST‑free supplies or non‑taxable importations      18

7‑10....... Exemptions based on quoting........................................................... 18

7‑15....... Exemptions based on Schedule 4 to the Customs Tariff Act 1995.... 18

7‑20....... Exemption for local entry if wine has been taxed while in bond....... 19

7‑25....... Goods returned to Australia in an unaltered condition...................... 19

Division 9—Taxable value                                                                                       21

9‑1......... What this Division is about............................................................... 21

Subdivision 9‑A—General rules for working out taxable value                  21

9‑5......... How to work out the taxable value of a taxable dealing.................... 21

9‑10....... Agreement with Commissioner regarding calculation of taxable value 21

Subdivision 9‑B—Notional wholesale selling price                                         22

9‑25....... The 2 methods of working out notional wholesale selling prices for retail dealings with grape wine       22

9‑30....... Working out notional wholesale selling prices for retail dealings with wine that is not grape wine          22

9‑35....... The half retail price method............................................................... 23

9‑40....... The average wholesale price method................................................. 23

9‑45....... Notional wholesale selling prices for other dealings......................... 23

Subdivision 9‑C—Additions to taxable value                                                    24

9‑65....... Taxable dealing with wine that is the contents of a container............ 24

9‑70....... Assessable dealings with wine that involve the payment of an associated royalty    24

9‑75....... Assessable dealing with wine in bond.............................................. 25

9‑80....... Amounts not to be added if they are already included in the taxable value               26

Part 3—Quoting                                                                                                                    27

Division 13—Quoting for dealings in wine                                                      27

13‑1....... What this Division is about............................................................... 27

13‑5....... Standard grounds for quoting ABN.................................................. 27

13‑10..... Additional quoting grounds in special circumstances........................ 28

13‑15..... Periodic quoting................................................................................ 28

13‑20..... Manner in which quote must be made............................................... 29

13‑25..... Incorrect quote nevertheless effective for certain purposes............... 29

13‑30..... Quote not effective for certain purposes if there are grounds for believing it was improperly made        29

13‑35..... Improper quoting is an offence......................................................... 29

Part 4—Wine tax credits                                                                                                  31

Division 17—Wine tax credits                                                                               31

17‑1....... What this Division is about............................................................... 31

17‑5....... Wine tax credit entitlements............................................................... 31

17‑10..... Claims for wine tax credits................................................................ 36

17‑15..... Commissioner not required to consider credit claims for less than $200  36

17‑20..... Wine tax credits to be applied against tax liabilities and excess refunded 36

17‑25..... Excess wine tax credits must be repaid............................................. 37

17‑30..... Clawback of CR15 wine tax credit on later recovery of bad debt...... 37

17‑35..... Clawback of CR8 wine tax credit on later sale of defective wine...... 37

17‑37..... Clawback of CR10 wine tax credit on later sale................................ 38

17‑40..... Agreement with Commissioner regarding wine tax credits............... 39

17‑45..... Notifying disallowance of wine tax credit claim................................ 39

Division 19—Producer rebates                                                                             40

19‑1....... What this Division is about............................................................... 40

19‑5....... Entitlement to producer rebates......................................................... 40

19‑7....... Approval as New Zealand participant............................................... 40

19‑8....... Revoking an approval as a New Zealand participant......................... 41

19‑9....... Notification of changed circumstances.............................................. 42

19‑10..... Exceptions......................................................................................... 42

19‑15..... Amount of producer rebates.............................................................. 43

19‑20..... Associated producers........................................................................ 44

19‑25..... Excess claims.................................................................................... 45

19‑30..... Obligation of purchasers................................................................... 46

Part 5—Payments and refunds of wine tax                                                         47

Division 21—Inclusion of wine tax and wine tax credits in net amounts              47

21‑1....... What this Division is about............................................................... 47

Subdivision 21‑A—General                                                                                   47

21‑5....... Net amounts increased by amounts of wine tax................................ 47

21‑10..... Attribution rules for wine tax............................................................ 48

21‑15..... Net amounts reduced by amounts of wine tax credits....................... 48

Subdivision 21‑B—Members of GST groups                                                    48

21‑40..... Who is liable for wine tax................................................................. 48

21‑45..... Who is entitled to wine tax credits..................................................... 49

Subdivision 21‑C—Participants in GST joint ventures                                  49

21‑70..... Who is liable for wine tax................................................................. 49

21‑75..... Who is entitled to wine tax credits..................................................... 49

21‑80..... Additional net amounts relating to GST joint ventures...................... 50

Division 23—Wine tax on customs dealings                                                   51

23‑1....... What this Division is about............................................................... 51

23‑5....... Payment of wine tax on customs dealings......................................... 51

23‑10..... Application of Division 165 of the GST Act.................................... 51

Division 25—Tourist refund scheme                                                                  52

25‑1....... What this Division is about............................................................... 52

25‑5....... Tourist refund scheme....................................................................... 52

25‑10..... Purchases later found to be GST‑free supplies................................. 53

Part 6—Miscellaneous                                                                                                       54

Division 27—Miscellaneous                                                                                     54

27‑5....... Wine tax must be specified on invoice for wholesale sales............... 54

27‑10..... Alteration of wine tax liability or wine tax credit if affected by non‑arm’s length transaction  54

27‑15..... Apportionment of global amounts..................................................... 55

27‑20..... Commonwealth etc. not liable to pay wine tax.................................. 55

27‑25..... Cancellation of exemptions from wine tax........................................ 56

27‑30..... Application of the Criminal Code..................................................... 56

27‑35..... Regulations....................................................................................... 56

Part 7—Interpreting this Act                                                                                        57

Division 29—Rules for interpreting this Act                                                  57

29‑1....... What forms part of this Act............................................................... 57

29‑5....... What does not form part of this Act.................................................. 57

29‑10..... Explanatory sections, and their role in interpreting this Act.............. 57

Division 31—Meaning of some important concepts                                   59

Subdivision 31‑A—Wine                                                                                        59

31‑1....... Meaning of wine............................................................................... 59

31‑2....... Meaning of grape wine..................................................................... 59

31‑3....... Meaning of grape wine product........................................................ 59

31‑4....... Meaning of fruit or vegetable wine................................................... 60

31‑5....... Meaning of cider or perry................................................................ 60

31‑6....... Meaning of mead.............................................................................. 61

31‑7....... Meaning of sake................................................................................ 61

31‑8....... Requirements for types of wine........................................................ 61

31‑9....... Measuring alcoholic content.............................................................. 62

Subdivision 31‑C—Borne wine tax and wine tax borne                                 62

31‑10..... Meanings of borne wine tax and wine tax borne............................... 62

Subdivision 31‑D—Obtaining wine under quote etc.                                       63

31‑15..... Meaning of obtain wine under quote etc........................................... 63

Division 33—Dictionary                                                                                            64

33‑1....... Dictionary......................................................................................... 64

Notes                                                                                                                                             75


An Act about a tax, relating to certain alcoholic beverages, to implement A New Tax System, and for related purposes

Part 1Introduction

Division 1Preliminary

1‑1  Short title [see Note 1]

                   This Act may be cited as the A New Tax System (Wine Equalisation Tax) Act 1999.

1‑2  Commencement

                   This Act commences on 1 July 2000.

1‑3  How the wine tax law applies to things outside Australia and things happening before commencement

             (1)  The *wine tax law extends to acts, omissions, matters and things outside *Australia (except where a contrary intention appears).

             (2)  The *wine tax law applies to acts and omissions happening before or after the commencement of this Act (except where there is an express statement to the contrary).

1‑4  States and Territories are bound by the wine tax law

                   The *wine tax law binds the Crown in right of each of the States, of the Australian Capital Territory and of the Northern Territory. However, it does not make the Crown liable to be prosecuted for an offence.


 

Division 2Overview of the wine tax legislation

2‑1  What this Act is about

                   This Act is about the wine equalisation tax (or wine tax).

                   The wine tax is a single stage tax applying (in most cases) to dealings in wine at the wholesale level. In almost all dealings to which it applies, the GST will also apply.

Note 1:       Wine is widely defined in Subdivision 31‑A. It can apply to beverages fermented from any fruit or vegetable. It also extends to cider, perry, mead and sake.

Note 2:       The wine tax is imposed by 3 Acts:

(a)    the A New Tax System (Wine Equalisation Tax Imposition—General) Act 1999; and

(b)    the A New Tax System (Wine Equalisation Tax Imposition—Customs) Act 1999; and

(c)    the A New Tax System (Wine Equalisation Tax Imposition—Excise) Act 1999.

2‑5  Liability to tax (Part 2)

                   Part 2 sets out the rules that establish the liability for the wine tax. The broad aim of the wine tax law is to tax the last wholesale sale of wine (usually the sale from the last wholesaler to the retailer).

2‑10  Quoting (Part 3)

                   Part 3 is about quoting. The system of quoting is designed to avoid wine tax becoming payable on earlier sales.

2‑15  Wine tax credits (Part 4)

                   Part 4 is about the entitlement to, and claiming of, wine tax credits. The system of wine tax credits deals (among other things) with situations where wine tax has become payable more than once on the same wine.

2‑20  Payment of wine tax (Part 5)

                   Part 5 provides for amounts of wine tax, and wine tax credits, to be included in net amounts under the GST system. This has the effect of incorporating the wine tax into the payments and refunds system for the GST. However, the assessed wine tax is paid together with customs duty (where appropriate).

2‑25  Miscellaneous (Part 6)

                   Part 6 deals with miscellaneous matters.

2‑30  Interpretative provisions (Part 7)

                   Part 7 contains the Dictionary, which sets out a list of all the terms that are defined in this Act. It also sets out the meanings of some important concepts and rules on how to interpret this Act.

2‑33  Administration, collection and recovery provisions in the Taxation Administration Act 1953

                   Parts 3‑10, 4‑1 and 4‑15 in Schedule 1 to the Taxation Administration Act 1953 contain provisions relating to the administration of the wine tax, and to collection and recovery of amounts of wine tax.


 

Division 3Defined terms

3‑1  When defined terms are identified

             (1)  Many of the terms used in the law relating to the wine tax are defined.

             (2)  Most defined terms in this Act are identified by an asterisk appearing at the start of the term: as in “*taxable dealing”. The footnote that goes with the asterisk contains a signpost to the Dictionary definitions starting at section 33‑1.

3‑5  When terms are not identified

             (1)  Once a defined term has been identified by an asterisk, later occurrences of the term in the same subsection are not usually asterisked.

             (2)  Terms are not asterisked in the non‑operative material contained in this Act.

Note:          The non‑operative material is described in Division 4.

             (3)  The following basic terms used throughout the Act are not identified with an asterisk.

 

Common definitions that are not asterisked

Item

This term:

1

amount

2

Commissioner

3

entity

5

wine

6

wine tax

7

you

3‑10  Identifying the defined term in a definition

                   Within a definition, the defined term is identified by bold italics.


 

Division 4Status of Guides and other non‑operative material

4‑1  Non‑operative material

                   In addition to the operative provisions themselves, this Act contains other material to help you identify accurately and quickly the provisions that are relevant to you and to help you understand them.

                   This other material falls into 2 main categories.

4‑5  Explanatory sections

                   One category is the explanatory section in many Divisions. Under the section heading “What this Division is about”, a short explanation of the Division appears in boxed text.

                   Explanatory sections form part of this Act but are not operative provisions. In interpreting an operative provision, explanatory sections may only be considered for limited purposes. They are set out in section 29‑10.

4‑10  Other material

                   The other category consists of material such as notes and examples. These also form part of the Act. They are distinguished by type size from the operative provisions (except for formulas), but are not kept separate from them.


 

Part 2Wine tax

Division 5General rules for taxability

5‑1  What this Division is about

Liability for wine tax centres around the concept of an assessable dealing. This concept is defined in the Assessable Dealings Table and the sections following the table.

5‑5  General rules for taxing assessable dealings

             (1)  The *Assessable Dealings Table sets out all the *assessable dealings that can be subject to wine tax.

             (2)  If the time of an *assessable dealing (as specified in column 4 of the table) is on or after 1 July 2000, and no exemption applies under Division 7, then:

                     (a)  the dealing is a *taxable dealing; and

                     (b)  the entity specified in column 3 is the entity liable to the tax; and

                     (c)  the tax becomes payable at the time of the dealing, as specified in column 4.

However, an assessable dealing (other than a *customs dealing) is a taxable dealing only if the entity specified in column 3 is *registered or *required to be registered.

Note:          Under Part 5, amounts of wine tax, on assessable dealings (other than customs dealings), are included in your net amount under the GST system.

             (3)  To calculate the amount of the tax:

                     (a)  determine the *taxable value of the dealing under Division 9; and

                     (b)  multiply the result by 29%.

Note:          The amount of tax is reduced for some importations (e.g. accompanied baggage of passengers) that are free of customs duty (see section 5‑40).

             (4)  The table does not apply to a dealing with wine unless the wine is *assessable wine immediately before the time of the dealing, and is in *Australia at the time of the dealing.

 

Assessable Dealings Table

Column 1

No.

