SUPERANNUATION CONTRIBUTIONS TAX (ASSESSMENT AND COLLECTION) ACT 1997

PART 2 - LIABILITY TO SURCHARGE AND ADVANCE INSTALMENTS  

SECTION 9   SURCHARGE THRESHOLD  

9(1)   Surcharge threshold for 1996-97 financial year.  

The surcharge threshold for the 1996-97 financial year is $70,000.

9(2)   Surcharge threshold for later financial year.  

The surcharge threshold for a later financial year is the amount calculated using the formula:


Previous surcharge threshold   ×   Indexation factor

where:

previous surcharge threshold means the surcharge threshold for the financial year immediately before the financial year for which the surcharge threshold is being calculated.

indexation factor means the number calculated under subsections (4) and (5) for the financial year for which the surcharge threshold is being calculated.

9(3)   Rounding off of amount of surcharge threshold.  

If an amount worked out for the purposes of subsection (2) is an amount of dollars and cents:


(a) if the number of cents is less than 50 - the amount is to be rounded down to the nearest whole dollar; or


(b) otherwise - the amount is to be rounded up to the nearest whole dollar.

9(4)   Indexation factor.  

The indexation factor for a financial year is the number calculated, to 3 decimal places, using the formula:


    Index number for last quarter in current March year    
Index number for last quarter in previous March year

where:

index number , for a quarter, means the estimate of full-time adult average weekly ordinary time earnings for the middle month of the quarter published by the Australian Statistician.

current March year means the period of 12 months ending on 31 March immediately before the financial year for which the surcharge threshold is being calculated.

previous March year means the period of 12 months immediately before the current March year.

9(5)   Rounding up of indexation factor.  

If the number calculated under subsection (4) for a financial year would, if it were worked out to 4 decimal places, end with a number greater than 4, the number so calculated is increased by 0.001.

9(6)   Change in index numbers.  

If at any time, whether before or after the commencement of this Act, the Australian Statistician has published or publishes an index number for a quarter in substitution for an index number previously published for the quarter, the publication of the later index number is to be disregarded.

9(7)   Surcharge threshold to be published.  

The Commissioner must publish before, or as soon as practicable after, the start of the 1997-98 financial year, and before the start of each later financial year (being a financial year that ends before 1 July 2005), the surcharge threshold for the financial year.

Note:

For the purposes of this section, Australian Statistician means the Australian Statistician referred to in subsection 5(2) of the Australian Bureau of Statistics Act 1975 .




This information is provided by CCH Australia Limited Link opens in new window. View the disclaimer and notice of copyright.