Income Tax Assessment Act 1936
View history note
Hide history notePart IX repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years.
Former Part IX inserted by No 97 of 1989 and amended by No 105 of 1989.
Div 1 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years.
(Repealed by No 15 of 2007)
S 267 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years. S 267 formerly read:
In this Part, unless the contrary intention appears:
"actuary"
Definition of
"
actuary
"
substituted by No 35 of 1990.
SECTION 267 INTERPRETATION
267(1)
[Definitions]
means a Fellow or Accredited Member of the Institute of Actuaries of Australia;
"actuary
'
s certificate"
means a certificate by an actuary in the form approved in writing by the Commissioner for the purposes of the provision in which the expression appears;
Definition of " actuary ' s certificate " inserted by No 58 of 1990.
"annuity"
has the same meaning as in section
10
of the SIS Act;
Definition of " annuity " amended by No 82 of 1993 and inserted by No 208 of 1992.
"approved form"
(Omitted by No 7 of 1993)
"approved manner"
(Omitted by No 7 of 1993)
"approved person"
(Omitted by No 7 of 1993)
"arm
'
s length premium"
, in relation to an insurance policy, means the amount that the insured could reasonably be expected to be required to pay to obtain the insurance policy under a transaction where the parties to the transaction are dealing with each other at arm
'
s length in relation to the transaction;
"certificate date"
, in relation to an actuary
'
s certificate, in relation to a fund, means the date of lodgment of the return of income of the fund of the year of income to which the certificate relates or such later date as the Commissioner allows;
Definition of " certificate date " inserted by No 58 of 1990.
"Commission
'
s superannuation principles"
(Omitted by No 181 of 1994)
Definition of " Commission ' s superannuation principles " omitted by No 181 of 1994 and inserted by No 208 of 1992.
"complying ADF"
has the meaning given to
"
complying approved deposit fund
"
by section
47
of the SIS Act;
Definition of " complying ADF " substituted by No 82 of 1993.
"complying superannuation fund"
has the meaning given by section
45
of the SIS Act;
Definition of " complying superannuation fund " substituted by No 82 of 1993.
"constitutionally protected fund"
means a fund that is declared by the regulations to be a constitutionally protected fund and is not established under Schedule 3 to the
Superannuation Act 1988
of South Australia;
Definition of " constitutionally protected fund " amended by No 56 of 2010, s 3 and Sch 6 item 108, by inserting " and is not established under Schedule 3 to the Superannuation Act 1988 of South Australia " at the end, effective 1 July 2006.
Definition of " constitutionally protected fund " substituted by No 82 of 1994.
"continuously complying ADF"
, in relation to a payment made by the trustee of a fund, means a fund that is a complying ADF in relation to each of the following years of income:
(a) the year of income in which the payment was made;
(b) the year of income in which the later of the following times occurred:
(i) 1 July 1988;
(ii) the time when the fund came into existence;
(c) each year of income later than the year of income mentioned in paragraph (b) and earlier than the year of income mentioned in paragraph (a);
"continuously complying superannuation fund"
, in relation to a payment made by the trustee of a fund, means a fund that is a complying superannuation fund in relation to each of the following years of income:
(a) the year of income in which the payment was made;
(b) the year of income in which the later of the following times occurred:
(i) 1 July 1988;
(ii) the time when the fund came into existence;
(c) each year of income later than the year of income mentioned in paragraph (b) and earlier than the year of income mentioned in paragraph (a);
"continuously non-complying superannuation fund"
, in relation to a year of income, means a non-complying superannuation fund:
(a) in the case of a fund that came into existence before 1 July 1988:
(i)if the fund came into existence before 1 July 1964 - the income of which was not exempt from tax in relation to any year of income commencing before that day; and
(ii) that was a fund to which section 121DA of this Act, as in force at a time before 1 July 1988, applied in relation to the year of income commencing on 1 July 1987 and to each preceding year of income during which the fund was in existence; and
(iii) that has been a non-complying superannuation fund in relation to the year of income commencing on 1 July 1988 and to each succeeding year of income; or
(b) in any other case - that has been a non-complying superannuation fund in relation to each year of income since it came into existence;
Definition of " continuously non-complying superannuation fund " inserted by No 61 of 1990.
"current pension liability"
, in relation to a complying superannuation fund at a particular time, means a liability, including a contingent liability, of the fund to make a payment in respect of a pension payable by the fund at the particular time;
"death or disability benefit"
, in relation to a member of a complying superannuation fund, means:
(a) a benefit provided in the event of the death of the member;
(b) a benefit provided to the member in the event of the permanent disability of the member; or
(c) a benefit provided to the member, by way of income, during a period (in this paragraph called the " disability period " ) when the member is unable to perform the normal duties of the member ' s employment, being a period not exceeding whichever of the following periods is the longest:
(i) 2 years;
(ii) if there is in force at the beginning of the disability period an approval given in relation to the fund for the purposes of section 62 of the SIS Act and that approval specifies a maximum period for the provision of such benefits - that period;
(iii) if subparagraph (ii) does not apply and the Commissioner approves in writing a period in relation to the fund - that period;
Definition of " death or disability benefit " amended by No 82 of 1993.
"dependant"
has the same meaning as in the SIS Act;
Definition of " dependant " substituted by No 82 of 1993.
"eligible ADF"
, in relation to a year of income, means a fund that is a complying ADF, or a non-complying ADF, in relation to the year of income;
"eligible entity"
, in relation to a year of income, means:
(a) a fund that is an eligible ADF in relation to the year of income;
(b) a fund that is an eligible superannuation fund in relation to the year of income; or
(c) a unit trust that is a PST in relation to the year of income;
eligible non-resident non-complying superannuation fund
has the same meaning as in Subdivision AA of Division
2
of Part
III
.
Definition of " eligible non-resident non-complying superannuation fund " inserted by No 83 of 2004.
"eligible superannuation contributions"
(Omitted by No 181 of 1994)
Definition of " eligible superannuation contributions " omitted by No 181 of 1994 and inserted by No 208 of 1992.
"eligible superannuation fund"
, in relation to a year of income, means a fund that is a complying superannuation fund, or a non-complying superannuation fund, in relation to the year of income;
"eligible termination payment"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"endowment policy"
means an insurance policy where the following conditions are satisfied:
(a) the policy is not a whole of life policy;
(b) the policy includes an investment component;
(c) the premium is not dissected (whether by reference to the investment component or otherwise);
(d) the sum insured, together with bonuses (if any), is payable upon the occurrence of the earlier of the following events:
(i) the death of the life insured;
(ii) the date specified in, or ascertained in accordance with, the policy;
Definition of " endowment policy " inserted by No 58 of 1990.
"foreign approved deposit fund"
(Omitted by No 181 of 1994)
Definition of " foreign approved deposit fund " amended by No 82 of 1993.
"industrial tribunal"
(Omitted by No 181 of 1994)
Definition of " industrial tribunal " inserted by No 208 of 1992.
"last retirement date"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"life assurance company"
(Repealed by No 89 of 2000)
"life assurance policy"
(Repealed by No 89 of 2000)
"non-complying ADF"
, in relation to a year of income, means a fund that, at all times during the year of income when the fund is in existence, is an approved deposit fund within the meaning of the SIS Act, but does not include a fund that is a complying ADF in relation to the year of income;
Definition of " non-complying ADF " amended by No 82 of 1993.
"non-complying superannuation fund"
, in relation to a year of income, means a fund that, at all times during the year of income when the fund is in existence, is a provident, benefit, superannuation or retirement fund, but does not include a fund that is a complying superannuation fund in relation to the year of income;
Definition of " non-complying superannuation fund " substituted by No 82 of 1993.
"non-current pension liability"
, in relation to a complying superannuation fund at a particular time, means any superannuation liability of the fund at that time, other than a current pension liability;
"non-reversionary bonus"
, in relation to a policy of life assurance, means an amount received as or by way of bonus (other than a reversionary bonus) on the policy;
"normal assessable income"
means assessable income other than:
(a) special income; or
(b) taxable contributions;
"OSS Act"
(Omitted by No 82 of 1993)
"OSS notice"
(Omitted by No 82 of 1993)
pension
means:
(a) a pension, within the meaning of the Superannuation Industry (Supervision) Act 1993 ; or
(b) a pension, within the meaning of the Retirement Savings Accounts Act 1997 .
Definition of " pension " substituted by No 62 of 1997, amended by No 82 of 1993 and inserted by No 208 of 1992.
"pooled superannuation trust"
has the meaning given by section
48
of the SIS Act;
Definition of " pooled superannuation trust " substituted by No 82 of 1993.
"post-June 83 component"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"pre-July 83 component"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"PST"
means a pooled superannuation trust;
Definition of " PST " substituted by No 82 of 1993.
"registered organization"
(Repealed by No 101 of 2004)
RSA component
has the meaning given by section
299D
.
Definition of " RSA component " inserted by No 62 of 1997.
"segregated current pension assets"
has the meaning given by section
273A
;
"segregated non-current pension assets"
has the meaning given by section
273B
;
"SIS Act"
means the
Superannuation Industry (Supervision) Act 1993
;
Definition of " SIS Act " inserted by No 82 of 1993.
"special component"
:
(a) in relation to a complying ADF - has the meaning given by section 292 ;
(b) in relation to a complying superannuation fund - has the meaning given by section 284 ; or
(c) in relation to a PST - has the meaning given by section 298 ;
"special income"
has the meaning given by section
273
;
"specified roll-over amount"
, in relation to an eligible entity or RSA provider, means so much of an amount paid to the eligible entity or RSA provider as constitutes a roll-over of some or all of the untaxed element of the post-June 83 component (within the meaning of Subdivision AA of Division
2
of Part
III
) of an eligible termination payment;
Definition of " specified roll-over amount " amended by No 62 of 1997.
"standard component"
:
(a) in relation to a complying ADF - has the meaning given by section 293 ;
(b) in relation to a complying superannuation fund - has the meaning given by section 285 ; or
(c) in relation to a PST - has the meaning given by section 299 ; or
(d) in relation to an RSA - has the meaning given bysection 299D .
Definition of " standard component " amended by No 62 of 1997.
"superannuation agreement"
(Omitted by No 181 of 1994)
Definition of " superannuation agreement " inserted by No 208 of 1992.
"superannuation agreement contribution"
(Omitted by No 181 of 1994)
Definition of " superannuation agreement contribution " substituted by No 208 of 1992.
"superannuation liability"
, in relation to a complying superannuation fund at a particular time, means a liability, including a contingent liability, of the fund to make a payment in respect of a pension or other superannuation benefit that is, or may or will become, payable by the fund at or after the particular time, being a pension or benefit in respect of which contributions have, before the particular time, been made or liable to be made;
"superannuation policy"
(Repealed by No 101 of 2004)
"taxable contribution"
has the meaning given by section
274
;
"tax-exempt entity"
(Omitted by No 181 of 1994)
"termination of employment"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"unit trust"
has the same meaning as in Division
6C
of Part
III
;
"whole of life policy"
means an insurance policy where the following conditions are satisfied:
(a) the policy includes an investment component;
(b) the premium is not dissected (whether by reference to the investment component or otherwise);
(c) the sum insured, together with bonuses (if any), is payable upon:
(i) the death of the life insured; or
(ii) the occurrence of the earlier of the following events:
(A) the death of the life insured;
(B) the life insured attaining the age specified in the policy, being the age of 85 years or more.
Definition of " whole of life policy " inserted by No 58 of 1990.
267(2)
(Omitted by No 105 of 1989)
267(3) [Reference to fund or unit trust]
A reference in this Part to a fund or unit trust shall, where appropriate, be read as a reference to the trustee of the fund or unit trust.
267(4) [Reference to sec 342 of SIS Act]
A reference in this Part to, or to a provision of, section 342 of the SIS Act includes a reference to, or to the corresponding provision of, the repealed section 15D of the Occupational Superannuation Standards Act 1987 (including that section as it continues to apply because of the Occupational Superannuation Standards Amendment Act 1993 ).
S 267(4) inserted by No 82 of 1993.
S 267 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 268 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 268 formerly read:
SECTION 268 TRUSTEES OF FUNDS NOT CONSTITUTED AS TRUSTS
268
Where, apart from this section, there is in relation to a fund no person who is a trustee of the fund for the purposes of this Part, the person, or each of the persons, who manages the fund shall be taken, for the purposes of this Part, to be the trustee, or a trustee, as the case requires, of the fund.
S 268 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 269 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 269 formerly read:
For the purposes of this Part, where:
the notice shall be deemed never to have been given. S 269(2) amended by No 82 of 1993.
SECTION 269 ISSUE, REVOCATION ETC. OF SIS NOTICES
269(1)
(Omitted by No 82 of 1993)
269(2)
[Notice re pre-1 July 1988 funding credit]
(a)
a notice is given under, or under regulations made for the purposes of, section
342
of the SIS Act; and
(b)
either of the following subparagraphs applies:
(i)
the notice is revoked;
(ii)
the decision to give the notice is set aside;
269(3) [Amendment of assessments]
Nothing in section 170 prevents the amendment of an assessment at any time for the purposes of giving effect to this section.
S 269 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 269A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 269A formerly read:
In this section:
"law"
SECTION 269A EXEMPTING LAWS INEFFECTIVE
269A(1)
[Interpretation]
does not include this Act.
