19 Jun 1212 Shipping Reform Bills await Royal Assent
On 18 June 2012, the Senate passed the following Bills (being part of a package of 5 Bills) without amendment:
- Tax Laws Amendment (Shipping Reform) Bill 2012
- Shipping Reform (Tax Incentives) Bill 2012
Tax Laws Amendment (Shipping Reform) Bill 2012 amends:
- ITAA 1997 to provide for: a new category of exempt income for ship operators under certain circumstances; an accelerated depreciation of shipping vessels through a cap of 10 years to the effective life of those vessels; roll-over relief from income tax for eligible ship owners; a refundable tax offset for employers of Australian resident seafarers in certain circumstances; and the disclosure of tax information by the ATO in certain circumstances; and
- ITAA 1936 to exempt from royalty withholding tax payments made for the lease of shipping vessels in certain circumstances.
Shipping Reform (Tax Incentives) Bill 2012 provides the mechanism for tax concessions for the shipping industry by:
- the issue of certificates to applicants who meet certain requirements;
- first time applicants being issued with a notice to confirm they meet the necessary requirements;
- enabling the department to collect and collate data; and
- enabling disputed decisions to be reviewed.
The Bills await Royal Assent.