Commonwealth Numbered Acts

INCOME TAX (RATES) AMENDMENT ACT 1977 No. 42 of 1977 - SECT 3

3. Section 9 of the Income Tax (Rates) Act 1976*2* is amended-

(a) by omitting from sub-section (1) the definition of ''index number'' and
substituting the following definition:-

'' 'index number', in relation to a quarter, means the All Groups Consumer
Price Index number, being the weighted average of the 6 State capital cities,
published by the Australian Statistician in respect of that quarter;'';

   (b)  by omitting from sub-section (3) the words ''number ascertained'' and
        substituting the words ''number (calculated to 3 decimal places)
        ascertained, as at the date on which the index number for the March
        quarter immediately preceding that relevant year of income was first
        published,'';

   (c)  by inserting after sub-section (3) the following sub-sections:-

''(3A) Subject to sub-section (3B), if at any time, whether before or after
the commencement of this sub-section, the Australian Statistician has
published or publishes an index number in respect of a quarter in substitution
for an index number previously published by him in respect of that quarter,
the publication of the later index number shall be disregarded for the
purposes of this section.

''(3B) If at any time, whether before or after the commencement of this
sub-section, the Australian Statistician has changed or changes the reference
base for the Consumer Price Index, then, for the purposes of the application
of this section after the change took place or takes place, regard shall be
had only to index numbers published in terms of the new reference base.

''(3C) Where the factor ascertained in accordance with sub-section (3) in
relation to a relevant year of income would, if it were calculated to 4
decimal places, end with a number greater than 4, the factor ascertained in
accordance with that sub- section in relation to that relevant year of income
shall be taken to be the factor calculated to 3 decimal places in accordance
with that sub-section and increased by 0.001.'';

   (d)  by omitting the word ''and'' from the end of paragraph (a) of
        sub-section (5); and

   (e)  by adding at the end of sub-section (5) the following word and
        paragraph:-

''; and (c) the extent (if any) that the factor ascertained in accordance with
sub-section (3) in relation to that relevant year of income was greater than
it would have been but for the effects on the index number in relation to any
quarter of-

        (i)    the imposition of the health insurance levy, and the increase
               in the cost of health insurance, in the quarter that ended on
               31 December 1976; and

        (ii)   the adjustment to the trade weighted value of the Australian
               dollar announced on 28 November 1976 and subsequent adjustments
               to that value made after that date and not later than 31
               December 1976.''.
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