Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) In this Act, a reference, in relation to a year of tax in relation to an employee of an employer, to a remote area housing loan connected with a dwelling is a reference to a housing loan relating to the dwelling where:
(a) during the whole of the period (in this subsection referred to as the occupation period ) in the year of tax when the employee occupied or used the dwelling as his or her usual place of residence:
(i) the dwelling was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(b) the common conditions set out in subsection (2E) are satisfied in relation to the occupation period; and
(d) the loan was not made to the employee pursuant to:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60.
(1A) In this Act, a reference, in relation to a year of tax in relation to an employee of an employer, to remote area housing rent connected with a unit of accommodation is a reference to rent or other consideration payable in respect of the subsistence of a lease or licence in respect of the unit of accommodation where:
(a) during the whole of the period (in this subsection referred to as the occupation period ) in the year of tax when the employee occupied or used the unit of accommodation as his or her usual place of residence:
(i) the unit of accommodation was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(b) the common conditions set out in subsection (2E) are satisfied in relation to the occupation period; and
(d) the lease or licence was not granted under:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60.
(2) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to remote area residential property is a reference to property that consists of an estate or interest in land:
(aa) on which is situated a dwelling occupied or used by the employee immediately after the provision time as his or her usual place of residence; or
(ab) on which the employee proposes, as at the provision time, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence;
where:
(ac) if paragraph (ab) applies--the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to:
(i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the provision time; and
(ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the provision time;
(a) at the provision time:
(i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(b) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and
(d) the property was not provided to the employee pursuant to:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III.
(2A) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to a remote area residential property option fee is a reference to property that consists of a fee paid to the employee by way of consideration in respect of the grant of an option to purchase an estate or interest in land:
(a) held by the employee; and
(b) on which:
(i) there is a dwelling occupied or used by the employee immediately after the provision time as his or her usual place of residence; or
(ii) the employee proposes, as at the provision time, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence;
where:
(c) if subparagraph (b)(ii) applies--the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to:
(i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the provision time; and
(ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the provision time;
(d) at the provision time:
(i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(e) the option was granted at or before the time the employee acquired the estate or interest and constituted a recognised remote area housing obligation restricting the disposal of the estate or interest concerned;
(f) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and
(g) the property was not provided to the employee under:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III.
(2B) In this Act, a reference, in relation to a property fringe benefit in relation to a year of tax in relation to an employee of an employer, to remote area residential property repurchase consideration is a reference to property that consists of an amount paid to the employee by way of consideration for the purchase of an estate or interest in land:
(a) held by the employee; and
(b) on which:
(i) there is a dwelling occupied or used by the employee immediately before the provision time as his or her usual place of residence; or
(ii) the employee proposed, as at the time the employee acquired the estate or interest, to construct, or complete the construction of, a dwelling to be occupied or used by the employee as his or her usual place of residence;
where:
(c) if subparagraph (b)(ii) applies--the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to:
(i) commence the construction, or commence the completion of the construction, of the dwelling within 6 months after the time the employee acquired the estate or interest; and
(ii) occupy or use the dwelling as his or her usual place of residence within 18 months after the time the employee acquired the estate or interest;
(d) at the provision time:
(i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(e) at or before the time the employee acquired the estate or interest, the employee entered into a recognised remote area housing obligation restricting the disposal of the estate or interest concerned;
(f) the purchase by the provider of the fringe benefit of the estate or interest is in accordance with that obligation;
(g) the common conditions set out in subsection (2E) are satisfied in relation to the provision time; and
(h) the property was not provided to the employee under:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14B of Part III.
