Document ID: chunk:federal_register_of_legislation:C2013C00026:clause:1_1206gg
Version: federal_register_of_legislation:C2013C00026
Segment Type: clause
Provision Reference: sch 1 cl 1206GG
Character Range: 74666–75879

1206GG  Special rules for indexation of certain rates on or after 1 January 2014

 (1) The indexation factor for AP MBR or YA MBR on an indexation day on or after 1 January 2014 is to be reduced by the brought forward indexation amount, but not below 1.

 (2) In this section:

brought forward indexation amount, in relation to a day, means 0.007 less any reduction made under this section for a previous day.

Note: Once the brought forward indexation amount becomes 0, there will be no further reduction of the factor.

Example: Assume that the indexation factor worked out under section 1193 on 1 January 2014 is 1.003. The brought forward indexation amount in relation to 1 January 2014 is 0.007 (as there has been no previous reduction). That indexation factor is reduced to 1 on 1 January 2014.

 Further assume that on 1 January 2015 the indexation factor is 1.010. The brought forward indexation amount in relation to 1 January 2015 is 0.004. That indexation factor is reduced to 1.006 on 1 January 2015.

 The brought forward indexation amount in relation to later indexation days is now 0 so there is no further reduction of the indexation factor.

Part 5—Other amendments

Social Security Act 1991