AASL debt indexation factor
32 AASL debt indexation factor
The AASL debt indexation factor for 1 June in a financial year is the number (rounded to 3 decimal places) that is the lower of the CPI indexation factor for 1 June in the financial year (see subsection (1A)) and the WPI indexation factor for 1 June in the financial year (see subsection (1B)).
The CPI indexation factor for 1 June in a financial year is worked out using the following method statement:
Method statement
Step 1. Add:
the index number for the quarter ending on 31 December in that financial year; and
the index numbers for the 3 quarters that immediately preceded that quarter.
Step 2. Add:
the index number for the quarter ending on 31 December in the immediately preceding financial year; and
the index numbers for the 3 quarters that immediately preceded that quarter.
Step 3. The CPI indexation factor for 1 June in the financial year is the amount under step 1 divided by the amount under step 2, rounded to 3 decimal places.
The WPI indexation factor for 1 June in a financial year is worked out using the following method statement:
Method statement
Step 1. Add:
the WPI index number for the quarter ending on 31 December in that financial year; and
the WPI index numbers for the 3 quarters that immediately preceded that quarter.
Step 2. Add:
the WPI index number for the quarter ending on 31 December in the immediately preceding financial year; and
the WPI index numbers for the 3 quarters that immediately preceded that quarter.
Step 3. The *WPI indexation factor for 1 June in the financial year is the amount under step 1 divided by the amount under step 2, rounded to 3 decimal places.
For the purposes of rounding an AASL debt indexation factor, the third decimal place is rounded up if, apart from the rounding:
the factor would have 4 or more decimal places; and
the fourth decimal place would be a number greater than 4.
This Act’s bill:Explanatory memorandumSecond reading speech
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.