Income Tax Assessment Regulations 1997
Note: See subregulation 293-115.20(2) .
WORKING OUT DEFINED BENEFIT CONTRIBUTIONSPART 1 - PRELIMINARY 4 Method for determining amount of defined benefit contributions 4(1)
The defined benefit contributions for an accruing member for a financial year is the amount worked out as follows:
|(BC - NTC) × 0.85 + NTC|
is the notional taxed contributions calculated for the member for the financial year under Schedule 1A to these Regulations, disregarding Subdivision 291-C of the Income Tax (Transitional Provisions) Act 1997 . If NTC has not been calculated for the member for the financial year because the member is a member of a constitutionally protected fund, NTC is zero.
Section 291-160 of the Act excludes superannuation interests in constitutionally protected funds from the provisions which explain how notional taxed contributions are to be calculated for defined benefit interests.
Salary packaged contributions which do not contribute towards funding the defined benefit interest are included in the amount calculated under step 1 of the method statement set out in section 293-105 of the Act and do not form any part of the method of determining defined benefit contributions.4(2)
The notional employer contribution for an accruing member for a financial year is the amount worked out as follows:
|T + (1.2 × (W + X + Y + Z))|
The notional employer financed contributions for an accruing member for a benefit category of a defined benefit fund for a financial year is the amount worked out as follows:
|1.2||×||(||New entrant rate||×||S||×||
(a) paid by or on behalf of the member in respect of the member ' s defined benefit interest in the fund during that part of the financial year that the member was an accruing member of the benefit category; and
(b) which are not assessable income of the fund;
but excluding any amounts which are not assessable income of the fund because of:
(c) item 5.3 of the table in section 50-25 of the Act; or
(d) a choice made under section 295-180 of the Act.