A NEW TAX SYSTEM (FAMILY ASSISTANCE) (ADMINISTRATION) ACT 1999 - SECT 67DD Indexed actual incomes

A NEW TAX SYSTEM (FAMILY ASSISTANCE) (ADMINISTRATION) ACT 1999 - SECT 67DD

  (1)   The Secretary may calculate an indexed actual income for an individual under subsection   (4), with a start day chosen by the Secretary, if:

  (a)   the individual, or the individual's partner, is a claimant for CCS by fee reduction; and

  (b)   a determination is in effect under paragraph   67CC(1)(a) that the claimant is eligible for CCS; and

  (c)   information about the adjusted taxable income of the individual needed to make a determination under Division   3 for the claimant is not known; and

  (d)   the most recent such determination made for the claimant was made on the basis of an indexed estimate or an indexed actual income; and

  (e)   since the claimant was last given a notice under subsection   67DC(2) or subsection   (2) of this section stating an indexed estimate or indexed actual income for an individual, the claimant has not given the Secretary an estimate of the claimant's adjusted taxable income that the Secretary considers to be reasonable; and

  (f)   the adjusted taxable income for an income year ( actual income ) of the individual (disregarding the effect for couples of clause   3AA of Schedule   3 to the Family Assistance Act) becomes known to the Secretary and it is the most recent income year for which the individual's actual income is known to the Secretary.

  (2)   If:

  (a)   the Secretary calculates an indexed actual income for the individual; and

  (b)   the indexed actual income is greater than the individual's current ATI number (see subsection   (5));

the Secretary may give the claimant a notice:

  (c)   stating the indexed actual income for the individual; and

  (d)   specifying the start day used in the Secretary's calculation (which must be the start of a CCS fortnight at least 14 days after the day the notice is given).

  (3)   A notice given to a claimant under subsection   (2) stating an indexed actual income for an individual has no effect if, before the start day specified in the notice, the Secretary gives the claimant another notice under that subsection or a notice under subsection   55AA(2) stating an indexed estimate or indexed actual income for the same individual. Any other such notice must specify a start day that is no earlier than the start day specified in the superseded notice.

  (4)   Calculate an indexed actual income (which may be nil) for the individual by multiplying the actual income of the individual which became known to the Secretary by the indexation factor, rounding the result to the nearest dollar and rounding 50 cents upwards. The indexation factor is the greater of 1 and the factor worked out to 3 decimal places as follows (increasing the factor by 0.001 if it would, if worked out to 4 decimal places, end in a number greater than 4):

where:

"AWE" means the amount published by the Australian Statistician in a document titled "Average Weekly Earnings" under the headings "Average Weekly Earnings, Australia--Original--Persons--All employees total earnings" (or, if any of those change, in a replacement document or under replacement headings).

"highest previous November" means the November in which, of all the Novembers from November 2004 to the November before the most recent November (inclusive), AWE was the highest.

"most recent November" means the November of the income year before the income year in which the start day occurs.

"reference period" , in a particular November, means the period described by the Australian Statistician as the last pay period ending on or before a specified day that is the third Friday of that November.

  (5)   For the purposes of paragraph   (2)(b), the individual's current ATI number is:

  (a)   if, at the time of calculation, the Secretary has given the claimant a notice under subsection   67DC(2) or subsection   (2) of this section stating an indexed estimate or indexed actual income for the individual with a start day that has not arrived--the indexed estimate or indexed actual income stated in the notice; or

  (b)   if paragraph   (a) does not apply and the individual is the claimant--the amount the Secretary is permitted to use for the individual under section   67DB (disregarding the effect for couples of section   67DE of this Act and clause   3AA of Schedule   3 to the Family Assistance Act); or

  (c)   if paragraph   (a) does not apply and the individual is the claimant's partner--the amount the Secretary would be permitted to use for the individual under section   67DB if the individual were the claimant (disregarding the effect for couples of section   67DE of this Act and clause   3AA of Schedule   3 to the Family Assistance Act).

  (6)   A notice under subsection   (2) is not a legislative instrument.