Income Tax (TFN Withholding Tax (ESS)) Act 2009

The Income Tax (TFN Withholding Tax (ESS)) Act 2009 is an Australian federal law that imposes tax on certain amounts relating to employee share schemes. The Act was enacted in 2009 and has undergone several amendments since its introduction.

Section 1 of the Act states its short title as "Income Tax (TFN Withholding Tax (ESS)) Act 2009". Section 2 outlines the commencement provisions of the Act, which specify when each provision will come into effect. The commencement information is provided in a table, which indicates that Sections 1 and 2, as well as any other provisions not covered by the table, will commence on the day the Act receives Royal Assent.

Section 3 imposes tax on amounts mentioned in paragraph 14-155(1)(b) of Schedule 1 to the Taxation Administration Act 1953. The rate of tax is calculated using the maximum rate specified in Part I of Schedule 7 to the Income Tax Rates Act 1986, plus an additional 2%. Section 5 temporarily increases the rate of tax by 2 percentage points if the income year in which the amount is included as mentioned in paragraph 14-155(1)(b) in Schedule 1 to the Taxation Administration Act 1953 is a temporary budget repair levy year.

The endnotes provide additional information about the legislation, including its history, amendment history, uncommenced amendments, modifications, and miscellaneous details. The notes also include an abbreviation key, which sets out abbreviations that may be used in the endnotes.