Petroleum Resource Rent Tax Assessment Act 1987

LIQUIDATORS ETC  
88(1)
Where a person (in this section referred to as the asset holder ):

(a) becomes, on a particular date, a liquidator of a company, being a company that is or was entitled to derive assessable petroleum receipts in relation to a petroleum project;

(b) is a receiver, or a receiver and manager, for debenture holders of a company, being a company that is or was entitled to derive assessable petroleum receipts in relation to a petroleum project, and, on a particular date, takes possession of assets of the company; or

(c) is agent for a non-resident principal, being a principal who is or was entitled to derive assessable petroleum receipts in relation to a petroleum project, and, on a particular date, is instructed by the principal to wind up the whole or part of a business of the principal, the asset holder shall, within 14 days of that date, give notice in writing of the fact to the Commissioner, and the succeeding provisions of this section apply.

88(2)
The Commissioner shall, as soon as practicable, notify the asset holder of the amount that, in the opinion of the Commissioner, is sufficient to provide for any amount of tax that is or may become payable by the company or principal, as the case may be.

88(3)
Subject to subsection (5), if the asset holder is a person of the kind referred to in paragraph (1)(a) or (b), the asset holder:

(a) shall not, without the leave of the Commissioner, part with any of the assets of the company until the asset holder has been notified by the Commissioner under subsection (2);

(b) shall set aside, out of the assets available for payment of ordinary debts of the company, assets to the value of an amount that bears to the value of the assets available for payment of ordinary debts of the company the same proportion as the amount notified by the Commissioner under subsection (2) bears to the sum of:

(i) the amount notified by the Commissioner under subsection (2);

(ii) any amount of prescribed tax that the Commissioner is required to notify to the asset holder under an Act other than this Act and has so notified; and

(iii) the aggregate of the ordinary debts of the company (excluding any debt in respect of tax or prescribed tax); and

(c) is, to the extent of the value of the assets that the asset holder is so required to set aside, liable as trustee to pay the tax.

88(4)
If the asset holder is a person of the kind referred to in paragraph (1)(c), the asset holder:

(a) shall not, without the leave of the Commissioner, part with any of the assets of the principal until the asset holder has been notified by the Commissioner under subsection (2);

(b) shall set aside, out of the assets available for the payment of the tax, assets to the value of the amount so notified, or the whole of the assets so available if they are less than that value; and

(c) is, to the extent of the value of the assets that the asset holder is so required to set aside, liable as trustee to pay the tax.

88(5)
Nothing in paragraph (3)(a) prevents the asset holder parting with assets of the company for the purpose of paying debts of the company that are not ordinary debts of the company.

88(6)
For the purposes of subsections (3) and (5), a debt of a company is an ordinary debt if:

(a) the debt is an unsecured debt; and

(b) the debt is not required, under a law of the Commonwealth or of a State or Territory, to be paid in priority to some or all of the other debts of the company.

88(7)
In subsection (3), prescribed tax means any amount that the Commissioner is required to notify under a section of another Act that corresponds to this section.

88(8)
If the asset holder refuses or fails to comply with any provision of this section or refuses or fails as trustee duly to pay the tax for which the asset holder is liable under subsection (3) or (4), the asset holder:

(a) is, to the extent of the value of the assets that the asset holder is required under subsection (3) or (4) to set aside, personally liable to pay the tax; and

(b) is guilty of an offence punishable on conviction by a fine not exceeding $1,000.

88(9)
Nothing in this section shall be taken to limit an obligation or liability of the asset holder arising otherwise than under this section.

88(10)
Where 2 or more persons:

(a) are liquidators of a particular company of a kind referred to in paragraph (1)(a);

(b) are receivers, or receivers and managers, for debenture holders of a particular company of a kind referred to in paragraph (1)(b) and take possession of assets of the company; or

(c) are agents for a particular non-resident principal of a kind referred to in paragraph (1)(c) and are instructed by the principal to wind up the whole or a part of a business of the principal;

then:

(d) a reference in this section to the asset holder is a reference to both or all of those persons; and

(e) the obligations and liabilities attaching to the asset holder under this section attach to both or all of those persons jointly.

88(11)
In this section, unless the contrary intention appears, tax includes additional tax under section 85 or Part IX .