SPECIAL INCOME AND WAGES
TAX ACT.
Act No. 44, 1936.
An Act to impose a Special Income Tax on net
assessable incomes; to impose a Wages
Tax on income from wages; and for pur­
poses connected therewith. [Assented to,
31st October, 1936.]
B
E i t enacted b y t h e K i n g ' s Most Excellent Majesty,
b y a n d with t h e advice a n d consent of t h e Legis­
lative Council a n d Legislative Assembly of N e w S o u t h
Wales i n P a r l i a m e n t assembled, a n d b y t h e a u t h o r i t y of
t h e same, a s follows :—
P A R T I.
PRELIMINARY.
1. T h i s A c t m a y be cited a s the " S p e c i a l Income a n d
W a g e s T a x Act, 1 9 3 6 . "
2. T h i s A c t is divided into P a r t s a s follows:—
PART
I.—PRELIMINARY—ss.
1, 2.
PART
I I . — S P E C I A L INCOME TAX—SS.
PART
I I I . — W A G E S TAX—SS.
3-8.
9-10.
PART II.
SPECIAL INCOME TAX.
3. T h i s P a r t of t h i s A c t shall be c o n s t r u e d with t h e
Special Income a n d W a g e s T a x ( M a n a g e m e n t ) Act,
1936.
4.
4. T h e r e shall be charged, levied, collected a n d p a i d
f o r t h e use of H i s M a j e s t y a n d for the credit of the
Consolidated Revenue F u n d , u n d e r the provisions of the
Special Income a n d W a g e s T a x ( M a n a g e m e n t ) Act,
1936, a n d the r e g u l a t i o n s m a d e t h e r e u n d e r , a n d subject
to the exemptions in t h a t A c t contained, Special Income
T a x a t the respective r a t e s in this P a r t of this Act
provided.
5. I n r e s p e c t of the net assessable income d e r i v e d by
e v e r y p e r s o n o t h e r t h a n a company d u r i n g the y e a r of
income ended on the t h i r t i e t h d a y of J u n e , one t h o u s a n d
n i n e h u n d r e d a n d thirty-six, or such o t h e r p e r i o d as h a s ,
p r i o r to the commencement of this Act, been or m a y ,
a f t e r such commencement, be accepted by the Commis­
s i o n e r u n d e r the provisions of the P r i n c i p a l A c t in lieu
thereof, the r a t e s of Special Income T a x shall be a s set
o u t in t h e F i r s t Schedule to this Act.
6. (1) W h e r e a t r u s t estate falls to be d i s t r i b u t e d or a
p e r s o n is a b o u t to leave this S t a t e after the close of t h e
y e a r of income ending on the t h i r t i e t h d a y of J u n e , one
t h o u s a n d nine h u n d r e d a n d thirty-six, a n d before the
p a s s a g e of a n A c t fixing the r a t e of Special Income T a x
i n r e s p e c t of n e t assessable income derived after such
y e a r of income a n d a n assessment of Special Income T a x
becomes n e c e s s a r y the r a t e s of t a x to be p a i d in respect
of such n e t assessable income shall be those set out in
P a r t I of the F i r s t Schedule to this Act.
(2) W h e r e , after the close of t h e y e a r of income
e n d i n g on the t h i r t i e t h d a y of J u n e , one t h o u s a n d nine
h u n d r e d a n d thirty-six, a n d before the p a s s a g e of an
A c t fixing the r a t e of Special Income T a x in respect of
n e t assessable income derived a f t e r such y e a r of income,
t h e Commissioner, p u r s u a n t to Division 15 of P a r t I I I
of t h e P r i n c i p a l Act, r e q u i r e s a r e t u r n to be m a d e , a n d
a n a s s e s s m e n t of Special Income T a x becomes n e c e s s a r y
t h e r a t e of t a x t o be p a i d i n respect of such n e t assess­
able income shall be tenpence in each p o u n d of the n e t
assessable income.
7. (1) I n r e s p e c t of the income derived by e v e r y
p e r s o n (other t h a n a c o m p a n y ) n o t domiciled in this
S t a t e a n d b y e v e r y c o m p a n y which is a non-resident con­
s i s t i n g of dividends o r i n t e r e s t r e f e r r e d to i n section
eleven
eleven of the Special Income a n d W a g e s T a x ( M a n a g e ­
m e n t ) Act, 1936, d u r i n g the y e a r of income ended on t h e
t h i r t i e t h d a y of J u n e , one t h o u s a n d nine h u n d r e d a n d
thirty-six, t h e r a t e of Special Income T a x shall be t e n pence in each p o u n d thereof.
(2) W h e r e the dividend or i n t e r e s t is p a i d a f t e r
the t h i r t i e t h d a y of J u n e , one t h o u s a n d nine h u n d r e d a n d
thirty-six, a n d before the p a s s a g e of a n A c t fixing t h e
r a t e of Special Income T a x for a n y y e a r of income
e n d i n g a t a n y l a t e r date, the r a t e of Special Income T a x
shall be tenpence in each p o u n d of the dividend o r in­
terest.
