INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)

PART III - LIABILITY TO TAXATION  

Division 16A - Abnormal income of artists, composers, inventors, performers, production associates, sportspersons and writers  

SECTION 158K   AVERAGE ELIGIBLE TAXABLE INCOME  

158K(1)   [Reference to first year of income]  

A reference in this section to the first year of income in relation to a taxpayer is a reference to the first year of income in which:

(a) the taxpayer was, or is, a qualifying resident taxpayer; and

(b) the eligible taxable income of the taxpayer exceeded $2,500.

158K(2)   [Non-resident immediately before first year of income]  

For the purposes of this section, where a taxpayer was not a resident at any time during the year of income immediately before the first year of income, the taxpayer shall be taken to be an original non-resident taxpayer.

158K(3)   [Taxpayer other than original non-resident taxpayer]  

A reference in this Division to the average eligible taxable income of a year of income of a taxpayer other than an original non-resident taxpayer is a reference to:

(a) for the first year of income - nil;

(b) for the year of income (in this subsection called the ``second year of income'') next succeeding the first year of income - one-third of the amount of the eligible taxable income of the taxpayer of the first year of income;

(c) for the year of income (in this subsection called the ``third year of income'') next succeeding the second year of income - one-quarter of the sum of the amounts of the eligible taxable income of the taxpayer of the first and second years of income;

(d) for the year of income next succeeding the third year of income - one-quarter of the sum of the amounts of the eligible taxable income of the taxpayer of the first, second and third years of income; and

(e) for any subsequent year of income (in this paragraph called the ``subsequent year of income'') - one-quarter of the sum of the amounts of the eligible taxable income of the taxpayer of each of the 4 years of income preceding the subsequent year of income.

158K(4)   [Original non-resident taxpayer]  

A reference in this Division to the average eligible taxable income of a year of income of a taxpayer who is an original non-resident taxpayer is a reference to:

(a) for the first year of income - the eligible taxable income of the taxpayer of the first year of income;

(b) for the year of income (in this subsection called the ``second year of income'') next succeeding the first year of income - the eligible taxable income of the taxpayer of the first year of income;

(c) for the year of income (in this subsection called the ``third year of income'') next succeeding the second year of income - one-half of the sum of the amounts of the eligible taxable income of the taxpayer of the first and second years of income;

(d) for the year of income next succeeding the third year of income - one-third of the sum of the amounts of the eligible taxable income of the taxpayer of the first, second and third years of income; and

(e) for any subsequent year of income (in this paragraph called the ``subsequent year of income'') - one-quarter of the sum of the amounts of the eligible taxable income of the taxpayer of each of the 4 years of income preceding the subsequent year of income.