Perhaps the Minister would elaborate again for the record and help the people concerned who will be reading our proceedings and anxious to follow the exact provisions of the Bill. On a point of confirmation, while the section speaks of the fact that money paid under a maintenance order shall be made without deduction of income tax am I right in thinking that does not mean that it is exempt from income tax?
SECTION 23.
Question proposed : " That section 23 stand part of the Bill."
That is correct.
It just means that it is paid over in full, the liability question is a separate matter?
Yes.
Another aspect which I should like to refer to—this is the only section in which I can do so relevantly—is presumably the District Court in deciding on the amount to be awarded would have regard to gross earnings, in the first instance, and also in the take home pay. In other words, it would take into account whatever income tax maintenance that person would pay in deciding what amount to award. I am quite certain the District Court would want to be certain that it is clearly stated that in deciding what amount to award in relation to the areas of maintenance the fact that income tax and other deductions are made would be taken fully into account by the court.
In other words that the actual sum awarded by the court would be the actual sum paid over and if there were tax and other deductions they would be made from the other part of the man's pay.
No. I think before the court would attack the earnings it would be the net earnings that would be attacked because they would be prior charges on the income and it could not be made on the basis of something that was not going into the hands of the debtor.
I also want to put down a marker here from the point of view of social workers and people in that category who would be advising on these cases the fact that the court would award an amount under this section and that the section expresses that it must be made without the deduction of income tax, does not necessarily relieve the receiving spouse of liability to income tax.
Question put and agreed to.