Document ID: chunk:federal_register_of_legislation:C2004A00644:clause:1_19:p1
Version: federal_register_of_legislation:C2004A00644
Segment Type: clause
Provision Reference: sch 1 cl 19 (pt 1/3)
Character Range: 20087–22850

19  After subsection 65J(2)
Insert:

Rebate for year of tax 2000‑2001 and later years

 (2A) If an employer is a rebatable employer for the year of tax beginning on 1 April 2000 or a later year of tax, the employer is entitled to a rebate of tax in the employer's assessment for the year of tax concerned equal to the amount worked out using the formula:
where:

gross tax means the amount of tax payable on the fringe benefits taxable amount of the employer of the year of tax (assuming that this section had not been enacted).

rebatable days in year means the number of whole days in the year of tax when the employer engaged in activities as an employer covered by any of paragraphs (1)(a) to (l) (inclusive).

total days in year means the number of days in the year of tax excluding the days on which the employer did not engage in activities as an employer.

How to work out aggregate non‑rebatable amount

 (2B) An employer's aggregate non‑rebatable amount for the year of tax is the amount worked out as follows.

      Method statement
           Step 1. For each employee, add:

                (a) the individual grossed‑up type 1 non‑rebatable amount (see subsection (2C)) in relation to the employer for the year of tax; and
                (b) the individual grossed‑up type 2 non‑rebatable amount (see subsection (2D)) in relation to the employer for the year of tax.

            The result is the individual grossed‑up non‑rebatable amount for the employee.
           Step 2. Reduce the individual grossed‑up non‑rebatable amount for each employee of the employer:

                (a) to zero for the year of tax beginning on 1 April 2000; and
                (b) by $30,000, but not below zero, for a later year of tax.

                  Note: Paragraph (a) means the employer's aggregate non‑rebatable amount for the year of tax beginning on 1 April 2000 will be nil.
           Step 3. Add up the results of step 2 for all the employer's employees.
           Step 4. Multiply the sum from step 3 by the FBT rate. The result is the employer's aggregate non‑rebatable amount for the year of tax.

Individual grossed‑up type 1 non‑rebatable amount

 (2C) For the purposes of step 1 in the method statement in subsection (2B), the individual grossed‑up type 1 non‑rebatable amount of an employee in relation to the employer for the year of tax is:

Individual grossed‑up type 2 non‑rebatable amount

 (2D) For the purposes of step 1 in the method statement in subsection (2B), the individual grossed‑up type 2 non‑rebatable amount of an employee in relation to the employer for the year of tax is:

Working out the type 1 individual base non‑rebatable amount

 (2E) An employee's type 1 individual base non‑rebatable amount in relation