1
Income Tax Act 1915
INCOME TAX.
No. 41 of 1915.
An Act to impose a Progressive Tax upon Incomes.
[Assented to 13th September, 1915.]
BE it enacted by the King’s Most Excellent Majesty, the Senate, and the House of Representatives of the Commonwealth of Australia, as follows:—
Short title.
- This Act may be cited as the Income Tax Act 1915.
Incorporation.
- The Income Tax Assessment Act 1915 shall be incorporated and read as one with this Act.
Imposition of income tax.
- Income tax is imposed at the rates declared in this Act.
Rate of income tax.
4.—(1.) The rate of the income tax in respect of income derived from personal exertion shall be as set out in the First Schedule to this Act.
(2.) The rate of the income tax in respect of income derived from property shall be as set out in the Second Schedule to this Act.
(3.) The rate of the income tax in respect of the income of a company shall be as set out in the Third Schedule to this Act.
Levy of income tax.
- Income tax shall be levied in and for the financial year beginning on the first day of July One thousand nine hundred and fifteen.
THE SCHEDULES.
FIRST SCHEDULE.
Rate of Tax upon Income Derived from Personal Exertion.
For so much of the taxable income as does not exceed £7,600 the rate of tax per pound sterling shall be Threepence and three eight-hundredths of one penny where the taxable value is One pound sterling, and shall increase uniformly with each increase of One pound sterling of the taxable income by three eight-hundredths of one penny.
For every pound sterling of taxable income in excess of £7,600 the rate of tax shall be sixty pence.
The rate of tax for so much of the taxable income as does not exceed £7,600 may be calculated from the following formula:—
R=rate of tax in pence per pound sterling.
I=taxable income in pounds sterling.
View image in the official source
SECOND SCHEDULE.
Rate of Tax upon Income Derived from Property.
(a) For income of a taxable value not exceeding £546 the rate of tax shall be calculated from the following formula:—
R= rate of tax in pence per pound sterling.
I= taxable income in pounds sterling.
View image in the official source
(b) For income of a taxable value exceeding £546 but not exceeding £2,000 the rate of tax shall be calculated in the following manner—
The rate of the tax shall increase continuously with the increase of the taxable value of the income in a curve of the second degree in such a manner that the increment of tax per pound increase of taxable income shall be—
<table cellspacing="0" cellpadding="0" style="width:100%; margin-bottom:0pt; border-collapse:collapse"><tbody><tr style="height:1pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £546........</span><span style="font-family:'Times New Roman', serif">11·713 pence</span></p></td><td rowspan="4" style="width:16.8%; height:1pt; writing-mode:tb-rl; border-left:2.25pt solid #000000; padding-right:2pt; padding-left:0.88pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">Equivalent to an average rate of</span><span style="font-family:'Times New Roman', serif">—</span></p></div></td><td rowspan="8" style="width:4.92%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">546..</span><span style="font-family:'Times New Roman', serif">....</span><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">13</span><span style="font-family:'Times New Roman', serif"> 13 8.....</span><span style="font-family:'Times New Roman', serif">6·015 pence</span></p></div></td><td rowspan="8" style="width:3.96%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">600.........16 8 9......</span><span style="font-family:'Times New Roman', serif">6·576 pence</span></p></div></td><td rowspan="8" style="width:3.94%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">700.........22 3 2......</span><span style="font-family:'Times New Roman', serif">7·597 pence</span></p></div></td><td rowspan="8" style="width:3.96%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">800.......28 13 2......</span><span style="font-family:'Times New Roman', serif">8·597 pence</span></p></div></td><td rowspan="8" style="width:3.94%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">900.......</span><span style="font-family:'Times New Roman', serif">35 18 2..</span><span style="font-family:'Times New Roman', serif">....</span><span style="font-family:'Times New Roman', serif">9·576 pence</span></p></div></td><td rowspan="8" style="width:3.96%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">1,000.....</span><span style="font-family:'Times New Roman', serif">43 17 9.. 10·533 pence</span></p></div></td><td rowspan="8" style="width:3.96%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">1,500.....</span><span style="font-family:'Times New Roman', serif">93 15 0.. 15·000 pence</span></p></div></td><td rowspan="8" style="width:4.7%; height:1pt; writing-mode:tb-rl; border-right:0.75pt solid #000000; padding-right:1.62pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">2,000.. 157 15 7.. 18·933 pence</span></p></div></td></tr><tr style="height:1pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of </span><span style="font-family:'Times New Roman', serif">£600........</span><span style="font-family:'Times New Roman', serif">12·768 pence</span></p></td></tr><tr style="height:1pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £700........</span><span style="font-family:'Times New Roman', serif">14·672 pence</span></p></td></tr><tr style="height:1pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £800........</span><span style="font-family:'Times New Roman', serif">16·512 pence</span></p></td></tr><tr style="height:1pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £900........</span><span style="font-family:'Times New Roman', serif">18·288 pence</span></p></td><td rowspan="4" style="width:16.8%; height:1pt; writing-mode:tb-rl; border-left:2.25pt solid #000000; padding-right:2pt; padding-left:0.88pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif; font-variant:small-caps">Note</span><span style="font-family:'Times New Roman', serif">.</span><span style="font-family:'Times New Roman', serif">—</span><span style="font-family:'Times New Roman', serif">Amount of tax for taxable incomes of these amounts</span></p></div></td></tr><tr style="height:3.15pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at </span><span style="font-family:'Times New Roman', serif">a taxable income of £1,000.....</span><span style="font-family:'Times New Roman', serif">20·000 pence</span></p></td></tr><tr style="height:15.3pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £1,500.....</span><span style="font-family:'Times New Roman', serif">27·600 pence</span></p></td></tr><tr style="height:67.5pt"><td style="width:49.84%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £2,000.....</span><span style="font-family:'Times New Roman', serif">33·600 pence</span></p></td></tr></tbody></table>