269A(2) [Laws before commencement of section]
Nothing in a law passed before the commencement of this section exempts a trustee of an eligible entity from liability to tax as provided by this Part.
269A(3) [Laws after commencement of section]
A law, or a provision of a law, passed after the commencement of this section that purports to exempt a person from liability to pay taxes under laws of the Commonwealth or to pay certain taxes under those laws that include tax as provided by this Part, other than a law or a provision that expressly exempts a person from liability to pay that tax, shall not be construed as exempting the person from liability to pay that tax.
S 269A inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 269B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 269B formerly read:
Nothing in:
exempts a trustee of an eligible entity from liability to tax as provided by this Part. S 269B(1) amended by No 63 of 2005, s 3 and Sch 1 item 3, by inserting
"
50-20,
"
after
"
50-15,
"
in para (b), applicable to the 2005-06 income year and each later income year. S 269B(1) amended by No 101 of 2004, substituted by No 121 of 1997 and amended by No 169 of 1995 and No 56 of 1994.
SECTION 269B CERTAIN EXEMPTING PROVISIONS INEFFECTIVE
269B(1)
[Trustee not exempt]
(a)
sections
23G
and
24AM
of this Act; and
(b)
sections
50-5
,
50-10
,
50-15
,
50-20
,
50-25
,
50-30
,
50-40
and
50-45
of the
Income Tax Assessment Act 1997
;
269B(2) [Operation of Part]
For the purposes of this Act (other than this Part), in determining whether a taxpayer is exempt from tax because of a provision referred to in subsection (1), the operation of this Part shall be disregarded.
S 269B inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 270 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years. S 270 formerly read:
SECTION 270 PART TO APPLY TO GOVERNMENT FUNDS ETC.
270
A reference in this Part to a fund or unit trust includes a reference to a fund or unit trust established by:
(a)
a law of the Commonwealth or of a State or Territory; or
(b)
a public authority constituted by or under a law of the Commonwealth or of a State or Territory.
S 270 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 271 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 271 formerly read:
It is the intention of the Parliament that if, but for this section, this Part would have the effect that a law imposing taxation would impose tax on property of any kind belonging to a State within the meaning of section
114
of the Constitution, this Part shall not have that effect. S 271(2) omitted by No 82 of 1994.
SECTION 271 PART HAS EFFECT SUBJECT TO THE CONSTITUTION
271(1)
[Severability]
271(2)
(Omitted by No 82 of 1994)
S 271 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 271A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 271A formerly read:
SECTION 271A CONSTITUTIONALLY PROTECTED FUNDS EXEMPT FROM TAX
271A
Despite any other provision of this Part, income derived by a constitutionally protected fund is exempt from tax.
S 271A inserted by No 82 of 1994.
(Repealed by No 15 of 2007)
S 272 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 272 formerly read:
SECTION 272 ASSUMPTION TO BE MADE IN CALCULATING TAXABLE INCOME
272
The taxable income of an eligible entity shall be calculated as if the trustee were a taxpayer and:
(a)
if the eligible entity is a non-resident superannuation fund in relation to the year of income concerned
-
a non-resident; or
(b)
otherwise
-
a resident.
S 272 amended by No 181 of 1994, No 97 of 1989 and No 105 of 1989.
(Repealed by No 15 of 2007)
S 273 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 273 formerly read:
This section applies to income derived in a year of income by a fund or unit trust (in this section called the
"
entity
"
) that is a complying superannuation fund, a complying ADF or a PST in relation to the year of income. A dividend paid to the entity by a company that is a private company in relation to the year of income of the company in which the dividend was paid is special income of the entity unless the Commissioner is of the opinion that it would be reasonable not to treat the dividend as special income of the entity, having regard to:
S 273(2) amended by No 63 of 1998.
SECTION 273 SPECIAL INCOME
273(1)
[Application of section]
273(2)
[Dividends paid by private company]
(a)
the value of the shares in that company that are assets of the entity;
(b)
the cost to the entity of the shares on which the dividend was paid by the company;
(c)
the rate of the dividend paid to the entity by the company on the shares in the company that are assets of the entity;
(d)
whether the company has paid a dividend on other shares in the company and, if so, the rate of that dividend;
(e)
whether any shares have been issued by the company to the entity in satisfaction of, or of a part of, a dividend paid by the company and, if so, the circumstances of the issue of those shares; and
(f)
any other matters that the Commissioner considers relevant.
273(3) [Indirect dividend from private company]
For the purposes of subsection (2), income that, in the opinion of the Commissioner, was derived by the entity indirectly from a dividend paid by a company, being a private company in relation to the year of income of the company in which the dividend was paid, shall be deemed to have been a dividend paid to the entity by the company.
273(4) [Income from non-arm ' s length transaction]
Income (other than a dividend to which subsection (2) applies or income derived by the entity in the capacity of beneficiary of a trust estate) derived by the entity from a transaction is special income of the entity if the parties to the transaction were not dealing with each other at arm ' s length in relation to the transaction and that income is greater than the income that might have been expected to have been derived by the entity from the transaction if those parties had been dealing with each other at arm ' s length in relation to the transaction.
S 273(4) amended by No 96 of 1999.
273(5) [Reference to transaction]
A reference in subsection (4) to a transaction includes a reference to a series of transactions.
273(6) [Entity as beneficiary of trust estate]
Income derived by the entity in the capacity of beneficiary of a trust estate (other than by virtue of holding a fixed entitlement to the income) is special income of the entity.
S 273(6) inserted by No 96 of 1999.
273(7) [Where fixed entitlement to income]
Income derived by the entity in the capacity of beneficiary of a trust estate by virtue of holding a fixed entitlement to the income is special income of the entity if:
(a) the entity acquired the fixed entitlement under an arrangement (see subsection (8)), or the income was derived under an arrangement, some or all of the parties to which were not dealing with each other at arm ' s length in relation to the arrangement; and
(b) the amount of the income is greater than might have been expected to have been derived by the entity if those parties had been dealing with each other at arm ' s length in relation to the arrangement.
S 273(7) inserted by No 96 of 1999.
273(8) [ " arrangement " ]
In subsection (7), arrangement means:
(a) any agreement, arrangement, understanding, promise or undertaking, whether express or implied and whether or not enforceable, or intended to be enforceable, by legal proceedings; and
(b) any scheme, plan, proposal, action, course of action or course of conduct.
S 273(8) inserted by No 96 of 1999.
273(9) [Applications]
This section:
(a) applies to a non-share equity interest in the same way as it applies to a share; and
(b) applies to an equity holder in the same way as it applies to a shareholder; and
(c) applies to a non-share dividend in the same way as it applies to a dividend.
S 273(9) inserted by No 163 of 2001.
S 273 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 273A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 273A formerly read:
Assets of a complying superannuation fund are segregated current pension assets of the fund at a particular time in a year of income for the purposes of this Part if:
SECTION 273A SEGREGATED CURRENT PENSION ASSETS
273A(1)
[When assets are segregated current pension assets]
(a)
the assets are invested, held in reserve or otherwise being dealt with at that time by the fund for the sole purpose of enabling the fund to discharge the whole or part of its current pension liabilities as they become due; and
(b)
the trustee of the fund obtains an actuary's certificate before the certificate date to the effect that the amount of the assets, if accumulated after the particular time at the rate the actuary expects will be the rate of the fund's earnings on those assets, would provide the amount required to discharge in full the whole or the part, as the case may be, of the current pension liabilities as they fall due.
273A(2) [Prescribed pensions]
Assets of a complying superannuation fund are also segregated current pension assets of the fund at a particular time in a year of income for the purposes of this Part if the assets are invested, held in reserve or otherwise being dealt with at that time by the fund for the sole purpose of enabling the fund to discharge the whole or part of the current pension liabilities, as they become due, in respect of pensions that are prescribed by the regulations for the purposes of this subsection.
S 273A(2) inserted by No 93 of 2004.
273A(3) [Application]
Subsection (2) does not apply unless, at all times during the year of income, the current pension liabilities of the fund were liabilities in respect of pensions that are prescribed by the regulations for the purposes of this subsection.
S 273A(3) inserted by No 93 of 2004.
S 273A amended by No 58 of 1990 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 273B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 273B formerly read:
SECTION 273B SEGREGATED NON-CURRENT PENSION ASSETS
273B
Assets of a complying superannuation fund are segregated non-current pension assets of the fund at a particular time in a year of income for the purposes of this Part if:
(a)
the assets are invested, held in reserve or otherwise being dealt with at that time by the fund for the sole purpose of enabling the fund to discharge the whole or part of its non-current pension liabilities as they become due; and
(b)
the trustee of the fund obtains an actuary's certificate before the certificate date to the effect that the amount of the assets, together with any future contributions, if accumulated after the particular time at the rate the actuary expects will be the rate of the fund's earnings on those assets, would provide the amount required to discharge in full the whole or the part, as the case may be, of the non-current pension liabilities as they fall due.
S 273B amended by No 58 of 1990 and inserted by No 105 of 1989.
Div 2 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 274 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 274 formerly read:
Subsection (4) contains an exception in relation to payments mentioned in regulations under the
Family Law Act 1975
.
SECTION 274 TAXABLE CONTRIBUTIONS
274(1)
Subject to this Division, the following amounts paid to an eligible entity (other than a PST) or an RSA in a year of income (
"
the contribution year
"
) are taxable contributions in relation to the contribution year:
(a)
if the eligible entity is a resident superannuation fund in relation to the year of income in which the contributions are made:
(i)
contributions made for the purpose of making provision for superannuation benefits for another person, other than:
(A)
contributions made by a person that is, when the contributions are made, a trustee of an exempt life assurance fund (within the meaning of Division
6C
of Part
III
); or
(B)
contributions made by a person that is, when the contributions are made, a trustee of a complying superannuation fund, a complying ADF or a PST; or
(C)
eligible spouse contributions within the meaning of section
159T
; or
(D)
if that other person is less than 18 years old
-
contributions made to a complying superannuation fund for the benefit of that other person that are not contributions made by or on behalf of an employer of that other person; or
(E)
Government co-contributions made under the
Superannuation (Government Co-contribution for Low Income Earners) Act 2003
;
(ii)
a specified roll-over amount;
(aa)
if the eligible entity is a non-resident superannuation fund in relation to the year of income in which the contributions are made
-
contributions made for the purpose of making provision for superannuation benefits for another person (other than a person who is a temporary resident within the meaning of the
Income Tax Assessment Act 1997
at the end of the year of income to which the contributions relate) to the extent that the contributions relate to a period in which the other person is or was:
(i)
a resident of Australia; or
(ii)
a non-resident who derives assessable income that consists of or includes work and income support related withholding payments and benefits;
(b)
if the eligible entity is a complying superannuation fund in relation to the year of income in which the contributions are paid:
(i)
a contribution of the kind mentioned in paragraph
82AAT(1)(b)
, to the extent to which the contribution:
(A)
is covered by a notice under subsection
82AAT(1A)
received by the trustee of the fund before the date on which the trustee lodges the return of income of the fund for the contribution year; and
(B)
has not been rolled-over as mentioned in paragraph
27A(13)(a)
;
(ii)
a contribution under section
65
of the
Superannuation Guarantee (Administration) Act 1992
;
(ba)
in the case of an RSA:
(i)
contributions made for the purpose of making provision for superannuation benefits for another person, other than:
(A)
eligible spouse contributions within the meaning of section
159T
; and
(B)
if that other person is less than 18 years old
-
contributions made for the benefit of that other person that are not contributions made by or on behalf of an employer of that other person; and
(C)
Government co-contributions made under the
Superannuation (Government Co-contribution for Low Income Earners) Act 2003
; and
(ii)
a specified roll-over amount; and
(iii)
a contribution of the kind mentioned in paragraph
82AAT(1CA)(b)
, to the extent to which the contribution:
(A)
is covered by a notice under subsection
82AAT(1CB)
received by the RSA provider before the date on which the RSA provider lodges its return of income for the contribution year; and
(B)
has not been rolled-over as mentioned in paragraph
27A(13)(a)
; and
(iv)
a contribution made under section
65
of the
Superannuation Guarantee (Administration) Act 1992
;
(c)
if the eligible entity is an eligible ADF
-
a specified roll-over amount;
(d)
if the eligible entity is a complying ADF
-
a contribution under section
65
of the
Superannuation Guarantee (Administration) Act 1992
; and
(e)
a payment under section
61
of the
Small Superannuation Accounts Act 1995
(except to the extent to which it represents a Government co-contribution or contributions made under the
Superannuation (Government Co-contribution for Low Income Earners) Act 2003
).
Note:
S 274(1) amended by No 101 of 2006 , s 3 and Sch 2 item 450, by amending references to repealed inoperative provisions, effective 14 September 2006. For application and savings provisions see the CCH Australian Income Tax Legislation archive .
S 274(1) amended by No 32 of 2006, s 3 and Sch 1 item 12, by substituting " a temporary resident within the meaning of the Income Tax Assessment Act 1997 at the end of " for " an exempt visitor to Australia for the purposes of section 517 in relation to " in para (aa), effective 6 April 2006.
S 274(1) amended by No 78 of 2005, No 111 of 2003, No 51 of 2002, No 179 of 1999, No 147 and No 62 of 1997, No 53 of 1995, No 181 of 1994, No 118 and No 7 of 1993, No 92 of 1992 and No 20 of 1990.
