Tax Laws Amendment (2004 Measures No. 6) Act 2005 (23 of 2005)

Schedule 2   Copyright collecting societies

Income Tax Assessment Act 1997

8   Subsection 995-1(1)

Insert:

copyright collecting society means either of the following bodies:

(a) a body that satisfies all of the following conditions:

(i) a declaration under the Copyright Act 1968 is in force in respect of the body;

(ii) the body is a company whose *constitution contains provisions about the distribution of amounts collected or *derived by it, including a requirement that a *member of the society cannot direct the body to pay an amount at a particular time;

(iii) other conditions prescribed by the regulations (if any) for the purposes of this subparagraph are met;

(b) a company that satisfies all of the following conditions:

(i) the company is incorporated under a law in force in a State or Territory relating to companies;

(ii) the company has and maintains the purpose of collective administration of copyrights;

(iii) if the company has other purposes - these purposes are incidental to the purpose described in subparagraph (ii);

(iv) the company collects or derives, and distributes, *copyright income;

(v) the company's constitution allows any copyright owner, or his or her agent, to be a member of the society, or allows all copyright owners of a particular type to be members;

(vi) the company's constitution prohibits the payment of *dividends;

(vii) the company's constitution contains provisions about the payment, out of amounts collected or derived by it, of the administrative costs of collecting those amounts;

(viii) the company's constitution contains provisions about the distribution of amounts collected or derived by it, including a requirement that an amount must be paid to a member as soon as is reasonably possible after the allocation of the amount to the member, as well as a requirement that a member cannot direct the company to pay an amount at a particular time;

(ix) the company's constitution, or contracts with members, contains such other provisions as are prescribed by the regulations (if any), being provisions necessary to ensure that the interests of members or their agents are protected adequately;

(x) the company's constitution requires the company to hold amounts on trust for copyright owners who are not members, or for members pending the payment of amounts to them;

(xi) the company's constitution, or contracts with members, allows all members to access the company's records;

(xii) other conditions prescribed by the regulations (if any) for the purposes of this subparagraph are met.