Column 2

*Assessable dealing

Column 3

*Entity liable

Column 4

Time of dealing

Column 5

Normal taxable value

Part A—Australian Wine

AD1a

*wholesale sale by an entity that *manufactured the wine in the course of any business

seller

time of sale

the *price (excluding wine tax and *GST) for which the wine was sold

AD1b

*wholesale sale by an entity that is not the *manufacturer of the wine

seller

time of sale

the *price (excluding wine tax and *GST) for which the wine was sold

AD2a

*retail sale by an entity that *manufactured the wine in the course of any business

seller

time of sale

the *notional wholesale selling price

AD2b

*retail sale by an entity that is not the *manufacturer of the wine, but that *obtained the wine under quote; excludes case covered by AD2d

seller

time of sale

the *notional wholesale selling price

AD2c

*royalty‑inclusive sale

seller

time of sale

the amount that would be the *notional wholesale purchase price of the wine if the *manufacturer had incurred the *eligible royalty costs

AD2d

*indirect marketing sale

seller

time of sale

the *notional wholesale selling price

AD2e

*untaxed sale by an entity that is not the *manufacturer of the wine

seller

time of sale

the *notional wholesale selling price

AD2f

*retail sale, in the course of any business, of wine that is placed in *containers at a time after wine tax became payable on the wine by a person other than the seller

seller

time of sale

the *notional wholesale selling price

AD3a

*untaxed AOU by an entity that is not the *manufacturer of the wine

applier

time of *AOU

the *notional wholesale selling price

AD3b

*AOU by an entity that manufactured the wine in the course of any business

applier

time of *AOU

the *notional wholesale selling price

AD3c

*AOU by an entity that is not the *manufacturer of the wine, but that *obtained the wine under quote

applier

time of *AOU

(a) the purchase *price (excluding *GST), if the wine was *purchased under quote;

(b) in other cases, the *notional wholesale selling price

AD3d

*royalty‑inclusive AOU

applier

time of *AOU

the amount that would be the *notional wholesale purchase price of the wine if the *manufacturer had incurred the *eligible royalty costs

AD4b

removal from a *customs clearance area of *airport shop goods purchased by a *relevant traveller from an *inwards duty free shop

*relevant traveller

time at which wine tax is payable under section
23‑5

the *price for which the wine was purchased by the *relevant traveller


 

Assessable Dealings Table

Column 1

No.

Column 2

*Assessable dealing

Column 3

*Entity liable

Column 4

Time of dealing

Column 5

Normal taxable value

Part B—Imported Wine

AD10

*local entry

entity that makes the *local entry

time at which wine tax is payable under section
23‑5

the *GST importation value

AD11b

*wholesale sale by any entity

seller

time of sale

the *price (excluding wine tax and *GST) for which the wine was sold

AD12b

*retail sale by an entity that *obtained the wine under quote; excludes case covered by AD12d

seller

time of sale

the *notional wholesale selling price

AD12c

*royalty‑inclusive sale

seller

time of sale

the amount that would be the *notional wholesale purchase price of the wine if the entity that *imported the wine had incurred the *eligible royalty costs

AD12d

*indirect marketing sale

seller

time of sale

the *notional wholesale selling price

AD12e

*untaxed sale

seller

time of sale

the *notional wholesale selling price

AD12f

*retail sale, in the course of any business, of wine that is placed in *containers at a time after wine tax became payable on the wine by a person other than the seller

seller

time of sale

the *notional wholesale selling price

AD13a

*untaxed AOU

applier

time of *AOU

the*notional wholesale selling price

AD13c

*AOU by an entity that *obtained the wine under quote

applier

time of *AOU

(a) if the wine was *purchased under quote: the purchase *price (excluding *GST);

(b) if the wine was *locally entered under quote by the applier: the *GST importation value

AD13d

*royalty‑inclusive AOU

applier

time of *AOU

the amount that would be the *notional wholesale purchase price of the wine if the entity that *imported the wine had incurred the *eligible royalty costs

AD14b

removal from a *customs clearance area of *airport shop goods purchased by a *relevant traveller from an *inwards duty free shop

*relevant traveller

time at which wine tax is payable under section
23‑5

the *price for which the wine was purchased by the *relevant traveller

Note:          The numbering of items in the table uses the following pattern:

                   For Australian wine, the dealings are divided into 4 groups:

·       wholesale sales begin with AD1

·       retail sales begin with AD2

·       an AOU begins with AD3

·       miscellaneous dealings begin with AD4.

                   Imported wine has an additional class of local entry (AD10). The other dealings with imported wine have a number that is 10 higher than the broadly corresponding dealing with Australian wine. For example, AD12b for imported wine corresponds to AD2b for Australian wine.

5‑10  Sale time brought forward if purchaser uses the wine before title passes

             (1)  This section applies to an *assessable dealing that consists of a sale, if the purchaser uses the wine after the time when the contract is made but before the time when title is to pass to the purchaser under the contract.

             (2)  The time when the purchaser first so uses the wine is taken to be the time of the sale for the purposes of the *wine tax law.

5‑15  Royalty‑inclusive sale (AD2c and AD12c) or AOU (AD3d and AD13d)

             (1)  A *retail sale, or an *AOU, of wine (the current wine) by you in the course of a business is a royalty‑inclusive sale or a royalty‑inclusive AOU respectively if the following conditions are met:

                     (a)  *eligible royalty costs have been incurred at or before the time of the sale or AOU, or could reasonably be expected to be incurred after the time of the sale or AOU, by any or all of the following:

                              (i)  you;

                             (ii)  your *associate;

                            (iii)  any entity (other than the *manufacturer) under an arrangement with you or with your associate;

                     (b)  the sale or AOU is not covered by another category of *assessable dealing in the *Assessable Dealings Table.

             (2)  Eligible royalty cost is a *royalty that is paid or payable in connection with the current wine, except where the amount was paid or payable by any entity before 24 March 1999.

5‑20  Indirect marketing sale (AD2d and AD12d)

                   A sale of *assessable wine is an indirect marketing sale if it is a *retail sale made by an entity (the marketer) that is not the *manufacturer of the wine and the sale is made:

                     (a)  under an arrangement that provides for the sale of the wine to be made by an entity that is acting for the marketer but is not an employee of the marketer; or

                     (b)  from premises that:

                              (i)  are used, mainly for making retail sales of wine, by an entity or entities other than the marketer; and

                             (ii)  are held out to be premises of, or premises used by, the other entity or entities.

5‑25  Untaxed sale (AD2e and AD12e) or AOU (AD3a and AD13a)

             (1)  A *retail sale of wine by you is an untaxed sale unless:

                     (a)  you *obtained the wine under quote; or

                     (b)  the wine has previously passed through a taxing point; or

                     (c)  the sale is an *indirect marketing sale.

             (2)  An *AOU, in the course of any business, by you is an untaxed AOU unless:

                     (a)  you *obtained the wine under quote; or

                     (b)  the wine has previously passed through a taxing point.

             (3)  For the purposes of this section, wine is taken to have passed through a taxing point only if:

                     (a)  the wine has been the subject of a *taxable dealing; or

                     (b)  the wine has been the subject of an *assessable dealing that was exempted because you could not be taxed or were entitled to an exemption arising outside the *wine tax law; or

                     (c)  the wine has been the subject of sales tax within the meaning of the former Sales Tax Assessment Act 1992; or

                     (d)  section 5 of the former Sales Tax Amendment (Transitional) Act 1992 applies to the wine (whether or not the wine would, but for that section, have been subject to sales tax under the former Sales Tax Assessment Act 1992).

Note:       Section 5 ensured that goods subject to sales tax under the pre‑1992 sales tax law were not also taxable under the 1992 sales tax law.

5‑30  Local entry of imported wine (AD10)

             (1)  The Local Entry Table sets out the situations that amount to a local entry of *imported wine for the purposes of the *wine tax law. The rest of this section deals with situations involving the withdrawal of a customs entry, or multiple local entries of the same wine.

             (2)  The withdrawal of the customs entry underlying a formal local entry (the earlier local entry) usually has the effect that the earlier local entry is taken never to have happened. However, if:

                     (a)  there is a later formal local entry after the withdrawal; and

                     (b)  the tax on that later entry would be less than the tax on the earlier local entry;

then the earlier local entry is taken never to have been extinguished and the later entry is taken never to have happened.

             (3)  If a formal local entry happens after a deemed local entry, the formal local entry is taken never to have happened.

             (4)  If a deemed local entry happens after a formal local entry, the formal local entry is taken never to have happened.

             (5)  In this section:

customs entry means an entry for home consumption under the Customs Act 1901.

deemed local entry means a local entry that is not a formal local entry.

formal local entry means a local entry covered by *LE1 or *LE2 in the Local Entry Table.

 

Local Entry Table

Column 1

No.

Column 2

Situation giving rise to local entry

Column 3

*Entity to be regarded as making the local entry

LE1

the wine is taken to have been entered for home consumption under subsection 71A(7) or 71DB(7) of the Customs Act 1901

owner (within the meaning of the Customs Act 1901) of the wine

LE2

the wine is taken to have been entered for home consumption under subsection 71A(8) or 71DB(8) of the Customs Act 1901

owner (within the meaning of the Customs Act 1901) of the wine

LE3

the wine is delivered into home consumption under section 71 of the Customs Act 1901

entity authorised under section 71 of the Customs Act 1901 to deliver the wine

LE4

the wine is sold under section 72, 87 or 96 of the Customs Act 1901

entity that bought the wine

LE5

the wine is delivered to an entity under section 208 of the Customs Act 1901

entity to which the wine is delivered

LE6

the wine is delivered to an entity under a court order made in an action under the Customs Act 1901 for condemnation or recovery of the wine

entity to which the wine is delivered

LE7

the wine is delivered to an entity under a court order made in an action for a declaration that the wine is not forfeited under the Customs Act 1901

entity to which the wine is delivered

LE8

the wine has been seized under a warrant issued under section 203 of the Customs Act 1901, or under section 203B or 203C of that Act, and is delivered to an entity on the basis that it is not forfeited goods

entity to which the wine is delivered

LE9

delivery of the wine is authorised under subsection 209(6) of the Customs Act 1901

entity to which the wine is delivered or is to be delivered

LE10

a demand is made under section 35A or 149 of the Customs Act 1901 in relation to the wine

entity on which the demand is made

LE11

the wine is treated as entered for home consumption under subsection 96A(12) of the Customs Act 1901

entity treated under section 96A of the Customs Act 1901 as having entered the wine for home consumption

LE12

the wine is taken out of a warehouse under a permission granted under section 97 of the Customs Act 1901 and is not returned to the warehouse before the expiration of the period specified in the permission

entity to which the permission is given

LE14

the wine is taken into home consumption in accordance with a permission granted under section 77D of the Customs Act 1901

entity to which the permission is granted

LE14A

the wine is *tradex scheme goods, and any of the circumstances referred to in subsection 21(1) of that Act have occurred in respect of any of the wine

holder (within the meaning of the Tradex Scheme Act 1999) of the *tradex order relating to the wine

LE15

the wine is not covered by any other item in this table but is *imported, and is not entered for home consumption as required under the Customs Act 1901

owner (within the meaning of the Customs Act 1901) of the wine


 

Division 7Exemptions

7‑1  What this Division is about

In some circumstances, a dealing with wine is exempt from wine tax even if it is an assessable dealing.

7‑5  Exemption for dealings that are GST‑free supplies or non‑taxable importations

                   An *assessable dealing is not taxable if the dealing is:

                     (a)  a *supply that is *GST‑free (other than because of Subdivision 38‑D (child care) of the *GST Act); or

                     (b)  a *local entry relating to an *importation that is a *non‑taxable importation.

7‑10  Exemptions based on quoting

             (1)  A sale is not taxable if the purchaser *quotes for the sale at or before the time of the sale.

             (2)  A *customs dealing is not taxable if the entity that would, apart from this subsection, be liable for the wine tax on the dealing *quotes for the dealing at or before the time of the dealing.

7‑15  Exemptions based on Schedule 4 to the Customs Tariff Act 1995

             (1)  A *customs dealing is not taxable if it is an *importation of wine covered by item 4, 8, 15, 18A, 18B, 18C, 21, 21A, 24 or 33B in Schedule 4 to the *Customs Tariff.

             (2)  To avoid doubt, a reference to wine that is covered by an item in Schedule 4 to the *Customs Tariff includes a reference to goods to which that item would apply apart from the operation of subsection 18(1) of the Customs Tariff Act 1995.

7‑20  Exemption for local entry if wine has been taxed while in bond

                   A *local entry of wine is not taxable if you or anyone else became liable to tax on a previous *assessable dealing with the wine while it was in bond or under the control of *Customs.

7‑25  Goods returned to Australia in an unaltered condition

             (1)  A *local entry of wine is not taxable if:

                     (a)  the wine was exported from Australia and is returned to Australia, without having been subject to any treatment, industrial processing, alteration or any other process since its export; and

                     (b)  the importer was not entitled to, and did not claim, a payment under Division 25 (about the tourist refund scheme) related to the export of the wine; and

                     (c)  the importer:

                              (i)  is the manufacturer of the wine; or

                             (ii)  has previously acquired the wine, and the supply by means of which the importer acquired the wine was a *taxable dealing; or

                            (iii)  has previously imported the goods, and the previous importation was a *taxable dealing.

             (2)  A *local entry of wine is not taxable if:

                     (a)  the importer had manufactured, acquired or imported the wine before 1 July 2000; and

                     (b)  the wine was exported from Australia before, on or after 1 July 2000; and

                     (c)  the wine is returned to Australia on or after 1 July 2000, without having been subject to any treatment, industrial processing, alteration or any other process since its export; and

                     (d)  the importer was not entitled to, and did not claim, a payment under Division 25 (about the tourist refund scheme) related to the export of the wine; and

                     (e)  the ownership of the wine when it is returned to Australia is the same as its ownership on 1 July 2000.

Note:          An importation covered by this section may also be duty‑free under item 17 of Schedule 4 to the Customs Tariff Act 1995.


 

Division 9Taxable value

9‑1  What this Division is about

In most cases, the taxable value of an assessable dealing is multiplied by the rate of wine tax to calculate the amount of wine tax.

Subdivision 9‑AGeneral rules for working out taxable value

9‑5  How to work out the taxable value of a taxable dealing

             (1)  The general rules for calculating the taxable value are set out in the *Assessable Dealings Table.

             (2)  In some cases, the *Assessable Dealings Table refers to the *notional wholesale selling price as the *taxable value. Subdivision 9‑B sets out how to work out the notional wholesale selling price.

             (3)  In some cases, amounts must be added to the amount set out in the *Assessable Dealings Table. These additions are set out in Subdivision 9‑C.

             (4)  In working out the *taxable value of wine, any rebate, refund or other payment or credit made by a State or Territory in respect of the wine is to be disregarded.

9‑10  Agreement with Commissioner regarding calculation of taxable value

             (1)  The Commissioner may enter into an agreement with you about calculating the *taxable values of particular *taxable dealings for which you are liable for the wine tax.

             (2)  So far as the agreement is inconsistent with this Act, the agreement prevails.

Subdivision 9‑BNotional wholesale selling price

9‑25  The 2 methods of working out notional wholesale selling prices for retail dealings with grape wine

             (1)  There are 2 methods for working out the notional wholesale selling price for a *taxable dealing that is either:

                     (a)  a *retail sale of *grape wine; or

                     (b)  an *AOU connected with retail sales of wine that is grape wine.

             (2)  The *half retail price method is used unless you have chosen under subsection (3) to use the *average wholesale price method.

             (3)  You may choose to use the *average wholesale price method if, during the *tax period in respect of which you are liable to pay wine tax on the dealing, at least 10% by value of all your sales of *grape wine that:

                     (a)  is of the same vintage as the grape wine to which the dealing relates; and

                     (b)  is produced from the same grape varieties, or the same blend of grape varieties, as the grape wine to which the dealing relates;

are *wholesale sales.

9‑30  Working out notional wholesale selling prices for retail dealings with wine that is not grape wine

                   The notional wholesale selling price for a *taxable dealing that is either:

                     (a)  a *retail sale of wine that is not *grape wine; or

                     (b)  an *AOU connected with retail sales of wine that is not grape wine;

is worked out using the *half retail price method.

9‑35  The half retail price method

             (1)  The notional wholesale selling price for a *retail sale of *grape wine, worked out using the half retail price method, is 50% of the *price of the sale.

             (2)  The notional wholesale selling price for an *AOU connected with retail sales of grape wine, worked out using the half retail price method, is 50% of the *price for which you would normally have sold the wine if the sale were a *retail sale.

9‑40  The average wholesale price method

                   The notional wholesale selling price for a *retail sale of *grape wine, or for an *AOU connected with retail sales of grape wine, worked out using the average wholesale price method is the weighted average of the *prices (excluding wine tax and *GST) for *wholesale sales that you have made of grape wine that:

                     (a)  is of the same vintage as the grape wine to which the retail sale or AOU relates; and

                     (b)  is produced from the same grape varieties, or the same blend of grape varieties, as the grape wine to which the retail sale or AOU relates;

during the *tax period in respect of which you are liable to pay wine tax on the retail sale or AOU.

Example:    If, during a tax period, you make 70% of wholesale sales of grape wine of a particular vintage and variety at $80 per dozen, and the remaining 30% at $90 per dozen, the weighted average of the wholesale prices for wholesale sales during the tax period is:

9‑45  Notional wholesale selling prices for other dealings

                   The notional wholesale selling price for a taxable dealing with wine that is neither:

                     (a)  a *retail sale of wine; nor

                     (b)  an *AOU connected with retail sales of wine;

is the *price (excluding wine tax and *GST) for which you could reasonably have been expected to sell the wine by wholesale under an arm’s length transaction.

Subdivision 9‑CAdditions to taxable value

9‑65  Taxable dealing with wine that is the contents of a container

             (1)  This section deals with situations in which a *container is associated with wine (the contents) that is the subject of a *taxable dealing. The aim of this section is to ensure that the *taxable value will include a component for the container, even though the parties may have allocated a separate amount to the container.

             (2)  If:

                     (a)  the *taxable value of the dealing is calculated by reference to the *price (excluding wine tax and *GST) for which the contents were sold; and

                     (b)  the parties have allocated a separate amount to the *container;

then the taxable value is *increased by so much of the value of the container as is recouped by the seller in connection with the sale of the contents.

             (3)  If the *taxable value of the dealing is not calculated as mentioned in subsection (2), then the taxable value is *increased by so much of the value of the *container as could reasonably be expected to have been recouped by you in connection with a hypothetical sale of the contents at the time of the actual *taxable dealing with the contents.

9‑70  Assessable dealings with wine that involve the payment of an associated royalty

             (1)  If a *royalty is paid or payable, or likely to be paid or payable, in connection with any of the following events in respect of particular wine:

                     (a)  the *manufacture of the wine;

                     (b)  the *importation or *local entry of the wine;

                     (c)  a sale of the wine;

then the *taxable value of any *taxable dealing with that wine that happens at or after that event includes the amount or value of the royalty.

             (2)  Royalty is any amount to the extent to which it is paid or payable (whether or not periodically) as consideration for any of the following things (or for the right to do them):

                     (a)  doing anything that would be an infringement of copyright if it were done without the licence of the copyright owner;

                     (b)  making, using, exercising or vending an invention (each of those terms having the meaning it has in the Patents Act 1990);

                     (c)  using a design that is of a kind capable of being registered under the Designs Act 2003 (whether or not it is registered under that Act or under any other law);

                     (d)  using a trade mark that is of a kind capable of being registered under the Trade Marks Act 1995 (whether or not it is registered under that Act or under any other law), but not including a mark that relates to a service;

                     (e)  using confidential information;

                      (f)  using machinery, implements, apparatus or other equipment;

                     (g)  *supplying scientific, technical, industrial, commercial or other knowledge or information;

                     (h)  supplying assistance that is ancillary to, and is supplied as a means of enabling the application or enjoyment of, any matter covered by paragraphs (a) to (g);

                      (i)  a total or partial forbearance in respect of any matter covered by paragraphs (a) to (h).

Terms used in paragraph (a) of this definition have the same meaning as in the Copyright Act 1968.

9‑75  Assessable dealing with wine in bond

                   If a *taxable dealing happens while the wine is in bond or otherwise subject to the control of *Customs, the *taxable value is *increased by the amount of *customs duty to which the wine would have been subject if it had been entered for home consumption under the Customs Act 1901 at the time of the taxable dealing.

9‑80  Amounts not to be added if they are already included in the taxable value

                   This Subdivision does not add any amount to the *taxable value so far as it would already be included in the taxable value.


 

Part 3Quoting

Division 13Quoting for dealings in wine

13‑1  What this Division is about

In certain circumstances you can quote for a dealing with wine. This is designed to avoid the wine tax becoming payable on sales preceding the last wholesale sale. (Under section 7‑10, wine tax is not payable on a sale for which the purchaser has quoted.)

13‑5  Standard grounds for quoting ABN

             (1)  You are entitled to *quote your *ABN for a dealing with wine if, at the time of quoting, you have the intention of dealing with the wine in any of the following ways:

                     (a)  selling the wine by *wholesale, or by *indirect marketing sale, while the wine is in *Australia;

                     (b)  selling the wine, by any kind of sale, while it is in Australia (this ground is available only if you are mainly a wholesaler at the time of quoting);

                     (c)  using the wine as a material in *manufacture or other treatment or processing, whether or not it relates to or results in other wine;

                     (d)  making a *supply of the wine that will be *GST‑free.

             (2)  However, you are not entitled to *quote unless you are *registered.

             (3)  For the purposes of paragraph (1)(b), you are mainly a wholesaler at the quoting time only if:

                     (a)  *wholesale sales and *indirect marketing sales account for more than half of the total value of all sales of *assessable wine by you during the 12 months ending at the quoting time; or

                     (b)  you have an expectation (based on reasonable grounds) that wholesale sales and indirect marketing sales will account for more than half of the total value of all sales of assessable wine by you during the 12 months starting at the quoting time.

For this purpose, the value of a sale of wine is the *price for which the wine is sold.

13‑10  Additional quoting grounds in special circumstances

                   The Commissioner may (if you are *registered) authorise you to *quote your *ABN in special circumstances in which you would not otherwise be entitled to quote.

13‑15  Periodic quoting

             (1)  You may make a periodic *quote under this section for purchases that you propose to make from an entity (the supplier) during the period, not exceeding 12 months, covered by the periodic quote.

             (2)  If you make such a periodic *quote on or before the first day of the period to which the quote relates, you are treated as having quoted your *ABN for all purchases during the period from the *supplier, other than purchases in respect of which you have notified the supplier in accordance with subsection (3).

             (3)  If you are not entitled to *quote for a particular purchase from the *supplier during the period, you must notify the supplier of that fact at or before the time of the purchase. The notification must be in the *approved form.

             (4)  You are guilty of an offence if you contravene subsection (3).

Maximum penalty: 20 penalty units.

Note 1:       Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2:       See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

             (5)  Section 13‑30 applies to a *quote that you are treated as having made under subsection (2) of this section for a particular purchase.

13‑20  Manner in which quote must be made

             (1)  A *quote (including a periodic quote) must be made in the *approved form.

             (2)  A *quote for a dealing is not effective unless it is made at or before the time of the dealing.

13‑25  Incorrect quote nevertheless effective for certain purposes

                   If you *quote in circumstances in which you are not entitled to quote, or the quote is not in the *approved form, the quote is nevertheless:

                     (a)  effective for the purposes of Subdivision 31‑D; and

                     (b)  effective for the purpose of section 7‑10, unless section 13‑30 applies.

13‑30  Quote not effective for certain purposes if there are grounds for believing it was improperly made

                   A *quote is not effective, so far as it would have resulted in an exemption or a ground for a *CR6 wine tax credit, if at the time of the quote the entity to which the quote is made has reasonable grounds for believing that:

                     (a)  you are not entitled to quote in the particular circumstances; or

                     (b)  the quote is not made in the *approved form; or

                     (c)  the quote is false or misleading in a material particular (either because of something stated in the quote or something left out).

13‑35  Improper quoting is an offence

                   You must not, in relation to any dealing with wine:

                     (a)  quote an *ABN for the purposes of this Act:

                              (i)  in circumstances in which you are not entitled to quote; or

                             (ii)  in contravention of subsection 13‑20(1); or

                     (b)  in any other way falsely quote an ABN.

Maximum penalty: 20 penalty units.

Note 1:       Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2:       See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

Note 3:       Section 23 of the A New Tax System (Australian Business Number) Act 1999 provides penalties for misuse of ABNs.


 

Part 4Wine tax credits

Division 17Wine tax credits

17‑1  What this Division is about

Wine tax credits can arise in a number of circumstances. Generally speaking, they prevent wine tax applying more than once to the same goods.

Note:          If you are in the GST system, wine tax credits are included in your net amounts (see Part 5). If you are not in the GST system, you can claim wine tax credits under this Part. Producer rebates under Division 19 are a form of wine tax credit.

17‑5  Wine tax credit entitlements

             (1)  The *Wine Tax Credit Table sets out the situations in which you are entitled to a *wine tax credit.

             (2)  You are not entitled to a *wine tax credit for an amount of tax for which a wine tax credit entitlement has previously arisen (whether for you or another entity).

             (3)  You are not entitled to a *wine tax credit unless you make a claim for the wine tax credit under section 17‑10.

 

Wine Tax Credit Table

No.

Summary of ground

Details of ground

Amount of *wine tax credit

Time *wine tax credit arises

CR1

Tax overpaid

You have paid an amount as wine tax that was not legally payable.

the amount overpaid, to the extent that you have not *passed it on

when the amount became overpaid

CR2

You have *borne wine tax, even though entitled to *quote

You have *borne wine tax on a *tax‑bearing dealing for which you were entitled to *quote (whether or not you quoted). You have not sold the wine. If you have applied the wine to own use, the *AOU would not have been taxable, assuming it were an *assessable dealing.

the *wine tax borne, to the extent that you have not *passed it on

time of the *tax‑bearing dealing

CR3

You are liable to tax because *quote ineffective under section 13‑30

You have become liable to wine tax on an *assessable dealing (or have lost an entitlement to a *CR6 wine tax credit) because section 13‑30 applied to an otherwise fully effective *quote that was made to you.

the wine tax payable on the *assessable dealing (or the amount to which the *CR6 wine tax credit would have related), to the extent that you have not *passed it on

time of the *assessable dealing (or time *CR6 wine tax credit would have arisen)

CR4

Avoiding double tax on the same wine

You have become liable to wine tax on an *assessable dealing (the current dealing), but have *borne wine tax on the wine before the time of the current dealing.

the wine tax previously *borne on the wine

time of the current dealing

CR5

Ensuring exemption where latest *assessable dealing is non‑taxable

*Assessable dealing (the current dealing) is not taxable (for any reason except section 7‑20). You:

(a) would be liable to the wine tax on the current dealing if it were taxable; and

(b) have *borne wine tax on the wine before the time of the current dealing.

the wine tax previously *borne on the wine

time of the current dealing

CR6

Tax excluded from sale *price of tax‑paid wine sold to *quoting purchaser

You have sold wine, to a purchaser who *quoted on the sale, for a *price that excluded some or all of the wine tax previously *borne by you on the wine.

the wine tax excluded from sale *price

time of sale

CR7

Ensuring no double tax in respect of *containers

You are liable to the wine tax on an *assessable dealing with wine that is the contents of a *container. You have *borne wine tax on the container.

the *wine tax borne on the *container

time of the *assessable dealing

CR8

Replacement of defective wine

You have *borne wine tax on *assessable wine used for the purpose of replacing other wine because of defects in the other wine.

*wine tax borne on replacement wine

time of replacement

CR9

*Producer rebate

An *assessable dealing is made in circumstances that entitle you to a producer rebate under Division 19.

the amount of the producer rebate under Division 19

immediately before the end of the financial year in which the assessable dealing occurs

CR10

Wine *exported by you while still *assessable wine

Wine on which you have *borne wine tax has been *exported by you while still *assessable wine.

the *wine tax borne

time of *export

CR11

Tax excluded from sale *price of *GST‑free supply of tax paid wine

You sold wine for a *price that excluded some or all of the wine tax previously *borne by you on the wine, and the sale was a *GST‑free supply of the wine.

wine tax excluded from sale *price

time of sale

CR13

Refund of *customs duty following destruction of *imported wine

You have become liable to wine tax on a *local entry of wine that was *imported under a contract of sale. You rejected the wine for non‑compliance with the contract and the wine was destroyed. The Commissioner is satisfied that the destruction is or would be ground for remission of *customs duty on the wine.

wine tax payable on the *local entry

time of destruction of the wine

CR14

Drawback of *customs duty on *imported wine

You have become liable to wine tax on a *local entry of wine for which drawback of *customs duty has been allowed under section 168 of the Customs Act 1901 (or, in the Commissioner’s opinion, would have been allowed if wine had been liable to duty).

wine tax payable on the *local entry

time when drawback was allowed (or would have been allowed)

CR15

Sale *price written off as bad debt

You have:

(a) paid wine tax on an *assessable dealing that is a sale and later written off some or all of the *price for which the wine was sold; or

(b) paid wine tax on an assessable dealing that is a *local entry (other than an *LE4) and later written off some or all of the price for which the wine was first sold by you after the local entry.

a proportion of the wine tax paid that is equal to the proportion of the debt written off

time of writing off

17‑10  Claims for wine tax credits

             (1)  If you are *registered or *required to be registered, you may make a claim for a *wine tax credit (other than a claim for a *producer rebate under subsection 19‑5(2)) by including the amount of the wine tax credit in the *reduction of your *net amount for the*tax period in question under section 21‑15.