274(2)
Subject to this Division, if:
(a) in a year of income ( " the notice year " ) the trustee of a fund receives a notice under subsection 82AAT(1A) in relation to contributions that were made to the fund during a year of income ( " the contribution year " ) in relation to which the fund was a complying superannuation fund; and
(b) the trustee receives the notice after the date on which the trustee lodged the return of income of the fund for the contribution year;
the contributions, to the extent to which they are covered by the notice, are taxable contributions in relation to the notice year.
S 274(2) substituted by No 7 of 1993.
274(3)
Subject to this Division, if:
(a) in a year of income (the notice year ) an RSA provider receives a notice under subsection 82AAT(1CB) in relation to contributions that were made to an RSA provided by the RSA provider during a year of income (the contribution year ); and
(b) the RSA provider receives the notice after the date on which the RSA provider lodged its return of income for the contribution year;
the contributions, to the extent to which they are covered by the notice, are taxable contributions in relation to the notice year.
S 274(3) inserted by No 62 of 1997.
274(4)
Contributions are not taxable contributions under subsection (1) if they are an amount paid by the member spouse, as mentioned in regulations under the Family Law Act 1975 , to a regulated superannuation fund, or to an RSA, to be held for the benefit of the non-members spouse in satisfaction of the non-member spouse ' s entitlement in respect of the superannuation interest concerned.
S 274(4) inserted by No 78 of 2005.
Former s 274(4) amended by No 135 of 1990 and omitted by No 7 of 1993.
274(5)
In subsection (4):
member spouse
has the same meaning as in Part VIIIB of the
Family Law Act 1975
.
non-member spouse
has the same meaning as in Part VIIIB of the
Family Law Act 1975
.
regulated superannuation fund
has the same meaning as in Part VIIIB of the
Family Law Act 1975
.
RSA
has the same meaning as in Part VIIIB of the
Family Law Act 1975
.
superannuation interest
has the same meaning as in Part VIIIB of the
Family Law Act 1975
.
S 274(5) inserted by No 78 of 2005.
Former s 274(5) omitted by No 7 of 1993.
274(6)
(Omitted by No 135 of 1990)
274(7)
Contributions to which subparagraph (1)(a)(i) applies that are made to a complying superannuation fund in a year of income are not taxable contributions if the trustee of the fund, with the consent of the contributor, elects that this subsection is to apply in relation to the contributions.
S 274(7) amended by No 181 of 1994 and No 101 of 1992.
274(8)
The total of the contributions made to a complying superannuation fund in a year of income that are covered by elections under subsection (7) shall not exceed the sum of:
(a) the total of the amounts covered by notices under subsection 27AB(4) given by the trustee of the fund in relation to ETPs paid during the year of income; and
(b) (Omitted by No 20 of 1990)
(c) the total of the amounts covered by notices under section 159SS given by the trustee of the fund in relation to amounts paid during the year of income.
S 274(8) amended by No 101 of 1992 and No 20 of 1990.
274(9)
An election under subsection (7):
(a) must be made on or before the date of lodgment of the return of income of the fund for the fund ' s year of income or before such latertime as the Commissioner allows; and
(b) is irrevocable.
S 274(9) substituted by No 101 of 1992.
274(10)
Subject to this Division, the following transfers of amounts between superannuation funds are taxable contributions:
(a) a transfer of an amount from a complying superannuation fund to a non-complying superannuation fund;
(b) a transfer of an amount from a non-complying superannuation fund (other than a continuously non-complying superannuation fund) to a non-complying superannuation fund;
(c) a transfer of an amount from an eligible non-resident non-complying superannuation fund to a resident superannuation fund other than so much of the amount as was properly payable out of the first-mentioned fund to a member of that fund on the day on which the transfer took place;
(d) if an amount is transferred from an eligible non-resident non-complying superannuation fund to a complying superannuation fund in relation to a taxpayer - so much of the amount as is specified in an election made by the taxpayer under subsection 27CAA(3) .
S 274(10) amended by No 83 of 2004, No 181 of 1994 and inserted by No 61 of 1990.
S 274 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 275 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 275 formerly read:
Subject to this section, the trustee of a complying superannuation fund or complying ADF (
"
transferor
"
) may agree with a particular life assurance company or PST (
"
transferee
"
) that this section is to apply in relation to a year of income (
"
transferor
'
s year of income
"
) and to the transferor and transferee in relation to an amount specified in the agreement.
S 275(1) amended by No 101 of 2004 and substituted by No 101 of 1992.
SECTION 275 TRANSFER OF TAXABLE CONTRIBUTIONS
275(1)
[Agreements]
275(2) [Effect of agreement]
Subject to subsection (3), the effect of the agreement is that the amount to which the agreement relates shall be taken, for the purposes of this Act:
(a) to be included in the assessable income of the transferee of the year of income of the transferee in which the end of the transferor ' s year of income occurs; and
(b) not to be included in the assessable income of the transferor of the transferor ' s year of income.
S 275(2) amended by No 101 of 1992.
275(3) [Amount to be excluded from transferor ' s assessable income]
The total amount excluded from the transferor ' s assessable income of a year of income under this section shall not exceed the total of the taxable contributions paid to the transferor in that year of income.
275(4) [Calculation of amount]
The amount specified in the agreement shall not exceed the amount calculated using the formula:
|
Highest equity value
Tax rate |
where:
Highest equity value is the highest value, at any time during the transferor ' s year of income, of the transferor ' s investment in the transferee;
Tax rate is the rate of tax imposed on the standard component of the taxable income of the transferor of the transferor ' s year of income.
S 275(4) amended by No 101 of 1992.
275(5) [Transferor ' s investment in transferee]
A reference in subsection (4) to the transferor ' s investment in the transferee is a reference to investments consisting of:
(a) if the transferee is a PST - units in the PST; or
(b) if the transferee is a life assurance company:
(i) life assurance policies issued by the transferee; or
(ii) an interest in an interposed trust whose assets consist wholly of life assurance policies issued by the transferee.
S 275(5) amended by No 101 of 2004.
275(6) [Restriction as to agreement]
The transferor is allowed to make only one agreement in relation to a year of income in relation to a particular transferee.
S 275(6) amended by No 101 of 1992.
275(7) [Requirements on agreements]
An agreement under subsection (1):
(a) must be in writing signed by or on behalf of the transferor and the transferee; and
(b) must be made on or before the date of lodgment of the return of income of the transferor for the transferor ' s year of income; and
(c) is irrevocable.
S 275(7) substituted by No 101 of 1992.
S 275 inserted by No 97 of 1989 and substituted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 275A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 275A formerly read:
For the purposes of this Division, the pre-1 July 88 funding credit balance of a fund at a particular time in a year of income is the amount (if any) by which the total of the pre-1 July 88 funding credits of the fund arising in the year of income and before that time exceeds the total of the pre-1 July 88 funding debits arising in the year of income and before that time. If the Australian Prudential Regulation Authority has given a notice under subsection
342(2)
of the SIS Act granting the trustee of a fund a pre-1 July 88 funding credit, there shall be taken to have arisen, at the beginning of the year of income in which 1 July 1988 occurs, a pre-1 July 88 funding credit of the fund as specified in the notice.
S 275A(2) amended by No 48 of 1998 and No 82 of 1993.
SECTION 275A PRE-1 JULY 88 FUNDING CREDIT BALANCE
275A(1)
[Definition]
275A(2)
[Notice by APRA of amount of credit]
275A(3) [Election re application of credits]
If the trustee of a fund makes an election under subsection 275B(1) for a year of income in relation to a particular amount, there shall be taken to have arisen, immediately before the end of the year of income, a pre-1 July 88 funding debit equal to that amount.
275A(4) [Pre-1 July 88 funding debit deemed to have arisen]
If the Australian Prudential Regulation Authority has given a notice under subsection 342(4) of the SIS Act in relation to an event that has occurred (within the meaning of that subsection) in relation to a fund, there shall be taken to have arisen, at the end of the second-last day of the year of income in which the event occurred, a pre-1 July 88 funding debit equal to the pre-1 July 88 funding credit balance (if any) of the fund immediately before the end of that day.
S 275A(4) amended by No 48 of 1998 and No 82 of 1993.
275A(5) [Notice re deemed debit]
If the Australian Prudential Regulation Authority has given a notice under subsection 342(6) of the SIS Act granting the trustee of a fund a pre-1 July 88 funding debit, in relation to an event that has occurred (within the meaning of that subsection) in relation to a fund, there shall be taken to have arisen, immediately after the beginning of the second-last day of the year of income in which the event occurred, a pre-1 July 88 funding debit equal to the amount specified in the notice.
S 275A(5) amended by No 48 of 1998 and No 82 of 1993.
275A(6) [Effect of notice approving transfer of credit]
If the Australian Prudential Regulation Authority gives a notice under regulations made for the purposes of subsection 342(7) of the SIS Act approving the transfer of a pre-1 July 88 funding credit of a fund (in this subsection called the " transferor " ) to another fund (in this subsection called the " transferee " ):
(a) there shall be taken to have arisen, immediately after the beginning of the second-last day of the year of income in which the time that the transfer has effect under those regulations occurs, a pre-1 July 88 funding debit of the transferor equal to the amount transferred; and
(b) there shall be taken to have arisen, at the beginning of the second-last day of the year of income in which the time the transfer has effect under those regulations occurs, a pre-1 July 88 funding credit of the transferee equal to the amount transferred.
S 275A(6) amended by No 48 of 1998 and No 82 of 1993.
275A(7) [Indexation]
If a fund has a pre-1 July 88 funding credit balance at the end of a year of income, there shall be taken to have arisen, at the beginning of the next year of income, a pre-1 July 88 funding credit equal to the amount calculated by multiplying that pre-1 July 88 credit balance by the indexation factor calculated under subsection 159SG(2) for the next year of income.
S 275A inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 275B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 275B formerly read:
If there is a pre-1 July 88 funding credit balance of a complying superannuation fund as at the beginning of the last day of a year of income, the trustee of the fund may elect that this subsection shall apply for the year of income in relation to a specified amount of taxable contributions made to the fund. The amount specified in the election shall not exceed whichever of the following is the lesser:
S 275B(2) amended by
No 80 of 2006
, s 3 and Sch 9 item 1, by substituting para (b), applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the
Income Tax Assessment Act 1936
, including use on or after that day as a result of:
Para (b) formerly read:
where:
R
is the number determined in accordance with the following table:
Taxed ETP components
is the aggregate of the taxed elements of post-June 83 components of ETPs paid out of the fund in the year of income;
Total pension components
is the aggregate of the pension components calculated under subsection (3) for each rebatable superannuation pension that is payable from the fund and has a first payment date in the year of income. S 275B(2)(b) amended by No 181 of 1994.
SECTION 275B APPLICATION OF PRE-1 JULY 88 FUNDING CREDITS
275B(1)
[Election by trustee]
275B(2)
[Limit on specified amount]
(a)
the pre-1 July 88 funding credit balance of the fund as at the beginning of the last day of the year of income;
(b)
contributions covered by subparagraph
274(1)(a)(i)
paid to the fund in the year of income that are used to fund liabilities that accrued before 1 July 1988.
(b)
the total of the amounts covered by subparagraph
274(1)(a)(i)
paid to the fund in the year of income, reduced by amounts covered by subsection
274(7)
and by the amount calculated using the formula:
R
×
(Taxed ETP components
+
Total pension components)
TABLE OF VALUES OF R
Year of income
Value of R
1988
-
89
.
0.2
1989
-
90
.
0.4
1990
-
91
.
0.6
1991
-
92
.
0.8
1992
-
93 or later
.
1.0
275B(3) [ Regulations may prescribe methods]
The regulations may prescribe either or both of the following:
(a) the manner in which the trustee of a superannuation fund is to work out the amount applicable to the fund under paragraph (2)(b) for a year of income;
(b) methods (other than the method specified in subsection (2)) of working out how the trustee of a superannuation fund can apply pre-1 July 88 funding credits.
S 275B(3) and (3A) substituted for s 275B(3) by No 80 of 2006 , s 3 and Sch 9 item 2, applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the Income Tax Assessment Act 1936 , including use on or after that day as a result of:
S 275B(3) formerly read:
275B(3)
The pension component for a rebatable superannuation pension is calculated using the formula:
(Notional purchase price − UPP) × Post-June 83 days
Accrual dayswhere:
Notional purchase price is the notional purchase price of the pension;
UPP is the amount that applies to the pension under subparagraph (a)(iv) or paragraph (b) of the definition of " undeducted purchase price " in subsection 27A(1) ;
Post-June 83 days is the number of days after 30 June 1983 in the accrual period for the pension;
Accrual days is the number of days in the accrual period for the pension.
S 275B(3) amended by No 208 of 1992.
275B(3A) [ Application of method in para (3)(b)]
Methods prescribed under paragraph (3)(b) may be applicable to particular superannuation funds or to a class or classes of superannuation funds.
S 275B(3) and (3A) substituted for s 275B(3) by No 80 of 2006 , s 3 and Sch 9 item 2, applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the Income Tax Assessment Act 1936 , including use on or after that day as a result of:
275B(4) [Exclusion of specified amount]
The assessable income of the fund of the year of income shall not include the amount specified in the election.
