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Legislative Council - Fifty-Third Parliament, Second Session (53-2)
2016-09-20 Daily Xml
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Statutes Amendment (Budget 2016) Bill

Introduction and First Reading

Received from the House of Assembly and read a first time.

Second Reading

The Hon. K.J. MAHER (Minister for Employment, Minister for Aboriginal Affairs and Reconciliation, Minister for Manufacturing and Innovation, Minister for Automotive Transformation, Minister for Science and Information Economy) (17:34): I move:

That this bill be now read a second time.

I seek leave to have the second reading explanation inserted in Hansard without my reading it.

Leave granted.

This Bill contains measures that form part of the Government's budget initiatives for 2016-17.

This Bill amends the Authorised Betting Operations Act 2000.

The Authorised Betting Operations Act 2000 will be amended to introduce a 15% tax on net wagering revenue received from persons located in South Australia by all Australian-based wagering operators from 1 July 2017.

The tax will apply to, but is not limited to, bets on horse, harness and greyhound racing, bets on sports, such as AFL, cricket and soccer as well as other contingencies, such as bets on the winner of the Academy Awards.

A tax-free threshold of $150 000 net wagering revenue per year is proposed for all wagering operators. It is considered that the cost of collecting tax from wagering operators with a small market share would be relatively high compared with the tax collected.

The betting industry is rapidly changing and our tax regime needs to change with it. By implementing a wagering tax based on the place of consumption, we are ensuring that businesses are paying taxes in the jurisdiction in which they are making their money.

To reflect the modern wagering market, the amendments will also change the classes of licences granted for wagering. This will allow for new a licence class to accept bets placed over the phone, internet or other electronic means provided the licence holder has substantial business assets and infrastructure located in South Australia.

To ensure that the wagering industry contributes their fair share to help fund services to support and rehabilitate people affected by problem gambling, the package will include a contribution by wagering operators to the Gamblers Rehabilitation Fund.

The wagering tax package will also make consequential amendments to the Taxation Administration Act 1996 so that the Authorised Betting Operations Act 2000 is considered a taxation law for the purposes of the Taxation Administration Act 1996.

This Bill also amends the Education Act 1972.

These amendments will enable the Chief Executive of the Department for Education and Child Development, as Director-General, to fix a charge for the dependents of subclass 457 visa holders to attend South Australian government schools.

Temporary Work (Skilled) visas (subclass 457) enable skilled persons to come to Australia to work for an approved employer for up to four years. Subclass 457 visa holders can bring eligible dependents with them, and their dependents can work and study. Other jurisdictions charge fees for the dependents of subclass 457 visa holders to attend government schools. New South Wales was the first state to introduce a fee in 2000-01 followed by ACT and WA. Currently, in South Australia, these students are only required to pay the materials and services charge which applies to all students enrolled in government schools.

The Government considers it reasonable that subclass 457 visa holders with dependents attending government schools make a modest contribution to the cost of providing public education. Accordingly, this Bill will amend section 106B of the Education Act to allow the Director-General to a fix a charge payable by Government school students who are the dependents of subclass 457 visa holders. It would also allow for a charge to be fixed in relation to Government school students who are the dependents of other visa holders, as prescribed by the regulations. Allowing for the prescription of other kinds of visas by regulation is intended to provide some flexibility to accommodate changes in the visa subclasses over time.

It is intended that the fees for dependents of subclass 457 visa holders to attend government schools would be introduced from 1 January 2017, but that they would only apply to visa holders who arrive on or after that date in the first instance. The fees would then be extended to apply to existing subclass 457 visa holders from 1 January 2018.

It is intended that, for the 2017 school year, the fees would be $5100 for each primary school student and $6100 for each high school student. It is further intended that this would be subject to means testing arrangements, and discounts where there is more than one child in the family attending a government school. Full or partial waiver of fees may be available in exceptional cases of financial hardship.

All of the funding raised from these fees will go to early childhood education, which is one of the most crucial areas of our education system.

In accordance with the existing provision in section 106B(5), any charges payable under section 106B would be recoverable as debts due to the Minister. It is not intended that the dependents of subclass 457 visa holders would have their enrolment refused or cancelled for failing to pay fees, as is possible in ACT and NSW.

The Bill makes a further amendment to section 106B of the Act, reinstating the definition of 'full fee paying overseas student' which was inadvertently deleted as part of consequential amendments to the Act made when the Education and Early Childhood Services (Registration and Standards) Act 2011 was enacted, and updating the terminology in that definition by replacing the term 'temporary entry permit' with the term 'temporary visa' to reflect amendments to the Commonwealth Migration Act 1958.

The Bill also makes a related amendment to the Education and Early Childhood Services (Registration and Standards) Act 2011 to update the definition of 'full fee paying overseas student' by replacing the term 'temporary entry permit' with the term 'temporary visa' to reflect amendments to the Commonwealth Migration Act 1958.

The Bill amends the Environment Protection Act 1993.

These amendments are consequential to the amendments to the Zero Waste SA Act 2004 also contained in this bill. They reflect the proposed change to the short title of the Act from the Zero Waste SA Act 2004 to the Green Industries SA Act 2004.

The Bill also makes a number of amendments to the Land Tax Act 1936.