             (2)  If you are not *registered or *required to be registered, you may make a claim for a *wine tax credit (other than a claim for a *producer rebate under subsection 19‑5(2)) in the *approved form. The claim must be accompanied by such supporting evidence as the Commissioner requires.

          (2A)  If you are a *New Zealand participant, you may make a claim for a *wine tax credit under subsection 19‑5(2) in the *approved form. The claim must be accompanied by such supporting evidence as the Commissioner requires.

          (2B)  The Commissioner may determine, by legislative instrument, the time or times during which claims for *wine tax credits under subsection 19‑5(2) may be made.

             (3)  A claim under subsection (2) or (2A) must be lodged with the Commissioner within 4 years after the time when the *wine tax credit arises.

17‑15  Commissioner not required to consider credit claims for less than $200

                   The Commissioner is not required to consider a claim under subsection 17‑10(2) or (2A) for a *wine tax credit if the total amount claimed is less than $200.

17‑20  Wine tax credits to be applied against tax liabilities and excess refunded

                            If you have claimed under subsection 17‑10(2) or (2A) a *wine tax credit to which you are entitled, the Commissioner must apply the wine tax credit under Division 3 of Part IIB of the Taxation Administration Act 1953.

17‑25  Excess wine tax credits must be repaid

                   If the amount applied by the Commissioner in accordance with section 17‑20 is more than the amount of the *wine tax credit to which you are properly entitled, the excess is to be treated as if it were wine tax that became payable, and due for payment, by you at the time when it was applied.

Note:          The main effect of treating the amount as if it were tax is to apply the collection and recovery rules in Part 3‑10 in Schedule 1 to the Taxation Administration Act 1953.

17‑30  Clawback of CR15 wine tax credit on later recovery of bad debt

             (1)  A *wine tax credit under *CR15 in relation to an amount written off by you as a bad debt is subject to the condition that you are liable to pay an amount under this section if you later recover some or all of the amount written off.

             (2)  The amount payable by you is calculated using the following formula:

             (3)  The amount is to be treated as if it were wine tax that became payable by you at the time of recovery of the bad debt, and, for the purposes of Part 5, were attributable to the *tax period in which the recovery happened.

Note:          The main effect of treating the amount as if it were wine tax is to apply the collection and recovery rules in Part 3‑10 in Schedule 1 to the Taxation Administration Act 1953.

17‑35  Clawback of CR8 wine tax credit on later sale of defective wine

             (1)  A *wine tax credit under *CR8 for wine tax on wine that was used to replace defective wine is subject to the condition that you are liable to pay an amount under this section if you later sell the defective wine.

             (2)  The amount payable by you is calculated using the following formula:

             (3)  The amount is to be treated as if it were wine tax that became payable by you at the time of the later sale of the defective wine, and, for the purposes of Part 5, were attributable to the *tax period in which the later sale happened.

Note:          The main effect of treating the amount as if it were wine tax is to apply the collection and recovery rules in Part 3‑10 in Schedule 1 to the Taxation Administration Act 1953.

17‑37  Clawback of CR10 wine tax credit on later sale

             (1)  A *wine tax credit under *CR10 in relation to wine that is *exported is subject to the condition that you are liable to pay an amount equal to the credit if:

                     (a)  the wine is returned to Australia; and

                     (b)  the *local entry of the wine is not taxable because of:

                              (i)  paragraph 7‑5(b) (as it operates because of section 42‑10 of the *GST Act); or

                             (ii)  section 7‑25; and

                     (c)  you later sell the wine by *retail sale or there is a later *AOU of the wine.

             (2)  The amount is to be treated as if it were wine tax that became payable by you at the time of the later sale or later *AOU of the wine, and, for the purposes of Part 5, were attributable to the *tax period in which the later sale or later AOU happened.

Note:          The main effect of treating the amount as if it were wine tax is to apply the collection and recovery rules in Part 3‑10 in Schedule 1 to the Taxation Administration Act 1953.

17‑40  Agreement with Commissioner regarding wine tax credits

             (1)  The Commissioner may enter into an agreement with you regarding the manner of calculating and claiming *wine tax credits to which you are entitled.

             (2)  So far as the agreement is inconsistent with this Act, the agreement prevails.

17‑45  Notifying disallowance of wine tax credit claim

                   If the Commissioner decides to disallow the whole or a part of a claim for a *wine tax credit, the Commissioner must notify you of the decision.

Note:          Disallowing the whole or a part of a claim for a wine tax credit is a reviewable wine tax decision (see Subdivision 111‑C in Schedule 1 to the Taxation Administration Act 1953).


 

Division 19Producer rebates

  

19‑1  What this Division is about

Wine producers are entitled to a rebate for certain dealings in wine. The rebate is provided in the form of a wine tax credit.

Note:          Credit ground CR9 is producer rebates.

19‑5  Entitlement to producer rebates

             (1)  You are entitled to a *producer rebate for *rebatable wine for a *financial year if you are the *producer of the wine and:

                     (a)  you are liable to wine tax for a *taxable dealing in the wine during the financial year; or

                     (b)  you would have been liable to wine tax for a dealing in the wine during the financial year had the purchaser not *quoted for the sale at or before the time of the sale.

             (2)  You are entitled to a *producer rebate for *rebatable wine for a *financial year if:

                     (a)  you are approved as a *New Zealand participant; and

                     (b)  the wine was *produced by you in *New Zealand and exported to *Australia; and

                     (c)  you, or another entity, paid wine tax for a *taxable dealing in the wine during the financial year.

19‑7  Approval as New Zealand participant

             (1)  You may apply, in writing, in the *approved form, to the Commissioner for approval as a *New Zealand participant.

             (2)  You are eligible to be approved as a *New Zealand participant if the Commissioner is satisfied, on the basis of your application and any other relevant information of which the Commissioner becomes aware, that:

                     (a)  you are a *producer of *rebatable wine in *New Zealand; and

                     (b)  the rebatable wine has been, or is likely to be, exported to *Australia.

             (3)  If the Commissioner, after consideration of your application, is satisfied of the matters referred to in subsection (2) in relation to you, the Commissioner must, by written instrument, approve you as a *New Zealand participant.

             (4)  The Commissioner must decide the date of effect of that approval and include that date in the instrument of approval. That date may be the day of the decision, or a day before or after that day.

Note:          Deciding under this subsection the date of effect of any approval of an entity as a New Zealand participant is a reviewable wine tax decision (see Subdivision 111‑C in Schedule 1 to the Taxation Administration Act 1953).

             (5)  If the Commissioner approves you as a *New Zealand participant, the Commissioner must, by notice in writing sent to you, inform you that you have been so approved and of the date from which the approval has effect.

             (6)  If the Commissioner, after consideration of your application, is not satisfied of the matters referred to in subsection (2) in relation to you, the Commissioner must:

                     (a)  by written instrument, refuse to approve you as a *New Zealand participant; and

                     (b)  by notice in writing sent to you, inform you that the Commissioner has so decided and of the reasons for that decision.

Note:          Refusing to approve an entity as a New Zealand participant is a reviewable wine tax decision (see Subdivision 111‑C in Schedule 1 to the Taxation Administration Act 1953).

             (7)  An instrument of approval under subsection (3) and an instrument refusing approval under subsection (6) are not legislative instruments.

19‑8  Revoking an approval as a New Zealand participant

             (1)  If, at any time, the Commissioner becomes aware that you cease to satisfy the criteria for approval as a *New Zealand participant, the Commissioner must, by written instrument, revoke your approval.

Note:          Revoking under this subsection the approval of an entity as a New Zealand participant is a reviewable wine tax decision (see Subdivision 111‑C in Schedule 1 to the Taxation Administration Act 1953).

             (2)  The Commissioner must decide the date of effect of that revocation and include that date in the instrument of revocation. That date may be the day of the decision, or a day before or after that day.

Note:          Deciding under this subsection the date of effect of any revocation of an approval as a New Zealand participant is a reviewable wine tax decision (see Subdivision 111‑C in Schedule 1 to the Taxation Administration Act 1953).

             (3)  If the Commissioner revokes your approval as a *New Zealand participant, the Commissioner must, by notice in writing sent to you, inform you that the Commissioner has revoked your approval, indicate the date from which the revocation has effect and of the reasons for revoking that approval.

             (4)  An instrument of revocation under subsection (1) is not a legislative instrument.

19‑9  Notification of changed circumstances

             (1)  An entity approved as a *New Zealand participant must notify the Commissioner in writing of any circumstances under which the Commissioner must revoke the approval. The notification must be given to the Commissioner within 21 days after the circumstances occurred.

             (2)  A notification under subsection (1) is not a legislative instrument.

19‑10  Exceptions

             (1)  You are not entitled to a *producer rebate because of paragraph 19‑5(1)(b) for a dealing in wine if the purchaser notifies you at or before the time of purchase that the purchaser intends to make a *supply of the wine that will be *GST‑free.

             (2)  You are not entitled to a *producer rebate because of subsection 19‑5(1) for a dealing in wine for which you are liable to wine tax if you have claimed a *wine tax credit, or a wine tax credit subsequently arises for you, for the dealing (except because of a producer rebate).

             (3)  You are not entitled to a *producer rebate because of subsection 19‑5(2) for a dealing in wine *produced in *New Zealand if:

                     (a)  the wine is exported from *Australia after that dealing; and

                     (b)  at the time of a claim for producer rebate in respect of that wine you were, or should reasonably have been, aware that the wine had been, or would be, so exported.

             (4)  You are not entitled to a *producer rebate because of subsection 19‑5(2) for a dealing in wine *produced in *New Zealand if a producer rebate has previously been paid in respect of the wine.

19‑15  Amount of producer rebates

             (1)  The amount of the *producer rebates to which you are entitled because of subsection 19‑5(1) for the wine for the *financial year is:

                     (a)  for *wholesale sales—29% of the *price (excluding wine tax and *GST) for which the wine was sold; and

                     (b)  for *retail sales and *AOUs—29% of the *notional wholesale selling price of the wine.

          (1A)  The amount of the *producer rebates to which you are entitled because of subsection 19‑5(2) for the wine for the *financial year is an amount equal to 29% of the approved selling price for the wine.

          (1B)  In working out the amount of the *producer rebate to which you are entitled because of subsection 19‑5(2), any component used to determine the approved selling price that is expressed in a currency other than Australian currency is to be treated as if it were an amount of Australian currency worked out in the manner determined, by legislative instrument, by the Commissioner.

          (1C)  In this section:

approved selling price, in relation to wine sold by a *New Zealand participant, means the participant’s selling price for the wine net of any expenses unrelated to the production of the wine in *New Zealand, including but not limited to:

                     (a)  expenses relating to transportation, freight and insurance, agent’s fees and any other costs associated with exportation of the wine from New Zealand and importation of the wine into *Australia; and

                     (b)  New Zealand and Australian taxes including customs duties.

             (2)  The maximum amount of *producer rebates to which a *producer is entitled for a *financial year under this Division is $500,000.

             (3)  However, if the *producer is an *associated producer of one or more other producers for a *financial year, the maximum amount of *producer rebates to which those producers are entitled as a group for the financial year under this Division is $500,000.

19‑20  Associated producers

             (1)  A *producer is an associated producer of another producer for a *financial year if, at the end of that financial year:

                     (a)  the producer would be *connected with the other producer if subsection 328‑125(8) of the *ITAA 1997 were omitted; or

                     (b)  the producer:

                              (i)  is under an obligation (whether formal or informal); or

                             (ii)  might reasonably be expected;

                            to act in accordance with the directions, instructions or wishes (however communicated) of the other producer in relation to the first producer’s financial affairs; or

                     (c)  the other producer:

                              (i)  is under an obligation (whether formal or informal); or

                             (ii)  might reasonably be expected;

                            to act in accordance with the directions, instructions or wishes (however communicated) of the first producer in relation to the other producer’s financial affairs.

             (2)  2 *producers are associated producers if each of them:

                     (a)  is under an obligation (whether formal or informal); or

                     (b)  might reasonably be expected;

to act in accordance with the directions, instructions or wishes (however communicated) of the same third entity in relation to their financial affairs.

             (3)  A *producer is an associated producer of another producer if:

                     (a)  the first producer:

                              (i)  is under an obligation (whether formal or informal); or

                             (ii)  might reasonably be expected;

                            to act in accordance with the directions, instructions or wishes (however communicated) of a third producer in relation to the first producer’s financial affairs; and

                     (b)  the third producer:

                              (i)  is under an obligation (whether formal or informal); or

                             (ii)  might reasonably be expected;

                            to act in accordance with the directions, instructions or wishes (however communicated) of the other producer in relation to the third producer’s financial affairs.

19‑25  Excess claims

             (1)  If the sum of the amounts of *producer rebates that you claim because of subsection 19‑5(1) for *tax periods during the *financial year exceeds the amount of the *producer rebates to which you are entitled in respect of the financial year, you are liable to pay an amount equal to that excess.

          (1A)  If the sum of the amounts of *producer rebates that you claim because of subsection 19‑5(2) for the *financial year exceeds the amount of the producer rebates to which you are entitled in respect of that financial year, you are liable to pay an amount equal to that excess.

             (2)  Subsection (3) applies if a *producer is an *associated producer of one or more other producers for a *financial year and the *producer rebates claimed by those producers as a group for the financial year under this Division is more than $500,000.

             (3)  Each *producer member of the group is jointly and severally liable to pay an amount equal to the excess. However, none of the individual producer members is liable to pay an amount that exceeds the sum of the amounts of *producer rebates that that producer claimed for the *financial year.

