Document ID: chunk:federal_register_of_legislation:C2004A04616:section:2:p30
Version: federal_register_of_legislation:C2004A04616
Segment Type: section
Provision Reference: s 2 (pt 30/32)
Character Range: 113797–116628

exceeds the person's income free area.

Method statement—continued

     Step 10. If the person's adjusted income does not exceed the person's income free area, the person's annual income excess is nil.

     Step 11. If the person's adjusted income exceeds the person's income free area, the person's annual income excess is the person's adjusted income less the person's income free area.

     Step 12. Convert the annual income excess into a fortnightly excess using point 1069-H33.

     Step 13. Work out the amount of the person's reduction for income using point 1069-H34.

           ".

Foreign currency rates

21. Section 1157V of the Principal Act is amended by inserting after subsection (1) the following subsection:

"(1A) If it is necessary, for the purposes of the Family Payment Rate Calculator, to work out an amount of foreign income expressed in a foreign currency, the amount in Australian currency is to be worked out using the market exchange rate for 1 July in the appropriate tax year.".

PART 5—CONVERSION OF FOREIGN CURRENCY AMOUNTS

General definitions

22. Section 23 of the Principal Act is amended by omitting from subsection (1) the definitions of "actual market exchange rate" and "foreign exchange period".

Application of Division

23. Section 1100 of the Principal Act is amended by omitting paragraph (3)(a) and substituting the following paragraph:

     "(a) sections 1064, 1065, 1066, 1066A and 1066B (Pension Rate Calculators A, B, C, D and E); and".

Repeal of sections 1101 to 1105 and substitution of new section 1101

24. Sections 1101 to 1105 of the Principal Act are repealed and the following section is substituted:

Determination of value of payments received in a foreign currency

  "1101.(1) If:

     (a) a person's social security pension rate is being worked out as at a particular pension payday (the 'reference payday'); and

     (b) a payment received by the person in a foreign currency needs to be taken into account in working out the rate;

the value in Australian currency of the payment is to be worked out using the market exchange rate for the pension payday immediately before the reference payday concerned.

"(2) If there is no market exchange rate for that pension payday (for example, because of a national public holiday), the market exchange rate to be used is the market exchange rate that applied on the last working day immediately before that payday.

"(3) For the purposes of this section, the market exchange rate of a foreign currency for a particular day is the on-demand airmail buying rate for that currency available at the Commonwealth Bank of Australia as at the start of business in Australia on that day.".

Non-reviewable decisions

25. Section 1250 of the Principal Act is amended by omitting paragraph (1)(1).

SSAT review powers