Superannuation (Government Co-Contribution for Low Income Earners) Act 2003

PART 5 - UNDERPAYMENTS AND OVERPAYMENTS  

Division 1 - Underpayments  

SECTION 22   GOVERNMENT CO-CONTRIBUTION INCREASED BY INTEREST AMOUNT IF UNDERPAID AMOUNT DUE TO ADMINISTRATIVE ERROR  

22(1)   [Determination to correct error]  

This section applies if:

(a) the Commissioner makes a determination under section 19 that an underpaid amount is to be paid in respect of a person for an income year; and

(b) the determination is made on the basis that a particular amount is the correct amount of the Government co-contribution payable in respect of the person for the income year; and

(c) the determination is necessary to correct an administrative error.

22(2)   [``payment shortfall'']  

The payment shortfall is the difference between:

(a) the amount referred to in paragraph (1)(b); and

(b) the sum of the amounts that have already been paid by way of Government co-contribution in respect of the person for the income year before the determination under section 19 is made.

22(3)   [Interest]  

The amount of the Government co-contribution in respect of the person for the income year is increased by the amount of interest worked out under subsection (4).

22(4)   [Calculation of interest]  

The interest is to be calculated:

(a) on the amount of the payment shortfall; and

(b) for the period from the payment date for the Government co-contribution (see subsection 17(2) ) until the payment date for the underpaid amount (see subsection 21(2) ); and

(c) on a daily basis; and

(d) at the base interest rate for the day on which the interest is calculated.

22(5)   [Regulations]  

The regulations:

(a) may provide that an error of a kind specified in the regulations is an administrative error for the purposes of this section; and

(b) may provide that an error of a kind specified in the regulations is not an administrative error for the purposes of this section.