Treasury Laws Amendment (Black Economy Taskforce Measures No. 2) Act 2018 (141 of 2018)

Schedule 3   Taxing tobacco at the time of manufacture

Excise Act 1901

7   Before section 68

Insert:

66 Payment of duty relating to tobacco goods

(1) If the Collector grants a person a licence under subsection 39A(1) that permits the manufacture of any tobacco goods, the Collector must determine a recurring 7 day period (the tobacco excise period ) for the licence.

(2) However, if the licence is granted on a day that is not the first day of the tobacco excise period, the Collector must determine the first tobacco excise period to be the period from that day until the day before the next tobacco excise period starts.

(3) The tobacco excise period, and any tobacco excise period determined under subsection (2), must be stated in the licence.

(4) The person must, for each tobacco excise period for the licence that begins before the licence ends or is cancelled, give a tobacco excise return to the Collector which includes:

(a) the amount (including a nil amount) of tobacco goods manufactured under the licence during the period; and

(b) the amount of the Excise duty payable on those tobacco goods.

(5) The return must be:

(a) in the approved form; and

(b) given to the Collector:

(i) on the first business day after the tobacco excise period ends; or

(ii) if the licence ends or is cancelled during the tobacco excise period - on the first business day after the day the licence ends or is cancelled.

(6) The Excise duty on the tobacco goods manufactured under the licence during the tobacco excise period is due and payable by the person on the same day that the return must be given for that period.

(7) For the purposes of this Act,the tobacco goods manufactured under the licence during the tobacco excise period are taken to be entered for home consumption, and delivered for home consumption, at the time the goods are manufactured.

67 General interest charge on unpaid duty

If any of the Excise duty remains unpaid after it is due under subsection 66(6), the person liable to pay the duty is liable to pay the general interest charge (within the meaning of the Taxation Administration Act 1953) on the unpaid amount of the Excise duty for each day in the period that:

(a) started at the beginning of the day by which the amount was due to be paid; and

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

(i) the amount;

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

Note: The general interest charge is worked out under Part IIA of the Taxation Administration Act 1953.