Supplementary Explanatory Memorandum
(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)General outline and financial impact
Taxation Laws Amendment Bill (No. 5) 1997
Amends the Bill to:
- •
- replace the term 'bubble jet' in proposed subsection 91C(1) with a reference to 'ink-jet' in order to clarify the types of printers which will be considered as 'Part 7A goods'.
Date of effect: The amendments will apply from the date of Royal Assent of the Bill
Amendment announced: Not previously announced
Financial impact: Negligible
Compliance cost impact: Nil
Amendment of the Sales Tax Assessment Act 1992
Overview
1.1 The amendment makes a technical correction to proposed subsection 91C(1) to be inserted by item 23 of Schedule 2 of the Bill. The amendment replace the reference to 'bubble jet' in Item 5 of the table in subsection 91C(1) with a reference to 'ink-jet'.
Background
1.2 Item 23 of Schedule 2 to the Bill will insert a new Part 7A into the Sales Tax Assessment Act 1992 to establish a new sales tax regime for suppliers of personal computers and related goods.
1.3 Goods to which the new Part 7A will apply will be known as 'Part 7A goods'. The meaning of 'Part 7A goods' is set out in proposed section 91C. Proposed subsection 91C91) provides that Part 7A goods are goods that, if imported, would be covered by the description and corresponding tariff classification specified in the table to that provision. Item 5 of that table describes goods with the tariff classification 8471.60.00 as printers (dot matrix, bubble jet or laser).
Explanation of the amendments
1.4 The amendment replaces the term 'bubble jet' in proposed subsection 91C(1) with a reference to 'ink-jet' in order to clarify types of printers which will be considered as 'Part 7A goods'.
1.5 A bubble jet printer is a type of ink-jet printer, ie, a printer which operates by a stream of ink being shot onto paper. Whilst the term 'bubble jet' has become synonymous with the term 'ink-jet' in describing this type of printer, it has been brought to the Government's attention that the term 'bubble jet' may be associated with one particular manufacturer.
1.6 The amendment merely clarifies that all types of printers which operate by a stream of ink will be 'Part 7A goods'.