Explanatory Memorandum(Circulated by authority of the Treasurer, the Hon Peter Costello, MP)
Chapter 9 - Leases of luxury cars
9.1 This chapter explains consequential amendments being made to the Income Tax Assessment Act 1997 (the 1997 Act) and the Income Tax Assessment Act 1936 (the 1936 Act) because of changes to the 1936 Act proposed by Taxation Laws Amendment Bill (No. 2) of 1997.
9.2 Part 1 of Schedule 9 will amend the 1997 Act to ensure that the taxation treatment of leases of luxury cars contained in Schedule 2E of the 1936 Act will continue to have application in relation to the 1997-98 and later income years.
9.3 Part 2 of Schedule 9 will also amend Schedule 2E of the 1936 Act to reflect the amendments to the 1997 Act being made by Part 1.