             (4)  An amount payable under this section is to be treated as if it were wine tax payable at the end of the *financial year, and, except in the case of a *New Zealand participant, for the purposes of Part 5, were attributable to the last tax period of the financial year.

Note:          The main effect of treating the amount as if it were wine tax is to apply the collection and recovery rules in Part 3‑10 in Schedule 1 to the Taxation Administration Act 1953.

             (5)  For the purposes of the application of Parts 3‑10 and 4‑1 in Schedule 1 to the Taxation Administration Act 1953, a *producer rebate under subsection 19‑5(2) is to be treated as a net amount.

19‑30  Obligation of purchasers

                   A person is guilty of an offence if:

                     (a)  the person purchases wine from a *producer and *quotes for the purchase; and

                     (b)  the person intends, at the time of the purchase, to make a supply of the wine that will be *GST‑free; and

                     (c)  the person does not notify the producer, in the *approved form, of that intention at or before the time of the purchase.

Maximum penalty: 20 penalty units.

Note 1:       Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2:       See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.


 

Part 5Payments and refunds of wine tax

Division 21Inclusion of wine tax and wine tax credits in net amounts

Table of Subdivisions

21‑A     General

21‑B      Members of GST groups

21‑C      Participants in GST joint ventures

21‑1  What this Division is about

Wine tax (except wine tax on customs dealings) is added to net amounts under the GST Act. Wine tax credits are subtracted from those net amounts.

Note:          Division 165 (Anti‑avoidance) of the GST Act will cover avoidance schemes relating to wine tax so far as they affect net amounts, because such schemes affect amounts payable under the GST Act.

Subdivision 21‑AGeneral

21‑5  Net amounts increased by amounts of wine tax

             (1)  Your *net amount for a *tax period is *increased by the sum of all of the amounts of wine tax (if any) payable by you that are attributable to that tax period.

             (2)  However, this section does not apply to wine tax payable on *customs dealings.

Note:          This section has the effect of incorporating your liability for the wine tax (other than wine tax on customs dealings) into the amount of GST that you are liable to pay under Division 33 of the GST Act, or into the amount of refund to which you are entitled under Division 35 of the GST Act.

21‑10  Attribution rules for wine tax

             (1)  The wine tax payable by you on a *taxable dealing that is a *supply is attributable to the same *tax period, or tax periods, applying to you as the tax period or tax periods to which:

                     (a)  if the supply is a *taxable supply—the taxable supply is attributable; or

                     (b)  if the supply is not a taxable supply—the supply would be attributable if it were a taxable supply.

For the basic rules on attribution of taxable supplies, see section 29‑5 of the GST Act.

             (2)  The wine tax payable by you on a *taxable dealing that is not a *supply is attributable to the *tax period during which the time of dealing occurs, as specified in column 4 of the *Assessable Dealings Table.

21‑15  Net amounts reduced by amounts of wine tax credits

                   Your *net amount for a *tax period is *reduced by the sum of all of the amounts of *wine tax credits (if any) to which you are entitled that arise during that tax period.

Note 1:       This section has the effect of incorporating your entitlement to wine tax credits into the amount of GST that you are liable to pay under Division 33 of the GST Act, or into the amount of refund to which you are entitled under Division 35 of the GST Act.

Note 2:       If you are not registered or required to be registered (and therefore do not have net amounts), you can claim wine tax credits to which you are entitled directly from the Commissioner (see subsection 17‑10(2)).

Subdivision 21‑BMembers of GST groups

21‑40  Who is liable for wine tax

             (1)  Wine tax payable on a *taxable dealing for which a *member of a *GST group would (apart from this section) be liable to the tax:

                     (a)  is payable by the *representative member; and

                     (b)  is not payable by the member that would be so liable (unless the member is the representative member).

             (2)  However, if the member is not the *representative member of the *GST group, this section only applies to wine tax payable on a *customs dealing if the tax is payable at a time when wine tax on *taxable dealings is normally payable by the representative member.

             (3)  This section has effect despite subsection 5‑5(2) (which is about liability for wine tax).

21‑45  Who is entitled to wine tax credits

             (1)  If a *member of a *GST group would (apart from this section) be entitled to a *wine tax credit:

                     (a)  the *representative member is entitled to the wine tax credit; and

                     (b)  the member that would be so entitled is not entitled to the wine tax credit (unless the member is the representative member).

             (2)  This section has effect despite section 17‑5 (which is about entitlement to wine tax credits).

Subdivision 21‑CParticipants in GST joint ventures

21‑70  Who is liable for wine tax

             (1)  Wine tax payable on a *taxable dealing that the *joint venture operator of a *GST joint venture makes, on behalf of another *participant in the joint venture, in the course of activities for which the joint venture was entered into:

                     (a)  is payable by the joint venture operator; and

                     (b)  is not payable by the other participant.

             (2)  This section has effect despite subsection 5‑5(2) (which is about liability for wine tax).

21‑75  Who is entitled to wine tax credits

             (1)  If a *participant in a *GST joint venture would (apart from this section) be entitled to a *wine tax credit relating to a *taxable dealing that the *joint venture operator of the joint venture makes on the participant’s behalf:

                     (a)  the joint venture operator is entitled to the wine tax credit; and

                     (b)  the participant that would be so entitled is not entitled to the wine tax credit (unless the participant is the joint venture operator).

             (2)  This section has effect despite section 17‑5 (which is about entitlement to wine tax credits).

21‑80  Additional net amounts relating to GST joint ventures

                   The additional net amount relating to a *GST joint venture in section 51‑45 of the *GST Act:

                     (a)  is increased by the amount of any wine tax on *taxable dealings for which the *joint venture operator is liable because of section 21‑70; and

                     (b)  is decreased by the amount of any *wine tax credits to which the joint venture operator is entitled because of section 21‑75.


 

Division 23Wine tax on customs dealings

23‑1  What this Division is about

Wine tax on a customs dealing is not included in net amounts. Generally speaking, it is paid together with customs duty. (This is consistent with payment of assessed GST on taxable importations.)

23‑5  Payment of wine tax on customs dealings

             (1)  Amounts of *assessed wine tax on *customs dealings are to be paid to the Commonwealth:

                     (a)  at the same time, at the same place, and in the same manner, as *customs duty is payable on the wine in question (or would be payable if the wine were subject to customs duty); or

                     (b)  in the circumstances specified in the regulations, within such further time specified in the regulations, and at the place and in the manner specified in the regulations.

Note 1:    The regulations could (for example) allow for deferral of payments to coincide with payments of assessed net amounts.

Note 1A: For provisions about assessment of wine tax on customs dealings, see Division 155 in Schedule 1 to the Taxation Administration Act 1953.

Note 2:    For provisions about collection and recovery of assessed wine tax on customs dealings, see Subdivision 105‑C, and Part 4‑15, in Schedule 1 to the Taxation Administration Act 1953.

             (2)  An officer of Customs (within the meaning of subsection 4(1) of the Customs Act 1901) may refuse to deliver the goods concerned unless the *assessed wine tax has been paid.

23‑10  Application of Division 165 of the GST Act

                   Division 165 of the *GST Act applies to amounts that are payable under this Division as if they were amounts payable under the GST Act.


 

Division 25Tourist refund scheme

25‑1  What this Division is about

If you take wine overseas as accompanied baggage, or you are a resident of an external Territory and send wine home, you may be entitled to a refund of the wine tax borne by you on the wine.

25‑5  Tourist refund scheme

Exporting wine as accompanied baggage

             (1)  If:

                     (a)  you have *borne wine tax on wine that you purchased; and

                     (b)  the purchase is of a kind specified in the regulations; and

                     (c)  you leave Australia, and export the wine from Australia as accompanied baggage, in the circumstances specified in the regulations;

the Commissioner must, on behalf of the Commonwealth, pay to you an amount equal to:

                     (d)  the amount of the wine tax that you have borne on the wine; or

                     (e)  such proportion of that amount of wine tax as is specified in the regulations.

Resident of external Territory sending wine home

          (1A)  If:

                     (a)  you have *borne wine tax on wine that you purchased; and

                     (b)  the purchase is of a kind specified in the regulations; and

                     (c)  an amount is payable to you under subsection 168‑5(1A) of the *GST Act for the *taxable supply corresponding to the purchase;

the Commissioner must, on behalf of the Commonwealth, pay to you an amount equal to:

                     (d)  the amount of the wine tax that you have borne on the wine; or

                     (e)  such proportion of that amount of wine tax as is specified in the regulations.

Working out amounts of wine tax borne

             (2)  The regulations may specify how amounts of *wine tax borne are to be worked out.

Paying the refund

             (3)  An amount payable under this section is payable within the period and in the manner specified in the regulations.

25‑10  Purchases later found to be GST‑free supplies

             (1)  If:

                     (a)  you are paid an amount under subsection 25‑5(1A) for a purchase; and

                     (b)  the supply corresponding to the purchase is or becomes a *GST‑free supply;

you become liable to repay the amount (the recoverable amount) to the Commonwealth on the later of the following days (the due day):

                     (c)  the day you were paid the recoverable amount;

                     (d)  the day the supply becomes a GST‑free supply.

             (2)  You are liable to pay general interest charge on the whole, or any part, of the recoverable amount that remains unpaid after the due day for each day in the period that:

                     (a)  starts on the due day; and

                     (b)  finishes at the end of the last day at the end of which any of the following remains unpaid:

                              (i)  the recoverable amount;

                             (ii)  general interest charge on any of the recoverable amount.


 

Part 6Miscellaneous

Division 27Miscellaneous

27‑5  Wine tax must be specified on invoice for wholesale sales

             (1)  If you sell wine by *wholesale at a *price that includes wine tax that you have or will become liable to pay on the wine, you must specify the amount of the tax on any invoice given to the purchaser.

             (2)  You are guilty of an offence if you contravene this section.

Maximum penalty: 20 penalty units.

Note 1:       Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.

Note 2:       See section 4AA of the Crimes Act 1914 for the current value of a penalty unit.

27‑10  Alteration of wine tax liability or wine tax credit if affected by non‑arm’s length transaction

             (1)  This section applies to you if:

                     (a)  you (or your *associate) has been a party to a non‑arm’s length transaction; and

                     (b)  if the transaction had instead been an arm’s length transaction, it would have been the case (or could reasonably be expected to have been the case) that:

                              (i)  your liability to wine tax on the non‑arm’s length transaction, or any other transaction, would have been *increased; or

                             (ii)  your entitlement to a *wine tax credit in connection with the non‑arm’s length transaction, or any other transaction, would have been *reduced.

             (2)  The liability or *wine tax credit is taken always to have been the amount that it would have been (or could reasonably be expected to have been) if it had been based on an arm’s length transaction instead of on the non‑arm’s length transaction.

27‑15  Apportionment of global amounts

             (1)  If there is a need to know the *price for which particular wine was sold, but the parties have not allocated a particular amount to the wine, the price for which the wine was sold is (for the purposes of the *wine tax law) the price for which the wine could reasonably be expected to have been sold if it had been sold separately.

             (2)  Similarly, if there is a need to know how much of a global amount relates to some other element of a transaction, but the parties have not allocated a particular amount to that element, the amount to be allocated to that element (for the purposes of the *wine tax law) is the amount that could reasonably be expected to have been allocated to that element if that element had been the only subject matter of the transaction.

27‑20  Commonwealth etc. not liable to pay wine tax

             (1)  The Commonwealth and *untaxable Commonwealth entities are not liable to pay wine tax payable under this Act. However, it is the Parliament’s intention that the Commonwealth and untaxable Commonwealth entities should:

                     (a)  be notionally liable to pay wine tax payable under this Act; and

                     (b)  be notionally entitled to *wine tax credits arising under this Act.

             (2)  The *Finance Minister may give such written directions as are necessary or convenient for carrying out or giving effect to subsection (1) and, in particular, may give directions in relation to the transfer of *money within an account, or between accounts, operated by the Commonwealth or an *untaxable Commonwealth entity.

          (2A)  The directions given under subsection (2) may also take account of the provisions of the A New Tax System (Wine Equalisation Tax and Luxury Car Tax Transition) Act 1999.

             (3)  Directions under subsection (2) have effect, and must be complied with, despite any other Commonwealth law.

27‑25  Cancellation of exemptions from wine tax

             (1)  This section cancels the effect of a provision of another Act that would have the effect of exempting a person from liability to pay wine tax payable under this Act.

             (2)  The cancellation does not apply if the provision of the other Act:

                     (a)  commences after this section commences; and

                     (b)  refers specifically to wine tax payable under this Act.

27‑30  Application of the Criminal Code

                   The Criminal Code applies to all offences against this Act.

27‑35  Regulations

             (1)  The Governor‑General may make regulations prescribing matters:

                     (a)  required or permitted by this Act to be prescribed; or

                     (b)  necessary or convenient to be prescribed for carrying out or giving effect to this Act.

             (2)  In particular, the regulations may make provision:

                     (b)  relating to the service of documents under, or for the purposes of, the *wine tax law (including the service of process in proceedings for the recovery of tax or other amounts payable under the wine tax law);

                     (c)  for penalties for offences against the regulations by way of fines of up to $1,000.


 

Part 7Interpreting this Act

Division 29Rules for interpreting this Act

29‑1  What forms part of this Act

             (1)  These all form part of this Act:

   the headings to the Parts, Divisions and Subdivisions of this Act;

   *explanatory sections;

   the headings to the sections and subsections of this Act;

   the notes and examples (however described) that follow provisions of this Act.

             (2)  The asterisks used to identify defined terms form part of this Act. However, if a term is not identified by an asterisk, disregard that fact in deciding whether or not to apply to that term a definition or other interpretation provision.

29‑5  What does not form part of this Act

                   These do not form part of this Act:

   footnotes and endnotes;

   Tables of Subdivisions.

29‑10  Explanatory sections, and their role in interpreting this Act

             (1)  An explanatory section is:

                     (a)  any section that is the first section in a Division and that has as its heading “What this Division is about”; or

                     (b)  any section in Division 2, 3 or 4.

