SUPERANNUATION CONTRIBUTIONS TAX IMPOSITION ACT 1997
SECTION 7
INDEXATION
7(1)
Indexation of certain amounts for 2004-05 financial year.
Section 5 applies in relation to an indexing financial year as if each indexable amount were replaced by the amount worked out using the formula:
7(7)
Definitions.
In this section:
indexable amount
means:
(a)
an amount stated in section 5; or
(b)
if that amount has previously been altered under this section - the altered amount.
indexing financial year
means the 2004-05 financial year.
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.
•
Previous indexable amount X Relevant indexation factor
where:
CMPT
previous indexable amount
means the indexable amount for the financial year immediately before the indexing financial year.
CMPT
relevant indexation factor
means the indexation factor for the indexing financial year.
CCH Note:
From 1997/98 the
indexable amounts
are:
7(2)
Rounding off of indexed amounts.
If an amount worked out under subsection (1) 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.
7(3)
Indexation factor.
The
indexation factor
for an indexing financial year is the number calculated, to 3 decimal places, using the formula:
Financial year $ $ $
1997/98 1,046 73,220 88,910
1998/99 1,084 75,856 92,111
1999/2000 1,118 78,208 94,966
2000/01 1,165 81,493 98,955
2001/02 1,219 85,242 103,507
2002/03 1,295 90,527 109,924
2003/04 1,355 94,691 114,981
2004/05 1,709.20 99,710 121,075]
Note: The Superannuation Laws Amendment (Abolition of Surcharge) Act 2005 (No 102 of 2005) abolishes the surcharge for superannuation contributions and termination payments made on or after 1 July 2005. This means that thresholds and indexable amounts will not be published for subsequent financial years.
Index number for last quarter in current March year
---------------------------------------------------
Index number for last quarter in previous March year
where:
CMPT
current March year
means the period of 12 months ending on 31 March immediately before the indexing financial year.
CMPT
previous March year
means the period of 12 months immediately before the current March year.
7(4)
Rounding up of indexation factor.
If the number calculated under subsection (3) 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.
7(5)
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.
7(6)
Indexable amounts to be published.
The Commissioner must publish before, or as soon as practicable after, the start of the 2004-05 financial year the indexable amounts as replaced under subsection (1) for that year.
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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.