20BIndexed actual incomes

20B Indexed actual incomes

(1) The Secretary may calculate an indexed actual income for an individual under subsection (4), with a start day chosen by the Secretary, if: (a) the individual is a claimant for, or the partner of a claimant for, family tax benefit; and (b) a determination is in force under which the claimant is entitled to be paid family tax benefit by instalment; and (c) the determination includes a determination of the claimant’s rate of family tax benefit worked out on the basis of an indexed estimate for the claimant or an indexed actual income for the claimant; and (d) since the claimant was last given a notice under subsection 20A(2) or subsection (2) of this section stating an indexed estimate or indexed actual income for an individual, the claimant has not given the Secretary an estimate of the claimant’s adjusted taxable income that the Secretary considers to be reasonable; and (e) the adjusted taxable income for an income year (actual income) of the individual (disregarding the effect for couples of clause 3 of Schedule 3 to the Family Assistance Act) becomes known to the Secretary and it is the most recent income year for which the individual’s actual income is known to the Secretary.

Note: Section 20C affects the meaning of paragraph (1)(c) for members of couples.

(2) If: (a) the Secretary calculates an indexed actual income for the individual; and (b) the indexed actual income is greater than the individual’s current ATI number (see subsection (5)); the Secretary may give the claimant a notice: (c) stating the indexed actual income for the individual; and (d) specifying the start day used in the Secretary’s calculation (which must be at least 14 days after the day on which the notice is given). (3) A notice given to a claimant under subsection (2) stating an indexed actual income for an individual has no effect if, before the start day specified in the notice, the Secretary gives the claimant another notice under that subsection or a notice under subsection 20A(2) stating an indexed estimate or indexed actual income for the same individual. Any other such notice must specify a start day that is no earlier than the start day specified in the superseded notice. (4) Calculate an indexed actual income (which may be nil) for the individual by multiplying the actual income of the individual which became known to the Secretary by the indexation factor, rounding the result to the nearest dollar and rounding 50 cents upwards. The indexation factor is the greater of 1 and the factor worked out to 3 decimal places as follows (increasing the factor by 0.001 if it would, if worked out to 4 decimal places, end in a number greater than 4): Start formula start fraction AWE for the reference period in the most recent November over AWE for the reference period in the highest previous November end fraction end formula where: