Tax Laws Amendment (2005 Measures No. 2) Act 2005 (78 of 2005)

Schedule 7   Superannuation and family law

Income Tax Assessment Act 1936

51   At the end of section 140ZN

Add:

(3) If:

(a) a payer commences or has commenced to make payments of an eligible annuity (within the meaning of Part VIIIB of the Family Law Act 1975) to a person; and

(b) the annuity counts or counted towards the person's RBLs; and

(c) a payment split then applies to a splittable payment in respect of that annuity; and

(d) as a result:

(i) a payment is made to or for the benefit of the non-member spouse; or

(ii) an annuity (within the meaning of subsection 27A(1) of this Act) is created for, or an amount is transferred to a superannuation fund for the benefit of, the non-member spouse in circumstances prescribed by the regulations;

then, in working out the RBL amount of the eligible annuity, the amount of the ETP rolled-over to purchase that annuity is to be reduced by an amount worked out in accordance with a method determined by the Commissioner in writing in relation to the annuity.

(4) A determination made under subsection (3) is a legislative instrument, but neither section 42 nor Part 6 of the Legislative Instruments Act 2003 applies to the determination.

Note: The heading to section 140ZN is altered by adding at the end " and payment splits ".


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