New Zealand Acts

TAXATION (WORKING FOR FAMILIES) ACT 2004 - SECT 4

4 Calculation of subpart KD credit

1 Section KD 2(3) is replaced by the following:

3 The amount of the family support credit for an eligible period is given by the following formula:

2 Section KD 2(6) is replaced by the following:

6 The amount of the family credit abatement for an eligible period is calculated by the following formula:

6B For the purpose of subsection (6) , a
"ring-fenced family support recipient" for a calendar month in an eligible period is a person who, in the calendar month,—

a) has no spouse, receives an income-tested benefit and derives annualised specified income that is less than the amount specified in section KD 2(6)(a)(i) :

b) has a spouse, receives an income-tested benefit and derives annualised specified income that together with the annualised specified income of the person's spouse is less in total than the amount specified in section KD 2(6)(b)(i) .

6C In calculating the annualised specified income under subsection (6B) ,—

a) section KD 1(3)(a) and (b) does not apply; and

b) no regard may be had to income from employment that is derived in the calendar month as a result of an extra pay period that occurs in that month; and

c) for a person who derives, for part of an income year, income to which section OB 2(2) applies, or income from a business, the assessable income and any expenditure incurred in deriving that income that is allowed as a deduction are to be treated as derived and incurred, respectively, at a uniform daily rate throughout that part of the income year.

3 Subsections (1) and (2) apply in respect of the 2005-06 and subsequent income years.