Bills Digest No. 175  1999-2000Sales Tax (Industrial Safety Equipment) (Transitional Provisions) Bill 2000

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This Digest was prepared for debate. It reflects the legislation as introduced and does not canvass subsequent amendments. This Digest does not have any official legal status. Other sources should be consulted to determine the subsequent official status of the Bill.


Passage History
Main Provisions
Contact Officer & Copyright Details

Passage History

Sales Tax (Industrial Safety Equipment) (Transitional Provisions) Bill 2000

Date Introduced: 11 May 2000

House: House of Representatives

Portfolio: Treasury

Commencement: On Royal Assent


The Bill forms part of a package of Bills that modify the sales tax exemption for industrial safety equipment to provide that only goods of a kind that were mainly used for industrial safety purposes will qualify for sales tax exemption. The Bill contains transitional provisions in relation to certain dealings between 1 January 1993 and 5 October 1999.


For background on the Bill, including the transitional provisions, the reader is referred to the Digest for the Sales Tax (General) (Industrial Safety Equipment) Bill 2000.(1)

Main Provisions

Persons may claim sales tax credit on sales between 1 January 1993 and 5 October 1999 in respect of equipment 'ordinarily' but not 'mainly' used in industrial safety operations only if the benefit has been, or will be, passed on to the end user of the goods (clause 5). If the goods have become an integral part of property (for example, shields fitted to industrial machines) and are no longer identifiable as 'goods', the end user is taken to be either the lessee or owner of the property (subclause 5(2)).

Any claim for sales tax credit under this provision must have been lodged before 5 October 1999, the date the Government's decision to amend the sales tax exemption was announced. If the benefit of the sales tax credit is not passed on, then sales tax is payable retrospectively on such dealings.

Clause 6 provides that where sales tax has not been paid in respect of equipment 'ordinarily' but not 'mainly' used in industrial safety operations, and the dealing occurred before 5 October 1999, the dealing is sales tax exempt and no liability to pay tax or to any penalty arises.


  1. Bills Digest no. 172, 1999-2000

Contact Officer and Copyright Details

Katrine Del Villar
30 May 2000
Bills Digest Service
Information and Research Services

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ISSN 1328-8091
© Commonwealth of Australia 2000

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Published by the Department of the Parliamentary Library, 2000.

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