Income Tax Assessment Act 1997
This section applies to increase your transfer balance cap for a *financial year (other than the financial year in which you first start to have a *transfer balance account) if:
(a) the *general transfer balance cap is increased as a result of indexation for the financial year; and
(b) at no time before the start of that financial year has the *transfer balance in your transfer balance account at the end of a day exceeded your transfer balance cap. 294-40(2)
Your transfer balance cap is increased for the *financial year by the amount worked out using the following formula:
Unused cap percentage × Indexation increase
means the amount by which the *general transfer balance cap for the *financial year increased as a result of indexation.
unused cap percentage
is worked out by:
(a) identifying the highest *transfer balance in your *transfer balance account at the end of any day up to the end of the previous *financial year; and
(b) identifying the day on which the transfer balance account had that transfer balance at the end of the day, or, if your transfer balance account had that transfer balance at the end of more than one day, the earliest of those days; and
(c) expressing the transfer balance identified in paragraph (a) as a percentage (rounded down to the nearest whole number) of your *transfer balance cap on the day identified in paragraph (b); and
(d) subtracting the result of paragraph (c) from 100%. 294-40(3)
However, if the highest *transfer balance mentioned in paragraph (a) of the definition of unused cap percentage in subsection (2) is less than nil, that unused cap percentage is taken to be 100%.
Disclaimer and notice of copyright applicable to materials provided by CCH Australia Limited
CCH Australia Limited ("CCH") believes that all information which it has provided in this site is accurate and reliable, but gives no warranty of accuracy or reliability of such information to the reader or any third party. The information provided by CCH is not legal or professional advice. To the extent permitted by law, no responsibility for damages or loss arising in any way out of or in connection with or incidental to any errors or omissions in any information provided is accepted by CCH or by persons involved in the preparation and provision of the information, whether arising from negligence or otherwise, from the use of or results obtained from information supplied by CCH.
The information provided by CCH includes history notes and other value-added features which are subject to CCH copyright. No CCH material may be copied, reproduced, republished, uploaded, posted, transmitted, or distributed in any way, except that you may download one copy for your personal use only, provided you keep intact all copyright and other proprietary notices. In particular, the reproduction of any part of the information for sale or incorporation in any product intended for sale is prohibited without CCH's prior consent.