Effective from midnight 30 June 2016, all non-residential and non-vacant land owned by sporting and racing associations will be exempt from land tax. The exemption will be available provided that any net income from the land is used for the promotion of the association's objectives and not for the profit of its members. Residential and vacant land owned by sporting and racing associations will continue to be liable for land tax.

Also from midnight 30 June 2016, the principal place of residence land tax exemption will be amended to enable an owner to continue to claim a land tax exemption for up to two land tax years in instances where the owner ceases to occupy their principal place of residence to undertake a rebuild or major renovation.

In instances where an owner ceases to occupy the principal place of residence and moves into another property he or she owns, the owner can elect which property is to receive the benefit of the exemption. In cases where the property is the only home owned, the exemption will continue to be available for two land tax years.

A principal place of residence land tax exemption will also be available for two land tax years where a person buys a property, whether vacant land or other unoccupied property, with the intention to build or renovate the property prior to the property becoming the principal place of residence of the owner.

The Bill contains a range of provisions that will be required to be satisfied for an owner to be eligible for the principal place of residence land tax exemption. These provisions will ensure that the exemption is not being exploited.

The Bill also amends the Land Tax Act 1936 to address a technical issue that results in some trustees of charitable, educational, benevolent, religious and philanthropic trusts being ineligible for the land tax exemption that is available at section 4(1)(j) of the Act.

Trustees can be ineligible for the exemption at section 4(1)(j) because the trustee itself is not established for one of the purposes listed above, notwithstanding that the trustee holds the property on behalf of a trust that is established for an eligible purpose.

As a result of amendments contained in the Bill, all trustees that hold eligible land as trustee of an eligible trust will qualify for the exemption from the 2016-17 land tax year.

This Bill also makes amendments to the Mining Act 1971 andthe Petroleum and Geothermal Energy Act 2000.

These amendments mean the Treasurer will now be responsible for determining royalties, in consultation with the Minister for Mineral Resources and Energy. The administration of the royalties will still remain with the Minister for Mineral Resources and Energy. This change will align the Treasurers responsibilities to be consistent with other revenue policy areas, whilst maintaining collaboration with the Minster for Mineral Resources and Energy.

This Bill also makes amendments to the Passenger Transport Act 1994.

These amendments will allow for a $1 per trip levy on all metropolitan point to point transport journeys. It is intended to start from 1 October 2016 and will apply to all taxi and chauffeured vehicle services, including new rideshare services.

The entry of new competitors into the market will have a significant impact on the existing industry. In recognition of this, the new $1 levy will be used to partly fund an assistance package for the South Australian metropolitan taxi industry. The Government will provide a $30,000 payment per taxi licence and a $50 a week payment for a maximum of 11 months for licence lessees.

In addition, this Bill will also make amendments to introduce a maximum non-cash payment surcharge of 5 per cent  on the payment of fares via card for a taxi or small passenger vehicles.

This Bill also amends the Real Property Act 1886.

These amendments will broaden the powers of delegation of the Registrar-General. Currently the Real Property Act provides for the Registrar-General, the deputies of the Registrar-General and the other officers to be public service employees. The key provisions of the Bill will amend the Act to strike out the words 'and the other officers' in Section 13(5), and make other consequential amendments to allow the Registrar-General a broader power of delegation. The Act will still require that the Registrar-General and the Deputy Registrar-General are public servants.

These amendments will allow the government, if it makes commercial sense, to commercialise some of the transactional services currently provided by the Land Services Group.

The Bill makes a number of amendments to the Stamp Duties Act 1923.

The off-the-plan stamp duty concession in the Stamp Duties Act 1923 will be extended for one additional year to 30 June 2017. In addition, the current boundary, of inner metropolitan Adelaide, will be removed so that the concession will apply state-wide for all eligible contracts entered into between 20 June 2016 and 30 June 2017 (both dates inclusive).

Anti-avoidance provisions have been included in the Bill to deter persons who may attempt to replace contracts in existence prior to 20 June 2016 with new contracts in order to gain the benefit of the concession.

Section 67 of the Stamp Duties Act 1923 will be amended to make clear that where a purchaser acquires property from two independent arm's length vendors the value of these properties will not be aggregated to determine the total stamp duty liability. Section 67 will remain an anti-avoidance provision aimed at counteracting the practice of dividing land into smaller portions to avoid increased rates of stamp duty.

The stamp duty exemption currently at section 71(5)(j) of the Stamp Duties Act 1923 for charitable and religious bodies will be clarified to address a technical issue that results in some trustees of charitable and religious trusts being ineligible for an exemption.

Trustees can be ineligible for the exemption at section 71(5)(j) because the trustee itself is not established for a charitable or religious purpose, notwithstanding that the trustee purchased the property on behalf of a trust that is established for a charitable or religious purpose.

As a result of amendments contained in the Bill, all trustees that acquire eligible land as trustee of an eligible trust will qualify for the exemption from 1 July 2016. In addition to this change, the Bill moves this provision from section 71(5) of the Act to Schedule 2 of the Act to make clear that this exemption is available to purchases of property, as well as gifts of property, used wholly for charitable or religious purposes.

The Statutes Amendment and Repeal (Budget 2015) Act 2015 removed, with effect from 18 June 2015, duty from all direct acquisitions of South Australian property, apart from land and prescribed goods.