275B(5) [Time of election]
An election by a trustee under subsection (1) must be made on or before the date of lodgment of the return of income of the trustee for the year of income to which the election relates, or before such later date as the Commissioner allows.
S 275B(5) amended by No 101 of 1992.
275B(6)
(Repealed by No 80 of 2006 )
S 275B(6) repealed by No 80 of 2006 , s 3 and Sch 9 item 3, applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the Income Tax Assessment Act 1936 , including use on or after that day as a result of:
S 275B(6) formerly read:
275B(6) [ " 1988-89 " ]In this section:
"1988-89"
means the year of income commencing on 1 July 1988 and so on for other years of income.
275B(7)
(Repealed by No 80 of 2006 )
S 275B(7) repealed by No 80 of 2006 , s 3 and Sch 9 item 3, applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the Income Tax Assessment Act 1936 , including use on or after that day as a result of:
S 275B(7) formerly read:
275B(7) [Definitions]In this section:
"accrual period"
has the meaning given by section 275C ;HistoryDefinition of " accrual period " substituted by No 208 of 1992.
"first payment date"
, in relation to a pension, means the first day of the period to which the first payment of the pension relates;HistoryDefinition of " first payment date " substituted by No 208 of 1992.
"notional purchase price"
, in relation to a pension, means the net present value of the pension on the date on which the pension first commenced to be payable;HistoryDefinition of " notional purchase price " inserted by No 208 of 1992.
"rebatable superannuation pension"
has the same meaning as in Subdivision AAB of Division 17 of Part III .
S 275B inserted by No 105 of 1989.
(Repealed by No 80 of 2006 )
S 275C repealed by No 80 of 2006 , s 3 and Sch 9 item 4, applicable to the use, on or after 9 May 2006, of pre-1 July 88 funding credits under section 275B of the Income Tax Assessment Act 1936 , including use on or after that day as a result of:
S 275C formerly read:
For the purposes of section
275B
, the accrual period for a superannuation pension is the aggregate of:
S 275C(1) (formerly s 275C(2)) amended by No 208 of 1992. S 275C(1) and (2) reordered and renumbered as s 275C(2) and (1) respectively by No 208 of 1992.
SECTION 275C ACCRUAL PERIOD FOR A SUPERANNUATION PENSION
275C(1)
[Superannuation pension]
(a)
the period that:
(i)
commences at the time when the taxpayer or the fund member, as the case may be, first became a member of the fund from which the pension is paid; and
(ii)
ends on the first payment date; and
(b)
if the notional purchase price of the superannuation pension is attributable to one or more earlier ETPs
-
the period that is the accrual period for that ETP, or the aggregate of the periods that are the accrual periods for those ETPs.
275C(2) [Current ETP]
For the purposes of this section, the accrual period for an ETP (in this section called the " current ETP " ) is:
(a) if the current ETP is covered by paragraph (a) or (aa) of the section 27A ETP definition - the eligible service period in relation to the current ETP;
(b) if the current ETP is covered by paragraph (b) or (ba) of the section 27A ETP definition - the aggregate of:
(i) the period during which the taxpayer or the fund member, as the case may be, was a member of the superannuation fund to which the current ETP relates; and
(ii) if the current ETP is attributable in whole or in part to an earlier ETP or earlier ETPs - the period that is the accrual period for that earlier ETP, or the aggregate of the periods that are the accrual periods for those earlier ETPs;
(c) if the current ETP is covered by paragraph (c) or (ca) of the section 27A ETP definition - the aggregate of:
(i) the period during which the taxpayer or the depositor, as the case may be, was a depositor with the fund to which the current ETP relates; and
(ii) if the current ETP is attributable in whole or in part to an earlier ETP or earlier ETPs - the period that is the accrual period for that earlier ETP, or the aggregate of the periods that are the accrual periods for those earlier ETPs;
(d) if the current ETP is covered by paragraph (d), (da), (db), (e) or (f) of the section 27A ETP definition - the aggregate of:
(i) the accrual period for the pension to which the current ETP relates; and
(ii) the period from the first payment date for that pension to the date the current ETP was paid; or
(e) if the current ETP is covered by paragraph (g), (ga), (gb), (h) or (j) of the section 27A ETP definition - the aggregate of:
(i) the period from the time of purchase of the annuity to which the current ETP relates to the date the current ETP was paid; and
(ii) if the current ETP is attributable in whole or in part to an earlier ETP or earlier ETPs - the period that is the accrual period for that earlier ETP, or the aggregate of the periods that are the accrual periods for those earlier ETPs.
S 275C(2) (formerly s 275C(1)) amended by No 208 of 1992.
S 275C(1) and (2) reordered and renumbered as s 275C(2) and (1) respectively by No 208 of 1992.
275C(3) [ETP attributable to earlier ETP]
Paragraph 27A(13)(b) applies for the purposes of this section in determining whether an ETP is attributable to an earlier ETP.
275C(4) [Aggregate of periods]
A reference in this section to the aggregate of periods of a particular kind or particular kinds is a reference to the period commencing at the beginning of the first such period and ending at the end of the last such period, excluding any period that is not a period of that kind, or of any of those kinds, as the case may be.
275C(5) [Notional purchase price attributable to ETP]
For the purposes of this section, the notional purchase price of a superannuation pension is attributable to an ETP to the extent to which that notional purchase price may reasonably be regarded as consisting of any part of the ETP that has been rolled-over within the meaning of Subdivision AA of Division 2 of Part III .
S 275C(5) inserted by No 208 of 1992.
275C(6) [Definitions]
In this section:
"eligible service period"
has the same meaning as in Subdivision AA of Division
2
of Part
III
;
"first payment date"
has the same meaning as in section
275B
;
"notional purchase price"
has the same meaning as in section
275B
;
"section 27A ETP definition"
means the definition of
"
eligible termination payment
"
in section
27A
.
S 275C(6) inserted by No 208 of 1992.
S 275C, formerly s 159SL, renumbered and relocated by No 208 of 1992.
S 275C (formerly s 159SL) inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 276 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 276 formerly read:
the clawback amount is allowable as a deduction from the assessable income of the fund of the notice year. S 276(1) substituted by No 7 of 1993. the clawback amount is allowable as a deduction from the assessable income of the RSA provider for the notice year. S 276(2) inserted by No 62 of 1997. Former S 276(2) omitted by No 105 of 1989. S 276(3) amended by No 62 of 1997 and substituted by No 7 of 1993. S 276(4) amended by No 23 of 2005, No 62 of 1997 and No 7 of 1993.
SECTION 276 CONTRIBUTION NOTICES OR ELIGIBLE PERSON NOTICES GIVEN AFTER RETURN LODGMENT DATE
276(1)
Subject to this section, if:
(a)
in a year of income (
"
the notice year
"
) the trustee of a fund receives a notice under subsection
82AAT(1C)
in relation to contributions that were made to the fund in an earlier year of income (
"
the contribution year
"
); and
(b)
the trustee receives the notice after the date on which the trustee lodged the return of income of the fund for the contribution year; and
(c)
apart from this section and section
275
, the assessable income of the fund of the contribution year would include an amount (
"
the clawback amount
"
) that would not have been included if the trustee had received the notice before that date;
276(2)
Subject to this section, if:
(a)
in a year of income (the
notice year
) an RSA provider receives a notice under subsection
82AAT(1CD)
in relation to contributions that were made to an RSA provided by the RSA provider in an earlier year of income (the
contribution year
); and
(b)
the RSA provider receives the notice after the date on which the RSA provider lodged its return of income for the contribution year; and
(c)
apart from this section, the assessable income of the RSA provider of the contribution year would include an amount (the
clawback amount
) that would not have been included if the RSA provider had received the notice before that date;
276(3)
If the Commissioner is satisfied that it would be appropriate for the clawback amount not to be included in the assessable income of the fund or RSA provider of the contribution year:
(a)
so much of the contribution as equals the clawback amount is taken for the purposes of this Part (other than this section) never to have been a taxable contribution; and
(b)
the clawback amount is not allowable as a deduction under subsection (1).
276(4)
The Commissioner must have regard to the following matters in deciding whether to apply subsection (3):
(a)
whether the clawback amount exceeds the amount that would be the taxable income of the fund or RSA provider of the notice year apart from this section;
(b)
the amount of the tax offsets (if any) to which the trustee of the fund, or the RSA provider, is entitled under Part
3-6
of the
Income Tax Assessment Act 1997
in relation to the notice year; and
(c)
such other matters as the Commissioner considers relevant.
276(5)
This section applies only once in respect of a particular contribution or part of a contribution.
S 276 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 277 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 277 formerly read:
any amount that is paid to the entity as mentioned in subsection
274(1)
, or is a contribution to which subsection
82AAT(1)
applies, is taken to be assessable income of the entity (whether or not it is a taxable contribution).
SECTION 277 CONTRIBUTIONS TREATED AS ASSESSABLE IN DETERMINING DEDUCTIONS FOR ADFS AND RESIDENT SUPERANNUATION FUNDS
277
In determining the deductions allowable from the assessable income of an eligible entity that is:
(a)
an eligible ADF; or
(b)
a resident superannuation fund in relation to the year of income concerned;
S 277 substituted by No 181 of 1994 and inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 277AA repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 277AA formerly read:
SECTION 277AA DEPOSITS TREATED AS ASSESSABLE IN DETERMINING DEDUCTIONS FOR RSA PROVIDERS WHO ARE NOT LIFE ASSURANCE COMPANIES
277AA
In determining the deductions allowable from the assessable income of an RSA provider that is not a life assurance company, any amount that is paid to the RSA provider as mentioned in subsection
274(1)
, or is a contribution to which subsection
82AAT(1CA)
applies, is taken to be assessable income of the RSA provider (whether or not it is a taxable contribution).
S 277AA inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 277A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years. S 277A formerly read:
SECTION 277A DEDUCTION FOR TAXABLE CONTRIBUTIONS THAT ARE FRINGE BENEFITS
277A
A deduction is allowable from the assessable income of an eligible entity of a year of income of an amount equal to the total of any taxable contributions included in that assessable income that are fringe benefits.
S 277A amended by No 101 of 2006 , s 3 and Sch 2 item 451, by omitting " (within the meaning of the Fringe Benefits Tax Assessment Act 1986 ) " after " fringe benefits " , effective 14 September 2006. For application and savings provisions see the CCH Australian Income Tax Legislation archive .
S 277A inserted by No 181 of 1994.
Div 3 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 278 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 278 formerly read:
The trustee of a complying superannuation fund is liable to pay tax on the taxable income of the fund of the year of income. Except as provided by Division
11A
of Part
III
, the income of a complying superannuation fund of the year of income is not subject to tax except as provided by this Part.
SECTION 278 LIABILITY TO TAXATION
278(1)
[Trustee to pay tax]
278(2)
[Income subject to tax]
S 278 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 279 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279 formerly read:
Where, in a year of income, the trustee of a complying superannuation fund pays a premium for an insurance policy that is, in whole or in part, in respect of a current or contingent liability of the fund to provide death or disability benefits for the members of the fund:
S 279(1) and (1A) substituted for s 279(1) by No 58 of 1990.
SECTION 279 DEDUCTION FOR PREMIUMS FOR DEATH OR DISABILITY COVER
279(1)
[Premiums deductible]
(a)
if:
(i)
the policy is a whole of life policy; and
30% of that premium is allowable as a deduction in respect of that year of income; or
(ii)
the life insured, or all of the lives insured, are members of the fund;
(b)
if:
(i)
the policy is an endowment policy; and
10% of that premium is allowable as a deduction in respect of the year of income; or
(ii)
the life insured, or all of the lives insured, are members of the fund;
(c)
if the whole or a part of that premium is specified in the policy as being wholly in respect of that liability
-
the whole or that part, as the case may be, of that premium is allowable as a deduction in respect of the year of income; or
(d)
in any other case
-
so much of that premium as is attributable to that liability is allowable as a deduction in respect of the year of income.
279(1A) [Part deemed separate policy and premium]
For the purposes of subsection (1), if the following conditions are satisfied in relation to an insurance policy:
(a) apart from this subsection, the policy is neither a whole of life policy nor an endowment policy;
(b) a distinct part of the policy would, if it were a separate policy, be a whole of life policy or an endowment policy;
(c) a part of the premium is specified in the policy as being wholly in respect of that part of the policy;
the following provisions have effect:
(d) that part of the policy is taken to be a separate whole of life policy or a separate endowment policy, as the case may be;
(e) that part of the premium is taken to be a separate premium for that separate policy.
S 279(1) and (1A) substituted for s 279(1) by No 58 of 1990.
279(2) [Liability not covered by insurance]
Where:
(a) during the whole or a part of a year of income, a complying superannuation fund is subject to a current or contingent liability to provide death or disability benefits for members of the fund; and
(b) that liability, to some extent, is not covered by an insurance policy;
the arm's length premium for an insurance policy in respect of that liability, to the extent to which it is not so covered, is an allowable deduction in respect of the year of income.
S 279(2) amended by No 58 of 1990.
279(3) [Actuary's certificate required]
A deduction is not allowable:
(a) under subsection (1) by virtue of paragraph (1)(d); or
(b) under subsection (2);
unless the trustee of the fund obtains an actuary's certificate, before the certificate date, with respect to the operation of this section.
