Income Tax Assessment (1997 Act) Amendment (Building a Stronger and Fairer Super System and Other Measures) Regulations 2026 (F2026L00726)

Schedule 2   Total superannuation balance value and the value of superannuation interests

Part 2   Total superannuation balance value and the value of superannuation interests

Division 1   Main amendments

Income Tax Assessment (1997 Act) Regulations 2021

5   Subsection 307-205.02C(2)

Repeal the subsection (not including the note), substitute:

(2) If the valuing time is at or before the time (the payment start time ) at which the contract or rules for the provision of the deferred superannuation income stream provide for payments of the income stream to start, the value of the interest at the valuing time is the greater of:

(a) the total amount of the superannuation benefits that would become payable if the individual voluntarily caused the interest to cease at the valuing time; and

(b) the amount worked out by:

(i) adding together each amount of consideration paid for the interest for the income stream, and that amount's associated notional earnings, as worked out under subsection (3) for the day that includes the valuing time; and

(ii) subtracting, from the amount worked out under subparagraph (i), any amount commuted from the deferred superannuation income stream before the valuing time.

(2A) If the valuing time is after the payment start time, the value of the interest at the valuing time is the amount worked out under regulation 1.06B of the Superannuation Industry (Supervision) Regulations 1994 for a commutation of the deferred superannuation income stream that occurs at the valuing time.