42APenalty royalty

42A Penalty royalty (1) If a royalty payer: (a) evades, or attempts to evade; or (b) does any act with intent to evade; or (c) makes default in the performance of any duty imposed under this Act or the Regulations with intent to evade, the assessment or payment of a sum which is or may become chargeable against the royalty payer by way of royalty (in this section referred to as the deficient royalty) the Secretary shall, when assessing the deficient royalty, assess the royalty payer with additional royalty by way of a penalty (in this section referred to as penal royalty) not exceeding twice the deficient royalty or $10,000, whichever is the greater. (2) Penal royalty is payable in respect of the same royalty year as the deficient royalty. (3) The royalty payer may object to the assessment of penal royalty under Part 11 of the Taxation Administration Act 2007 in the same manner as any other assessment. 42B Penalty royalty on default assessment under section 19 (1) If the Secretary makes a default assessment under section 19, the royalty payer in respect of whom the default assessment is made is liable to pay: (a) the amount of royalty payable on the default assessment; and (b) an additional amount of royalty equal to 75% of that amount of royalty; and (c) interest imposed under section 42 on the part of that amount of royalty not paid on the due date in accordance with section 40. (2) The Secretary may, for the reasons he or she thinks sufficient, remit the whole or a part of an additional amount of royalty referred to in subsection (1)(b) and, on remission, the liability to pay that whole or part of the additional amount of royalty ceases.

Part IV Collection and recovery of royalty Mineral Royalty Act 1982 41