INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
Subject to subsection (2), a taxpayer shall be entitled to a rebate in his assessment of an amount of 10 cents for every dollar of interest which is included in his taxable income and which is derived from bonds, debentures, stock or other securities issued by:
(a) the Government of the Commonwealth, except securities to which section 20 of the Commonwealth Debt Conversion Act 1931 or subsection 52B(2) of the Commonwealth Inscribed Stock Act 1911-1940 applies;
(b) the Government of a State; or
(c) any public or municipal trust, body, corporation or bank constituted under any State Act if, under the law of that State, the interest was, at the commencement of this section, exempt from tax imposed upon incomes by that law, irrespective of whether the interest was payable to a resident or a non-resident of that State, or, where the bonds, debentures, stock, or other securities are issued after the commencement of this section, if the prospectus or conditions of the loan provide that the interest shall be exempt from tax imposed by the law of that State irrespective of whether the interest is payable to a resident or a non-resident of that State.
A taxpayer shall not be entitled under subsection (1) to a rebate in respect of interest derived from bonds, debentures, stock or other securities issued in respect of moneys borrowed as from 1 November 1968, or a later date, and, for the purposes of this subsection, advance subscriptions made before that date and applied for the purposes of a loan opened to subscription on or after that date shall be deemed to have been borrowed as from the date on which they are so applied.