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(C) (Repealed by No 101 of 2006 )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.