1964_INLAND_REVENUE_ORDINANCE — Page 134

1989 Ed.]

Inland Revenue

[CAP. 112

133

(b) any loss which may be set off under section 12A in the year of assessment shall be set off against that amount:

Provided that--

(i) in respect of the year of assessment up to and including the year of assessment commencing on 1 April 1984, in no case shall the amount of provisional salaries tax charged on any person under this subsection exceed the amount which would have been chargeable on him had the standard rate for the year of assessment been charged on the whole of his assessable income for the preceding year of assessment as reduced by the outgoings, expenses and allowances provided for in section 12(1) and any excess set off under section 12A; and

(ii) in respect of the year of assessment commencing on 1 April 1985 and subsequent years of assessment, in no case shall the amount of provisional salaries tax charged under this subsection exceed the amount which would have been chargeable had the standard rate been charged on the whole of

(A) the net assessable income for the preceding year of assessment as reduced by approved charitable donations provided for under section 12BA; or

(B) in the case of a husband and wife, not being a wife living apart from her husband, the aggregate of their net assessable incomes for the preceding year of assessment as reduced by approved charitable donations provided for under section 12BA. (Replaced 71 of 1983 s. 31)

(1A) Where a husband and wife have, under section 58A, elected to be separately charged in respect of a year of assessment, the amount of provisional salaries tax payable, under subsection (1)—

(a) shall, if that year of assessment commences on 1 April 1984, be apportioned between them so that

(i) the wife shall be charged such proportion of the provisional salaries tax as, in the year of assessment commencing on April 1983, her income bore to their combined income, disregarding for these purposes the effect of amendments made to this Ordinance by the Inland Revenue (Amendment) (No. 5) Ordinance 1983 (71 of 1983), and

(ii) the husband shall be charged the balance of the provisional salaries tax; and

(b) shall, if that year of assessment commences on or after 1 April 1985, be apportioned between them so that each spouse shall be charged such proportion of the provisional salaries tax as the net assessable income of that spouse in the preceding year of assessment.

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