35. Section 39 of the principal Act is amended —
(a)
by deleting paragraph (a) (including the paragraph heading) of subsection (2) and substituting the following paragraph heading and paragraph:
“Deduction for spouse
(a)
had a spouse, living with or maintained by him or her, whose income was not more than $4,000 in that year, there shall be allowed a deduction of $2,000;”;
(b)
by inserting, at the end of subsection (2)(d)(i), the word “and”;
(c)
by deleting sub-paragraph (ii) of subsection (2)(d);
(d)
by inserting, immediately after the words “such spouse” in subsection (2)(d)(B), the words “(being his wife)”;
(e)
by inserting, immediately after the words “such previous spouse” in subsection (2)(d)(C), the words “(being his ex-wife)”;
(f)
by deleting the words “from maintaining himself” wherever they appear in subsection (2)(e), (i)(B) and (j)(ii);
(g)
by deleting the words “whose income was not more than $2,000 in that year” in the proviso of subsection (2)(e);
(h)
by deleting “34%” in subsection (2)(h) and substituting the words “35% (for the year of assessment 2011) or 351/2% (for the year of assessment 2012 or a subsequent year of assessment),”;
(i)
by deleting “$26,393” wherever it appears in subsection (2)(h) and substituting in each case the words “$26,775 (for the year of assessment 2011) or $27,158 (for the year of assessment 2012 or a subsequent year of assessment),”;
(j)
by inserting, at the end of subsection (2)(i)(i), the word “and”;
(k)
by deleting sub-paragraph (ii) of subsection (2)(i);
(l)
by inserting, immediately after the words “55 years of age” in subsection (2)(i)(A), the words “and whose income was not more than $4,000 in that year”;
(m)
by deleting “$5,000” in subsection (2)(i)(A)(AA) and substituting “$7,000”;
(n)
by deleting “$3,500” in subsection (2)(i)(A)(AB) and substituting “$4,500”;
(o)
by deleting “$8,000” in subsection (2)(i)(B)(BA) and substituting “$11,000”;
(p)
by deleting “$6,500” in subsection (2)(i)(B)(BB) and substituting “$8,000”;
(q)
by deleting sub-paragraph (iii) of subsection (2)(j);
(r)
by inserting, immediately after the words “income of that spouse or sibling” in subsection (3), the words “, being one who at the time of such payment is not incapacitated by reason of physical or mental infirmity,”;
(s)
by deleting “$2,000” in subsection (3) and substituting “$4,000”; and
(t)
by deleting “$3,500” in subsection (12B) and substituting “$5,500”.