INCOME TAX (FIRST HOME SAVER ACCOUNTS MISUSE TAX) ACT 2008 (REPEALED)

SECTION 6   Clawback tax amount  

6(1)    
The clawback tax amount for the FHSA is the amount worked out under subsection (2) multiplied by the percentage worked out under subsection (3).

6(2)    
Work out the amount using the following formula:

where:

earnings component of the FHSA
means the balance of the FHSA just before the time the payment is made, reduced (but not below zero) by:

(a) the amount of personal FHSA contributions made before that time to an FHSA held by the individual; and

(b) the amount (if any) paid by way of Government FHSA contributions before that time to an FHSA held by the individual; and

(c) the amount (if any) of contributions made before that time to an FHSA held by the individual because of a family law obligation.

payment fraction
means:

(a) if the payment is of the balance of the FHSA - 1; or

(b) otherwise - the amount of the payment divided by the balance of the FHSA just before the payment is made.

6(3)    
The percentage is the adjusted maximum tax rate reduced by the FHSA tax rate.