(2C) In this Act, a reference, in relation to an expense payment fringe benefit in relation to a year of tax in relation to an employee of an employer, to recipients expenditure in respect of remote area residential property is a reference to recipients expenditure that is incurred wholly:
(a) to enable the employee to acquire an estate or interest in land on which a dwelling was subsequently to be constructed or to acquire an estate or interest in land and construct, or complete the construction of, a dwelling on the land;
(b) to enable the employee to construct, or complete the construction of, a dwelling on land in which the employee holds an estate or interest;
(c) to enable the employee to acquire an estate or interest in land on which there is a dwelling; or
(d) to enable the employee to extend a dwelling, being a dwelling constructed on land in which the employee holds an estate or interest, by adding a room or part of a room to the dwelling, as the case may be;
where:
(e) if paragraph (a) or (b) applies:
(i) at the time the recipients expenditure was incurred, the employee proposed to occupy or use the dwelling as his or her usual place of residence; and
(ii) the Commissioner is satisfied that the employee has pursued sustained reasonable efforts to:
(A) commence the construction, or commence the completion of the construction, of the building constituting or containing the dwelling within 6 months after the time the recipients expenditure was incurred; and
(B) occupy or use the dwelling concerned as his or her usual place of residence within 18 months after the time the recipients expenditure was incurred;
(f) if paragraph (c) or (d) applies--as soon as reasonably practicable after the time the recipients expenditure was incurred, the dwelling concerned was occupied or used by the employee as his or her usual place of residence;
(g) at the time the recipients expenditure was incurred:
(i) the land was situated in a State or internal Territory and was not at a location in, or adjacent to, an eligible urban area; and
(ii) the employee was a current employee of the employer and the usual place of employment of the employee was not at a location in, or adjacent to, an eligible urban area;
(h) the common conditions set out in subsection (2E) are satisfied in relation to the time the recipients expenditure was incurred; and
(j) the fringe benefit was not provided to the employee under:
(i) a non - arm's length arrangement; or
(ii) an arrangement that was entered into by any of the parties to the arrangement for the purpose, or for purposes that included the purpose, of enabling the employer to obtain the benefit of the application of section 60 or Division 14A of Part III.
(2D) In this Act, a reference, in relation to a property fringe benefit or an expense payment fringe benefit in relation to a year of tax in relation to an employee of an employer, to a recognised remote area housing obligation restricting the disposal of an estate or interest in land is a reference to a contractual obligation entered into by the employee with the employer or an associate of the employer not to dispose of the estate or interest concerned except:
(a) to the employer or an associate of the employer; and
(b) for a price specified in, or ascertained in accordance with, the contract concerned;
at any time during a period specified in the contract concerned, being a period that ends not earlier than 5 years after:
(c) in the case of a property fringe benefit where the recipients property is remote area residential property repurchase consideration--the time the employee acquired the estate or interest concerned;
(d) in the case of any other property fringe benefit--the provision time; or
(e) in the case of an expense payment fringe benefit--the time the recipients expenditure was incurred.
(2E) For the purposes of the application of this section to a fringe benefit in relation to a year of tax in relation to an employee of an employer, the common conditions in relation to a particular period or in relation to a particular time are as follows:
(a) it is customary for employers in the industry in which the employee was employed during that period or at that time, as the case may be, to provide housing assistance for their employees;
(b) it would be concluded that it was necessary for the employer, during the year of tax, to provide or arrange for the provision of housing assistance for employees of the employer because:
(i) the nature of the employer's business was such that employees of the employer were liable to be frequently required to change their places of residence;
(ii) there was not, at or near the place or places at which the employees of the employer were employed, sufficient suitable residential accommodation for those employees (other than residential accommodation provided by or on behalf of the employer); or
(iii) it is customary for employers in the industry in which the employee was employed during that period or at that time, as the case may be, to provide housing assistance for their employees.
(3) A reference in this section to housing assistance is a reference to:
(a) the provision of residential accommodation without charge or for a rent or other consideration that is less than the market value of the right to occupy or use the accommodation concerned;
(aa) the making of payments in discharge or reimbursement of rent or other consideration incurred by a person in respect of the subsistence of a lease or licence in respect of a unit of accommodation;
(b) the making of a housing loan relating to a dwelling, being a loan in respect of which the rate of interest payable is less than the market rate of interest in respect of the loan concerned;
(c) the making of payments in discharge or reimbursement of expenditure incurred by a person in respect of interest incurred in respect of a housing loan relating to a dwelling;
(d) the provision of residential property without charge or for consideration that is less than the market value of the property at the provision time;
(e) the making of payments in discharge or reimbursement of expenditure incurred by a person in acquiring or constructing residential property; or
(f) the provision of a residential property ownership scheme involving:
(i) the granting by employees of options to purchase employees' residential property; or
(ii) the purchase of employees' residential property.
(4) Nothing in section 74 prevents the amendment of an assessment at any time for the purpose of giving effect to paragraph (2)(ac), (2A)(c), (2B)(c) or (2C)(e).