SOCIAL SECURITY LEVY

Opotiki News, Volume II, Issue 192, 9 June 1939, Page 2

SOCIAL SECURITY LEVY

POSITION 10E STUDENTS SAVINGS-BANK iNTER'ESTw' EXEMPTION STILL APPLIES Contrary to popular belief, the receipt of interest from• a Host Office Savpigs f ßahk .acopuht does., iiort debar.; a. student from, exemption from* the', social security registration fey. The . Act provides .'.exemption. ' for certain persons, including students and 1 registered unemployed, “who'on the due date of any instalment of the registration fee and for at least the. whole 'of the month commencing m such date, did) not,, on or subsequent, to such date and priof to tire .making ot' his claim for exemption, receive or become, entitled to- any salary or wages or other income.V According, to a'ruling by the Commissioner of Taxes, interest credited, to any Savings Bank account is deemed to lie income derived on fne date to whiclC-interest is credited?-or the date- of closing the account. In the ordinary course of events, therefore, a Savings Bank depositor receives liisinterest e-ih Marylii'3l. of each year. 'i-hd - S'bciM f security registration fee r payable 'each year. inf February,. I MUy.-August atid November, rdn none iof which months is Savings Bank interest credited unless the account is ! closed. On each registration date, therefore/), a:;.person having no income other than Savings Bank interest can i declare, in accordance tyith the Act, that ho had no. income/r ; >“foiy at least tlie whole of the- month..commencing:- ’■ on quell date.”

Students with no qtlier income are. therefore, clearly ~entitled to claim exeitqftion from, the registration,;fee, vflß.ileh. those who 1 have paid in error are entitled to claim a refund.