In addition, the Statutes Amendment and Repeal (Budget 2015) Act 2015 introduced additional definitions of land at section 2 of the Stamp Duties Act 1923 to further clarify what is considered land for the purposes of the Act.

In order to establish whether specified goods or classes of goods are prescribed goods and therefore dutiable, taxpayers have been required to seek a declaration from the Commissioner. In the majority of cases it has been determined that the goods in consideration either did not have the necessary connection with the relevant land or came under the expanded land definition at section 2 of the Act.

On the basis that the additional land definitions now included in the Stamp Duties Act 1923 are considered sufficient to ensure that the essential dutiable value will remain in the land and be brought to duty, the Bill removes the prescribed goods provisions from the Stamp Duties Act 1923.

As similar arrangements also apply to indirect acquisitions of South Australian land and goods under the landholder provisions contained at Part 4 of the Stamp Duties Act 1923, the Bill also removes the equivalent goods provisions from Part 4.

Removing the prescribed goods provisions from the Act will reduce red tape and provide savings to business by removing the need for them to apply to the Commissioner to have goods declared as not subject to stamp duty.

The Bill also amends the Stamp Duties Act 1923 to reflect the Government's announcement in the 2015-16 Mid-Year Budget Review that it would bring forward the first one third reduction in duty on non-residential, non-primary production real property transfers from 1 July 2016 to 7 December 2015. This will replace an ex gratia scheme put in place by the Government to give effect to the extended duty concession.

This Bill also amends the Taxation Administration Act 1996

The Bill amends section 93(1) of the Taxation Administration Act 1996 to make clear that a taxpayer is only required to pay 50 per cent of the primary tax in dispute before an appeal can be lodged (as opposed to 50 per cent of the whole amount of tax assessed inclusive of interest and penalty tax).

This Bill also amends the Zero Waste SA Act 2004.

As part of the State Government's 2014 State Election policies, a commitment was made to create a new agency to better capture the benefits of the green economy. The 2014-15 Budget delivered on this commitment through the formation of the Office of Green Industries SA. Amendments to the Zero Waste SA Act 2004 will establish Green Industries SA as a new statutory authority.

The new authority will work with businesses, governments and the environmental sector to realise the full potential of the green economy and encourage innovation and economic growth through the green industry. It will build on the success of Zero Waste SA to continue to reduce waste to landfill, improve water and energy efficiencies, increase the State's capacity for recycling and help businesses find new markets for their waste management knowledge and skills.

The amendments to the Zero Waste SA Act 2004 will also rename the Waste to Resources Fund to the Green Industry Fund. The use of the fund will be expanded to include climate change and disaster recovery measures.

I commend this Bill to the House.

Explanation of Clauses

Part 1—Preliminary

1—Short title

2—Commencement

3—Amendment provisions

These clauses are formal. The commencement provision allows for some provisions of the measure to be backdated.

Part 2—Amendment of Authorised Betting Operations Act 2000

4—Amendment of section 3—Interpretation

This clause introduces the concept of limited licences and makes consequential changes to definitions in the Act.

5—Amendment of heading to Part 2

This clause is consequential to the introduction of limited licences.

6—Amendment of heading to Part 2 Division 1

This clause is consequential to the introduction of limited licences.

7—Amendment of section 7—Grant of licences

This clause distinguishes between the current major betting operations licence (now to be known as the 'comprehensive' licence) and the new limited licences.

8—Amendment of section 8—Eligibility to hold licence

This clause is consequential to the introduction of limited licences. It is a requirement that the Minister be satisfied that the holder of a limited licence has substantial business assets and infrastructure located in South Australia.

9—Amendment of section 9—Authority conferred by licence

This clause sets out the authority conferred by the new limited licences.

10—Amendment of section 10—Term and renewal of licence

This clause is consequential to the introduction of limited licences.

11—Amendment of section 11—Conditions of licence

This clause is consequential to the introduction of limited licences.

12—Amendment of section 12—Approved licensing agreements

This updates a reference and is otherwise consequential to the introduction of limited licences.

13—Amendment of section 13—Racing distribution agreements

This clause updates a reference and is otherwise consequential to the change in terminology relating to the comprehensive licence.

14—Repeal of section 14

This clause repeals the provision relating to the duty agreement, consequentially to proposed new Part 3B.

15—Amendment of section 15—Approved licensing agreement to be tabled in Parliament

This clause is consequential to clause 14.

16—Amendment of section 16—Transfer of licence

This clause is consequential to the introduction of limited licences.

17—Amendment of section 17—Dealings affecting licensed business

This clause is consequential to the introduction of limited licences.

18—Amendment of section 18—Other transactions under which outsiders may acquire control or influence

This clause is consequential to the introduction of limited licences.

19—Amendment of section 19—Surrender of licence

This clause is consequential to the introduction of limited licences.

20—Amendment of section 20—Approval of designated persons

This clause is consequential to the introduction of limited licences.

21—Amendment of section 21—Applications

This clause is consequential to the introduction of limited licences.

22—Amendment of section 22—Determination of applications

This clause is consequential to the introduction of limited licences.

23—Amendment of section 23—Investigations

This clause is consequential to the introduction of limited licences.

24—Amendment of section 24—Investigative powers

This clause is consequential to the introduction of limited licences.

25—Amendment of section 25—Costs of investigation

This clause is consequential to the introduction of limited licences.

