EXPLANATORY STATEMENT
STATUTORY RULES 1983 No.140
LOAN (INCOME EQUALIZATION DEPOSITS) ACT 1976
LOAN (INCOME EQUALIZATION DEPOSITS) REGULATIONS (AMENDMENT)
Sub-section 4(4) of the Loan (Income Equalization Deposits) Act 1976 provides that interest on Income Equalization Deposits will be made at the rate of 5 per cent per annum or at such other rate as is prescribed by regulation made under the Act. Statutory authority for the Governor-General to make regulations under the Loan (Income Equalization Deposits) Act 1976 is conferred by Section 28(1) of the Act.
The subject regulation provides that interest on Income Equalization Deposits be payable at:
(1) seven and one half per cent per annum on deposits made prior to 1 September 1983;
(2) 16.792 per cent per annum on deposits made on or after 1 September 1983, when the depositor has met the eligibility criteria as determined by the Treasurer; and
(3) 11.792 per cent per annum on deposits made on or after that date when the depositor has not met the eligibility criteria.