S 279(3) substituted by No 58 of 1990.
279(4) [Election by trustee]
A deduction is not allowable under this section in relation to a year of income if the trustee of the fund concerned elects that this section does not apply to the trustee in relation to that year of income.
279(5) [Effect of trustee's election]
If the trustee of a fund makes an election under subsection (4) in relation to a year of income then, unless the Commissioner otherwise determines, the trustee shall be taken, for the purposes of this Part, to have made an election under subsection (4) in respect of the next succeeding year of income.
279(6) [Requirements for election]
An election by a trustee under subsection (4) must be made on or before the date of lodgment of the return of income of the trustee for the year of income to which the election relates, or before such later date as the Commissioner allows.
S 279(6) amended by No 101 of 1992.
S 279 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 279A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279A formerly read:
Where the trustee of a complying superannuation fund receives in a year of income a rebate or refund of a premium which has, in whole or in part, been allowed or is allowable as a deduction under subsection
279(1)
, so much of that rebate or refund as is attributable to that deduction shall be included in the assessable income of the trustee of the year of income. Nothing in subsection (1) limits the circumstances in which other rebates or refunds are included in the assessable income.
SECTION 279A CLAWBACK OF REBATES OR REFUNDS OF DEDUCTIBLE PREMIUMS
279A(1)
[Rebates or refunds of deductible premiums]
279A(2)
[Other rebates or refunds]
S 279A inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 279B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279B formerly read:
If:
there is allowable as a deduction in respect of the year of income an amount calculated using the following formula:
SECTION 279B DEDUCTION FOR FUTURE SERVICE ELEMENT OF DEATH OR DISABILITY BENEFITS
279B(1)
[Calculation of allowable deduction]
(a)
the trustee of a complying superannuation fund makes an election under subsection
279(4)
in relation to a year of income; and
(b)
in the year of income, the trustee pays a death or disability ETP in relation to a member of the fund in consequence of the termination of any employment of the member;
Death or disability ETP
×
Days in future service period
Days in total service period
where:
Death or disability ETP is the amount of the death or disability ETP;
Days in future service period is the number of whole days in the period commencing on the day the termination occurred and ending on the last retirement date;
Days in total service period is the sum of:
279B(2) [Payment of death or disability benefit on termination]
For the purposes of this section, where:
(a) in a year of income, the trustee of a complying superannuation fund commences to pay an annuity (within the meaning of section 27H );
(b) the annuity consists of a death or disability benefit in relation to a member of the fund; and
(c) the annuity was paid in consequence of the termination of any employment of the member;
the following provisions have effect:
(d) the trustee shall be treated as if the trustee had paid a death or disability ETP covered by paragraph (b) of the definition of " eligible termination payment " in subsection 27A(1) in lieu of that annuity;
(e) the amount of that eligible termination payment shall be taken to be the net present value of the annuity as at the date of commencement of payment of the annuity.
279B(3) [Reference to death or disability ETP]
A reference in this section to a death or disability ETP is a reference to a payment:
(a) that consists of a death or disability benefit paid in relation to a member of a complying superannuation fund; and
(b) that is an ETP or would be an ETP if:
(i) a reference in the definition of " eligible termination payment " in subsection 27A(1) to a payment made in respect of a taxpayer included a reference to a payment (within the meaning of Subdivision AA of Division 2 of Part III ) made (whether voluntarily, by agreement or by a compulsion of law) after the death of the taxpayer to or for the benefit of a dependant of the taxpayer; and
(ii) subsection 27A(4) had not been enacted.
279B(4) [Member unable to perform normal duties]
For the purposes of this section, where, in a year of income, the trustee of a complying superannuation fund pays a benefit covered by paragraph (c) of the definition of " death or disability benefit " in subsection 267(1) during a period when a member of the fund was unable to perform the normal duties of the member ' s employment, the following provisions have effect:
(a) the trustee shall be treated as if the trustee had paid a death or disability ETP covered by paragraph (b) of the definition of " eligible termination payment " in subsection 27A(1) in lieu of that benefit;
(b) the amount of that eligible termination payment shall be taken to be the total amount of the benefit paid in that year of income;
(c) that eligible termination payment shall be taken to have been paid in consequence of the termination of that employment;
(d) that employment shall be taken to have been terminated on the day on which the member became unable to perform the normal duties of that employment.
S 279B inserted by No 105 of 1989.
(Repealed by No 61 of 1990)
S 279C inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 279D repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279D formerly read:
Where:
an amount calculated under subsection (2) is allowable as a deduction from the assessable income of the paying entity of the year of income in which the payment is made. S 279D(1) amended by No 101 of 2004.
SECTION 279D DEDUCTION FOR CERTAIN POTENTIAL DETRIMENT PAYMENTS MADE AFTER THE DEATH OF A FUND MEMBER
279D(1)
[When deduction allowable]
(a)
after the death of a person (in this section called the
"
deceased person
"
):
(i)
the trustee of a continuously complying superannuation fund or continuously complying ADF (in this section called the
"
paying entity
"
) makes a payment to another person (in this section called the
"
recipient
"
) by reason that the deceased person was a member of the fund; or
(ii)
a life assurance company (in this section also called the
"
paying entity
"
) makes a payment to another person (in this section also called the
"
recipient
"
) in relation to the commutation of, or of the residual capital value of, either an exempt life insurance policy (as defined in the
Income Tax Assessment Act 1997
) or a life assurance policy covered by subparagraph (b)(i) of the definition of
virtual PST life insurance policy
in subsection
995-1(1)
of that Act while the policy was held by the deceased person, by reason that the deceased person would have been entitled to receive the annuity concerned;
(b)
the recipient is the trustee of the estate of the deceased person or is a person who:
(i)
was a dependant of the deceased person immediately before the deceased person
'
s death; or
(ii)
was a dependant of the deceased person immediately before the time of payment; and
(c)
the Commissioner is satisfied that the paying entity has passed on to the recipient the whole of the benefit that would accrue to the paying entity if a deduction were allowed under this section in respect of the payment;
279D(2) [Calculation of deduction]
The deduction under subsection (1) in respect of a payment (in this subsection called the " actual payment " ) in respect of a year of income is calculated using the formula:
|
Notional payment reduction due to contributions tax
Complying superannuation tax rate |
where:
Notional payment reduction due to contributions tax is the difference between:
Complying superannuation tax rate is the rate of tax imposed on the standard component of the taxable incomes of complying superannuation funds of the year of income.
279D(3) [Limit of deduction]
If the recipient is the trustee of the estate of the deceased person, the deduction allowable is only so much of the amount calculated under subsection (2) as the Commissioner considers appropriate having regard to the extent to which the dependants of the deceased person may reasonably be expected to benefit from the estate.
279D(4) [ " dependant " ]
In this section:
"dependant"
has the meaning given by paragraph (a) of the definition of
"
dependant
"
in subsection
27A(1)
.
S 279D inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 279E repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279E formerly read:
This section applies if a complying superannuation fund incurs expenditure in acquiring, holding or disposing of, or otherwise in relation to, an investment consisting of:
S 279E(1) amended by No 101 of 2004.
SECTION 279E EXPENSES OF INVESTING IN POOLED SUPERANNUATION TRUSTS OR LIFE ASSURANCE POLICIES
279E(1)
[Applicable investments]
(a)
units in a PST; or
(b)
life assurance policies issued by a life assurance company; or
(c)
an interest in a trust whose assets consist wholly of life assurance policies issued by a life assurance company.
279E(2) [Assumptions]
In determining whether a deduction is allowable from the assessable income for the expenditure, it is to be assumed that:
(a) any profit or gain of a capital nature that the fund would derive in respect of the investment would instead be of an income nature; and
(b) paragraph 26AH(7)(b) and section 282A (which deal with excluding bonuses from assessable income) had not been enacted.
279E(3) [Amounts that cannot be deducted]
A complying superannuation fund cannot deduct an amount (otherwise than under section 279 ) for fees or charges incurred in respect of:
(a) virtual PST life insurance policies (as defined in the Income Tax Assessment Act 1997 ); or
(b) exempt life insurance policies (as defined in that Act); or
(c) exempt units in a PST.
S 279E(3) inserted by No 89 of 2000.
S 279E inserted by No 76 of 1996.
(Repealed by No 15 of 2007)
S 280 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 280 formerly read:
SECTION 280 NO DEDUCTION IN RESPECT OF BENEFITS
280
No deduction is allowable from the assessable income of a complying superannuation fund in respect of benefits.
S 280 amended by No 61 of 1990, inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 281 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 281 formerly read:
SECTION 281 ASSESSABLE INCOME TO INCLUDE TAXABLE CONTRIBUTIONS
281
Subject to section
275
, the assessable income of a complying superannuation fund of a year of income includes taxable contributions made to the fund in the year of income.
S 281 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 281A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 281A formerly read:
SECTION 281A LIABILITY TO TAXATION WHERE FUND WAS PREVIOUSLY A CONSTITUTIONALLY PROTECTED FUND
281A
The assessable income of a complying superannuation fund of a year of income that ceased to be a constitutionally protected fund at a time during the year of income or at the end of the previous year of income includes the sum of the specified roll-over amounts that would be included in that assessable income if all accumulated member benefits:
(a)
were paid out of the fund immediately before it ceased to be a constitutionally protected fund; and
(b)
were rolled-over back to the fund (within the meaning of Subdivision AA of Division
2
of Part
III
) immediately after it ceased to be a constitutionally protected fund.
S 281A inserted by No 168 of 2001.
(Repealed by No 15 of 2007)
S 282 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 282 formerly read:
SECTION 282 EXCLUSION FROM ASSESSABLE INCOME OF AMOUNTS THAT ACCRUED BEFORE 1 JULY 1988
282
The assessable income of a complying superannuation fund of a year of income shall not include so much of any amount derived in the year of income as accrued to the fund before 1 July 1988.
S 282 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 282A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 282A formerly read:
SECTION 282A EXCLUSION FROM ASSESSABLE INCOME OF NON-REVERSIONARY BONUSES ON LIFE ASSURANCE POLICIES
282A
The assessable income of a complying superannuation fund of a year of income shall not include a non-reversionary bonus on a life assurance policy.
S 282A amended by No 83 of 2004 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 282B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 282B formerly read:
SECTION 282B EXEMPTION OF INCOME DERIVED FROM SEGREGATED CURRENT PENSION ASSETS
282B
Any amount of normal assessable income derived by a complying superannuation fund from assets that, when the income is derived, are segregated current pension assets, is exempt from tax.
S 282B inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 283 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 283 formerly read:
For each amount of normal assessable income of a complying superannuation fund of a year of income other than:
the proportion (if any) calculated under subsection (2) is exempt from tax.
SECTION 283 EXEMPTION OF PROPORTION OF INCOME ATTRIBUTABLE TO CURRENT PENSION LIABILITIES
283(1)
[Exemption]
(a)
income exempt from tax under section
282B
; or
(b)
income derived from assets that, when the income is derived, are segregated non-current pension assets of the fund;
283(2) [Calculation of proportion]
The proportion is calculated using the formula:
|
Unsegregated current pension liabilities
Unsegregated superannuation liabilities |
where:
Unsegregated current pension liabilities is the average value during the year of income of the current pension liabilities of the fund, other than liabilities in respect of which any segregated current pension assets are held;
Unsegregated superannuation liabilities is the average value during the year of income of the superannuation liabilities of the fund, other than liabilities in respect of which any segregated current pension assets or segregated non-current pension assets are held.
283(2A) [Prescribed pensions]
If, at all times during the year of income, the current pension liabilities of the fund were liabilities in respect of pensions that are prescribed by the regulations for the purposes of this subsection, then subsections (3) and (4) do not apply in determining the amounts to be used in the formula in subsection (2).
S 283(2A) inserted by No 93 of 2004.
283(3) [Value of fund ' s liabilities]
Subject to subsection (4), for the purposes of subsection (2) the value at a particular time in the year of income of the fund ' s liabilities of a particular kind is the amount that, in accordance with an actuary ' s certificate that is obtained by the trustee of the fund before the certificate date, together with any future contributions in respect of the superannuation benefits concerned, if accumulated after the particular time at the rate the actuary expects will be the rate of the fund ' s earnings on assets (other than segregated current pension assets or segregated non-current pension assets), would provide the amount required to discharge in full the liabilities as they fall due.
S 283(3) amended by No 58 of 1990.
283(4) [Calculation of value]
Where:
(a) the fund has neither segregated current pension assets nor segregated non-current pension assets at any time during the year of income; and
(b) an actuary ' s certificate in respect of the value at the particular time of the fund ' s superannuation liabilities referred to in the definition of Unsegregated superannuation liabilities in subsection (2) is not obtained by the trustee of the fund before the certificate date;
the value of those liabilities at the particular time is an amount calculated using the formula:
|
Last value of liabilities
Last value of assets |
× | Current value of assets |
where:
Last value of liabilities is the most recent value of the liabilities before the particular time, as shown in an actuary ' s certificate obtained by the trustee of the fund before the certificate date;
Last value of assets is the value, at the time of that most recent valuation of the liabilities, of all of the assets of the fund, as shown in an actuary ' s certificate obtained by the trustee of the fund before the certificate date;
Current value of assets is the value of all of the assets of the fund at the particular time, as shown in an actuary ' s certificate obtained by the trustee of the fund before the certificate date.