26—Amendment of section 26—Results of investigation

This clause is consequential to the introduction of limited licences.

27—Amendment of section 27—Accounts and audit

This clause is consequential to the introduction of limited licences.

28—Amendment of section 28—Licensee to supply Authority with copy of audited accounts

This clause is consequential to the introduction of limited licences.

29—Amendment of section 29—Duty of auditor

This clause is consequential to the introduction of limited licences.

30—Repeal of Part 2 Division 8

Division 8 of Part 2 deals with the payment of duty in relation to the major betting operations licence. This Division is repealed consequentially to proposed new Part 3B.

31—Amendment of section 33—Directions to licensee

This clause is consequential to the introduction of limited licences.

32—Amendment of section 33A—Commissioner to recover administration costs

This clause is consequential to the introduction of limited licences.

33—Repeal of Part 3 Division 2

Division 2 of Part 3 deals with the payment of duty in relation to licensed bookmakers and licensed racing clubs. This Division is repealed consequentially to proposed new Part 3B.

34—Amendment of section 40A—Authorisation of interstate betting operators

This clause amends section 40A for consistency with the amendments in clause 9 and to provide for returns (currently dealt with in section 40B).

35—Substitution of section 40B

This clause substitutes a new Part as follows:

Part 3B—Taxation

Division 1—Preliminary

40B—Interpretation

This section defines terms used in the Part.

Division 2—Betting operations tax

40C—Taxation Administration Act

Proposed amendments to the Taxation Administration Act 1996 will make this Part (and regulations under the Part) a taxation law. This section acknowledges that the Part must be read together with that Act, subject to regulations made under section 40G.

40D—Liability to pay tax

This section sets out the liability to betting operations tax.

Division 3—Multi-jurisdictional agreements

40E—Treasurer may enter into agreements

This section enables the Treasurer to enter into agreements (called multi-jurisdictional agreements) with other Australian jurisdictions for co-operative arrangements relating to taxes, penalties and interest imposed on betting operations carried on in multiple jurisdictions.

40F—Commissioner of State Taxation must implement agreements

The Commissioner of State Taxation must take action that is necessary or expedient for giving effect to a multi-jurisdictional agreement.

Division 4—Regulations

40G—Regulations

This clause provides a regulation making power, including power to modify the application of the Taxation Administration Act 1996 and power to provide for revenue collected under the Part, or a portion of such revenue, to be paid into a specified fund or funds and applied for prescribed purposes or in a prescribed manner.

36—Amendment of section 41—Approval of rules, systems, procedures and equipment

This clause is consequential to the introduction of limited licences.

37—Amendment of section 42—Location of off-course totalisator offices, branches and agencies

This clause is consequential to the introduction of limited licences.

38—Amendment of section 43—Prevention of betting by children

This clause is consequential to the introduction of limited licences.

39—Amendment of section 44—Prohibition of lending or extension of credit

This clause is consequential to the introduction of limited licences.

40—Amendment of section 45—Cash facilities not to be in certain areas staffed and managed by comprehensive licensee

This clause is consequential to the introduction of limited licences.

41—Amendment of section 46—Player return information

This clause is consequential to the introduction of limited licences and imposes a condition on such a licence that the licensee must, in accordance with determinations of the Commissioner, provide information relating to player returns on bets made with the licensee by persons located in South Australia and otherwise as required by the Commissioner.

42—Amendment of section 47—Systems and procedures for dispute resolution

This clause is consequential to the introduction of limited licences.

43—Amendment of section 48—Advertising code of practice

This clause is consequential to the introduction of limited licences.

44—Amendment of section 49—Responsible gambling code of practice

This clause is consequential to the introduction of limited licences.

45—Amendment of section 51—Alteration of approved rules, systems, procedures or equipment

This clause is consequential to the introduction of limited licences.

46—Amendment of section 67—Statutory default

This clause amends the definition of statutory default in Part 6 Division 1 so that a taxation default (as defined in proposed section 73A) will not, of itself, constitute a statutory default.

47—Amendment of section 69—Compliance notice

This clause is consequential to the introduction of limited licences.

48—Amendment of section 70—Expiation notice

This clause is consequential to the introduction of limited licences.

49—Amendment of section 72—Disciplinary action

This clause is consequential to the introduction of limited licences.

50—Insertion of section 73A

This clause inserts a new section as follows:

73A—Disciplinary action for taxation defaults

This section would allow for the taking of disciplinary action for a taxation default where the Commissioner of State Taxation instigates it.

51—Amendment of section 75—Powers of manager

This clause is consequential to the introduction of limited licences.

52—Amendment of section 76—Administrators, controllers and liquidators

This clause is consequential to the repeal of the duty provisions and the introduction of Part 3B.

53—Amendment of section 80—Lawfulness of betting operations conducted in accordance with Act

This clause is consequential to the introduction of limited licences.

54—Amendment of section 81—Further trade practices authorisations

This clause updates a reference and is otherwise consequential to the introduction of limited licences.

55—Amendment of section 84—Offences by bodies corporate

This clause is consequential to the repeal of the duty provisions.

56—Amendment of section 88—Service

This clause provides for the service of documents under Part 3B, or the Taxation Administration Act 1996 as it applies in connection with Part 3B, to be governed by the service provisions in the Taxation Administration Act 1996.

57—Amendment of section 89—Evidence

This clause is consequential to new Part 3B.

58—Amendment of section 91—Regulations

This clause makes an amendment consequential to the repeal of section 39, increases the maximum penalty for offences against the regulations and provides for the making of savings and transitional regulations.

59—Transitional provision

The transitional provision allows the duty agreement to continue in force for a transitional period determined by agreement between the Treasurer and the licensee (and in accordance with any supplementary agreements entered into by the parties).

Part 3—Amendment of Education Act 1972

60—Amendment of section 106B—Charges for certain overseas and non-resident students

This clause amends section 106B to allow the Director-General to set fees for students who are dependants of certain temporary visa holders under the Migration Act 1958 of the Commonwealth, and to insert a definition of 'full-fee paying overseas student'.

Part 4—Amendment of Education and Early Childhood Services (Registration and Standards) Act 2011

61—Amendment of section 3—Interpretation

This clause makes a consequential amendment (following the amendments made to the Education Act 1972) to section 3.

Part 5—Amendment of Environment Protection Act 1993

62—Amendment of section 47—Criteria for grant and conditions of environmental authorisations

The proposed amendments to section 47 are consequential on the amendments in Part 13.

63—Amendment of section 57—Criteria for grant and conditions of environmental authorisations

The proposed amendments to section 57 are consequential on the amendments in Part 13.

64—Amendment of section 121—Confidentiality

The proposed amendments to section 121 are consequential on the amendments in Part 13.

Part 6—Amendment of Land Tax Act 1936

65—Amendment of section 4—Imposition of land tax

The proposed amendments to section 4 ensure that the exclusion relating to land owned by an association established for a charitable, educational, benevolent, religious or philanthropic purpose will also apply where the land is held by a trustee on behalf of a trust established for such purposes and extend the exclusion applying to land owned by associations established, or holding land, for certain sporting or racing activities to all non-residential and non-vacant land owned by such associations or owned on behalf of trusts established, or holding land, for such activities.

66—Amendment of section 5—Exemption or partial exemption of certain land from land tax

This clause provides new grounds for exemptions from land tax where a person has ceased to occupy land as the person's principal place of residence because a building on the land is being renovated or rebuilt or where a person is renovating or constructing a building to be used as the person's principal place of residence. The provision sets out the requirements that must be fulfilled for the new exemptions to apply.

Part 7—Amendment of Mining Act 1971

67—Amendment of section 12—Delegation

This clause amends section 12 to provide a power of delegation to the Treasurer.

68—Amendment of section 17—Royalty

This clause amends section 17 to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

69—Amendment of section 17A—Reduced royalty for new mines

This clause amends section 17A to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

70—Amendment of section 17B—Assessments by Treasurer

This clause amends section 17B to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

71—Amendment of section 17D—When royalty falls due (general principles)

This clause amends section 17D to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

72—Amendment of section 17DA—Special principles relating to designated mining operators

This clause amends section 17DA to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

73—Amendment of section 17E—Penalty for unpaid royalty

This clause amends section 17E to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

Part 8—Amendment of Passenger Transport Act 1994

74—Amendment of section 4—Interpretation

This clause amends section 4 to insert definitions of the terms chauffeured vehicle service, point to point transport service and taxi service.

75—Amendment of section 36—Disciplinary powers

This clause amends section 36 to ensure that disciplinary action can be taken against the operator of a passenger transport service who fails to pay the point to point transport service transaction levy as required under the Act.

76—Insertion of Part 6A

This clause inserts a new Part relating to non-cash payment surcharges.

Part 6A—Non-cash payment surcharges

52A—Interpretation

New section 52A defines the term non-cash payment surcharge.

52B—Non-cash payment surcharges

New section 52B enables the making of regulations specifying the maximum amount payable for a non-cash payment surcharge or surcharges for the same hiring of a chauffeured vehicle service or taxi service.

52C—Overcharging for non-cash payment surcharge

New section 52C creates several offences.

Subsection (1) provides that if a non-cash surcharge that contravenes the regulations is imposed, certain persons are guilty of an offence ie., the person who imposed the surcharge, the owner or driver of the vehicle used to provide the chauffeured vehicle or taxi service, in the case of a taxi, the holder of the taxi licence, any person who provides or maintains the equipment installed in the vehicle that enabled the surcharge to be imposed, any person who manages or administers the system under which the amounts due for the hiring concerned may be paid by the use of a debit, credit, pre-paid or charge card, and any person of a class prescribed by the regulations made for the purposes of Part 6A.

Subsection (2) makes it an offence for a person, in a vehicle used to provide a point to point transport service, to collect or initiate the collection of a non-cash payment surcharge that contravenes the regulations made for the purposes of Part 6A.

Subsection (3) makes it an offence for a person to collect, for the purposes of or while providing a centralised booking service, a non-cash payment surcharge that contravenes the regulations made for the purposes of Part 6A.

In each case the maximum penalty is a $15,000 fine, but in the case of an offence committed by a corporation, the court can impose a maximum penalty that is 5 times that amount.

Subsection (4) provides a defence if the defendant establishes that—

(a) the non-cash payment surcharge was imposed or collected, or its collection was initiated, by another person; and

(b) the defendant did not know, and could not reasonably be expected to know, that the other person had charged or collected, or would initiate the charge or collection of, a non-cash payment surcharge in respect of that hiring.