             (2)  *Explanatory sections form part of this Act, but they are not operative provisions. In interpreting an operative provision, an explanatory section may only be considered:

                     (a)  in determining the purpose or object underlying the provision; or

                     (b)  to confirm that the provision’s meaning is the ordinary meaning conveyed by its text, taking into account its context in this Act and the purpose or object underlying the provision; or

                     (c)  in determining the provision’s meaning if the provision is ambiguous or obscure; or

                     (d)  in determining the provision’s meaning if the ordinary meaning conveyed by its text, taking into account its context in this Act and the purpose or object underlying the provision, leads to a result that is manifestly absurd or is unreasonable.


 

Division 31Meaning of some important concepts

Subdivision 31‑AWine

31‑1  Meaning of wine

             (1)  Wine means any of these:

                     (a)  *grape wine;

                     (b)  *grape wine products;

                     (c)  *fruit or vegetable wine;

                     (d)  *cider or perry;

                     (e)  *mead;

                      (f)  *sake.

             (2)  However, wine does not include beverages that do not contain more than 1.15% by volume of ethyl alcohol.

31‑2  Meaning of grape wine

             (1)  Grape wine is a beverage that:

                     (a)  is the product of the complete or partial fermentation of fresh grapes or products derived solely from fresh grapes; and

                     (b)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to grape wine.

             (2)  A beverage does not cease to be the product of the complete or partial fermentation of fresh grapes or products derived solely from fresh grapes merely because grape spirit, brandy, or both grape spirit and brandy, have been added to it.

Note:          The concept of grape wine is used in Subdivision 9‑B to work out the taxable value of retail transactions involving wine produced from grapes. In the case of grape wine, you can choose to use the average wholesale price method of working out taxable values.

31‑3  Meaning of grape wine product

                   Grape wine product is a beverage that:

                     (a)  contains at least 700 millilitres of *grape wine per litre; and

                     (b)  has not had added to it, at any time, any ethyl alcohol from any other source, except:

                              (i)  grape spirit; or

                             (ii)  alcohol used in preparing vegetable extracts (including spices, herbs and grasses); and

                     (c)  contains at least 8% by volume of ethyl alcohol, but not more than 22% by volume of ethyl alcohol; and

                     (d)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to grape wine products.

31‑4  Meaning of fruit or vegetable wine

                   Fruit or vegetable wine is a beverage that:

                     (a)  is the product of the complete or partial fermentation of the juice or must of:

                              (i)  fruit or vegetables; or

                             (ii)  products derived solely from fruit or vegetables; and

                     (b)  has not had added to it, at any time, any ethyl alcohol from any other source, except as specified in the regulations; and

                     (c)  has not had added to it, at any time, any liquor or substance that gives colour or flavour, except as specified in the regulations; and

                     (d)  contains at least 8% by volume of ethyl alcohol, but not more than 22% by volume of ethyl alcohol; and

                     (e)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to fruit or vegetable wine.

31‑5  Meaning of cider or perry

                   Cider or perry is a beverage that:

                     (a)  is the product of the complete or partial fermentation of the juice or must of apples or pears; and

                     (b)  has not had added to it, at any time, any ethyl alcohol from any other source, except as specified in the regulations; and

                     (c)  has not had added to it, at any time, any liquor or substance (other than water or the juice or must of apples or pears) that gives colour or flavour, except as specified in the regulations; and

                     (d)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to cider or perry.

31‑6  Meaning of mead

                   Mead is a beverage that:

                     (a)  is the product of the complete or partial fermentation of honey; and

                     (b)  has not had added to it, at any time, any ethyl alcohol from any other source, except as specified in the regulations; and

                     (c)  has not had added to it, at any time, any liquor or substance (other than honey) that gives colour or flavour, except as specified in the regulations; and

                     (d)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to mead.

31‑7  Meaning of sake

                   Sake is a beverage that:

                     (a)  is the product of the complete or partial fermentation of rice; and

                     (b)  has not had added to it, at any time, any ethyl alcohol from any other source, except as specified in the regulations; and

                     (c)  has not had added to it, at any time, any liquor or substance that gives colour or flavour, except as specified in the regulations; and

                     (d)  complies with any requirements of the regulations, made for the purposes of section 31‑8, relating to sake.

31‑8  Requirements for types of wine

             (1)  The regulations may specify requirements for these types of wine:

                     (a)  *grape wine;

                     (b)  *grape wine products;

                     (c)  *fruit or vegetable wine;

                     (d)  *cider or perry;

                     (e)  *mead;

                      (f)  *sake.

             (2)  The requirements for a particular type of wine may relate to any of the following:

                     (a)  the substances that may be added to that type of wine;

                     (b)  the quantities in which those substances may be added to that type of wine;

                     (c)  the substances that must not be added to that type of wine;

                     (d)  the substances that may be used in the production of that type of wine;

                     (e)  the quantities in which those substances may be used in the production of that type of wine;

                      (f)  the substances that must not be used in the production of that type of wine;

                     (g)  the composition of that type of wine.

31‑9  Measuring alcoholic content

                   For the purposes of this Subdivision, the volume of ethyl alcohol in beverages is to be measured at 20°C and is to be calculated on the basis that the specific gravity of ethyl alcohol is 0.79067 (at 20°C in a vacuum).

Subdivision 31‑CBorne wine tax and wine tax borne

31‑10  Meanings of borne wine tax and wine tax borne

             (1)  This section sets out the 2 situations in which an entity is taken to have borne wine tax on wine.

             (2)  An entity is taken to have borne wine tax on wine if the entity has become liable to wine tax on an *assessable dealing with the wine. However, the wine tax for which the entity has become liable is not counted to the extent to which it has been the basis of a *wine tax credit entitlement.

             (3)  An entity is taken to have borne wine tax on wine if the entity purchased the wine for a *price that included wine tax. However, the amount of wine tax borne is to be *reduced by any amount of the wine tax included in that price that has been refunded or *wine tax credited to the entity.

Subdivision 31‑DObtaining wine under quote etc.

31‑15  Meaning of obtain wine under quote etc.

             (1)  This section sets out the circumstances in which wine is taken to be obtained by an entity under quote.

             (2)  An entity purchases wine under quote if the entity *quotes on the purchase of the wine, and either:

                     (a)  the sale is an *assessable dealing by the seller that is exempted from tax only because of the quote; or

                     (b)  on the basis of the quote, the seller agrees to exclude tax from the *price of the wine.

             (3)  An entity locally enters wine under quote if the entity *quotes on the *local entry of the wine and the local entry is exempted from tax only because of the quote.

             (4)  An entity obtains wine under quote if:

                     (a)  the entity *purchases, or *locally enters, the wine under quote as described in subsection (2) or (3); or

                     (b)  the entity *quotes on a *customs dealing with the wine and the dealing is exempted from tax only because of the quote; or

                     (c)  the entity has obtained a *CR2 wine tax credit for *wine tax borne on a dealing with the wine.


 

Division 33Dictionary

33‑1  Dictionary

                   In this Act, unless the contrary intention appears:

ABN has the meaning given by section 41 of the A New Tax System (Australian Business Number) Act 1998.

AD1a means the *assessable dealing of that name in the *Assessable Dealings Table, and AD1b, AD2a etc. have corresponding meanings.

airport shop goods has the same meaning as in the Customs Act 1901.

amount includes a nil amount.

AOU means *application to own use.

AOU connected with retail sales of wine means an *AOU that:

                     (a)  is constituted by consuming wine or giving wine away; and

                     (b)  is connected with making, or attempting to make, *retail sales of wine.

application to own use, in relation to wine, includes any of the following:

                     (a)  consuming the wine;

                     (b)  giving the wine away, or transferring property in the wine under a contract that is not a contract of sale;

                     (c)  granting any right or permission to use the wine;

                     (d)  if an entity other than the owner has *locally entered the wine—anything done by the entity that would be an application to own use of the wine by the owner if it had been done by the owner;

but does not include:

                     (e)  selling the wine or consigning it for sale by consignment; or

                      (f)  if the wine is *imported wine—anything done with it after *importation and before it is locally entered; or

                     (g)  using the wine as part of the process of manufacture or other treatment or processing of wine or other goods.

approved form has the meaning given by section 995‑1 of the *ITAA 1997.

assessable dealing means any dealing covered by the *Assessable Dealings Table.

Assessable Dealings Table means the table in section 5‑5.

assessable wine means *Australian wine or *imported wine.

assessed wine tax, on a *customs dealing, means the wine tax *assessed on the customs dealing.

assessment has the meaning given by the *ITAA 1997.

associate has the meaning given by section 318 of the Income Tax Assessment Act 1936.

associated producer has the meaning given by section 19‑20.

Australia has the meaning given by section 195‑1 of the *GST Act.

Australian wine means wine that has been *manufactured in *Australia, but does not include *imported wine.

average wholesale price method for working out the *notional wholesale selling price of a *taxable dealing is the method set out in section 9‑40.

borne wine tax has the meaning given by Subdivision 31‑C.

cider or perry has the meaning given by section 31‑5.

Commissioner means the Commissioner of Taxation.

company means:

                     (a)  a body corporate; or

                     (b)  any other unincorporated association or body of persons;

but does not include a *partnership.

connected with has the meaning given by section 328‑125 of the *ITAA 1997.

container means:

                     (a)  packaging in which, or with which, any property (the contents) is packed or secured, in the ordinary course of a business, for the purpose of the marketing or delivery of the contents; and

                     (b)  ancillary items that are packed or secured with the contents and are intended, and reasonably necessary, to allow or facilitate the use of the contents.

CR1 means the wine tax credit ground of that name in the *Wine Tax Credit Table, and CR2, CR3 etc. have corresponding meanings.

Customs means the agency continued in existence under subsection 4(1) of the Customs Administration Act 1985.

customs clearance area means an area that is designated or set aside for the performance of functions under the Customs Act 1901.

customs dealing means *AD4b, *AD10 or *AD14b.

customs duty means any duty of customs imposed by that name under a law of the Commonwealth, other than:

                     (a)  the A New Tax System (Goods and Services Tax Imposition—Customs) Act 1999; or

                    (aa)  the A New Tax System (Goods and Services Tax Imposition (Recipients)—Customs) Act 2005; or

                     (b)  the A New Tax System (Wine Equalisation Tax Imposition—Customs) Act 1999.

Customs Tariff means the Customs Tariff Act 1995 as amended by any Act, and as proposed to be amended by Customs Tariff Proposals introduced into the House of Representatives.

eligible royalty cost has the meaning given by subsection 5‑15(2).

entity has the meaning given in section 195‑1 of the *GST Act.

explanatory section has the meaning given by section 29‑10.

export, in relation to wine, means export the wine from *Australia.

Finance Minister means the Minister administering the Financial Management and Accountability Act 1997.

financial year means a period of 12 months beginning on 1 July.

food has the meaning given by section 38‑4 of the *GST Act.

fruit or vegetable wine has the meaning given by section 31‑4.

grape wine has the meaning given by section 31‑2.

grape wine product has the meaning given by section 31‑3.

GST has the meaning given by section 195‑1 of the *GST Act.

GST Act means the A New Tax System (Goods and Services Tax ) Act 1999.

GST‑free has the meaning given by section 195‑1 of the *GST Act.

GST group has the meaning given by section 48‑5 of the *GST Act.

GST importation value of a *local entry is an amount equal to what would be the value of the local entry (disregarding any wine tax payable in respect of the local entry), for the purposes of the *GST Act, if it were a taxable importation within the meaning of section 195‑1 of that Act.

For the basic rules on the value of taxable importations, see section 13‑20 of the GST Act.

GST joint venture has the meaning given by section 51‑5 of the *GST Act.

half‑retail price method for working out the *notional wholesale selling price of a *taxable dealing is:

                     (a)  if the dealing is a *retail sale—the method set out in subsection 9‑35(1); or

                     (b)  if the dealing is an *AOU connected with retail sales of grape wine—the method set out in subsection 9‑35(2).

import means import goods into Australia.

imported wine means wine that has been *imported (whether or not the wine was *manufactured in *Australia).

increase includes increase from nil.

indirect marketing sale has the meaning given by section 5‑20.

inwards duty free shop has the same meaning as in section 96B of the Customs Act 1901.

ITAA 1997 means the Income Tax Assessment Act 1997.

joint venture operator, for a *GST joint venture, has the meaning given by section 195‑1 of the *GST Act.

LE1 means the *local entry of that name in the *Local Entry Table, and LE2, LE3 etc. have corresponding meanings.

local entry has the meaning given by section 5‑30.

Local Entry Table means the table in section 5‑30.

locally enter wine under quote has the meaning given by subsection 31‑15(3).

manufacture includes the following:

                     (a)  production;

                     (b)  combining parts or ingredients so as to form an article or substance that is commercially distinct from the parts or ingredients;

                     (c)  applying a treatment to foodstuffs as a process in preparing them for human consumption;

but does not include any prescribed combination of parts or ingredients.

manufacturer, in relation to particular wine, means the entity that (not as an employee) *manufactured the wine, whether or not the entity owned the materials out of which the wine was manufactured.

mead has the meaning given by section 31‑6.

member, in relation to a *GST group, has the meaning given by section 195‑1 of the *GST Act.

money has the meaning given by section 195‑1 of the *GST Act.

net amount has the meaning given by section 195‑1 of the *GST Act.

New Zealand means the territory of New Zealand but does not include Tokelau or the Associated Self Governing States of the Cook Islands and Niue.