S 283(4) amended by No 58 of 1990.
S 283 inserted by No 97 of 1989 and substituted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 284 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 284 formerly read:
SECTION 284 SPECIAL COMPONENT OF TAXABLE INCOME
284
The special component of the taxable income of a complying superannuation fund is the amount (if any) remaining after deducting from the special income:
(a)
any allowable deductions that relate exclusively to the special income; and
(b)
so much of any other allowable deductions as, in the opinion of the Commissioner, may appropriately be related to the special income.
S 284 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 285 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 285 formerly read:
SECTION 285 STANDARD COMPONENT OF TAXABLE INCOME
285
The standard component of the taxable income of a complying superannuation fund is the amount (if any) remaining after deducting the special component from the taxable income.
S 285 inserted by No 97 of 1989.
Div 4 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 286 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 286 formerly read:
The trustee of a non-complying superannuation fund is liable to pay tax on the taxable income of the fund of the year of income. Except as provided by Division
11A
of Part
III
, the income of a non-complying superannuation fund of the year of income is not subject to tax except as provided by this Part.
SECTION 286 LIABILITY TO TAXATION
286(1)
[Trustee to pay tax]
286(2)
[Taxation under Pt IX]
S 286 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 286A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 286A formerly read:
SECTION 286A DEDUCTION FOR SECTION 82AAQ ASSESSABLE AMOUNTS
286A
Where, under section
82AAQ
, the assessable income of a taxpayer of a year of income includes an amount of a payment, or equal to the value of a benefit, received from a continuously non-complying superannuation fund, that amount is also allowable as a deduction to the fund in respect of the year of income.
S 286A amended by No 61 of 1990 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 287 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 287 formerly read:
SECTION 287 NO DEDUCTION IN RESPECT OF BENEFITS
287
Subject to section
286A
, no deduction is allowable from the assessable income of a non-complying superannuation fund in respect of benefits.
S 287 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 288 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 288 formerly read:
SECTION 288 ASSESSABLE INCOME TO INCLUDE TAXABLE CONTRIBUTIONS
288
The assessable income of a non-complying superannuation fund of a year of income includes taxable contributions made to the fund in the year of income.
S 288 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 288A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 288A formerly read:
If a superannuation fund that is a non-complying superannuation fund in relation to the year of income (the
"
current year of income
"
) was a complying superannuation fund in relation to the immediately preceding year of income, the fund
'
s assessable income of the current year of income includes the fund
'
s net previous income in respect of previous years of income. The fund
'
s net previous income in respect of previous years of income is taken to be the amount worked out using the formula:
SECTION 288A LIABILITY TO TAXATION OF NON-COMPLYING FUND THAT WAS PREVIOUSLY A COMPLYING FUND
288A(1)
[Assessable income]
288A(2)
[Net previous income]
Asset values
less
Undeducted contributions
where:
" Asset values " means the sum of the market values of the fund ' s assets immediately before the start of the current year of income;
" Undeducted contributions " means the amount in the fund immediately before the start of the current year of income that represented the total undeducted contributions (as defined in section 27A ) made by current members of the fund.
S 288A inserted by No 181 of 1994.
Div 4A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
Div 4A inserted by No 181 of 1994.
(Repealed by No 15 of 2007)
S 288B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 288B formerly read:
If a superannuation fund that is a resident superannuation fund in relation to the year of income (the
"
current year of income
"
) was a non-resident superannuation fund in relation to the immediately preceding year of income, the fund
'
s assessable income of the current year of income includes the fund
'
s net previous income in respect of previous years of income. The fund
'
s net previous income in respect of previous years of income is taken to be the amount worked out using the formula:
SECTION 288B LIABILITY TO TAXATION OF RESIDENT FUND THAT WAS PREVIOUSLY A NON-RESIDENT FUND
288B(1)
[Assessable income]
288B(2)
[Net previous income]
Asset values
less
Members contributions
where:
" Asset values " means the sum of the market values of the fund ' s assets immediately before the start of the current year of income;
" Members contributions " means the amount in the fund immediately before the start of the current year of income that represented the total contributions made by current members of the fund.
S 288B inserted by No 181 of 1994.
Div 5 repealed by No 15 of 2007, s 3 and Sch 1 item8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 289 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 289 formerly read:
The trustee of a complying ADF is liable to pay tax on the taxable income of the fund of the year of income. Except as provided by Division
11A
of Part
III
, the income of a complying ADF of the year of income is not subject to tax except as provided by this Part.
SECTION 289 LIABILITY TO TAXATION
289(1)
[Trustee to pay tax]
289(2)
[Income subject to tax]
S 289 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 289A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 289A formerly read:
This section applies if a complying ADF incurs expenditure in acquiring, holding or disposing of, or otherwise in relation to, an investment consisting of:
S 289A(1) amended by No 101 of 2004.
SECTION 289A EXPENSES OF INVESTING IN POOLED SUPERANNUATION TRUSTS OR LIFE ASSURANCE POLICIES
289A(1)
[Applicable investments]
(a)
units in a PST; or
(b)
life assurance policies issued by a life assurance company; or
(c)
an interest in a trust whose assets consist wholly of life assurance policies issued by a life assurance company.
289A(2) [Assumptions]
In determining whether a deduction is allowable from the assessable income for the expenditure, it is to be assumed that:
(a) any profit or gain of a capital nature that the fund would derive in respect of the investment would instead be of an income nature; and
(b) paragraph 26AH(7)(b) and section 291A (which deal with excluding bonuses from assessable income) had not been enacted.
S 289A inserted by No 76 of 1996.
(Repealed by No 15 of 2007)
S 290 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 290 formerly read:
SECTION 290 ASSESSABLE INCOME TO INCLUDE TAXABLE CONTRIBUTIONS
290
Subject to section
275
, the assessable income of a complying ADF of a year of income includes taxable contributions made to the fund in the year of income.
S 290 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 290A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 290A formerly read:
For each amount that, apart from this section, would be normal assessable income of a continuously complying fixed interest ADF of a year of income, the proportion (if any) calculated under subsection (2) is exempt from tax. The proportion is calculated using the formula:
SECTION 290A FIXED INTEREST COMPLYING ADFs
-
EXEMPTION OF INCOME ATTRIBUTABLE TO CERTAIN 25 MAY 1988 DEPOSITS
290A(1)
[Exemption]
290A(2)
[Calculation of proportion]
Aggregate of current 25 May balances
Aggregate current balance
where:
Aggregate of current 25 May balances is the aggregate of the current 25 May balances of eligible depositors, as at the reckoning time in relation to the year of income;
Aggregate current balance is the total amount deposited with the fund (together with accumulated earnings), as at the reckoning time in relation to the year of income.
290A(3) [Election re " reckoning time " ]
An election for the purposes of the definition of " reckoning time " in subsection (4) must be made on or before the date of lodgment of the return of income of the ADF for the year of income to which the election relates, or before such later date as the Commissioner allows.
S 290A(3) amended by No 101 of 1992.
290A(4) [Definitions]
In this section, unless the contrary intention appears:
"continuously complying fixed interest ADF"
, in relation to a year of income (in this definition called the
"
current year of income
"
), means a fund that is a fixed interest complying ADF in relation to each of the following years of income:
(a) the current year of income;
(b) the year of income in which 1 July 1988 occurred;
(c) each year of income later than the year of income mentioned in paragraph (b) and earlier than the current year of income;
"CS policy"
(Repealed by No 101 of 2004)
"current 25 May balance"
, in relation to an eligible depositor as at the reckoning time, is the balance as at that time determined by varying the original 25 May balance, in accordance with the following rules, during the period from 26 May 1988 to the reckoning time:
(a) the balance from time to time is not to exceed the original 25 May balance and is not to be less than nil;
(b) subject to paragraph (a), an amount deposited with the ADF by the depositor before 1 September 1989 is to be added to the balance;
(c) subject to paragraph (a), an amount repaid to the depositor from the ADF is to be deducted from the balance;
Definition of " current 25 May balance " amended by No 20 of 1990.
"eligible depositor"
, in relation to an ADF, means:
(a) a depositor whose 55th birthday occurred on or before 25 May 1988; or
(b) a depositor whose 50th birthday occurred on or before 25 May 1988 and who, on or before that date, made a deposit with the ADF that consisted wholly or partly of the roll-over (within the meaning of Subdivision AA of Division 2 of Part III ) of an eligible termination payment, being an eligible termination payment that included a concessional component (within the meaning of that Subdivision);
"fixed interest complying ADF"
, in relation to a year of income, means a complying ADF where both of the following conditions are satisfied:
(a) not less than 90% of the amount that, apart from this section, would be the normal assessable income of the ADF of the year of income consists of any one or more of the following:
(i) interest or a payment in the nature of interest;
(ia) any profit arising on the disposal, redemption, cancellation or maturity of a security (within the meaning of Division 10 );
(ii) an amount included in assessable income under Division 16E of Part III ;
(b) at no time during the year of income did the assets of the fund consist of or include any of the following:
(i) units in a PST;
(ii) virtual PST life insurance policies (as defined in the Income Tax Assessment Act 1997 ) issued by a life assurance company.
Definition of " fixed interest complying ADF " amended by No 101 of 2004 and No 7 of 1993.
"original 25 May balance"
, in relation to an eligible depositor, means the amount of the deposits (together with accumulated earnings) standing to the credit of the depositor as at the end of 25 May 1988;
"reckoning time"
, in relation to an ADF in relation to a year of income, means the beginning of the year of income, or such other time during the year of income as the ADF elects in accordance with subsection (3).
290A(5) [Benefit to be passed on]
This section does not apply to an ADF in relation to a year of income unless the Commissioner is satisfied that the whole of the benefit that would accrue to the ADF from the application of this section in relation to the year of income has been, or will be, passed on to eligible depositors.
S 290A inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 291 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 291 formerly read:
SECTION 291 EXCLUSION FROM ASSESSABLE INCOME OF AMOUNTS THAT ACCRUED BEFORE 1 JULY 1988
291
The assessable income of a complying ADF of a year of income shall not include so much of any amount derived in the year of income as accrued to the fund before 1 July 1988.
S 291 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 291A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 291A formerly read:
SECTION 291A EXCLUSION FROM ASSESSABLE INCOME OF NON-REVERSIONARY BONUSES ON LIFE ASSURANCE POLICIES
291A
The assessable income of a complying ADF of a year of income shall not include a non-reversionary bonus on a life assurance policy.
S 291A amended by No 83 of 2004 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 292 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 292 formerly read:
SECTION 292 SPECIAL COMPONENT OF TAXABLE INCOME
292
The special component of the taxable income of a complying ADF is the amount (if any) remaining after deducting from the special income:
(a)
any allowable deductions that relate exclusively to the special income; and
(b)
so much of any other allowable deductions as, in the opinion of the Commissioner, may appropriately be related to the special income.
S 292 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 293 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 293 formerly read:
SECTION 293 STANDARD COMPONENT OF TAXABLE INCOME
293
The standard component of the taxable income of a complying ADF is the amount (if any) remaining after deducting the special component from the taxable income.
S 293 inserted by No 97 of 1989.
Div 6 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 294 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 294 formerly read:
The trustee of a non-complying ADF is liable to pay tax on the taxable income of the fund of the year of income. Except as provided by Division
11A
of Part
III
, the income of a non-complying ADF of the year of income is not subject to tax except as provided by this Part.
SECTION 294 LIABILITY TO TAXATION
294(1)
[Trustee to pay tax]
294(2)
[Income subject to tax]
S 294 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 295 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 295 formerly read:
SECTION 295 ASSESSABLE INCOME TO INCLUDE TAXABLE CONTRIBUTIONS
295
The assessable income of a non-complying ADF of a year of income includes taxable contributions made to the fund in the year of income.
S 295 inserted by No 97 of 1989.
Div 7 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 296 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 296 formerly read:
The trustee of a PST is liable to pay tax on the taxable income of the trust of the year of income. Except as provided by Division
11A
of Part
III
, the income of a PST of the year of income is not subject to tax except as provided by this Part.
S 296(3) repealed as inoperative by
No 101 of 2006
, s 3 and Sch 1 item 169, effective 14 September 2006. For
application and savings provisions
and for former wording see the
CCH Australian Income Tax Legislation archive
.
SECTION 296 LIABILITY TO TAXATION
296(1)
[Trustee to pay tax]
296(2)
[Income subject to tax]
Archived:
S 296 inserted by No 97 of 1989 and amended by No 105 of 1989.
(Repealed by No 15 of 2007)
S 297 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 297 formerly read:
SECTION 297 EXCLUSION FROM ASSESSABLE INCOME OF AMOUNTS THAT ACCRUED BEFORE 1 JULY 1988
297
The assessable income of a PST of a year of income shall not include so much of any amount derived in the year of income as accrued to the trust before 1 July 1988.
S 297 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 297A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 297A formerly read:
SECTION 297A EXCLUSION FROM ASSESSABLE INCOME OF NON-REVERSIONARY BONUSES ON LIFE ASSURANCE POLICIES
297A
The assessable income of a PST of a year of income shall not include a non-reversionary bonus on a life assurance policy.
