INCOME TAX RATES ACT 1986

Schedules

SCHEDULE 11 - RATES OF TAX PAYABLE ON ELIGIBLE TAXABLE INCOME  

Subsections 13(1) and 15(1)


PART II - NON-RESIDENT TAXPAYERS  

SECTION 3.   3.  
For every $1 of the taxable income of a non-resident taxpayer -


(a) who has an eligible taxable income for the purposes of Division 6AA of Part III of the Assessment Act; and


(b) whose taxable income consists of or includes a special income component;

the rate of tax is the amount ascertained in accordance with the formula


A+B+C ,
D

where -

A is the amount of tax that would be payable by the taxpayer under clauses 1 and 2 on a taxable income equal to the reduced taxable income;

B is 5 times the difference between -

  • (c) the amount of tax that would be payable by the taxpayer under clause 1 of Part II of Schedule 7 on a taxable income equal to the sum of -
  • (i) whichever of the following amounts is applicable:
  • (A) if Division 392 (Long-term averaging of primary producers ' tax liability) of the Income Tax Assessment Act 1997 applies - the average income worked out under section 392-45 of that Act;
  • (B) if sub-subparagraph (A) does not apply - the reduced taxable income; and
  • (C) (Repealed by No 101 of 2006 )
  • (ii) 20% of the part of the special income component other than the eligible part of the special income component; and
  • (d) the amount of tax that would be payable by the taxpayer under clause 1 of Part II of Schedule 7 on a taxable income equal to the average income worked out under section 392-45 of the Income Tax Assessment Act 1997 or reduced taxable income, as the case may be;
  • C is 45% of the eligible part of the special income component; and

    D is the number of whole dollars in the taxable income.

    In applying the formula, component B is to be worked out on the assumption that the whole of the taxable income is ordinary taxable income.




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