Retirement Savings Accounts Amendment Regulations 2007 (No. 1) (104 of 2007)

Schedule 3   Amendments commencing on 1 July 2007

[10]   After subregulation 1.07 (3C)

insert

(3D) Terms and conditions for the provision of a benefit (the pension ) meet the standards of this subregulation if the terms and conditions ensure that payment of the pension is made at least annually, and also ensure that:

(a) the total of payments in any year (including under a payment split) is at least the amount calculated under clause 1 of Schedule 5; and

(b) the pension is transferable only on the death of the beneficiary (primary or reversionary, as the case may be); and

(c) the capital value of the pension and the income from it cannot be used as a security for a borrowing.

(3E) Terms and conditions of an RSA do not meet the standards of any of subregulations (2), (3A) or (3D) if, in relation to the death of the beneficiary on or after 1 July 2007, the pension is transferred to a person who would not be eligible to be paid a benefit in the form of a pension under subregulation 4.24 (3A).