43   Paragraph 136AE(4)(e)

Repeal the paragraph, substitute:

(e) in the Commissioner's opinion, the derivation of the income or the incurring of the expenditure is attributable, in whole or in part, to activities carried on by the taxpayer:

(i) at or through the permanent establishment that is referred to in subparagraph (a)(i) or (iii); or

(ii) in the area covered by the international tax sharing treaty that is referred to in paragraph (a)(ii) or (iv);

44   Paragraph 136AE(5)(a)

Repeal the paragraph, substitute:

(a) a taxpayer:

(i) is a partnership and carries on a business in a country other than Australia at or through a permanent establishment of the taxpayer in that other country; or

(ii) is a partnership and carries on a business in an area covered by an international tax sharing treaty; or

(iii) carries on a business in Australia at or through a permanent establishment of the taxpayer in Australia and is a partnership in which any of the partners is a non-resident; or

(iv) carries on a business in an area covered by an international tax sharing treaty and also carries on a business somewhere else in Australia at or through a permanent establishment of the taxpayer in Australia and is a partnership in which any of the partners is a non-resident; and

45   Paragraph 136AE(5)(e)

Repeal the paragraph, substitute:

(e) in the Commissioner's opinion, the derivation of the income or the incurring of the expenditure is attributable, in whole or in part, to activities carried on by the taxpayer:

(i) at or through the permanent establishment that is referred to in subparagraph (a)(i) or (iii); or

(ii) in the area covered by the international tax sharing treaty that is referred to in paragraph (a)(ii) or (iv);

46   Paragraph 136AE(6)(a)

Repeal the paragraph, substitute:

(a) a taxpayer:

(i) is the trustee of a trust estate and carries on a business in a country other than Australia at or through a permanent establishment of the taxpayer in that other country; or

(ii) is the trustee of a trust estate and carries on a business in an area covered by an international tax sharing treaty; or

(iii) carries on a business in Australia at or through a permanent establishment of the taxpayer in Australia and is the trustee of a trust estate of which any of the beneficiaries is a non-resident; or

(iv) carries on a business in an area covered by an international tax sharing treaty and also carries on a business somewhere else in Australia at or through a permanent establishment of the taxpayer in Australia and is the trustee of a trust estate of which any of the beneficiaries is a non-resident; and

47   Paragraph 136AE(6)(e)

Repeal the paragraph, substitute:

(e) in the Commissioner's opinion, the derivation of the income or the incurring of the expenditure is attributable, in whole or in part, to activities carried on by the taxpayer:

(i) at or through the permanent establishment that is referred to in subparagraph (a)(i) or (iii); or

(ii) in the area covered by the international tax sharing treaty that is referred to in paragraph (a)(ii) or (iv);

48   After subsection 136AE(8)

Insert:

(8A) In this section:

(a) a reference to income being derived from a source in Australia is to be read as including a separate reference to income being derived from a source in an area in Australia that is covered by an international tax sharing treaty; and

(b) a reference to expenditure being incurred in deriving income from a source in Australia is to be read as including a separate reference to expenditure being incurred in deriving income from a source in an area in Australia that is covered by an international tax sharing treaty.

Note: This means that the following are the 3 different kinds of sources referred to in this section:

(a) a source in Australia (but not in an area covered by an international tax sharing treaty);

(b) a source in an area in Australia that is covered by an international tax sharing treaty;

(c) a source out of Australia.

49   Subsection 160AF(1)

Repeal the subsection, substitute:

(1) If:

(a) the assessable income of a year of income of a resident taxpayer includes:

(i) income that is foreign income; or

(ii) income, or a profit or gain, that is derived from a source in an area covered by an international tax sharing treaty to the extent to which that income, profit or gain is taxed in Australia; and

(b) the taxpayer has paid foreign tax in respect of that income, profit or gain; and

(c) the taxpayer was personally liable for that tax;

the taxpayer is, subject to this Act, entitled to a credit of:

(d) the amount of that foreign tax, reduced in accordance with any relief available to the taxpayer under the law relating to that tax; or

(e) the amount of Australian tax payable in respect of that income, profit or gain;

whichever is the less.

50   Subsection 170(14)

Insert:

international tax sharing treaty has the meaning given by subsection 136AA(1).

51   Subsection 170(14) (definition of relevant provision )

Repeal the definition, substitute:

relevant provision means:

(a) paragraph (3) of Article 5, or paragraph (1) of Article 7, of the United Kingdom agreement or a provision of any other double taxation agreement that corresponds with either of those paragraphs; or

(b) paragraph 7, 8 or 9 of Article 5, or Article 7, of the Taxation Code in Annex G to the Timor Sea Treaty or a provision of any other international tax sharing treaty that corresponds with any of those paragraphs or that Article.

52   Subsection 177B(1)

Omit "Petroleum (Timor Gap Zone of Cooperation) Act 1990", substitute "Petroleum (Timor Sea Treaty) Act 2003".