S 297A amended by No 83 of 2004 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 297B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 297B formerly read:
Subject to subsection (3), for each amount that, apart from this section, would be normal assessable income of a PST of a year of income, the proportion (if any) calculated under subsection (2) is exempt from tax. The proportion is calculated using the formula:
SECTION 297B EXEMPTION OF INCOME ATTRIBUTABLE TO CURRENT PENSION LIABILITIES OF COMPLYING SUPERANNUATION FUNDS
297B(1)
[Exemption]
297B(2)
[Calculation of proportion]
Average exempt units
Average total units
where:
Average exempt units means the average number, during the year of income, of units in the PST that are segregated current pension assets of unitholders that are complying superannuation funds;
Average total units means the average number, during the year of income, of all of the units in the PST.
297B(3) [Election by PST]
Where:
(a) a PST elects in its return of income of a year of income that this subsection, rather than subsection (1), should apply in relation to the PST in relation to the year of income;
(b) the PST provides any information required by the Commissioner for the purposes of this subsection; and
(c) the Commissioner is satisfied that a percentage of an amount of assessable income of the PST of the year of income would, if the amount had been derived instead by the unitholders in the PST in proportion to their unitholdings, have been exempt from tax under section 282B or 283 ;
the following provisions have effect:
(d) that percentage of the amount of assessable income of the PST is exempt from tax;
(e) subsection (1) does not apply in relation to the PST in relation to the year of income.
S 297B inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 297C repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 297C formerly read:
SECTION 297C EXEMPTION OF INCOME ATTRIBUTABLE TO CONSTITUTIONALLY PROTECTED FUNDS
297C
The assessable income of a PST does not include so much of any income derived by the PST as is attributable to amounts received from constitutionally protected funds.
S 297C inserted by No 82 of 1994.
(Repealed by No 15 of 2007)
S 298 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 298 formerly read:
SECTION 298 SPECIAL COMPONENT OF TAXABLE INCOME
298
The special component of the taxable income of a PST is the amount (if any) remaining after deducting from the special income:
(a)
any allowable deductions that relate exclusively to the special income; and
(b)
so much of any other allowable deductions as, in the opinion of the Commissioner, may appropriately be related to the special income.
S 298 inserted by No 97 of 1989.
(Repealed by No 15 of 2007)
S 299 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299 formerly read:
SECTION 299 STANDARD COMPONENT OF TAXABLE INCOME
299
The standard component of the taxable income of a PST is the amount (if any) remaining after deducting the special component from the taxable income.
S 299 inserted by No 97 of 1989.
Div 7A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
Div 7A inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299A formerly read:
RSA providers that are life assurance companies are covered by Division
320
of the
Income Tax Assessment Act 1997
.
SECTION 299A OVERVIEW
299A
This Division sets out how to calculate the taxable income of an RSA provider, other than one that is a life assurance company.
Note:
S 299A amended by No 89 of 2000, No 44 of 1999 and inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299B formerly read:
SECTION 299B TAXABLE INCOME INCLUDES TAXABLE CONTRIBUTIONS
299B
The taxable income of an RSA provider (other than a life assurance company) includes all taxable contributions made during the year of income to RSAs provided by the RSA provider.
S 299B amended by No 101 of 2004, No 44 of 1999 and inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299C repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299C formerly read:
This section sets out how to calculate the RSA amount of an RSA provider's taxable income. The RSA amount is the sum of:
during the year of income, to RSAs provided by the RSA provider, reduced by any amounts paid from the RSA other than benefits paid to, or in respect of, the holder of the RSA.
SECTION 299C CALCULATION OF RSA AMOUNT
299C(1)
[Method of calculation set out]
299C(2)
[Components of RSA amount]
(a)
all taxable contributions made; and
(b)
other amounts (other than contributions) credited;
299C(3) [Nature of tax paid]
In calculating the RSA amount, any amount of tax paid in respect of an RSA is taken not to have been an amount paid from the RSA.
299C(4) [Amounts for part years]
In calculating the sum, the amounts set out in subsections (5) and (6) are taken not to have been credited.
299C(5) [Amounts where pension paid]
Amounts credited to an RSA where a pension was paid from the RSA in respect of so much of the year of income as the RSA existed.
299C(6) [Where pension paid for part year]
Where a pension was being paid from an RSA, in respect of a part, but not the whole, of so much of the year of income as the RSA existed, amounts worked out using the following formula:
| Amount credited to RSA | × | No. of days in part of year in
respect of which pension was paid No. of days in year on which RSA existed |
S 299C inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299CA repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299CA formerly read:
then:
SECTION 299CA TAXABLE INCOME IN CERTAIN CASES
299CA
If, apart from this section:
(a)
the taxable income of an RSA provider is less than the RSA amount; or
(b)
the RSA provider has no taxable income;
(c)
the RSA provider is taken to have both a taxable income and a tax loss in relation to the year of income; and
(d)
the taxable income is taken to equal the RSA amount; and
(e)
the tax loss is taken to be the amount that would have been the RSA provider's tax loss if the RSA amount were not income derived.
S 299CA inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299D repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299D formerly read:
The taxable income of an RSA provider (other than a life assurance company) is divided into the
RSA component
and the
standard component
.
S 299D(1) amended by No 101 of 2004 and No 44 of 1999.SECTION 299D COMPONENTS OF TAXABLE INCOME
299D(1)
[Two components]
299D(2) [RSA component]
The RSA component is equal to the RSA amount worked out under section 299C .
299D(3) [Standard component]
The standard component is the amount (if any) remaining after deducting the RSA component from the taxable income.
S 299D inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299E repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299E formerly read:
Any amounts paid, during a year of income, as premiums for an insurance policy that is wholly to provide death or disability benefits under RSAs provided by the RSA provider are allowable as deductions in calculating the taxable income for the year of income of the RSA provider. No deduction is allowable in respect of amounts withdrawn from, or benefits paid in relation to, RSAs. No deduction is allowable for amounts credited to RSAs.
SECTION 299E DEDUCTIONS FROM ASSESSABLE INCOME OF RSA PROVIDERS
299E(1)
[Premiums for death or disability cover]
299E(2)
[Withdrawals or benefits paid]
299E(3)
[RSA credits]
S 299E inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299F repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299F formerly read:
If an RSA provider receives in a year of income a rebate or refund of a premium which has, in whole or in part, been allowed or is allowable as a deduction under subsection
299E(1)
, so much of that rebate or refund as is attributable to that deduction is to be included in the assessable income of the RSA provider for the year of income. Nothing in subsection (1) limits the circumstances in which other rebates or refunds are included in the assessable income.
SECTION 299F CLAWBACK OF REBATES OR REFUNDS OF DEDUCTIBLE PREMIUMS
299F(1)
[Where deduction for death or disability cover premium]
299F(2)
[Other inclusions not limited]
S 299F inserted by No 62 of 1997.
(Repealed by No 15 of 2007)
S 299G repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 299G formerly read:
SECTION 299G EXEMPT INCOME OF RSA PROVIDERS
299G
Any amounts that, but for the operation of subsection
299C(4)
, would have been taken into account under paragraph
299C(2)(b)
in calculating the RSA component of the RSA provider's income for the year of income are exempt.
S 299G inserted by No 62 of 1997.
Div 8 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
Div 8 heading substituted by No 105 of 1989.
[ CCH Note: Act No 101 of 2006, s 3 and Sch 3 item 10, also repeals Div 8, effective 1 January 2008.]
(Repealed by No 15 of 2007)
S 300 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 300 formerly read:
The trustee of a fund that is an eligible superannuation fund or an eligible ADF in relation to a year of income is not entitled to a rebate as provided by section
46A
. The trustee of a PST is not entitled to a rebate as provided by section
46A
.
SECTION 300 REBATES
300(1)
[Trustee of eligible superannuation fund, ADF]
300(2)
[Trustee of PST]
Archived:
S 300 substituted by No 101 of 2006 , s 3 and Sch 2 item 452, effective 14 September 2006. For application and savings provisions and for former wording see the CCH Australian Income Tax Legislation archive .
Div 9 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 300A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 300A formerly read:
Where:
the Commissioner may make the assessment as if such a notice had been given. S 300A(1) amended by No 82 of 1993.
SECTION 300A ASSESSMENT AS IF ENTITY WERE A COMPLYING SUPERANNUATION FUND, COMPLYING ADF OR PST
300A(1)
[Assessment as if notice given]
(a)
at the time when the Commissioner is making an assessment in relation to a fund or a unit trust for a particular year of income, the fund or unit trust is not a complying superannuation fund, complying ADF or PST in respect of the year of income; and
(b)
the Commissioner considers it likely that a notice will be given under section
40
of the SIS Act having the effect that the fund or unit trust will be a complying superannuation fund, complying ADF or PST in respect of the year of income;
300A(2) [Amendment of assessment]
Where:
(a) the Commissioner makes the assessment as if the notice had been given; and
(b) either:
(i) the Australian Prudential Regulation Authority has not received the return and certificates referred to in subsection 36(1) of the SIS Act in relation to the fund or unit trust in respect of the year of income by the end of 12 months after the Commissioner of Taxation makes the assessment; or
(ii) the Commissioner of Taxation becomes satisfied that the notice will not be given;
then, notwithstanding section 170 , of this Act, the Commissioner ofTaxation may amend the assessment for the purpose of ensuring that this Act applies as if the application of subsection (1) in relation to the fund or unit trust for the year of income were disregarded.
S 300A amended by No 48 of 1998, No 82 of 1993 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 300B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 300B formerly read:
Where:
the Commissioner may make the assessment as if: S 300B(1)(a)(i) amended by No 82 of 1993.
SECTION 300B ASSESSMENT ON BASIS OF ANTICIPATED PRE-1 JULY 88 FUNDING CREDIT BALANCE
300B(1)
[Assessment where notice given]
(a)
before the Commissioner makes an assessment in relation to a complying superannuation fund for a particular year of income, the trustee of the fund gives notice in writing to the Commissioner that the trustee:
(i)
anticipates that a notice or notices will be given under subsection
342(2) or (7)
, or both, of the SIS Act, having the effect that there will be a pre-1 July 88 funding credit balance of the fund of a specified amount as at the beginning of the last day of the year of income; and
(ii)
would, if there were such a balance, elect that subsection
275B(1)
apply for the year of income in relation to a specified amount of taxable contributions made to the fund;
(b)
the notice is lodged with the Commissioner on or before the date of lodgment of the return of income of the fund for the year of income, or before such later date as the Commissioner allows; and
(c)
the Commissioner considers it likely that the anticipated notice or anticipated notices will be given and that there will be a pre-1 July 88 funding credit balance of the fund of the specified amount as at the beginning of the last day of the year of income;
(d)
there were a pre-1 July 88 funding credit balance of the fund of the specified amount as at the beginning of the last day of the year of income;
(e)
an election had been made by the trustee, in accordance with section
275B
, that subsection
275B(1)
should apply for the year of income in relation to an amount, being the least of the following amounts:
(i)
the amount referred to in subparagraph (a)(i);
(ii)
the amount referred to in subparagraph (a)(ii);
(iii)
the amount referred to in paragraph
275B(2)(b)
; and
(f)
the requirements of subsection
275B(2)
were satisfied.
300B(2) [Amendment of assessment]
Where:
(a) the Commissioner makes the assessment; and
(b) either:
(i) the Australian Prudential Regulation Authority has not received:
(A) if the anticipated notice, or any of the anticipated notices, is a notice under subsection 342(2) of the SIS Act - the application, certificates, other documents and fee referred to in subsection 342(3) of that Act in relation to the fund by the end of 12 months after the Commissioner of Taxation makes the assessment, or by such date as is prescribed by the regulations, whichever is the earlier; or
(B) if the anticipated notice, or any of the anticipated notices, is a notice under subsection 342(7) of the SIS Act - any thing required to be given in relation to the notice under regulations for the purposes of that subsection by the end of 12 months after the Commissioner of Taxation makes the assessment, or by the time by which the thing is required by the regulations to be given, whichever is the earlier; or
(ii) the Commissioner of Taxation becomes satisfied that the anticipated notice or any of the anticipated notices will not be given, or that there will not be a pre-1 July 88 funding credit balance of the fund of the specified amount referred to in paragraph (1)(c) as at the beginning of the last day of the year of income;
then, notwithstanding section 170 of this Act, the Commissioner of Taxation may amend the assessment for the purpose of ensuring that this Act has effect as if the application of subsection (1) in relation to the fund for the year of income were disregarded.
S 300B amended by No 48 of 1998, No 82 of 1993 and inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 301 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 301 formerly read:
nothing in section
170
prevents the amendment of the assessment at any time for the purpose of giving effect to this Act in relation to the occurrence of that circumstance after the end of the year of income.
SECTION 301 AMENDMENT OF ASSESSMENTS
301
Where:
(a)
an assessment has been made in relation to a year of income; and
(b)
a provision of this Part that is relevant to the assessment is dependent on a circumstance that occurs or may occur after the end of the year of income;
S 301 inserted by No 97 of 1989.
Div 10 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
Div 10 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 302 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 302 formerly read:
SECTION 302 DIVISION APPLIES TO TRUSTEES OF COMPLYING SUPERANNUATION FUNDS, COMPLYING ADFs AND PSTs
302
This Division applies to a taxpayer in relation to a year of income if the taxpayer is the trustee of:
(a)
a complying superannuation fund;
(b)
a complying ADF; or
(c)
a PST.