New Zealand participant means an entity that is approved as a New Zealand participant under section 19‑7.

non‑taxable importation has the meaning given by section 13‑10 and Division 42 of the *GST Act.

notional wholesale purchase price, in relation to wine, means the *price (excluding wine tax and *GST) for which you could reasonably have been expected to purchase the wine by wholesale under an arm’s length transaction.

notional wholesale selling price has the meaning given by Subdivision 9‑B.

obtain wine under quote has the meaning given by Subdivision 31‑D.

participant, in relation to a *GST joint venture, has the meaning given by section 195‑1 of the *GST Act.

partnership has the meaning given by section 995‑1 of the *ITAA 1997.

passed on, in relation to an amount of tax that has been *borne by an entity, does not include an amount that the entity has passed on to another entity, but has later refunded to that other entity.

premises, in relation to a supply of *food (other than wine), has the meaning given by section 38‑5 of the *GST Act.

prescribed rules for export sales means the rules prescribed by the regulations setting out conditions that must be complied with in order for dealings with wine to be exempted, or otherwise relieved from wine tax, on the basis of the *export, or intended export, of the wine.

price has the meaning given by section 9‑75 of the *GST Act.

producer, of *rebatable wine, means an entity that *manufactures the wine, or supplies to another entity the grapes, other fruit, vegetables or honey from which the wine is manufactured.

producer rebate means a rebate to which a *producer of *rebatable wine is entitled under Division 19.

purchase wine under quote has the meaning given by subsection 31‑15(2).

quote means quote an *ABN.

rebatable wine means *grape wine, *grape wine products, *fruit or vegetable wine, *cider or perry, *mead or *sake.

reduce includes reduce to nil.

registered has the meaning given by section 195‑1 of the *GST Act.

relevant traveller has the same meaning as in section 96B of the Customs Act 1901.

representative member, for a *GST group, has the meaning given by section 195‑1 of the *GST Act.

required to be registered has the meaning given by section 195‑1 of the *GST Act.

retail sale means any sale that is not a *wholesale sale.

royalty has the meaning given by subsection 9‑70(2).

royalty‑inclusive AOU has the meaning given by section 5‑15.

royalty‑inclusive sale has the meaning given by section 5‑15.

sake has the meaning given by section 31‑7.

sale includes barter or exchange.

State law has the meaning given by section 995‑1 of the *ITAA 1997.

supply has the meaning given by section 9‑10 of the *GST Act.

taxable dealing means an *assessable dealing that happens on or after 1 July 2000 for which no exemption is available under Division 7.

taxable supply has the meaning given by section 195‑1 of the *GST Act.

taxable value means the taxable value that applies under Division 9.

tax‑bearing dealing, in relation to an amount of *wine tax borne by an entity, means the dealing through which, or because of which, the tax was borne.

tax period has the meaning given by section 195‑1 of the *GST Act.

Territory law has the meaning given by section 995‑1 of the *ITAA 1997.

tradex order has the meaning given by section 4 of the Tradex Scheme Act 1999.

tradex scheme goods has the meaning given by subsection 141‑10(1) of the *GST Act.

untaxable Commonwealth entity has the meaning given by section 177‑1 of the *GST Act.

untaxed AOU has the meaning given by subsection 5‑25(2).

untaxed sale has the meaning given by subsection 5‑25(1).

wholesale sale means a sale to an entity that purchases for the purpose of resale, but does not include a sale of wine from stock in a retail store (or retail section of a store) to make up for a temporary shortage of stock of the purchaser, if the wine is of a kind that:

                     (a)  is usually *manufactured by the purchaser; or

                     (b)  is usually purchased by the purchaser for resale.

wine has the meaning given by Subdivision 31‑A.

wine tax means tax that is payable under the *wine tax law and imposed as wine equalisation tax by any of these:

                     (a)  the A New Tax System (Wine Equalisation Tax Imposition—General) Act 1999; or

                     (b)  the A New Tax System (Wine Equalisation Tax Imposition—Customs) Act 1999; or

                     (c)  the A New Tax System (Wine Equalisation Tax Imposition—Excise) Act 1999.

wine tax borne has the meaning given by Subdivision 31‑C.

wine tax credit means a wine tax credit under Part 4.

Wine Tax Credit Table means the table in section 17‑5.

wine tax law means:

                     (a)  this Act; and

                     (b)  any Act that imposes wine tax; and

                     (c)  the A New Tax System (Wine Equalisation Tax and Luxury Car Tax Transition) Act 1999 so far as it relates to the Acts covered by paragraphs (a) and (b); and

                     (d)  the Taxation Administration Act 1953, so far as it relates to any Act covered by paragraphs (a) to (c); and

                     (e)  any other Act, so far as it relates to any Act covered by paragraphs (a) to (d) (or to so much of that Act as is covered); and

                      (f)  regulations under an Act, so far as they relate to any Act covered by paragraphs (a) to (e) (or to so much of that Act as is covered).

you: if a provision of this Act uses the expression you, it applies to entities generally, unless its application is expressly limited.

Note:          The expression you is not used in provisions that apply only to entities that are not individuals.


Notes to the A New Tax System (Wine Equalisation Tax) Act 1999

Note 1

The A New Tax System (Wine Equalisation Tax) Act 1999 as shown in this compilation comprises Act No. 62, 1999 amended as indicated in the Tables below.

For all relevant information pertaining to application, saving or transitional provisions see Table A.

Table of Acts

Act

Number
and year

Date
of Assent

Date of commencement

Application, saving or transitional provisions

A New Tax System (Wine Equalisation Tax) Act 1999

62, 1999

8 July 1999

1 July 2000

 

A New Tax System (Indirect Tax and Consequential Amendments) Act 1999

176, 1999

22 Dec 1999

Schedule 1 (items 203–231, 233, 234,
236–255): (a)
Schedule 1 (items 232, 235): (a)
Schedule 7 (items 17–20): (a)

as amended by

 

 

 

 

Taxation Laws Amendment Act (No. 2) 2002

57, 2002

3 July 2002

Schedule 12 (item 39): (aa)

A New Tax System (Indirect Tax and Consequential Amendments) Act (No. 2) 1999

177, 1999

22 Dec 1999

Schedule 1 (items 170–172): (b)

A New Tax System (Tax Administration) Act 1999

179, 1999

22 Dec 1999

Schedule 15 (items 7, 8): 1 July 2000 (c)

A New Tax System (Tax Administration) Act (No. 1) 2000

44, 2000

3 May 2000

Schedule 3 (items 5, 6): (d)

Indirect Tax Legislation Amendment Act 2000

92, 2000

30 June 2000

Schedule 9A: (e)

Taxation Laws Amendment Act (No. 8) 2000

156, 2000

21 Dec 2000

Schedule 2 (items 19, 20, 25(2)): Royal Assent (f)

Sch. 2 (item 25(2))

Customs Legislation Amendment Act (No. 1) 2002

82, 2002

10 Oct 2002

Schedule 3 (items 9, 10): (g)

Designs (Consequential Amendments) Act 2003

148, 2003

17 Dec 2003

Schedule  2 (item 1): (h)

Tax Laws Amendment (Wine Producer Rebate and Other Measures) Act 2004

129, 2004

31 Aug 2004

Schedule 1: 1 Oct 2004
Schedules 2 and 4: Royal Assent

Sch. 1 (items 7, 8) and Sch. 2 (item 3)

Tax Laws Amendment (Long‑term Non‑reviewable Contracts) Act 2005

10, 2005

22 Feb 2005

Schedule 1 (item 17): 1 July 2005

Tax Laws Amendment (2004 Measures No. 7) Act 2005

41, 2005

1 Apr 2005

Schedule 10 (item 15): Royal Assent

Tax Laws Amendment (2005 Measures No. 4) Act 2005

160, 2005

19 Dec 2005

Schedule 4 (items 1–25): 6 June 2006 ( see F2006L01656)

Sch. 4 (item 25)

Tax Laws Amendment (2006 Measures No. 2) Act 2006

58, 2006

22 June 2006

Schedule 7 (items 24–29): Royal Assent

Fuel Tax (Consequential and Transitional Provisions) Act 2006

73, 2006

26 June 2006

Schedule 5 (items 143–151): 1 July 2006 (see s. 2(1))
Schedule 5 (items 170–174): (i)

Tax Laws Amendment (2006 Measures No. 3) Act 2006

80, 2006

30 June 2006

Schedule 14: Royal Assent

Sch. 14 (item 3)

Tax Laws Amendment (Repeal of Inoperative Provisions) Act 2006

101, 2006

14 Sept 2006

Schedule 5 (items 14–17) and Schedule 6 (items 5–11): Royal Assent

Sch. 6 (items 5–11)

Tax Laws Amendment (Small Business) Act 2007

80, 2007

21 June 2007

Schedule 4 (items 27, 28, 31(2)): Royal Assent

Sch. 4 (item 31(2))

Customs Legislation Amendment (Name Change) Act 2009

33, 2009

22 May 2009

Schedule 2 (item 4): 23 May 2009

Tax Laws Amendment (2009 GST Administration Measures) Act 2010

20, 2010

24 Mar 2010

Schedule 2 (items 12–18, 23(1)): 1 July 2010

Sch. 2 (item 23(1))

Tax Laws Amendment (2011 Measures No. 9) Act 2012

12, 2012

21 Mar 2012

Schedule 6 (items 33, 34): Royal Assent

Indirect Tax Laws Amendment (Assessment) Act 2012

39, 2012

15 Apr 2012

Schedule 1 (items 8, 9,
143–151, 239) and Schedule 3 (items 10–13): 1 July 2012

Sch. 1 (item 239)


(a)     The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 1 (items 203–255) and Schedule 7 (items 17–20) only of the A New Tax System (Indirect Tax and Consequential Amendments) Act 1999, subsections 2(4), (5) and (14)(b) of which provide as follows:

                 (4)   Part 3 of Schedule 1 (other than items 232 and 235) commences immediately after the commencement of the A New Tax System (Wine Equalisation Tax) Act 1999.

                 (5)   Items 127, 133, 187, 189, 190, 232 and 235 of Schedule 1 commence, or are taken to have commenced, on 1 July 2000, or immediately after the commencement of item 9 of Schedule 3 to the A New Tax System (Pay As You Go) Act 1999, whichever is later.

               (14)   If the Tradex Scheme Act 1999 commences before 1 July 2000:

                              (b)   Part 2 of Schedule 7 commences immediately after the commencement of the A New Tax System (Goods and Services Tax) Act 1999.

(aa)   Subsection 2(1) (item 43) of the Taxation Laws Amendment Act (No. 2) 2002 provides as follows:

                 (1)   Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, on the day or at the time specified in column 2 of the table.

 

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

43.  Schedule 12, item 39

Immediately after the time specified in the A New Tax System (Indirect Tax and Consequential Amendments) Act 1999 for the commencement of item 17 of Schedule 7 to that Act

1 July 2000

(b)     The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 1 (items 170–172) only of the A New Tax System (Indirect Tax and Consequential Amendments) Act (No. 2) 1999, subsection 2(4) of which provides as follows:

                 (4)   Part 3 of Schedule 1 to this Act commences immediately after the commencement of Part 3 of Schedule 1 (other than the items for which specific commencement has been provided) to the A New Tax System (Indirect Tax and Consequential Amendments) Act 1999.

(c)     The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 15 (items 7 and 8) only of the A New Tax System (Tax Administration) Act 1999, subsection 2(12) of which provides as follows:

               (12)   Schedules 12 (other than item 21) and 15 commence, or are taken to have commenced, at the commencement of the A New Tax System (Goods and Services Tax) Act 1999.

(d)     The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 3 (items 5 and 6) only of the A New Tax System (Tax Administration) Act (No. 1) 2000, subsection 2(1) of which provides as follows:

                 (1)   Subject to this section, this Act commences, or is taken to have commenced, immediately after the commencement of section 1 of the A New Tax System (Tax Administration) Act 1999.

         Section 1 commenced on 22 December 1999.

(e)     The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 9A only of the Indirect Tax Legislation Amendment Act 2000, subsection 2(6) of which provides as follows:

                 (6)   Schedule 9A and item 5 of Schedule 10A commence immediately after the commencement of Part 3 of Schedule 1 to the A New Tax System (Indirect Tax and Consequential Amendments) Act (No. 2) 1999.

         Part 3 of Schedule 1 to the A New Tax System (Indirect Tax and Consequential Amendments) Act (No. 2) 1999 commenced on 1 July 2000.

(f)      The A New Tax System (Wine Equalisation Tax) Act 1999 was amended by Schedule 2 (items 19 and 20) only of the Taxation Laws Amendment Act (No. 8) 2000, subsection 2(1) of which provides as follows:

                 (1)   Subject to this section, this Act commences on the day on which it receives the Royal Assent.

(g)     Subsection 2(1) (item 6) of the Customs Legislation Amendment Act (No. 1) 2002 provides as follows:

                 (1)   Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, on the day or at the time specified in column 2 of the table.

 

Provision(s)

Commencement

Date/Details

6.  Schedule 3, items 9 to 21

The later of:

(a) immediately after the commencement of item 38 of Schedule 3 to the Customs Legislation Amendment and Repeal (International Trade Modernisation) Act 2001; and

(b) the day on which this Act receives the Royal Assent

19 July 2005

(paragraph (a) applies)

(h)     Subsection 2(1) (item 2) of the Designs (Consequential Amendments) Act 2003 provides as follows:

                 (1)   Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, on the day or at the time specified in column 2 of the table.

 

Provision(s)

Commencement

Date/Details

2.  Schedules 1 and 2

Immediately after the commencement of section 4 of the Designs Act 2003.

17 June 2004

(i)      Subsection 2(1) (item 22) of the Fuel Tax (Consequential and Transitional Provisions) Act 2006 provides as follows:

                 (1)   Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Provision(s)

Commencement

Date/Details

22.  Schedule 5, Part 4

The later of:

(a) immediately after the commencement of the Fuel Tax Act 2006; and

(b) the commencement of Schedule 4 to the Tax Laws Amendment (2005 Measures No. 4) Act 2005.

However, the provision(s) do not commence at all unless both of the events mentioned in paragraphs (a) and (b) occur.

