Part 4
-
Wine tax credits
Division 19
-
Producer rebates
History
Div 19 substituted for Div 19 by No 129 of 2004, s 3 and Sch 1 item 1, applicable to dealings in wine made on or after 1 October 2004.
Act No 129 of 2004, s 3 and Sch 1 contained the following transitional provisions:
Transitional provisions
(1) The amount of producer rebate for a producer of rebatable wine under the
A New Tax System (Wine Equalisation Tax) Act 1999
(as in force immediately before the commencement of this Schedule) for dealings in wine made on or after 1 July 2004 and before 1 October 2004 is the amount worked out under section 19-10 of that Act (as so in force) as if 30 September 2004 were the end of a financial year.
(2) The maximum amount of producer rebate for a producer, or a group of associated producers, of rebatable wine under the
A New Tax System (Wine Equalisation Tax) Act 1999
(as in force after the commencement of this Schedule) for the 2004-05 financial year is $217,500.
Div 19 formerly read:
Division 19
-
Producer rebates
19-1 What this Division is about
Wine producers are entitled to a rebate for certain retail sales and AOUs of wine. The rebate tapers off when these sales and AOUs exceed a particular value. The rebate is provided in the form of a wine tax credit.
Note:
Credit ground CR9 is producer rebates.
History
S 19-1 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
19-5 Entitlement to producer rebates
Retail sales
(1)
You are entitled to a *
producer rebate
for *
rebatable wine
in respect of a *
financial year
if:
(a)
you are the *
producer
of the wine; and
(b)
you are liable to wine tax for a *
retail sale
of the wine during the financial year; and
(c)
the sale is from premises to which your *
producer
'
s licence
relates; and
(d)
the sale does not contravene the *
State law
or *
Territory law
under which the licence was issued, or any conditions to which the licence is subject.
(2)
A sale of wine by mail order or on the Internet is taken to be a sale from particular premises for the purposes of paragraph (1)(c) if the wine is sold under the *
producer
'
s licence
to which those premises relate.
AOUs
(3)
You are also entitled to a *
producer rebate
for *
rebatable wine
in respect of a *
financial year
if:
(a)
you are the *
producer
of the wine; and
(b)
you are liable to wine tax for an *
AOU
of the wine during the financial year.
Exceptions
(4)
However, you are not entitled to the rebate for the wine if:
(a)
in the case of a *
retail sale
-
you sell the wine in the course of providing, to the purchaser of the wine, other *
food
that is for consumption on the *
premises
from which it is supplied; or
(b)
in the case of a retail sale
-
the sale is by mail order or on the Internet and a commission is payable to a third party for the sale, or a third party deducts an amount as commission from the proceeds of the sale; or
(c)
in any case
-
in the *
financial year
in which the sale or *
AOU
occurs, your *
annual rebatable turnover
for the *
producer
'
s licence
under which the sale or AOU took place is more than $580,000.
History
S 19-5 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
19-10 Amount of producer rebates
(1)
If the *
annual rebatable turnover
of a *
producer
of *
rebatable wine
for a particular *
producer
'
s licence
in a *
financial year
is $300,000 or less, the amount of the *
producer rebates
to which you are entitled in respect of that licence for that financial year is 14% of that turnover.
(2)
If the *
annual rebatable turnover
of a *
producer
of *
rebatable wine
for a particular *
producer
'
s licence
in a *
financial year
is more than $300,000, the amount of the *
producer rebates
to which you are entitled in respect of that licence for that financial year is:
$42,000
−
((That turnover
−
$300,000)
×
15%)
History
S 19-10 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
19-15 Estimating amounts of producer rebates for each tax period
(1)
The Commissioner may determine in writing how a *
producer
of *
rebatable wine
may work out estimates of amounts of *
producer rebates
that the producer may claim for the producer
'
s *
tax periods
during a *
financial year
(other than the last tax period of a financial year).
(2)
An amount worked out in accordance with the determination, for one of the *
tax periods
applying to you, is treated as an amount of a *
wine tax credit
:
(a)
to which you are entitled; and
(b)
that arises during that tax period (even though under
section 17-5
it would arise at a later time).
(3)
The amount of the *
producer rebate
to which you are entitled in respect of the *
financial year
is taken to be reduced by the sum of the amounts worked out under subsection (2) that you claim for *
tax periods
during the financial year.
(4)
However, if the sum of the amounts worked out under subsection (2) that you claim for *
tax periods
during the *
financial year
exceeds the amount of the *
producer rebate
to which you are entitled in respect of the financial year:
(a)
you are liable to pay an amount equal to that excess; and
(b)
the amount is to be treated as if it were wine tax payable by you at the end of the financial year, and, for the purposes of
Part 5
, were attributable to the last tax period of the financial year.
