Document ID: chunk:federal_register_of_legislation:F2024L00130:clause:1_6
Version: federal_register_of_legislation:F2024L00130
Segment Type: clause
Provision Reference: sch 1 cl 6
Character Range: 3044–4217

6  Variation of withholding for certain donations to deductible gift recipients
 (1) The amount that a payer must withhold from a withholding payment to a payee under Subdivision 12‑B (payments for work and services) in Schedule 1 to the Act is varied in accordance with subsections (2) and (3), where:
 (a) all or part of the withholding payment has been made, or will be made, as a donation under an occasional giving arrangement; and
 (b) the payee has not advised the payer that they do not want a variation to the amount withheld.
 (2) The varied amount that a payer must withhold from a withholding payment covered by subsection (1) is to be worked out using the following method:
 (a) step 1 – calculate the amount required to be withheld from the withholding payment by using the relevant withholding schedule;
 (b) step 2 – multiply the amount of the donation to the deductible gift recipient under the occasional giving arrangement by 0.32; and
 (b) step 3 – subtract the result of step 2 from the result of step 1.
 (3) If the amount calculated under subsection (2) is zero or negative, the amount that a payer must withhold from the payment is varied to nil.