Schedules
Schedule 1
-
Family Tax Benefit Rate Calculator
Note: See subsection
58(1)
.
Part 2
-
Part A rate (Method 1)
Division 5
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Maintenance income test
Subdivision A
-
Maintenance income test
History
Subdivision A heading inserted by No 82 of 2006, s 3 and Sch 5 item 3, effective 1 July 2006.
20
Effect of maintenance income on family tax benefit rate
(1)
This is how to work out an individual
'
s reduction for maintenance income if clause 19B does not apply:
Method statement
Step 1.
Work out the annualised amount of the individual
'
s
maintenance income
. In doing so:
(a) disregard any maintenance income for an FTB child for whom the FTB child rate under clause
7
does not exceed the base FTB child rate (see clause
8
); and
(b) disregard the operation of clause
11
(sharing of family tax benefit) in applying paragraph (a); and
(c) disregard any amount that, for the income year for which the individual
'
s reduction for maintenance income is being worked out, is required under clause 24E to be depleted from a maintenance income credit balance of the individual and, if the individual is a member of a couple, from a maintenance income credit balance of the individual
'
s partner; and
(d) disregard any maintenance income that is received by the individual, or the individual
'
s partner, from another individual if the income is over the maintenance income ceiling for the income (see Subdivisions C and D).
Step 2.
Work out the individual
'
s
maintenance income free area
using clauses
22
and 23.
Step 3.
Work out whether the individual
'
s maintenance income exceeds the individual
'
s maintenance income free area.
Step 4.
If the individual
'
s maintenance income does not exceed the individual
'
s maintenance income free area, the individual
'
s
maintenance income excess
is nil and there is no reduction for maintenance income.
Step 5.
If the individual
'
s maintenance income exceeds the individual
'
s maintenance income free area, the individual
'
s
maintenance income excess
is the individual
'
s maintenance income less the individual
'
s maintenance income free area.
Step 6.
The individual
'
s
reduction for maintenance income
is half the maintenance income excess.
History
Sch 1 cl 20(1) amended by No 146 of 2006, s 3 and Sch 8 item 153, by inserting para (d) at the end of step 1 of the method statement, applicable to the 2008-09 income year and later income years.
Sch 1 cl 20(1) amended by No 82 of 2006, s 3 and Sch 5 item 6, by inserting para (c) in the method statement, applicable to family tax benefit for the 2006/2007 income year and later income years.
(2)
Paragraph (c) of step 1 of the method statement in subclause (1) does not apply unless and until the individual has satisfied the FTB reconciliation conditions in section
32B
of the Family Assistance Administration Act for all of the same-rate benefit periods (within the meaning of that section) that are included in the income year for which the individual
'
s reduction for maintenance income is being worked out.
History
Sch 1 cl 20(2) inserted by No 82 of 2006, s 3 and Sch 5 item 7, effective 1 July 2006.
(3)
(Repealed by No 48 of 2009)
History
Sch 1 cl 20(3) repealed by No 48 of 2009, s 3 and Sch 1 item 1, effective 1 July 2009. No 48 of 2009, s 3 and Sch 1 item 13 contains the following saving provision:
Saving
-
effect of maintenance income on family tax benefit rate
13
Despite the repeal of subclause 20(3) of Schedule 1 to the
A New Tax System (Family Assistance) Act 1999
, that subclause, as in force immediately before 1 July 2009, continues to apply on and after 1 July 2009 in relation to claims made before 1 July 2009.
Cl 20(3) formerly read:
(3)
Paragraph (c) of step 1 of the method statement in subclause (1) does not apply to an amount received by the individual (or the individual
'
s partner) in an income year if:
(a)
the subclause applies in relation to a claim for payment of family tax benefit for a past period (as mentioned in paragraph
7(1)(b)
of the
A New Tax System (Family Assistance) (Administration) Act 1999
) that falls wholly within that year; and
(b)
the claim is made in a form approved by an officer of the Australian Taxation Office for the purposes of subsection
7(2)
of that Act, acting under a delegation from the Secretary under section
221
of that Act.
Sch 1 cl 20(3) inserted by No 82 of 2007, s 3 and Sch 5 item 5, applicable to family tax benefit for the 2006-2007 income year and later income years.
History
Sch 1 cl 20 amended by No 45 of 2000, s 3 and Sch 1 items 34 and 35, by substituting
"
work out an individual
'
s reduction for maintenance income if clause 19B does not apply:
"
for
"
work out an individual
'
s reduction for maintenance income:
"
and
"
annualised amount
"
for
"
annual rate
"
. For transitional provisions see note under s 22A.
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