Steve Fielding (Victoria, Family First Party) Share this | Hansard source

I move:

That the House of Representatives be requested to make the following amendment:

(1)    Page 3 (after line 27), at the end of the bill, add:

Schedule 2Refunds for primary producers and tourism operators

A New Tax System (Luxury Car Tax) Act 1999

1  At the end of section 2-10

Add:

        (4)    Refunds can arise for primary producers and tourism operators in certain circumstances. (Division 18).

2  After Division 17

Insert:

Division 18—Refunds

18-1                 What this Division is about

18-5                 Refunds for tax borne—primary producers

        (1)    You are entitled to a refund under this section if:

             (a)    you have a refund entitlement under this section; and

             (b)    you are ^*registered; and

             (c)    no one else has made a valid claim for a refund in relation to the refund entitlement.

        (2)    You have a refund entitlement if:

             (a)    you have ^*borne luxury car tax on the supply, or ^*importation, of a ^*refund-eligible car; and

             (b)    at the time of the supply or importation you are carrying on a ^*primary production business.

        (3)    The amount of the refund for a refund entitlement under subsection (2) is the lesser of:

             (a)    ⁸/33 of the luxury car tax ^*borne by you as described in paragraph (2)(a); and

             (b)    $3,000.

        (4)    You cannot have a refund entitlement under subsection (2) for more than one ^*car in a ^*financial year.

18-10  Refunds for tax borne—tourism operators

        (1)    You are entitled to a refund under this section if:

             (a)    you have a refund entitlement under this section; and

             (b)    you are ^*registered; and

             (c)    no one else has made a valid claim for a refund in relation to the refund entitlement.

        (2)    You have a refund entitlement if:

             (a)    you have ^*borne luxury car tax on the supply, or ^*importation, of a ^*refund-eligible car; and

             (b)    the Commissioner is satisfied that:

                   (i)    you will use the car solely for the purpose of carrying on a business; and

                  (ii)    the principal purpose of the business is carrying tourists for ^*tourist activities.

        (3)    The amount of the refund for a refund entitlement under subsection (2) is the lesser of:

             (a)    ⁸/33 of the luxury car tax ^*borne by you as described in paragraph (2)(a); and

             (b)    $3,000.

18-15  Claiming refunds

        (1)    You must claim a refund within 4 years of becoming entitled to the refund.

        (2)    A claim for a refund must be in the ^*approved form.

18-20  Payment of refunds

                 If you are entitled to a refund under this Division and you have claimed the refund, the Commissioner must, on behalf of the Commonwealth, pay the amount of the refund to you.

3  Section 27-1

Insert:

primary production business has the meaning given by section 995-1 of the ^*ITAA 1997.

4  Section 27-1

Insert:

refund-eligible car means a 4 wheel drive, or all wheel drive, ^*car of a kind specified in regulations made for the purposes of this definition.

5  Section 27-1

Insert:

tourist activity has the meaning set out in regulations made for the purposes of this definition.

6  Application

The amendments made by this Schedule apply to taxable supplies of luxury cars and taxable importations of luxury cars on or after 1 July 2008.

Statement pursuant to the order of the Senate of 26 June 2000

This amendment is framed as a request because it is to a bill which imposes taxation within the meaning of section 53 of the Constitution. The Senate may not amend a bill imposing taxation

Statement by the Clerk of the Senate pursuant to the order of the Senate of 26 June 2000

As this is a bill imposing taxation within the meaning of section 53 of the Constitution, any Senate amendment to the bill must be moved as a request. This is in accordance with the precedents of the Senate.

This request provides exemptions to farmers and tourism operators who rely on their four-wheel drives. We know that farmers and tourism operators are doing it tough, and this tax should not hit farmers and tourism operators. No-one has suggested to me that farmers and tourism operators should not be exempted. I think that is what I am hearing around the table. Some have said, though, that others should be exempt from this tax. There may well be an argument for that, and others can make their case. Family First has said that farmers and tourism operators should not be hit by this extra tax and that is why I have moved this request for amendment.