102Indexation

102 Indexation

(1) If a provision of this instrument states that a dollar amount is to be indexed in accordance with this section, then at the start of each financial year (an indexation year) the dollar amount is replaced by the amount worked out using the following formula: start formula Indexation factor for the indexation year times Dollar amount for the previous year end formula. (2) The indexation factor for an indexation year is the number worked out using the following formula: start formula start fraction Index number for the reference quarter over Index number for the base quarter end fraction end formula. where:

base quarter means the last March quarter before the reference quarter.

index number, for a quarter, means the All Groups Consumer Price Index number (being the weighted average of the 8 capital cities) published by the Australian Statistician for that quarter.

reference quarter means the March quarter in the last year before the indexation year.

(3) An indexation factor is to be calculated to 3 decimal places (rounding up if the fourth decimal place is 5 or more). (4) Calculations under subsection (2): (a) are to be made using only the index numbers published in terms of the most recently published index reference period; and (b) are to be made disregarding index numbers that are published in substitution for previously published index numbers (except where the substituted numbers are published to take account of changes in the index reference period).