8 . (1) I n respect of the n e t assessable income derived
by every c o m p a n y d u r i n g the y e a r of income ended on
the t h i r t i e t h d a y of J u n e , one t h o u s a n d nine h u n d r e d a n d
thirty-six, or such other p e r i o d as has, p r i o r to the com­
mencement of t h i s Act, been or m a y , after such com­
mencement, be accepted by the Commissioner u n d e r t h e
provisions of the P r i n c i p a l Act in lieu thereof, the r a t e s
of Special Income T a x shall be tenpence in each p o u n d
thereof.
(2) W h e r e a c o m p a n y is being wound u p after t h e
close of the y e a r of income ending on the t h i r t i e t h d a y of
J u n e , one t h o u s a n d nine h u n d r e d a n d thirty-six, a n d
before the p a s s a g e of an A c t fixing the r a t e of Special
Income T a x in r e s p e c t of n e t assessable income d e r i v e d
after such y e a r of income, a n d an a s s e s s m e n t of Special
Income T a x becomes necessary, the r a t e of t a x to be p a i d
in respect of such net assessable income shall be tenpence
in each p o u n d of the net assessable income.
PART III.
WAGES
TAX.
9. This P a r t of this A c t shall be c o n s t r u e d with t h e
Special Income a n d W a g e s T a x ( M a n a g e m e n t ) Act, 1936.
10.
10. T h e r e shall be charged, levied, collected a n d p a i d
for the use of H i s Majesty a n d for the credit of the
Consolidated Revenue F u n d u n d e r the provisions of the
Special Income a n d W a g e s T a x ( M a n a g e m e n t ) Act, 1936",
a n d the regulations m a d e t h e r e u n d e r a n d subject to the
exemptions in t h a t Act contained, W a g e s T a x a t the r e ­
spective a m o u n t s or a t the respective r a t e s p r o v i d e d in
the Second Schedule to this Act in respect of income from
w a g e s derived by every p e r s o n o t h e r t h a n a company
d u r i n g the p e r i o d commencing on the first d a y of Novem­
ber, one t h o u s a n d nine h u n d r e d a n d thirty-six, a n d end­
i n g on the t h i r t i e t h d a y of J u n e , one t h o u s a n d nine hun­
d r e d a n d thirty-seven, both inclusive, or so derived d u r i n g
such p a r t of the y e a r of income e n d i n g on the t h i r t i e t h
d a y of J u n e , one t h o u s a n d nine h u n d r e d a n d thirty-eight,
n o t exceeding the first four m o n t h s thereof as the Gover­
n o r by p r o c l a m a t i o n published in the Gazette before the
t h i r t i e t h d a y of J u n e , one t h o u s a n d nine h u n d r e d a n d
thirty-seven, shall determine.
F I R S T SCHEDULE.
PART I .
Where, during the year of income referred to in section five of this
Act, the person derived no income from wages—
(a) where the net assessable income
does not exceed one hundred
and fifty-six pounds;
Threepence in each pound
of the first one hundred pounds of the
net assessable income.
Eightpence in each pound
of the balance of the
net assessable income;
(b) where the net assessable income exceeds one hundred and
fifty-six pounds and does not
exceed two hundred pounds;
Fourpence in each pound
of the first one hundred pounds of the net
assessable income,
Eightpence in each pound
of the balance of the
net assessable income;
(c)
F I R S T SCHEDULE—continued.
PART I—continued.
(c) where the net assessable income
exceeds two hundred pounds
and does not exceed two hundred and fifty pounds:
Fivcpence in each pound
of the first one hundred pounds of the
net assessable income,
Eightpence in each pound
of the second one hun­
dred pounds of the net
assessable income,
Tenpence in each pound of
the balance of the net
assessable income;
(d) where the net assessable income
Sixpence in each pound of
exceeds two hundred and
fifty
the first one hundred
pounds.
pounds of the net as­
sessable income,
Eightpence in each pound
of the second one hun­
dred pounds of the net
assessable income,
Tenpence in each pound of
the balance of the net
assessable income.
PART I I .
Where, during the year of income referred to in section five of this
A c t , the person also derived income from wages—
(1) where the sum of income from
wages and net assessable income
does not exceed one hundred
and fifty-six pounds; then—
(a) if the amount of the
income from wages is
less than one hundred
pounds;
Threepence in each pound
of so much of the net
assessable income as
equals the difference
between the income
from wages and one
hundred pounds,
Eightpence in each pound
of the balance of the
net assessable income,
(b)
FIRST
SCHEDULE—continued.
PART II—continued.