77—Amendment of section 59—General provisions relating to offences

This clause amends section 59 so that a prosecution for an offence against Schedule 2 can be commenced at any time within 5 years of the date of the alleged commission of the offence or, with the Attorney-General's authorisation, at any later time.

78—Insertion of section 62A

This clause inserts a new section as follows:

62A—Point to point transport service transaction levy

Proposed section 62A provides that a point to point transport service transaction levy is payable as provided in Schedule 2.

79—Amendment of Schedule 1—Regulations

This clause amends Schedule 1 to increase the maximum penalty that may be prescribed for an offence against the regulations to $15,000.

80—Insertion of Schedule 2

This clause inserts a new Schedule 2.

Schedule 2—Point to point transport service transaction levy

Clause 1 defines the terms assessment period, booking service, point to point transport service transaction, point to point transport service transaction levy and relevant provider.

Clause 2 provides that a person who is a relevant provider during an assessment period is liable to pay the point to point transport service transaction levy for that assessment period calculated in accordance with this clause. The amount of the levy is $1 for each point to point transport service transaction that occurred in the assessment period for which the levy is payable. The levy for an assessment period must be paid at such times and in such manner as the Minister, by notice in the Gazette, directs. If a person fails to pay the levy as required, the Minister may, by notice in writing, require the person to make good the default and, in addition, to pay to the Crown any interest or penalty amounts payable in accordance with the regulations.

Clause 3 provides that the levy is not payable for certain transactions. The levy is not payable for taking a booking for a point to point transport service if (a) the booking is for a service that is to be provided by a taxi for which a licence under Part 6 is not required, or (b) the booking is for a journey that commences outside Metropolitan Adelaide, or (c) the service is not provided for any reason, or (d) another person is already liable to pay the levy for taking a booking. The levy is not payable for providing a taxi service if (a) the service is provided by a taxi for which a licence under Part 6 is not required, or (b) the service is for a journey that commences outside Metropolitan Adelaide.

Clause 4 creates a number of offences. Subclause (1) makes it an offence for a person to, by a deliberate act or omission, evade or attempt to evade a payment required under Schedule 2. Subclause (2) requires a person who is a relevant provider during an assessment period to keep certain records, and subclause (3) makes it an offence for a person to deliberately damage or destroy a record required to be kept under subclause (2). In each case the maximum penalty is a fine of $15,000.

Clause 5 empowers the Minister to extend the time for payment of an amount required under Schedule 2.

Clause 6 provides that no statute of limitation bars or affects any action or remedy for recovery by the Minister of an amount liable to be paid under Schedule 6.

Clause 7 provides that if a corporation is guilty of an offence against Schedule 2, a person who is concerned in, or takes part in, the management of the corporation is guilty of an offence and liable to the same penalty as may be imposed for the principal offence when committed by a natural person unless the person proves that he or she could not by the exercise of due diligence have prevented the commission of the offence. A person may be convicted of a contravention of a provision of Schedule 2 whether or not the corporation has been convicted of its contravention. Subclause (4) specifies who are persons who are concerned in, or take part in, the management of a corporation. The clause also allows the regulations to make provision in relation to the criminal liability of a person who is concerned in, or takes part in, the management of a corporation that is guilty of an offence against the regulations.

Clause 8 provides that the maximum penalty that a court may impose for an offence against Schedule 2, or regulations made for the purposes of Schedule 2, that is committed by a corporation is 5 times the maximum penalty that the court could, but for this clause, impose as a penalty for the offence.

Clause 9 provides that a person may be convicted of a second or subsequent offence for a failure to do an act (where the failure constitutes an offence against Schedule 2 or regulations made for the purposes of that Schedule) if the failure continues beyond the period or date in respect of which the person is convicted for the failure. The maximum penalty for the offence is the same whether it is a second or subsequent offence.

Clause 10 provides that regulations made for the purposes of Schedule 2 may make provision for certain matters. Clause 10 is to have effect in addition to section 64 provides for the making of regulations for the purposes of the Act.

Part 9—Amendment of Petroleum and Geothermal Energy Act 2000

81—Amendment of section 7—Delegation

This clause amends section 7 to provide a power of delegation to the Treasurer.

82—Amendment of section 43—Royalty on regulated resources

This clause amends section 43 to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

83—Amendment of section 44—Penalty for late payment

This clause amends section 44 to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

84—Amendment of section 45—Recovery of royalty

This clause amends section 45 to substitute the Treasurer for the Minister in respect of making certain determinations relating to royalty under the section.

Part 10—Amendment of Real Property Act 1886

85—Amendment of section 13—Administration of Act

Section 13 currently provides that there will be such other officers (in addition to the Registrar-General and his or her deputies) as may be necessary or expedient for the administration of the Act. As amended by this clause, section 13 will provide that there are to be such other persons engaged in the administration of the Act as the Registrar-General thinks fit. This clause also modernises some of the language of section 13.

86—Substitution of section 18A

Proposed section 17 authorises the Registrar-General to delegate a function or power under the Real Property Act 1886 or another Act. The Registrar-General cannot delegate a prescribed function or power. The proposed section requires that a delegation be by instrument in writing. A delegation may be absolute or conditional, does not derogate from the power of the delegator to act in a matter and is revocable at will.

