|
|
|
LAWCOMM 403 long notes.docx
LAWCOMM_403_long_notes.docx
Showing 42 out of 157
LAWCOMM 403 long notes.docx-CONTENTS Tips ...........
LAWCOMM_403_long_notes.docx-CONTENTS Tips ......................................................................................................................................................................................... 4 Introducon ............................................................................................................................................................................
LAWCOMM 403 long notes.docx-CONTENT...
LAWCOMM_403_long_notes.docx-CONTENTS Tips ......................................................................................................................................................................................... 4 Introducon ............................................................................................................................................................................
Page 42
However, the liabilies are expressed in a high level of generality – you need to look at the rest of the
Act to find the detail
Example – Part B says you must pay tax on income, but to find the definion of “income”,
you need to go to Part C
o
Part C deals with what counts as income
o
Part D deals with what counts as deducble expenditure
PRELIMINARY PROVISIONS
The Act is called the Income Tax Act 2007 (
secon A 1
)
The Act came into force on 1 April 2008 (
secon A 2
)
PART A – PURPOSE AND INTERPRETATION
The main purposes of the Act are (
secon AA 1
):
o
To define net income and impose tax on it
o
To impose other obligaons concerning tax
Other obligaons might be for example, if you are an employer, you are obliged to pay tax on your
own income and to withhold PAYE tax on your employees’ income
o
To set out rules for calculang and paying tax
Example – the rule about deducons (deriving assessable income and is of a revenue nature)
Aids to interpretaon of the Act (
secon AA 2
)
o
Words prevail over diagrams, flowcharts etc.
o
Words mean what they are defined to mean
Definions
(
secon AA 3
)
o
Definions appear in Part Y
o
The main definions secon is secon YA 1, but there are also other definions secons scaered throughout
the Act
This Act binds the Crown (
secon AA 4
)
o
The Crown is bound for various reasons, such as tax refunds
PART B – CORE PROVISIONS
SUBPART BA – THE PURPOSE OF THE CORE PROVISIONS
The purpose of the core provisions is (
secon BA 1
):
o
to impose income tax, provisional tax, withholding liabilies and other obligaons concerning taxes;
Provisional tax is tax you pay that isn’t withheld (e.g. through PAYE) and you pay in advance rather
than at the end of the year – mainly contractors, landlords and companies (people who don’t have
someone that can withhold tax from their pay) pay provisional tax
Withholding liabilies are taxes that are withheld from income (e.g. PAYE, resident and non-resident
withholding tax)
o
to set out procedures for calculang and paying tax;
o
to provide a basis for applying the other Parts of the Act;
o
generally to set up the scheme of the Act and the main links between its Parts
SUBPART BB – INCOME TAX AND RESULTING OBLIGATIONS
Subpart BB contains the basic charging provision and also sets out some other basic rules.
The charging provision (
secon BB 1
)
o
“Income tax is imposed on taxable income, at the rate or rates of tax fixed by an
annual taxing Act
, and is
payable to the Crown under this Act and the Tax Administraon Act 1994.”
o
The rates of tax are set out in
Schedule 1
:
Rates for ordinary individuals (as of 1 April 2021):
$0 – $14,000
10.5%
$14,001 – $48,000
17.5%
Ace your assessments! Get Better Grades
Browse thousands of Study Materials & Solutions from your Favorite Schools
Vanderbilt University
Vanderbilt_University
School:
Tax_Law
Course:
Great resource for chem class. Had all the past labs and assignments
Leland P.
Santa Clara University
Introducing Study Plan
Using AI Tools to Help you understand and remember your course concepts better and faster than any other resource.
Find the best videos to learn every concept in that course from Youtube and Tiktok without searching.
Save All Relavent Videos & Materials and access anytime and anywhere
Prepare Smart and Guarantee better grades
Know more
Students also viewed documents
lab 18.docx
lab_18.docx
Course
Course
3
Module5QuizSTA2023.d...
Module5QuizSTA2023.docx.docx
Course
Course
10
Week 7 Test Math302....
Week_7_Test_Math302.docx.docx
Course
Course
30
Chapter 1 Assigment ...
Chapter_1_Assigment_Questions.docx.docx
Course
Course
5
Week 4 tests.docx.do...
Week_4_tests.docx.docx
Course
Course
23
Week 6 tests.docx.do...
Week_6_tests.docx.docx
Course
Course
106