History
S 19-15 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
19-20 Annual rebatable turnover
The *
annual rebatable turnover
of a *
producer
of *
rebatable wine
for a particular *
producer
'
s licence
in a *
financial year
is the sum of:
(a)
the *
notional wholesale selling prices
of all *
retail sales
of rebatable wine the producer makes in that financial year that are sales:
(i)
made under the licence; and
(ii)
to which
subsection 19-5(1)
applies; and
(b)
the notional wholesale selling prices of all *
AOUs
of rebatable wine the producer makes in that financial year that are AOUs:
(i)
made under the licence; and
(ii)
to which
subsection 19-5(3)
applies.
History
S 19-20 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
Div 19 inserted by No 92 of 2000, s 3 and Sch 9A item 3, effective 1 July 2000.
19-15
Amount of producer rebates
(1)
The amount of the *producer rebates to which you are entitled because of subsection
19-5(1)
for the wine for the *financial year is:
(a)
for *wholesale sales
-
29% of the *price (excluding wine tax and *GST) for which the wine was sold; and
(b)
for *retail sales and *AOUs
-
29% of the *
notional wholesale selling price
of the wine.
History
S 19-15(1) amended by No 160 of 2005, s 3 and Sch 4 item 14, by inserting
"
because of subsection 19-5(1)
"
after
"
you are entitled
"
, effective 6 June 2006.
(1A)
The amount of the *
producer rebates
to which you are entitled because of subsection
19-5(2)
for the wine for the *financial year is an amount equal to 29% of the approved selling price for the wine.
History
S 19-15(1A) inserted by No 160 of 2005, s 3 and Sch 4 item 15, effective 6 June 2006.
(1B)
In working out the amount of the *producer rebate to which you are entitled because of subsection
19-5(2)
, any component used to determine the approved selling price that is expressed in a currency other than Australian currency is to be treated as if it were an amount of Australian currency worked out in the manner determined, by legislative instrument, by the Commissioner.
History
S 19-15(1B) inserted by No 160 of 2005, s 3 and Sch 4 item 15, effective 6 June 2006.
(1C)
In this section:
approved selling price
, in relation to wine sold by a *New Zealand participant, means the participant
'
s selling price for the wine net of any expenses unrelated to the production of the wine in *New Zealand, including but not limited to:
(a)
expenses relating to transportation, freight and insurance, agent
'
s fees and any other costs associated with exportation of the wine from New Zealand and importation of the wine into the indirect tax zone; and
(b)
New Zealand and Australian taxes including customs duties.
History
S 19-15(1C) amended by No 2 of 2015, s 3 and Sch 4 item 57, by substituting
"
the indirect tax zone
"
for
"
*Australia
"
in para (a) of the definition of
"
approved selling price
"
, applicable to a tax period that commences on or after 1 July 2015.
S 19-15(1C) inserted by No 160 of 2005, s 3 and Sch 4 item 15, effective 6 June 2006.
(2)
The maximum amount of *producer rebates to which a *producer is entitled for a *financial year under this Division is $350,000.
History
S 19-15(2) amended by No 94 of 2017, s 3 and Sch 1 item 23, by substituting
"
$350,000
"
for
"
$500,000
"
, effective 1 October 2017 and applicable to assessable dealings in wine in the 2018-19 financial year and later financial years.
S 19-15(2) amended by No 80 of 2006, s 3 and Sch 14 item 1, by substituting
"
$500,000
"
for
"
$290,000
"
, applicable to dealings in wine made on or after 1 July 2006.
S 19-15(2) amended by No 160 of 2005, s 3 and Sch 4 item 16, by inserting
"
under this Division
"
after
"
a *financial year
"
, effective 6 June 2006.
(3)
However, if the *
producer
is an *
associated producer
of one or more other producers for a *
financial year
, the maximum amount of *
producer rebates
to which those producers are entitled as a group for the financial year under this Division is $350,000.
History
S 19-15(3) amended by No 94 of 2017, s 3 and Sch 1 item 23, by substituting
"
$350,000
"
for
"
$500,000
"
, effective 1 October 2017 and applicable to assessable dealings in wine in the 2018-19 financial year and later financial years.
S 19-15(3) amended by No 80 of 2006, s 3 and Sch 14 item 1, by substituting
"
$500,000
"
for
"
$290,000
"
, applicable to dealings in wine made on or after 1 July 2006.
S 19-15(3) amended by No 160 of 2005, s 3 and Sch 4 item 17, by inserting
"
under this Division
"
after
"
the financial year
"
, effective 6 June 2006.
History
S 19-15 substituted by No 129 of 2004, s 3 and Sch 1 item 1, applicable to dealings in wine made on or after 1 October 2004.
For former wording and transitional provisions of s 19-15, see note under Div 19 heading.
View history note
Hide history note