Income Tax Assessment Act 1997



Division 320 - Life insurance companies  

Subdivision 320-H - Segregation of assets to discharge exempt life insurance policy liabilities  

Operative provisions

SECTION 320-240   Transfer of assets to segregated exempt assets otherwise than as a result of a valuation under section 320-230  


If a *life insurance company determines, at a time other than a *valuation time, that:

(a) the total *transfer value of the company's *segregated exempt assets as at that time;

is less than

(b) the company's *exempt life insurance policy liabilities as at that time;

the company can transfer, to the segregated exempt assets, assets of any kind having a total transfer value not exceeding the difference.

A *life insurance company can at any time transfer an asset of any kind to its *segregated exempt assets in exchange for an amount of money equal to the *transfer value of the asset at the time of the transfer.

A *life insurance company can transfer, to its *segregated exempt assets in an income year, assets of any kind having a total *transfer value not exceeding the total amount of the *life insurance premiums paid to the company in that income year for the purchase of *exempt life insurance policies.


Except as provided by this section and subsections 320-195(1) and 320-235(3) , a *life insurance company cannot transfer an asset to its *segregated exempt assets.


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