Commonwealth Numbered Acts Commonwealth Numbered Acts
Farm Household Support Act 2014
1 Subsection 5(1) (definition of farm asset )
Omit "subsection 35(1)", substitute "subsections 35(1) and (2)".
2 Subsection 5(1)
Insert:
"water access entitlement " has the meaning given by section 35A.
"water allocation " has the meaning given by section 35A.
"water entitlement right " has the meaning given by section 35A.
"water resource " has the meaning given by section 35A.
3 Subsections 35(1) and (2)
Repeal the subsections, substitute:
(1) A farm asset is any asset that is used or held wholly or mainly for the purposes of a farm enterprise, but does not include the following:
(a) cash;
(b) money on deposit with an authorised deposit-taking institution within the meaning of the Banking Act 1959 ;
(c) a farm management deposit within the meaning of the Income Tax Assessment Act 1997 ;
(d) an asset of a kind prescribed by the Minister's rules.
(2) Without limiting subsection (1), each of the following is a farm asset :
(a) a right or interest in land used wholly or mainly for the purposes of a farm enterprise;
(b) a right or interest in livestock, crop, plant or equipment that:
(i) is produce of a farm enterprise; or
(ii) is used wholly or mainly for the purposes of a farm enterprise;
other than any livestock, crop, plant or equipment leased out by the farm enterprise;
(c) a water entitlement right that is used or held wholly or mainly for the purposes of a farm enterprise;
(d) so much of a loan to which subsection (2A) applies as:
(i) is used to purchase a thing covered by subsection (1) or paragraph (a), (b) or (c) of this subsection; and
(ii) remains unpaid.
(2A) This subsection applies to a loan at a particular time if:
(a) it was made by a beneficiary of a trust to the trustee of the trust, or by a shareholder of a company to the company; and
(b) the outstanding amount of the principal of the loan exceeds, at that time, the total value of all the financial investments:
(i) the trustee has in the capacity of trustee; or
(ii) the company has.
4 After section 35
Insert:
35A Meaning of water entitlement right
(1) A water entitlement right is:
(a) any right conferred by or under a law of a State or Territory to do either or both of the following:
(i) to hold water from a water resource;
(ii) to take water from a water resource; or
(b) an irrigation right (within the meaning of the Water Act 2007 ); or
(c) a water delivery right (within the meaning of the Water Act 2007 ); or
(d) a right of a kind prescribed by the Minister's rules; or
(e) a contractual right that a person holds to all or part of another person's right covered by paragraph (a), (b), (c) or (d).
(2) Without limiting paragraph (1)(a), that paragraph includes the following:
(a) stock and domestic rights;
(b) riparian rights;
(c) a water access entitlement;
(d) a water allocation.
(3) A water access entitlement is a perpetual or ongoing entitlement, by or under a law of a State or Territory, to exclusive access to a share of the water resources of an area in the State or Territory.
(4) A water allocation is the specific volume of water allocated to a water access entitlement in a given period.
(5) A water resource is:
(a) surface water or ground water; or
(b) a watercourse, lake, wetland or aquifer (whether or not it currently has water in it).
An expression used in paragraph (a) or (b) that is also used in the Water Act 2007 has the same meaning as in that Act.
5 Application provision
The amendments made by this Schedule apply in relation to a claim for farm household allowance that is made on or after the commencement of this item.