87—Amendment of section 21—Seal of office

The amendment made by this clause is consequential on the substitution of section 18A by proposed new section 17.

88—Amendment of section 208—Proceedings against the Registrar-General as nominal defendant

This amendment is consequential on the amendment made by clause 85.

89—Amendment of section 229—Offences

This amendment is also consequential on the amendment made by clause 85.

Part 11—Amendment of Stamp Duties Act 1923

90—Amendment of section 67—Computation of duty where instruments are interrelated

Section 67 deals with the manner in which duty is calculated when instruments are interrelated. This clause amends the section by adding to the list of instruments to which the section does not apply a conveyance that relates to land that is being conveyed as part of a series of separate conveyances of land by different persons to the same person (whether that person takes alone or with the same or different persons).

91—Amendment of section 71—Instruments chargeable as conveyances

Under section 71, a transfer of property to a body established wholly for charitable or religious purposes is deemed (subject to certain specified criteria) not to be a conveyance operating as a voluntary disposition inter vivos. This clause removes that exemption from the section. This amendment is made in connection with the amendment to Schedule 2 made by clause 107.

92—Amendment of section 71CC—Interfamilial transfer of farming property

This clause amends section 71CC by removing references to goods.

93—Amendment of section 71DB—Concessional duty on purchases of off-the-plan apartments

The amendments made by this clause to section 71DB have the effect of extending the concession on duty payable in relation to conveyances of off-the-plan apartments to 30 June 2017 and broadening the definition of 'qualifying apartment' so that the concession will apply in relation to apartments situated (or to be situated) anywhere in the State purchased under contracts entered into on or after 20 June 2016.

94—Amendment of section 71DC—Concessional duty on designated real property transfers

This clause amends section 71DC to bring forward the relevant date from 1 July 2016 to 7 December 2015.

95—Amendment of section 91—Interpretation

This clause amends section 91 by removing the definition of 'goods' and provisions associated with that term.

96—Amendment of section 99—Determination of value

This clause removes references to goods from section 99. The term 'relevant asset', which encompasses South Australian goods, is replaced with 'underlying land asset'.

97—Amendment of section 102A—Calculation of duty

This clause amends section 102A by removing references to underlying South Australian goods.

98—Amendment of section 102B—Acquisition statement

This clause removes a reference to a land holding entity's underlying South Australian goods.

99—Amendment of section 102F—Exempt transactions and related matters

This clause deletes a provision relating to exclusion of the value of underlying South Australian goods.

100—Insertion of section 102GA

Proposed section 102GA makes it clear that Part 4 of the Act as in force after 1 July 2016 has no application in relation to acquisitions of prescribed interests, or increases in prescribed interests, in land holding entities that occurred before that date.

101—Amendment of heading to Part 4A Division 3

The heading to Part 4A Division 3 is amended by this clause as the Division as amended will apply in relation to all property other than land.

102—Repeal of section 104A

Section 104A is to be repealed as it includes a definition that is not required under Division 3 as amended by this measure.

103—Amendment of section 104B—Application of Division

Section 104B is to be amended by this clause so that Division 3 applies to all property other than land. References to prescribed goods are to be removed by the clause as the Division will no longer apply to those goods.

104—Amendment of section 104C—Abolition of duty on conveyance or transfer of property other than land

Section 104C as amended by this clause will provide that no liability to duty arises in relation to a conveyance or transfer of property to which Division 3 applies executed on or after 1 July 2016. The Division as amended will apply to all property other than land.

105—Amendment of section 104D—Relevant rates

The amendments made by this clause to section 104D are consequential on the broadening of the concept of property to which Division 3 applies to include all property other than land.

106—Insertion of section 104EA

Proposed section 104EA makes it clear that Division 3 of Part 4A as in force immediately before 1 July 2016 continues to apply in relation to conveyances or transfers of property executed on or after 18 June 2015 and before 1 July 2016.

107—Amendment of Schedule 2—Stamp duties and exemptions

This amendment is made in connection with the amendment made by clause 91. Schedule 2, which includes a list of exemptions from duty, is amended by the addition of an exemption for a conveyance or transfer of property to a body established wholly for charitable or religious purposes, or to a person who acquires the property in the person's capacity as trustee for a body established wholly for charitable or religious purposes. The exemption applies only if the Commissioner is satisfied that the property will not be used (wholly or predominantly) for commercial or business purposes. The exemption will not apply if any revenue, income or other benefit arising from the use of the property for commercial or business purposes will be applied towards the charitable or religious purposes of the body.

Part 12—Amendment of Taxation Administration Act 1996

108—Amendment of section 4—Meaning of taxation laws

This clause is consequential to clause 35.

109—Amendment of section 93—Appeal prohibited unless tax paid

This clause makes a minor amendment to subsection (1) so that the reference to 'tax' in that subsection will be only primary tax and will not include interest and penalty tax under Part 5.

Part 13—Amendment of Zero Waste SA Act 2004

110—Substitution of long title

This clause changes the long title of the Act, reflecting the proposed new direction of Green Industries SA (previously named Zero Waste SA) in promoting innovation and business activity in the State's waste management, resource recovery and green industry sectors.

111—Amendment of section 1—Short title

This clause amends the short title of this Act from 'Zero Waste SA Act 2004' to 'Green Industries SA Act 2004'.