(c) For income of a taxable value exceeding £2,000 the rate of tax shall be calculated in the following manner—
For so much of taxable value as does not exceed £6,500, the rate of tax shall increase continuously with the increase of the taxable value of the income in a curve of the third degree in such a manner that the increment of tax per pound increase of taxable income shall be—
<table cellspacing="0" cellpadding="0" style="width:109.12%; margin-bottom:0pt; border-collapse:collapse"><tbody><tr style="height:1pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £2,000.....</span><span style="font-family:'Times New Roman', serif">33·600 pence</span></p></td><td rowspan="4" style="width:11.96%; height:1pt; writing-mode:tb-rl; border-left:2.25pt solid #000000; padding-right:2pt; padding-left:0.88pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">Equivalent to an average rate of</span><span style="font-family:'Times New Roman', serif">—</span></p></div></td><td rowspan="10" style="width:4.52%; height:1pt; writing-mode:tb-rl; padding-right:2pt; padding-left:2pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">2,000..</span><span style="font-family:'Times New Roman', serif">.......</span><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">157 15 7..</span><span style="font-family:'Times New Roman', serif">.......</span><span style="font-family:'Times New Roman', serif">18·933</span><span style="font-family:'Times New Roman', serif">3</span><span style="font-family:'Times New Roman', serif"> pence</span></p></div></td><td rowspan="10" style="width:4.52%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">2,500.........234 12 11..........</span><span style="font-family:'Times New Roman', serif">22·5258 pence</span></p></div></td><td rowspan="10" style="width:4.52%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">3,000..........323 13 7...........</span><span style="font-family:'Times New Roman', serif">25·8944 pence</span></p></div></td><td rowspan="10" style="width:4.5%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">3,500..........</span><span style="font-family:'Times New Roman', serif">422 14 0..</span><span style="font-family:'Times New Roman', serif">.........</span><span style="font-family:'Times New Roman', serif">28·9851 pence</span></p></div></td><td rowspan="10" style="width:4.52%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">4,000..........529 14 5...........</span><span style="font-family:'Times New Roman', serif">31·7833 pence</span></p></div></td><td rowspan="10" style="width:4.5%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">4,500..........642 19 7...........</span><span style="font-family:'Times New Roman', serif">34·2921 pence</span></p></div></td><td rowspan="10" style="width:4.52%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">5,000...........760 18 1..........</span><span style="font-family:'Times New Roman', serif">36·5233 pence</span></p></div></td><td rowspan="10" style="width:4.6%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">5,500...........882 2 11..........</span><span style="font-family:'Times New Roman', serif">38·4936 pence</span></p></div></td><td rowspan="10" style="width:4.54%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">6,000........1,005 11 1..........</span><span style="font-family:'Times New Roman', serif">40·2222 pence</span></p></div></td><td rowspan="10" style="width:4.42%; height:1pt; writing-mode:tb-rl; border-left:0.75pt solid #000000; padding-right:2pt; padding-left:1.62pt; vertical-align:top"><div style="height:1pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">£</span><span style="font-family:'Times New Roman', serif">6,500.........1,130 4 0...........</span><span style="font-family:'Times New Roman', serif">41·7305 pence</span></p></div></td></tr><tr style="height:1pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £2,500.</span><span style="font-family:'Times New Roman', serif">...</span><span style="font-family:'Times New Roman', serif">.</span><span style="font-family:'Times New Roman', serif">40·000 pence</span></p></td></tr><tr style="height:1pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £3,000.....</span><span style="font-family:'Times New Roman', serif">45·300 pence</span></p></td></tr><tr style="height:16.65pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £3,500.....</span><span style="font-family:'Times New Roman', serif">49·600 pence</span></p></td></tr><tr style="height:12.6pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £4,000.....</span><span style="font-family:'Times New Roman', serif">53·000 pence</span></p></td><td rowspan="6" style="width:11.96%; height:12.6pt; writing-mode:tb-rl; border-left:2.25pt solid #000000; padding-right:2pt; padding-left:0.88pt; vertical-align:top"><div style="height:12.6pt; writing-mode:tb-rl"><p style="margin-right:5.65pt; margin-left:5.65pt; margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">Note.</span><span style="font-family:'Times New Roman', serif">—</span><span style="font-family:'Times New Roman', serif">Amount of tax for taxable incomes of these amounts</span><span style="font-family:'Times New Roman', serif">.</span></p></div></td></tr><tr style="height:13.95pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £4,500.....</span><span style="font-family:'Times New Roman', serif">55·600 pence</span></p></td></tr><tr style="height:1pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £5,000.....</span><span style="font-family:'Times New Roman', serif">57·500 pence</span></p></td></tr><tr style="height:18pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £5,500.....</span><span style="font-family:'Times New Roman', serif">58·800 pence</span></p></td></tr><tr style="height:18pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable income of £6,000.....</span><span style="font-family:'Times New Roman', serif">59·600 pence</span></p></td></tr><tr style="height:73.35pt"><td style="width:42.9%; border-right:2.25pt solid #000000; padding-right:0.88pt; padding-left:2pt; vertical-align:top"><p style="margin-bottom:0pt; line-height:normal"><span style="font-family:'Times New Roman', serif">at a taxable </span><span style="font-family:'Times New Roman', serif">income of £6,500.....</span><span style="font-family:'Times New Roman', serif">60·000 pence</span></p></td></tr></tbody></table>
For every pound sterling of taxable income in excess of £6,500 the rate of tax shall be sixty pence.
THIRD SCHEDULE.
Rate of Tax on the Income of a Company.
For every pound sterling of the taxable income of a company the rate of tax shall be one shilling and sixpence.