Document ID: chunk:federal_register_of_legislation:F2020L00835:reg:6
Version: federal_register_of_legislation:F2020L00835
Segment Type: reg
Provision Reference: reg 6
Character Range: 2357–4852

6  How the final factor was worked out
 (1) Under subsection 8(1) of the Act, the factor in relation to the 2019‑20 year is to be worked out by applying the formula set out in paragraph 8(1)(a) of the Act and then adjusting the result under whichever of paragraphs 8(1)(b) and (c) of the Act are applicable.

Paragraph 8(1)(a) formula
 (2) The factor calculated under paragraph 8(1)(a) of the Act is as follows:

Note 1: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2018 on 18 June 2020 (ABS Catalogue Number 3101.0).
Note 2: Under section 4A, the Statistician made the estimate of the population of Australia as at 31 December 2017 on 20 June 2019 (ABS Catalogue Number 3101.0).
Note 3: The formula uses the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published on 29 April 2020 by the Statistician in respect of the 2020 March quarter (ABS Catalogue Number 6401.0).
Note 4: The formula uses the All Groups Consumer Price Index number, being the weighted average of the 8 capital cities, published on 24 April 2019 by the Statistician in respect of the 2019 March quarter (ABS Catalogue Number 6401.0).

Paragraph 8(1)(b) modification
 (3) The result of subsection (2) was modified by increasing the factor by 0.0001 under paragraph 8(1)(b) of the Act as the fifth decimal place was greater than 4.

Paragraph 8(1)(c) modification
 (4) The result of subsection (3) was modified under paragraph 8(1)(c) of the Act as a result of special circumstances, being the need to account for the Commonwealth's decision to bring forward the first 2 quarterly payments in the 2019-20 year into the 2018-19 year and the first 2 quarterly payments in the 2020-21 year into the 2019-20 year.  The modification was worked out by multiplying the result of subsection (3) by the following formula:

Where:
2018-19 amount means the first 2 quarterly payments that were brought forward from the year 2019-20 to be paid in the year 2018-19.
2019-20 amount means the amount that would have been the base figure for the year 2019-20 if the Commonwealth had not decided to bring forward any quarterly payments.
2020-21 amount means the first 2 quarterly payments that were brought forward from the year 2020-21 to be paid in the year 2019-20.
2018-19 final entitlement means the base figure for the year 2018-19.
sub (3) factor means the result of subsection (3).

Part 3—Estimated factor for the year 2020‑21