1 July 2006

(paragraph (a) applies)


Table of Amendments

ad. = added or inserted     am. = amended     rep. = repealed     rs. = repealed and substituted

Provision affected

How affected

Part 1

 

Division 2

 

Note 1 to s. 2‑1...................

rs. No. 176, 1999

S. 2‑20.................................

am. No. 39, 2012

Heading to s. 2‑33.............

ad. No. 73, 2006

S. 2‑33.................................

am. No. 39, 2012

Heading to s. 2‑35.............

rep. No. 73, 2006

S. 2‑35.................................

am. No. 73, 2006

Division 3

 

S. 3‑5...................................

am. No. 129, 2004

Part 2

 

Division 5

 

S. 5‑5...................................

am. No. 176, 1999; No. 129, 2004

Note to s. 5‑5(2).................

am. No. 176, 1999

S. 5‑15.................................

am. No. 41, 2005

S. 5‑25.................................

am. No. 176, 1999; No. 101, 2006

Note to s. 5-25(3)...............

ad. No. 101, 2006

S. 5‑30.................................

am. No. 176, 1999 (as am. by No. 57, 2002); No. 82, 2002

S. 5‑35.................................

rep. No. 176, 1999

S. 5‑40.................................

rep. No. 176, 1999

Division 7

 

S. 7‑5...................................

rs. No. 176, 1999

S. 7‑15.................................

am. Nos. 176 and 177, 1999; No. 156, 2000

S. 7‑25.................................

ad. No. 156, 2000

Division 9

 

Subdivision 9‑C

 

S. 9‑70.................................

am. No. 148, 2003

Part 4

 

Division 17

 

Note to s. 17‑1....................

am. No. 92, 2000

S. 17‑5.................................

am. No. 176, 1999; No. 92, 2000; No. 160, 2005

S. 17‑10...............................

am. No. 160, 2005

S. 17‑15...............................

am. No. 160, 2005

S. 17‑20...............................

am. No. 179, 1999; No. 160, 2005

S. 17‑25...............................

am. No. 179, 1999

Note to s. 17‑25..................

am. No. 73, 2006

Note to s. 17‑30(3).............

am. No. 73, 2006

Note to s. 17‑35(3).............

am. No. 73, 2006

S. 17‑37...............................

ad. No. 129, 2004

Note to s. 17‑37(2).............

am. No. 73, 2006

Note to s. 17‑45..................

am. No. 73, 2006

Division 19

 

Div. 19 of Part 4.....................

ad. No. 92, 2000

 

rs. No. 129, 2004

S. 19‑1.................................

ad. No. 92, 2000

 

rs. No. 129, 2004

S. 19‑5.................................

ad. No. 92, 2000

 

rs. No. 129, 2004

 

am. No. 160, 2005

S. 19‑7.................................

ad. No. 160, 2005

Note to s. 19‑7(4)...............

am. No. 73, 2006

Note to s. 19‑7(6)...............

am. No. 73, 2006

S. 19‑8.................................

ad. No. 160, 2005

Note to s. 19‑8(1)...............

am. No. 73, 2006

Note to s. 19‑8(2)...............

am. No. 73, 2006

S. 19‑9.................................

ad. No. 160, 2005

S. 19‑10...............................

ad. No. 92, 2000

 

rs. No. 129, 2004

 

am. No. 160, 2005

S. 19‑15...............................

ad. No. 92, 2000

 

rs. No. 129, 2004

 

am. No. 160, 2005; No. 80. 2006

S. 19‑20...............................

ad. No. 92, 2000

 

rs. No. 129, 2004

 

am. No. 80, 2007; No. 12, 2012

S. 19‑25...............................

ad. No. 129, 2004

 

am. No. 160, 2005; Nos. 73 and 80, 2006; No. 39, 2012

Note to s. 19‑25(4).............

am. No. 73, 2006

S. 19‑30...............................

ad. No. 129, 2004

Part 5

 

Division 21

 

Table of Subdivs. to Div. 21.....................................
of Part 5

ad. No. 176, 1999

Subdivision 21‑A

 

Heading to Subdiv. 21-A...

ad. No. 176, 1999

Heading to s. 21-5.............

rs. No. 39, 2012

S. 21‑5.................................

am. No. 176, 1999; No. 39, 2012

Heading to s. 21-15...........

rs. No. 39, 2012

S. 21-15...............................

am. No. 39, 2012

Subdivision 21‑B

 

Subdiv. 21-B of Div. 21......
of Part 5

ad. No. 176, 1999

S. 21‑40...............................

ad. No. 176, 1999

S. 21‑45...............................

ad. No. 176, 1999

Subdivision 21‑C

 

Subdiv. 21-C of Div. 21......
of Part 5

ad. No. 176, 1999

S. 21‑70...............................

ad. No. 176, 1999

S. 21‑75...............................

ad. No. 176, 1999

S. 21‑80...............................

ad. No. 176, 1999

Division 23

 

S. 23‑1.................................

am. No. 39, 2012

S. 23‑5.................................

am. No. 176, 1999; No. 39, 2012

Note to s. 23‑5(1)(b)...........
Renumbered Note 1

No. 44, 2000

Note 1 to s. 23‑5(1)(b)........

am. No. 39, 2012

Note 1A to s. 23‑5(1)(b).....

ad. No. 39, 2012

Note 2 to s. 23‑5(1)(b)........

ad. No. 44, 2000

 

am. No. 73, 2006; No. 39, 2012

Division 25

 

Div. 25 of Part 5..................

ad. No. 177, 1999

S. 25‑1.................................

ad. No. 177, 1999

 

am. No. 20, 2010

Subhead. to s. 25-5(1).......

ad. No. 20, 2010

Subhead. to s. 25-5(2).......

ad. No. 20, 2010

Subhead. to s. 25-5(3).......

ad. No. 20, 2010

S. 25‑5.................................

ad. No. 177, 1999

 

am. No. 20, 2010

S. 25-10...............................

ad. No. 20, 2010

Part 6

 

Division 27

 

S. 27‑1.................................

rep. No. 176, 1999

S. 27‑20...............................

am. No. 176, 1999; No. 58, 2006

S. 27‑35...............................

am. No. 176, 1999

Part 7

 

Division 31

 

Subdivision 31‑A

 

Subdiv. 31‑A of Div. 31......
of Part 7

rs. No. 176, 1999

S. 31‑1.................................

rs. No. 176, 1999

Ss. 31‑2 to 31‑4..................

ad. No. 176, 1999

Subdiv. 31‑B of Div. 31......
of Part 7

rep. No. 176, 1999

S. 31-5.................................

rs. No. 176, 1999

Ss. 31‑6 to 31‑9..................

ad. No. 176, 1999

Subdiv. 31‑E of Div. 31......
of Part 7

rep. No. 176, 1999

S. 31‑20...............................

rep. No. 176, 1999

Division 33

 

S. 33‑1.................................

am. Nos. 176 and 177, 1999; No. 92, 2000; No. 129, 2004; Nos. 10 and 160, 2005; No. 58, 2006; No. 80, 2007; No. 33, 2009; Nos. 12 and 39, 2012


Table A

Application, saving or transitional provisions

Taxation Laws Amendment Act (No. 8) 2000 (No. 156, 2000)

Schedule 2

25  Application

(2)       The rest of the amendments made by this Schedule apply, and are taken to have applied, to importations into Australia on or after 1 July 2000.

 

Tax Laws Amendment (Wine Producer Rebate and Other Measures) Act 2004 (No. 129, 2004)

Schedule 1

7  Application

The amendments made by this Schedule apply to dealings in wine made on or after 1 October 2004.

8  Transitional provisions

(1)       The amount of producer rebate for a producer of rebatable wine under the A New Tax System (Wine Equalisation Tax) Act 1999 (as in force immediately before the commencement of this Schedule) for dealings in wine made on or after 1 July 2004 and before 1 October 2004 is the amount worked out under section 19‑10 of that Act (as so in force) as if 30 September 2004 were the end of a financial year.

(2)       The maximum amount of producer rebate for a producer, or a group of associated producers, of rebatable wine under the A New Tax System (Wine Equalisation Tax) Act 1999 (as in force after the commencement of this Schedule) for the 2004‑05 financial year is $217,500.

Schedule 2

3  Application

The amendment made by item 1 of this Schedule applies to wine that is placed in containers after the commencement of this Schedule.

 

Tax Laws Amendment (2005 Measures No. 4) Act 2005 (No. 160, 2005)

Schedule 4

25  Application

The amendment made by item 9 of this Schedule applies only to wine on which wine tax has been paid for a taxable dealing during the financial year starting on 1 July 2005 or on a subsequent 1 July.

 

Tax Laws Amendment (2006 Measures No. 3) Act 2006 (No. 80, 2006)

Schedule 14

3  Application

The amendments made by this Schedule apply to dealings in wine made on or after 1 July 2006.

 

Tax Laws Amendment (Repeal of Inoperative Provisions) Act 2006
(No. 101, 2006)

Schedule 6

5  Application of Schedule 5 amendments

The repeals and amendments made by Schedule 5 apply to acts done or omitted to be done, or states of affairs existing, after the commencement of the amendments.

6  Object

The object of this Part is to ensure that, despite the repeals and amendments made by this Act, the full legal and administrative consequences of:

                     (a)  any act done or omitted to be done; or

                     (b)  any state of affairs existing; or

                     (c)  any period ending;

before such a repeal or amendment applies, can continue to arise and be carried out, directly or indirectly through an indefinite number of steps, even if some or all of those steps are taken after the repeal or amendment applies.

7  Making and amending assessments, and doing other things, in relation to past matters

Even though an Act is repealed or amended by this Act, the repeal or amendment is disregarded for the purpose of doing any of the following under any Act or legislative instrument (within the meaning of the Legislative Instruments Act 2003):

                     (a)  making or amending an assessment (including under a provision that is itself repealed or amended);

                     (b)  exercising any right or power, performing any obligation or duty or doing any other thing (including under a provision that is itself repealed or amended);

in relation to any act done or omitted to be done, any state of affairs existing, or any period ending, before the repeal or amendment applies.

Example 1: On 31 July 1999, Greg Ltd lodged its annual return under former section 160ARE of the Income Tax Assessment Act 1936. The return stated that the company had a credit on its franking account and that no franking deficit tax was payable for the 1998‑99 franking year. Under former section 160ARH of that Act, the Commissioner was taken to have made an assessment consistent with the return.

                   Following an audit undertaken after the repeal of Part IIIAA of that Act, the Commissioner concludes that Greg Ltd fraudulently overfranked dividends it paid during the 1998‑99 franking year, and had a franking account deficit for that franking year. As a result, the Commissioner considers that franking deficit tax and a penalty by way of additional tax are payable.

                   The Commissioner can amend the assessment under former section 160ARN of that Act, because item 7 of this Schedule disregards the repeal of that section for the purposes of making an assessment in relation to the 1998‑99 franking year. Item 7 will also disregard the repeal of Division 11 of former Part IIIAA to the extent necessary for the Commissioner to assess Greg Ltd’s liability to a penalty by way of additional tax.

                   Despite the repeal of sections 160ARU and 160ARV, item 9 will ensure that the general interest charge will accrue on the unpaid franking deficit tax and penalty until they are paid.

                   Item 7 will also preserve Greg Ltd’s right, under former section 160ART of that Act, to object against the Commissioner’s amended assessment (including the penalty), since the objection is the exercise of a right in relation to a franking year that ended before the repeal of Part IIIAA.

Example 2: During the 1997‑98 income year, Duffy Property Ltd withheld amounts from its employees’ wages as required by former Divisions 1AAA and 2 of Part VI of the Income Tax Assessment Act 1936. The company failed to notify the Commissioner of those amounts, and failed to remit them to the Commissioner.

                   Following an audit undertaken after the repeal of those Divisions, the Commissioner discovers that the withheld amounts have not been remitted. The company’s records are incomplete and the Commissioner is unable to completely ascertain the extent of its liability for the withheld amounts. Under section 222AGA of that Act, the Commissioner makes an estimate of the liability.

                   Item 7 will disregard the repeal of section 220AAZA of that Act (which empowered the Commissioner to recover the amount of the estimate). Even though the estimate is made after the repeal, it relates to amounts withheld before the repeal.

8  Saving of provisions about effect of assessments

If a provision or part of a provision that is repealed or amended by this Act deals with the effect of an assessment, the repeal or amendment is disregarded in relation to assessments made, before or after the repeal or amendment applies, in relation to any act done or omitted to be done, any state of affairs existing, or any period ending, before the repeal or amendment applies.

9  Saving of provisions about general interest charge, failure to notify penalty or late reconciliation statement penalty

If:

                     (a)  a provision or part of a provision that is repealed or amended by this Act provides for the payment of:

                              (i)  general interest charge, failure to notify penalty or late reconciliation statement penalty (all within the meaning of the Income Tax Assessment Act 1936); or

                             (ii)  interest under the Taxation (Interest on Overpayments and Early Payments) Act 1983; and

                     (b)  in a particular case, the period in respect of which the charge, penalty or interest is payable (whether under the provision or under the Taxation Administration Act 1953) has not begun, or has begun but not ended, when the provision is repealed or amended;

then, despite the repeal or amendment, the provision or part continues to apply in the particular case until the end of the period.

10  Repeals disregarded for the purposes of dependent provisions

If the operation of a provision (the subject provision) of any Act or legislative instrument (within the meaning of the Legislative Instruments Act 2003) made under any Act depends to any extent on an Act, or a provision of an Act, that is repealed by this Act, the repeal is disregarded so far as it affects the operation of the subject provision.

11  Schedule does not limit operation of section 8 of the Acts Interpretation Act 1901

This Schedule does not limit the operation of section 8 of the Acts Interpretation Act 1901.

 

Tax Laws Amendment (Small Business) Act 2007 (No. 80, 2007)

Schedule 4

31  Application

(2)       The amendments made by items 27 and 28 of Part 2 of this Schedule apply in relation to producer rebates for the 2007‑08 financial year and later financial years.

 

Tax Laws Amendment (2009 GST Administration Measures) Act 2010
(No. 20, 2010)

Schedule 2

23  Application

(1)       The amendments made by this Schedule apply in relation to goods acquired, and wine purchased, on or after 1 July 2010.

 

Indirect Tax Laws Amendment (Assessment) Act 2012 (No. 39, 2012)

Schedule 1

239  Application of amendments

(1)       The amendments made by Divisions 1, 2 and 3 of this Part apply in relation to payments and refunds that relate to tax periods, and fuel tax return periods, starting on or after 1 July 2012.

(2)       The amendments made by Divisions 1, 2 and 3 of this Part also apply in relation to payments and refunds that:

                     (a)  do not relate to any tax periods or fuel tax return periods; and

                     (b)  relate to liabilities or entitlements that arose on or after 1 July 2012.