S 302 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 303 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 303 formerly read:
In this Division, unless the contrary intention appears:
"security"
Definition of
"
security
"
amended by No 44 of 1999.
SECTION 303 INTERPRETATION
303(1)
[Definitions]
means:
(a)
debenture stock, a bond, debenture, certificate of entitlement, bill of exchange, promissory note or other security;
(b)
a deposit with a bank or other financial institution;
(c)
a secured or unsecured loan; or
(d)
any other contract, whether or not in writing, under which a person is liable to pay an amount or amounts, whether or not the liability is secured;
"30 June 1988 asset"
, in relation to a taxpayer, means a CGT asset owned by the taxpayer at the end of 30 June 1988.
S 303(1) amended by No 46 of 1998.
303(2) [Reference to taxpayers]
For the purposes of the application of this Division to a taxpayer in relation to a year of income, a reference in this Division to the taxpayer, in relation to a time before the beginning of the year of income, includes a reference to the taxpayer concerned even if the fund or unit trust was not a complying superannuation fund, a complying ADF or a PST, as the case may be, in relation to the year of income in which that time occurred.
303(3) [Calculating amount of payment]
Some provisions of this Division say that a payment can include giving property. To the extent that one does, use the market value of the property in working out the amount of the payment.
S 303(3) substituted by No 46 of 1998.
S 303 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 304 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 304 formerly read:
The modifications in subsection (2) apply if a CGT event happens involving a CGT asset that was owned by one of these entities just before the time of the event:
SECTION 304 CGT TO BE PRIMARY CODE FOR CALCULATING GAINS OR LOSSES
304(1)
[Ownership by certain entities]
(a)
a complying superannuation fund;
(b)
a complying approved deposit fund;
(c)
a pooled superannuation trust.
304(2) [Modifications]
These provisions do not apply to the CGT event:
(a) sections 6-5 (about *ordinary income), 8-1 (about amounts you can deduct) and 15-15 and 25-40 (about profit-making undertakings or plans) of the Income Tax Assessment Act 1997 ;
(b) sections 25A and 52 of this Act (about profit-making undertakings or schemes).
304(3) Exceptions.
The provisions referred to in subsection (2) can apply to the CGT event if:
(a) any capital gain or capital loss from the event is attributable to currency exchange rate fluctuations; or
(b) the CGT asset is one of these:
(i) debenture stock, a bond, debenture, certificate of entitlement, bill of exchange, promissory note or other security;
(ii) a deposit with a bank, building society or other financial institution;
(iii) a loan (secured or not);
(iv) some other contract under which an entity is liable to pay an amount (whether the liability is secured or not).
304(4) [Where gain or loss is disregarded]
The provisions referred to in subsection (2) can also apply to the CGT event if a capital gain or capital loss from the event is disregarded because of one of the provisions of the Income Tax Assessment Act 1997 in this table:
| Where gain or loss disregarded because of CGT provision | ||
| Item | Provision | Brief description |
| 1 | Paragraph 104-15(4)(a) | Title in a CGT asset does not pass when a hire purchase or similar agreement ends |
| . | ||
| 2 | Section 118-5 | Cars, motor cycles and valour decorations |
| . | ||
| 3 | Section 118-10 | Collectables and personal use assets |
| . | ||
| 4 | Section 118-13 | Shares in a PDF |
| . | ||
| 5 | Section 118-25 | Trading stock |
| . | ||
| 6 | Section 118-30 | Film copyright |
| . | ||
| 7 | Section 118-35 | Research and development |
| . | ||
| 8 | Section 118-55 | Foreign currency hedging gains and losses |
| . | ||
| 9 | Section 118-60 | Certain gifts |
| . | ||
| 10 | Section 118-300 | Insurance policies |
| . | ||
| 11 | Section 118-305 | Superannuation |
| . | ||
| 12 | Section 118-310 | CGT event happens to right to, or part of, RSA |
S 304(4) amended by No 58 of 2000.
S 304 substituted by No 94 of 1999 and No 46 of 1998.
S 304 amended by No 121 and No 39 of 1997, No 17 of 1993, and inserted by No 105 of 1989.
Archived:
S 305 repealed as inoperative by No 101 of 2006 , s 3 and Sch 1 item 170, effective 14 September 2006. For application and savings provisions and for former wording see the CCH Australian Income Tax Legislation archive .
(Repealed by No 15 of 2007)
S 306 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 306 formerly read:
Parts
3-1
and
3-3
of the
Income Tax Assessment Act 1997
apply to a 30 June 1988 asset of a taxpayer as if the taxpayer had acquired it on 30 June 1988. However, this does not affect how to work out the asset
'
s cost base to the taxpayer.
SECTION 306 TREATMENT OF CGT ASSET OWNED AT THE END OF 30 JUNE 1988
306(1)
[Application]
306(2)
[Calculating asset
'
s cost base]
S 306 substituted by No 46 of 1998 and inserted by No 105 of 1989.
(Repealed by No 46 of 1998)
S 307 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 308 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 308 formerly read:
The first element of the cost base of each 30 June 1988 asset of the taxpayer is the greater of the asset
'
s market value (at the end of 30 June 1988) and the asset
'
s cost base (on that day).
S 308(1) substituted by No 46 of 1998.
SECTION 308 COST BASE OF 30 JUNE 1988 ASSET
308(1)
[First element of cost base]
308(2) [First element of reduced cost base]
The first element of the reduced cost base of each 30 June 1988 asset of the taxpayer is the lesser of the asset ' s market value (at the end of 30 June 1988) and the asset ' s cost base (on that day).
S 308(2) substituted by No 46 of 1998.
S 308 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 309 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 309 formerly read:
Where:
the market value of the asset as at the end of 30 June 1988 shall be taken, for the purposes of this Division, to be the average of the highest and lowest trade prices for identical assets recorded on 30 June 1988 in whichever of the following markets is applicable:
SECTION 309 MARKET VALUE OF STOCK EXCHANGE LISTED ASSETS
309(1)
[Determination of market value]
(a)
a 30 June 1988 asset of a taxpayer was listed on an Australian stock exchange on 30 June 1988; and
(b)
on that date, identical assets were:
(i)
computer traded on a national market; or
(ii)
traded on a State capital city market;
(c)
if, on that date, identical assets were computer traded on a national market
-
that national market;
(d)
if, on that date, there was a State capital city market (other than the Sydney market) that recorded a higher volume of trading than the Sydney market in identical assets
-
that State capital city market;
(e)
in any other case
-
the Sydney market.
309(2) [Asset deemed listed]
For the purposes of this section, an asset shall be taken to have been listed on an Australian stock exchange on 30 June 1988 if, and only if, on that date the asset had the status of having been granted official quotation by a securities exchange within the meaning of the Securities Industry Act 1980 or the law of a State or Territory corresponding to that Act.
S 309 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 310 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 310 formerly read:
The following provisions have effect for the purposes of this Division. Where:
the cost base to the taxpayer of the shares as at 30 June 1988 shall be reduced by that amount.
SECTION 310 ADJUSTMENT OF COST BASE AS AT 30 JUNE 1988
-
RETURN OF CAPITAL
310(1)
[Operation of Division]
310(2)
[Shares]
(a)
30 June 1988 assets of a taxpayer consist of shares in a company; and
(b)
at any time during the period commencing at the time when the taxpayer acquired the shares and ending at the end of 30 June 1988, the company paid an amount that was not a dividend to the taxpayer in respect of the shares;
310(3) [Interest or unit in trust]
Where:
(a) a 30 June 1988 asset of a taxpayer consists of an interest or unit in a trust; and
(b) at any time during the period commencing at the time when the taxpayer acquired the interest or unit and ending at the end of 30 June 1988, the trustee of the trust paid an amount to the taxpayer in respect of the interest or unit, being:
(i) in a case where the taxpayer was exempt from tax for the year of income in which the payment was made - an amount that, if the taxpayer had not been exempt from tax, would not have been assessable income of the taxpayer; or
(ii) in any other case - an amount that would not have been assessable income of the taxpayer;
the cost base to the taxpayer of the interest or unit as at 30 June 1988 shall be reduced by so much of the amount as is not attributable to a deduction allowed under former Division 10C or 10D of Part III.
S 310 amended by No 101 of 2006 , s 3 and Sch 2 item 453, by amending references to repealed inoperative provisions, effective 14 September 2006. For application and savings provisions see the CCH Australian Income Tax Legislation archive .
S 310 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 311 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 311 formerly read:
Despite section
130-40
of the
Income Tax Assessment Act 1997
, the modifications in subsections (3) and (4) of this section apply if a taxpayer exercises rights or options as mentioned in that section to acquire:
and those rights or options are 30 June 1988 assets of the taxpayer.
SECTION 311 EXERCISE OF RIGHTS
311(1)
[Application of modification]
(a)
shares in a company, or options to acquire shares in a company; or
(b)
units in a unit trust, or options to acquire units in a unit trust;
311(2) [Cost base calculation]
The first element of the cost base of the shares, units or options is the sum of:
(a) the amount paid to exercise the rights or options; and
(b) the greater of the market value of the rights or options (at the end of 30 June 1988) and the cost base of the rights or options (on that day).
311(3) [Reduced cost base calculation]
The first element of the reduced cost base of the shares, units or options is the sum of:
(a) the amount paid to exercise the rights or options; and
(b) the lesser of the market value of the rights or options (at the end of 30 June 1988) and the cost base of the rights or options (on that day).
311(4) [Payment can include giving property]
The payment referred to in subsection (3) or (4) can include giving property: see subsection 303(3) .
311(5) [Indexation]
For indexation purposes, the amount referred to in paragraph (3)(b) is taken to have been incurred on 30 June 1988.
S 311 substituted for s 311, 312, 313 and 314 by No 46 of 1998.
S 311 inserted by No 105 of 1989.
(Repealed by No 46 of 1998)
S 312 inserted by No 105 of 1989.
(Repealed by No 46 of 1998)
S 313 inserted by No 105 of 1989.
(Repealed by No 46 of 1998)
S 314 inserted by No 105 of 1989.
(Repealed by No 15 of 2007)
S 315 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315 formerly read:
SECTION 315 OPTIONS
315
Subsection
104-30(5)
applies to an option granted by a taxpayer as if the reference in that subsection to 20 September 1985 were a reference to 1 July 1988.
S 315 substituted by No 46 of 1998 and inserted by No 105 of 1989.
Div 11 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
Div 11 inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315A repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315A formerly read:
"financial assistance funding levy"
SECTION 315A DEFINITION
315A
In this Division:
means levy imposed by regulations under section
6
of the
Superannuation (Financial Assistance Funding) Levy Act 1993
.
S 315A inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315B repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315B formerly read:
SECTION 315B DEDUCTION FOR FINANCIAL ASSISTANCE FUNDING LEVY
315B
Financial assistance funding levy incurred by a taxpayer is an allowable deduction for the year of income in which the levy is incurred.
S 315B inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315C repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315C formerly read:
SECTION 315C FINANCIAL ASSISTANCE EXEMPT FROM INCOME TAX
315C
A grant of financial assistance under Part
23
of the
Superannuation Industry (Supervision) Act 1993
is exempt from income tax.
S 315C inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315D repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315D formerly read:
SECTION 315D REPAYMENT OF FINANCIAL ASSISTANCE NOT AN ALLOWABLE DEDUCTION
315D
A repayment of financial assistance under Part
23
of the
Superannuation Industry (Supervision) Act 1993
is not an allowable deduction.
S 315D inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315E repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315E formerly read:
Section
170
does not prevent the amendment of an assessment for the purposes of giving effect to section
315B
or
315C
. The following are examples of situations that could result in such an amendment being made:
SECTION 315E AMENDMENT OF ASSESSMENTS
-
REMISSION OR REFUND OF FINANCIAL ASSISTANCE FUNDING LEVY
315E(1)
[Operation of sec 170]
315E(2)
[Situations resulting in amendment]
(a)
the remission of the whole or a part of an amount of financial assistance funding levy;
(b)
the refund or other application of an overpayment of financial assistance funding levy.
315E(3) [Effect of remission]
For the purposes of section 315B , the effect of a remission of financial assistance funding levy is that the amount remitted is taken never to have been incurred.
S 315E inserted by No 82 of 1993.
(Repealed by No 15 of 2007)
S 315F repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 315F formerly read:
the event is to be ignored in determining:
SECTION 315F THIS DIVISION TO BE PRIMARY CODE FOR TAX TREATMENT OF MATTERS RELATING TO FINANCIAL ASSISTANCE FUNDING LEVY
315F
If any of the following events happen:
(a)
a taxpayer incurs financial assistance funding levy;
(b)
the remission of the whole or a part of an amount of financial assistance funding levy;
(c)
the refund or other application of an overpayment of financial assistance funding levy;
(d)
whether an amount is included in the assessable income of a taxpayer under a provision of this Act other than this Division or Part
3-1
or
3-3
of the
Income Tax Assessment Act 1997
; or
(e)
whether an amount is allowable as a deduction to a taxpayer under a provision of this Act other than this Division; or
(f)
whether a CGT event has happened, or whether a capital gain or capital loss from a CGT event is to be disregarded.
S 315F amended by No 46 of 1998 and inserted by No 82 of 1993.