(b) if the amount of the income from wages is equal
to or exceeds one hundred
pounds;
Eightpence in each pound
of the net assessable
income;
(2) where the sum of income from
wages and net assessable income
exceeds one hundred and fiftysix pounds and does not exceed
two hundred pounds, then—
(a) if the amount of the income from wages is less
than
one
hundred
pounds;
Fourpence in each pound
of
so much of the net
assessable income as
equals the difference
between the income
from wages and one
hundred pounds,
Eightpence in each pound
of the balance of the
net assessable income,
(b) if the amount of the income from wages is equal
to or exceeds one hundred
pounds;
Eightpence in each pound
of the net assessable
income;
(3) where the sum of income from
wages and net assessable in­
come exceeds two hundred
pounds and does not exceed two
hundred and fifty pounds,
then—
(a) if the amount of the income from wages is less
than
one
hundred
pounds;
Fivepence in each pound
of so much of the net
assessable income as
equals the difference
between the income
from wages and one
hundred pounds;
Eightpence in each pound
of so much of the re­
mainder of the net as­
sessable income as
does not exceed one
hundred pounds,
Tenpence in each pound
of the balance of the
net assessable income;
(b)
FIRST
SCHEDULE—continued.
PART II—continued.
(b) if the amount of the income from wages is equal
to or exceeds one hundred
pounds and does not exceed
two
hundred
pounds;
(c) if the amount of the income from wages is equal
to or exceeds two hundred pounds;
(4) where the sum of income from
wages and net assessable income
exceeds two hundred and fifty
pounds, then—
(a) if the amount of the income from wages is less
than
one
hundred
pounds;
Eightpence in each pound
of so much of the net
assessable income as
equals the difference
between the income
from wages and two
hundred pounds,
Tenpence in each pound
of the balance of the
net assessable income;
Tenpence in each pound
of
the net assessable
income;
Sixpence in each pound of
so much of the net
assessable income as
equals the difference
between the income
from wages and one
hundred pounds,
Eightpence in each pound
of so much of the re­
mainder of the net
assessable income as
does not exceed one
hundred pounds,
Tenpence in each pound
of the balance of the
net assessable income,
(b) if the amount of the income from wages is equal
to or exceeds one hundred pounds and does not
exceed
two
hundred
pounds;
Eightpence in each pound
of so much of t i e net
assessable income as
equals the difference
between the income
from wages and two
hundred pounds,
Tenpence in each pound
of the balance of the
net assessable income;
(c)
F I R S T SCHEDULE—continued.
PART II—continued.
(e) if the amount of the income from wages is equal
to or exceeds two hundred
pounds.
Tenpence in each pound
of the net assessable
income,
SECOND SCHEDULE.
1. Where the income from wages earned by an employee in any
week is less than five pounds the amounts of wages tax shall be as
follows:—
If the income from wages earned in
any week—
Is not less than two pounds
and does not exceed two
pounds ten shillings.
Exceeds two pounds ten shillings and does not exceed
three pounds.
Exceeds three pounds and
does not exceed three
pounds ten shillings.
Exceeds three pounds ten shillings and is less than
three pounds twelve shillings and sixpence.
Is not less than three pounds,
twelve shillings and sixpence, but is less than
three pounds fifteen shillings.
Is not less than three pounds
fifteen shillings, but is
less than three pounds
seventeen shillings and
sixpence.
Is not less than three pounds
seventeen shillings and
sixpence, but is less than
four pounds.
Amounts of Wages Tax.
Sixpence,
Ninepence.
One shilling and threepence,
One shilling and sixpence,
One shilling and sevenpence,
One shilling and eightpence.
One shilling
pence,
and nine-
Is
SECOND
SCHEDULE—continued.
Is not less than four pounds,
but is less than four
pounds two shillings.
One shilling and elevcnpence,
Is not less than four pounds
two shillings, but is less
than four pounds four
shillings.
Two shillings,
Is not less than four pounds
four shillings, but is less
than four pounds six
shillings.
Two shillings and twopence,
Is not less than four pounds
six shillings, but is less
than four pounds eight
shillings.
Two shillings and threepence,
Is not less than four pounds
eight shillings, but is less
than four pounds ten
shillings.
Two shillings and fivepence,
Is not less than four pounds
ten shillings, but is less
than four pounds twelve
shillings.
Two
shillings
pence,
and
six-
Is not less than four pounds
Two shillings and eighttwelve shillings, but
is
pence,
less than four pounds
fourteen shillings.
I s not less than four pounds
fourteen shillings, but is
less than four pounds six­
teen shillings.
Two shillings and ninepence,
Is not less than four pounds
sixtecn shillings, but is
less than four pounds
eighteen shillings.
Two shillings and elevenpence,
Is not less than four pounds
eighteen shillings, but is
less than five pounds.
Three shillings,
2.
SECOND
SCHEDULE—continued.
2. Where the income from wages earned by an employee in any
week is not less than five pounds the rates of Wages Tax shall be as
follows:—
On so much of the income from
Eates of Wages Tax.
wages earned in any week—•
As does not exceed two
Sixpence in each pound
pounds.
thereof.
As exceeds two pounds and
Eightpence in each pound
does not exceed four
thereof,
pounds.
As exceeds four pounds
..
One penny in each two
shillings thereof.
3. Where an employee is paid at other than weekly intervals, and
the amount actually earned by him in each week included in the
period in respect of which the payment is made is not readily ascertainable, the income from wages earned by the employee in each such
week may, for the purposes of this Schedule, be calculated by dividing the sum paid to him by the number of weeks included in such,
period.