Supplementary Explanatory Memorandum
(Circulated by authority of the Minister for Finance, Senator the Hon. Peter Walsh)GENERAL OUTLINE
The first amendment will amend clause 2 of the Bill to expressly provide that the transitional imputation provisions - which will modify the operation of the provisions dealing with imputation for early balancing companies - are to take effect from 1 January 1989.
The second amendment will remove Part IV from the Bill. Briefly, Part IV proposes amendment of the Sales Tax Assessment Act (No.1) 1930 to ensure that where overpaid sales tax has been passed on to others refunds are available only if all persons to whom the tax was passed on have been recompensed.
It has become apparent that such a provision would place an unacceptable burden on certain wholesalers and retailers. For this reason the amendment proposed by Part IV of the Bill is not to proceed.