Document ID: chunk:federal_register_of_legislation:C2022A00054:clause:2_49
Version: federal_register_of_legislation:C2022A00054
Segment Type: clause
Provision Reference: sch 2 cl 49
Character Range: 58563–60670

49  Subsections 12BF(4), (5) and (6)
Repeal the subsections, substitute:
 (4) A contract is a small business contract if:
 (a) the upfront price payable under the contract does not exceed $5,000,000; and
 (b) at least one party to the contract satisfies either or both of the following conditions:
 (i) the party makes the contract in the course of carrying on a business and at a time when the party employs fewer than 100 persons;
 (ii) the party's turnover, worked out under subsection (7) for the party's last income year (within the meaning of the Income Tax Assessment Act 1997) that ended at or before the time when the contract is made, is less than $10,000,000.
 (5) For the purposes of paragraph (4)(a), in working out the upfront price payable under a contract under which credit is provided or is to be provided, disregard any interest payable under the contract.
 (6) In counting for the purposes of subparagraph (4)(b)(i) the number of persons that a person employs:
 (a) a casual employee is not to be counted unless employed on a regular and systematic basis; and
 (b) a part‑time employee (including a part‑time casual employee counted under paragraph (a) of this subsection) is to be counted as an appropriate fraction of a full‑time equivalent.
 (7) For the purposes subparagraph (4)(b)(ii), a party's turnover for a period is the sum of the values of all supplies the party made during the period, other than the following:
 (a) supplies that are input taxed;
 (b) supplies that are not for consideration (and are not taxable supplies under section 72‑5 of the A New Tax System (Goods and Services Tax) Act 1999);
 (c) supplies that are not made in connection with an enterprise that the party carries on;
 (d) supplies that are not connected with the indirect tax zone.
 (8) Expressions used in subsection (7) that are also used in the A New Tax System (Goods and Services Tax) Act 1999 have the same meaning as in that Act.
Note: This section applies to Insurance Contracts Act insurance contracts in addition to the Insurance Contracts Act 1984 (see paragraph 15(2)(d) of that Act).