International Organisations (Privileges and Immunities) Act 1963

53   After section 5A

Insert:

5B Special provisions in relation to Designated Authority

(1) The Designated Authority is an international organisation to which this Act applies.

(2) The Designated Authority ceases to be an international organisation to which this Act applies on the day specified in the regulations.

(3) In this section:

Designated Authority has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

Migration Act 1958

54   Subsection 5(1) (definition of Area A of the Zone of Cooperation )

Repeal the definition.

55   Subsection 5(1) (definition of Australian seabed )

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

56   Subsection 5(1)

Insert:

Joint Petroleum Development Area has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

Passenger Movement Charge Collection Act 1978

57   Section 3 (definition of Area A of the Zone of Cooperation )

Repeal the definition.

58   Section 3

Insert:

Joint Petroleum Development Area has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

59   Section 3 (definition of petroleum )

Omit "Timor Gap Treaty", substitute "Timor Sea Treaty".

60   Section 3

Insert:

petroleum activities has the same meaning as in the Timor Sea Treaty.

61   Section 3 (definition of petroleum operations )

Repeal the definition.

62   Section 3 (definition of Timor Gap Treaty )

Repeal the definition.

63   Section 3

Insert:

Timor Sea Treaty means the Treaty defined by subsection 5(1) of the Petroleum (Timor Sea Treaty) Act 2003.

64   Section 3 (definition of Zone of Cooperation )

Repeal the definition.

65   Paragraph 5(l)

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

Petroleum (Submerged Lands) Act 1967

66   Subsection 5(1) (definition of Area A of the Zone of Cooperation )

Repeal the definition.

67   Subsection 5(1)

Insert:

Joint Petroleum Development Area has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

68   Paragraph 5A(1A)(c)

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

69   Paragraph 5A(3)(b)

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

Petroleum (Timor Gap Zone of Cooperation) Act 1990

70   The whole of the Act

Repeal the Act.

Quarantine Act 1908

71   Subsection 5(1) (definition of Area A of the Zone of Cooperation )

Repeal the definition.

72   Subsection 5(1) (definition of Australian seabed )

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

73   Subsection 5(1)

Insert:

Joint Petroleum Development Area has the same meaning as in the Petroleum (Timor Sea Treaty) Act 2003.

74   Paragraph 6A(a)

Omit "Area A of the Zone of Cooperation", substitute "the Joint Petroleum Development Area".

Note: The heading to section 6A is altered by omitting " Area A of the Zone of Cooperation " and substituting " the Joint Petroleum Development Area ".

75   Paragraph 6A(b)

Omit "Area A", substitute "the Joint Petroleum Development Area".

Superannuation Guarantee (Administration) Act 1992

76   After section 4

Insert:

4A Extension to Joint Petroleum Development Area

This Act:

(a) extends to the Joint Petroleum Development Area (within the meaning of the Petroleum (Timor Sea Treaty) Act 2003); and

(b) has effect as if that Area were part of Australia.

77   After paragraph 27(1)(c)

Insert:

(ca) salary or wages paid by an employer to an employee who is not a resident of Australia for work done in the Joint Petroleum Development Area (within the meaning of the Petroleum (Timor Sea Treaty) Act 2003);

Taxation Administration Act 1953

78   Subsection 3C(2A)

Repeal the subsection, substitute:

(2A) Subsection (2) does not apply to the extent that the person makes a record of the information, or divulges or communicates the information:

(a) for the purposes of this Act; or

(b) in the performance of the person's duties as an officer; or

(c) for the purposes of complying with an obligation Australia has under an agreement between Australia and another country.

Note: A defendant bears an evidential burden in relation to the matters in this subsection, see subsection 13.3(3) of the Criminal Code.

79   After paragraph 68(3)(b)

Insert:

(ba) the recording or disclosure is for the purposes of complying with an obligation Australia has under an agreement between Australia and another country; or

Workplace Relations Act 1996

80   Section 5A

Repeal the section.

Part 2   Application, saving and transitional provisions

81   Application - items 34 to 52

The amendments made by items 34 to 52 of this Schedule apply in relation to events that occur, and circumstances that arise, on or after 20 May 2002.

82   Continued operation of certain provisions in the Petroleum (Timor Gap Zone of Cooperation) Act 1990 - item 70

Despite the repeal of the Petroleum (Timor Gap Zone of Cooperation) Act 1990 by item 70 of this Schedule, sections 6, 7 and 8, and subsections 9(2), (3) and (4), of that Act have the effect, for the period that:

(a) starts on 20 May 2002; and

(b) ends on the day on which the Petroleum (Timor Sea Treaty) Act 2003 receives the Royal Assent;

that they would have had if that Act had not been repealed.

83   Application - items 76 and 77

(1) The amendments made by items 76 and 77 of this Schedule apply in relation to superannuation guarantee shortfalls for the year starting on 1 July 2003 and all later years.

(2) In this item:

superannuation guarantee shortfalls has the same meaning as in the Superannuation Guarantee (Administration) Act 1992.

year has the same meaning as in the Superannuation Guarantee (Administration) Act 1992.