Treasury Laws Amendment (Building a Stronger and Fairer Super System) Act 2026 (8 of 2026)

Schedule 1   Better targeted superannuation concessions

Governor-General Act 1974

11   At the end of section 4BA

Add:

(11) If a release authority lump sum is paid in relation to a release authority issued to a person and an associate deferred allowance is payable to the person, the annual rate of the allowance is to be reduced so that it equals the amount worked out using this formula:

where:

age factor means the age factor for the person on the day on which the allowance becomes payable (see subsection (12)).

pre-reduction rate means the annual rate of the allowance that would, apart from this section (but having regard to any other provisions of this Act that affect that rate), be payable to the person.

(12) The Finance Secretary may, by legislative instrument, determine the age factor, or the method for working out the age factor, for the purposes of subsection (11).

(13) If more than one release authority lump sum is paid in relation to release authorities issued to a person, a reference in the formula in subsection (7) or (11) to the release authority lump sum is taken to be a reference to the total amount of those release authority lump sums.