ATO Interpretative Decision

ATO ID 2001/1 (Withdrawn)


Eligible termination payment: Extension of Time to Roll Over
FOI status: may be released
  • This ATO ID is withdrawn from the database because it contains a view in respect of sections 27A and 27D of the Income Tax Assessment Act 1936. These sections do not apply for the 2007-08 income year and later income years. This ATO ID continues to be a precedential view in respect of decisions for income years up to, and including, the 2006-07 income year.
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Status of this decision: Decision Withdrawn 14 December 2007
CAUTION: This is an edited and summarised record of a Tax Office decision. This record is not published as a form of advice. It is being made available for your inspection to meet FOI requirements, because it may be used by an officer in making another decision.

This ATOID provides you with the following level of protection:

If you reasonably apply this decision in good faith to your own circumstances (which are not materially different from those described in the decision), and the decision is later found to be incorrect you will not be liable to pay any penalty or interest. However, you will be required to pay any underpaid tax (or repay any over-claimed credit, grant or benefit), provided the time limits under the law allow it. If you do intend to apply this decision to your own circumstances, you will need to ensure that the relevant provisions referred to in the decision have not been amended or repealed. You may wish to obtain further advice from the Tax Office or from a professional adviser.


Whether the taxpayer is qualified to receive an extension of time to roll-over in consequence of having received incorrect advice from work associates not to roll-over an Eligible Termination Payment (ETP).


The incorrect advice from work associates does not qualify the taxpayer for an extension of time to roll over an ETP.


The taxpayer elected to receive a cash payout of their superannuation fund ETP. This election was based on advice from work associates that a rolled-over superannuation benefit could only be accessed after reaching age 55 and retiring permanently.

The Statement of Termination payment received by the taxpayer showed the date of payment as 11 December 1997. The rolled-over amount was shown as nil. The taxpayer lodged a request with the Commissioner on 19 March 1998 for an extension of time to roll-over. In a letter from the taxpayer's tax agent it was stated they believed the taxpayer received no advantage in taking a lump sum ETP. However, there was a financial disadvantage in terms of tax paid that could be deferred, or possibly eliminated, if the taxpayer had sought professional advice and had arranged to roll-over the entitlement.

Reasons For Decision

Taxation Determination TD 96/36 recognises there are certain circumstances which may prevent a taxpayer from immediate rolling over an ETP.

However, the taxpayer did have the opportunity to roll-over the ETP. The extension of time to roll-over the ETP from the superannuation fund was not allowed.

Date of decision:  12 August 1998

Legislative References:
Income Tax Assessment Act 1936
   subsection 27A(1)

Related Public Rulings (including Determinations)
TD 96/36

Other References:
ATO Explanatory Materials for ATO Staff concerning Determination TD 96/36.
ATO Fact Sheet, "Rolling over an Eligible Termination Payment".

Eligible Termination Payments
ETP roll-over

Business Line:  Superannuation

Date of publication:  4 June 2001

ISSN: 1445-2782

  Date: Version:
  12 August 1998 Original statement
You are here 14 December 2007 Withdrawn