Commonwealth Consolidated Acts

INCOME TAX ASSESSMENT ACT 1997 - SECT 61.115

General rule

  (1)   The amount of your * tax offset is set out in the following table in respect of the following income (your relevant income ):

  (a)   if you are an individual--your taxable income for the income year;

  (b)   if you are a trustee--the amount of the share of * net income referred to in subsection   61 - 110(2).

If you are less than 18 years of age

  (2)   Despite subsection   (1), the amount of your * tax offset for the income year cannot exceed a cap if:

  (a)   you are an individual who is a prescribed person in relation to the income year for the purposes of Division   6AA of Part   III of the Income Tax Assessment Act 1936 ; and

  (b)   part (the excluded part ) of your basic income tax liability for the income year is attributable to your eligible taxable income (within the meaning of section   102AD of that Act).

The cap is an amount equal to the remaining part of your basic income tax liability for the income year.

Note:   Division   6AA (including section   102AD) is about income that particular kinds of children derive from particular sources.

  (3)   When working out the remaining part of your basic income tax liability, if you are also entitled to a * tax offset under section   160AAA of the Income Tax Assessment Act 1936 , treat that tax offset as having been applied, to the extent possible, against the excluded part of your basic income tax liability.

Note:   That tax offset is for individuals eligible for certain benefits.

If you are a trustee and the beneficiary is less than 18 years of age

  (4)   Despite subsection   (1), the amount of your * tax offset for the income year cannot exceed a cap if:

  (a)   you are a trustee; and

  (b)   the beneficiary who is presently entitled to the share of * net income to which the tax offset relates is a prescribed person in relation to the income year for the purposes of Division   6AA of Part   III of the Income Tax Assessment Act 1936 ; and

  (c)   part of your basic income tax liability for the income year is attributable to the portion of that share to which that Division applies.

The cap is an amount equal to the part of your basic income tax liability attributable to the remaining portion of that share.

Note 1:   Division   6AA is about income that particular kinds of children derive from particular sources.

Note 2:   To work out the portion of that share to which Division   6AA applies, see section   102AG of the Income Tax Assessment Act 1936 .