Clause 11

Section 42 of the principal Act is amended by deleting subsection (5) and substituting the following subsection:“(5) Notwithstanding Part B of the Second Schedule, in respect of the chargeable income of a person other than an individual, the rate of tax applicable to that person on every dollar of his chargeable income shall be 32% where the effective rate of tax arrived at by dividing the income tax chargeable on his chargeable income by the amount of that income exceeds 32%:Provided that for the years of assessment 1988 and 1989, the reference to 32% in this subsection shall be read as a reference to 33%.”.