Income Tax Assessment Act 1936

Subdiv AA (heading) substituted by No 15 of 2007, s 3 and Sch 1 item 59, applicable to the 2007-2008 income year and later years. The heading formerly read:

Subdivision AA - Superannuation, termination of employment and kindred payments

Subdiv AA inserted by No 47 of 1984.

S 27AB repealed by No 15 of 2007, s 3 and Sch 1 item 3, applicable to the 2007-2008 income year and later years. S 27AB formerly read:

SECTION 27AB TAXED AND UNTAXED ELEMENTS OF POST-JUNE 83 COMPONENT  
27AB(1)
Subject to this section, the extent to which the post-June 83 component of an ETP consists of taxed and untaxed elements is determined as follows:

(a) the extent to which it consists of a taxed element is determined in accordance with the table below;

(b) to the extent to which it does not consist of a taxed element, it consists of an untaxed element.

TABLE OF TAXED ELEMENTS

TABLE OF TAXED ELEMENTS

Item	ETP type	Taxed element
1	(a), (aa), (fa), (fb), (fc), (fd), (fe), (ff) or (jaa)	none
2	(b) or (bb), if paid from taxed superannuation fund during the life of the taxpayer	whole
3	(b), if paid from taxed superannuation fund after the death of the taxpayer	amount calculated under subsection (3)
4	(ba), if paid from taxed superannuation fund	amount calculated under subsection (3)
5	(c), (ca), (g), (gaa), (h), (ha) or (j)	whole
6	(d), (e) or (f), if pension concerned payable from taxed superannuation fund and entitlement to pension arose because of the death of a member of the fund	amount calculated under subsection (3)
7	(d), (daa), (e), (ea) or (f) if pension concerned paid from taxed superannuation fund and ETP not covered by item 6	whole
8	(da), (db), (ga) or (gb), if paid from taxed superannuation fund	amount calculated under subsection (3)
9	ETP not covered by items 1 to 8, where no part is attributable to taxed element of earlier ETP	none
10	ETP not covered by items 1 to 8, but to some extent attributable to taxed element of earlier ETP	so much of that component as is attributable to the taxed element of the post-June 83 component of the earlier ETP

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History

S 27AB(1) amended by No 148 of 2005, No 66 of 2003, No 147 of 1997 and No 53 of 1995.

27AB(2)
For the purposes of the table above:

(a) paragraph references indicate an ETP that is covered by the paragraph concerned of the definition of eligible termination payment in subsection 27A(1) ; and

(b) an ETP is attributable to a taxed element if, and only if, the ETP is (in whole or in part) attributable to the taxed element of the post-June 1983 component of an earlier ETP.

27AB(3)
The taxed element of the post-June 83 component of an ETP covered by item 3, 4, 6 or 8 in the table in subsection (1) is determined as follows:

(a) if both of the following subparagraphs apply in relation to the post-June 83 component:

(i) no deduction is or was allowable under section 279 to the trustee of the taxed superannuation fund concerned in any year of income in relation to a current or contingent liability to provide death or disability benefits (within the meaning of Part IX) for the deceased person concerned;

(ii) no deduction is or was allowable under section 279B to the trustee of the taxed superannuation fund concerned in any year of income in relation to a death or disability ETP (within the meaning of that section) paid in relation to the deceased person concerned;

the taxed element is the whole of the component;

(b) if paragraph (a) does not apply - the amount that would have been the amount of the post-June 83 component if the ETP had been equal to the amount worked out using the formula:

ETP

×

Days in eligible service period Days in total service period

where:

ETP is the amount of the ETP reduced by the amount of the excessive component (if any);

Days in eligible service period means the number of whole days in the eligible service period in relation to the ETP;

Days in total service period means the sum of

(i) the number of whole days in the eligible service period in relation to the ETP; and

(ii) the number of whole days in the period commencing on the date of the death of the member of the fund and ending on the last retirement date.

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S 27AB(3) amended by No 208 of 1992 and No 61 of 1990.

27AB(4)
In spite of anything in subsection (1), where:

(a) an ETP is paid from a taxed superannuation fund;

(b) apart from this subsection, the post-June 83 component of the ETP consists wholly or partly of a taxed element (which taxed element is in this subsection called the " otherwise taxed element " ); and

(c) the trustee of the fund gives to the person to whom the ETP is paid, within the time and in the manner approved by the Commissioner in writing, a written notice nominating the whole or a specified part of the otherwise taxed element as an untaxed element of the post-June 83 component of the ETP;

so much of the otherwise taxed element of the post-June 83 component of the ETP as is covered by the notice shall be treated as, or as an additional part of, the untaxed element of the post-June 83 component of the ETP.

27AB(5)
The trustee of the fund is not allowed to give more than one notice under subsection (4) in relation to a particular ETP.

27AB(6)
Where, because of subsection 27A(17) :

(a) a particular part of an ETP is taken to have been paid from a taxed superannuation fund; and

(b) the remaining part of the ETP is not taken to have been paid from a taxed superannuation fund;

the following provisions have effect:

(c) the taxed element of the post-June 83 component of the ETP is the amount obtained by:

(i) treating each of the parts referred to in paragraph (a) and (b) of this subsection as separate ETPs;

(ii) calculating the taxed element of the post-June 83 component of each of those separate ETPs in accordance with the preceding provisions of this section; and

(iii) adding together those taxed elements;

(d) to the extent to which the post-June 83 component of the ETP does not consist of a taxed element, it consists of an untaxed element.

27AB(7)
Where:

(a) subsection (6) applies to an ETP; and

(b) the ETP has an excessive component;

each of the parts of the ETP referred to in paragraphs (6)(a) and (b) are taken to include an excessive component of an amount calculated in accordance with the formula:

EC

×

PART ETP ETP

where:

EC is the excessive component of the ETP;

PART ETP is the part of the ETP referred to in paragraph (6)(a) or (b), as the case requires;

ETP is the amount of the ETP.

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History

S 27AB(7) inserted by No 61 of 1990.

S 27AA - 27CA substituted by No 105 of 1989.