Document ID: chunk:federal_register_of_legislation:C2013C00026:clause:2_11
Version: federal_register_of_legislation:C2013C00026
Segment Type: clause
Provision Reference: sch 2 cl 11
Character Range: 127480–128858

11  Adjustment of indexation factor for certain amounts on and after 1 July 2014

 (1) This clause applies to the following amounts:
 (a) FTB gross supplement amount (A);
 (b) FTB gross supplement amount (B).

 (2) For each amount to which this clause applies, the indexation factor, worked out under clause 5 for each indexation day (a reduction day) that is on or after 1 July 2014, is to be reduced by the brought forward indexation amount, but not below 1.

 (3) In this clause:

brought forward indexation amount, in relation to a reduction day, means 0.007 less:
 (a) any reduction made under subclause 10(2) on 1 July 2013; and
 (b) any reduction made under this clause for a previous reduction day.

Note: Once the brought forward indexation amount becomes zero, there will be no further reduction of the indexation factor.

Example: Assume that the indexation factor worked out under clause 5 on 1 July 2014 is 1.010 and that there was a reduction of 0.004 under subclause 10(2) on 1 July 2013.

 The brought forward indexation amount in relation to 1 July 2014 is 0.003. The indexation factor worked out under clause 5 on 1 July 2014 is reduced to 1.007.

 The brought forward indexation amount in relation to later reduction days is now zero so there is no further reduction of the indexation factor.

A New Tax System (Family Assistance) (Administration) Act 1999