A New Tax System (Indirect Tax and Consequential Amendments) Act (No. 2) 1999 (177 of 1999)

Schedule 2   Indirect tax transition

A New Tax System (Goods and Services Tax Transition) Act 1999

16   After section 16

Insert:

16A Special GST credit for certain alcoholic beverages on which duty has increased

(1) This section applies to goods if:

(a) you are entitled to a special credit under section 16 in respect of the goods (or would be so entitled apart from subsection (3) of this section); and

(b) they are goods mentioned in subsection 15A(1) (alcoholic beverages) of the Sales Tax (Exemptions and Classifications) Act 1992; and

(c) either:

(i) an amount of excise duty or customs duty (the old duty amount ) in respect of the goods was paid before 1 July 2000; or

(ii) the goods were delivered into home consumption before 1 July 2000 under a permission given under subsection 61C(1) of the Excise Act 1901 or granted under subsection 69(3) of the Customs Act 1901, and an amount of excise duty or customs duty (the old duty amount ) was or is payable in respect of the goods; and

(d) were excise duty or customs duty (whichever is applicable) instead to become payable on the goods immediately after 1 July 2000, the amount of that duty (the new duty amount ) would be greater than the old duty amount.

(2) The amount of the special credit in respect of the goods is reduced by an amount equal to the difference between the new duty amount and the old duty amount.

(3) However, there is no special credit in respect of the goods if the difference between the new duty amount and the old duty amount equals or exceeds what would (apart from this section) be the amount of the special credit.

16B Special GST credit for certain alcoholic beverages on which duty would not previously have been paid

(1) This section applies to goods if:

(a) you are entitled to a special credit under section 16 in respect of the goods (or would be so entitled apart from subsection (3) of this section); and

(b) they are goods mentioned in subsection 15A(1) (alcoholic beverages) of the Sales Tax (Exemptions and Classifications) Act 1992; and

(c) immediately before 1 July 2000, the goods were not:

(i) excisable goods (within the meaning of the Excise Act 1901); or

(ii) goods of a kind in respect of which customs duty was imposed by the Parliament, or goods the subject of a Customs Tariff or Customs Tariff proposed in the Parliament; and

(d) immediately after 1 July 2000, the goods became goods of a kind referred to in subparagraph (c)(i) or (ii).

(2) The amount of the special credit in respect of the goods is reduced by an amount (the new duty amount ) equal to what would be the excise duty or customs duty (whichever is applicable) in respect of the goods if that duty were to become payable immediately after 1 July 2000.

(3) However, there is no special credit in respect of the goods if the new duty amount equals or exceeds what would (apart from this section) be the amount of the special credit.

(4) To avoid doubt, goods that are subject to a "free" rate of duty, or which, under a Customs Tariff proposed in the Parliament, would be subject to a "free" rate of duty, are not goods of a kind referred to in subparagraph (1)(c)(ii).

16C Special petroleum credits

(1) You are entitled to a special petroleum credit if:

(a) you are registered as at 1 July 2000; and

(b) you have on hand, at the start of 1 July 2000, goods you acquired or imported that are held for the purposes of sale or exchange (but not for manufacture) in the ordinary course of business; and

(c) the goods are petroleum products of a kind specified in the regulations; and

(d) either:

(i) an amount of excise duty or customs duty (the old duty amount ) in respect of the goods was paid before 1 July 2000; or

(ii) the goods were delivered into home consumption before 1 July 2000 under a permission given under subsection 61C(1) of the Excise Act 1901 or granted under subsection 69(3) of the Customs Act 1901, and an amount of excise duty or customs duty (the old duty amount ) was or is payable in respect of the goods; and

(e) were excise duty or customs duty (whichever is applicable) instead to become payable on the goods after 1 July 2000, the amount of that duty (the new duty amount ) would be less than the old duty amount.

(2) The amount of the special petroleum credit in respect of the goods is an amount equal to the difference between the old duty amount and the new duty amount.

(3) The Commissioner must, on behalf of the Commonwealth, pay the special petroleum credit to you or, as provided in the regulations, to another person on your behalf. The payment must be made within the period and in the manner specified in the regulations.