112—Amendment of section 3—Interpretation

This clause makes changes to the definitions in the Act, reflecting the new names and directions under the Act. It also includes a definition of 'resource recovery' which now has a commonly understood meaning in the waste and materials management industry.

113—Insertion of sections 3A and 3B

This clause inserts new sections 3A and 3B into the Act.

3A—Guiding principles

Section 3A brings together the guiding principles from where they previously were in the Act (section 5) and adds the principle of the 'circular economy'. Reference to these principles is not only continued in section 5 of the Act in relation to Green Industries SA furthering its objectives and exercising its functions, but is also now made in the new definition of 'green industry' in proposed section 3B.

3B—Green industry

Section 3B defines what is meant by 'green industry' for the purposes of the Act, namely—

any business activity for the production of goods or services that demonstrates, as far as is reasonably practicable, the application of the guiding principles set out in section 3A in the manner of production and the goods or services themselves; or

any business activity carried on in support of, or in connection with, an activity referred to in paragraph (a), including research and development, education and marketing.

114—Substitution of heading to Part 2

This clause inserts a new heading to Part 2.

Part 2—Green Industries SA

115—Amendment of section 4—Green Industries SA

This clause makes consequential amendments to section 4 of the Act and clarifies that personal property includes intellectual property.

116—Substitution of sections 5 and 6

This clause substitutes sections 5 and 6 of the Act.

5—Primary objectives and principles of Green Industries SA

Section 5 is redrafted and adds as a new primary objective that of promoting innovation and business activity in the waste management, resource recovery and green industry sectors, recognising that these areas present a valuable opportunity to contribute to the State's economic growth. It also refers to the newly articulated guiding principles.

6—Functions of Green Industries SA

Section 6 preserves some of the former functions of Zero Waste SA as well as the proposed functions of Green Industries SA, reflecting the industry-orientated direction of this newly named body.

117—Amendment of section 7—Powers of Green Industries SA

This clause amends section 7 of the Act to enable Green Industries SA to make use of certain information collected by the EPA, for example, information relating to waste-related activities carried on under the Environment Protection Act 1993 (or the regulations or environment protection policies made under that Act). Safeguards are included to protect the use of information relating to trade processes or financial information.

118—Amendment of section 7A—Application of Public Finance and Audit Act 1987

These amendments are consequential.

119—Amendment of section 8—Chief Executive

These amendments continue the office of the Chief Executive.

120—Amendment of section 9—Board of Green Industries SA

These amendments continue the Board (previously known as the Board of Zero Waste SA) as the Board of Green Industries SA. The constitution of the Board is altered so that members have, collectively, experience or expertise (gained through involvement in business or government) in the following areas:

waste management, resource recovery or green industry;

ecological sustainability;

commercialisation of goods or services, entrepreneurship or other business development;

corporate governance;

community engagement;

marketing.

121—Amendment of section 10—Terms and conditions of office

This clause extends board membership terms to 3 years (from 2 years), with a cap of 9 consecutive years.

122—Amendment of section 12—Committees and subcommittees of Board

These amendments are consequential.

123—Amendment of section 13A—Delegations by Green Industries SA

These amendments are consequential.

124—Amendment of section 14—Business plan

These amendments are consequential.

125—Amendment of section 15—Annual report

The amendments to this section reflect the shared application of the Fund by Green Industries SA and the Minister. Other amendments in this clause are consequential.

126—Amendment of section 16—Use and protection of name

This clause adds 'Green Industries SA' to the list of protected names.

127—Substitution of heading to Part 3

This clause inserts a new heading to Part 3.

Part 3—Green Industry Fund

128—Amendment of section 17—Green Industry Fund

This clause changes the way in which the Fund can be applied. It adds a provision enabling the Minister (in addition to Green Industries SA) to make payments from the Fund. It is proposed to enable the Minister to apply the Fund—

towards the payment of costs of climate change initiatives, including research and development, education, innovation or business activity, in relation to initiatives for mitigating the effects of climate change, minimising carbon emissions and adapting to climate change; and

towards the payment of costs of managing waste or debris, or harm to the environment, following an identified major incident, a major emergency or a disaster, declared under Part 4 Division 3 of the Emergency Management Act 2004.

The clause also clarifies the form that payments from the Fund by Green Industries SA and the Minister may take, namely—

a grant of an amount to a person or body; or

with the approval of the Treasurer—

forming, or acquiring, holding, dealing with and disposing of, shares, units in a unit trust, interests in such shares or units or other interests in or securities issued by, bodies corporate; or

entering into a partnership, joint venture or other profit sharing agreement.

129—Insertion of section 17A

This clause inserts new section 17A.

17A—Delegation by Minister of power under section 17

This section inserts a new power of delegation by the Minister specifically in relation to the Minister's power of applying the Fund under proposed section 17(5)(b). The Minister will be able to delegate that power to another Minister or to any person for the time being performing particular duties or holding or acting in a particular position in an administrative unit of the Public Service.

130—Amendment of section 18—Development of waste strategy

This clause adds new components to the waste strategy, reflective of the new direction of the Act of promoting the use of waste to generate industry.

131—Amendment of section 19—Green Industries SA and EPA to co-ordinate activities

These amendments are consequential.

132—Transitional provision

This clause adds transitional provisions that will assist in bringing the new measures into effect.

Debate adjourned on motion of Hon. D.W. Ridgway.

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