Law Companion Ruling

LCR 2018/5A1 - Addendum

First home super saver scheme

Addendum

This Addendum is a public ruling for the purposes of the Taxation Administration Act 1953. It amends Law Companion Ruling LCR 2018/5 to reflect amendments to the law made by the Treasury Laws Amendment (2019 Measures No. 1) Act 2019.

LCR 2018/5 is amended as follows:

1. Preamble

At the end of the second paragraph, insert 'and the Treasury Laws Amendment (2019 Measures No. 1) Act 2019'.

2. Table of contents

At the entry for paragraph 26 after the words 'Obligations following the', insert 'request for'.

3. Paragraph 15

(a) In first sentence, omit '13'; substitute '12'.

(b) After the fourth dot point, insert:

amounts transferred from a KiwiSaver scheme that are Australian-sourced amounts or returning New Zealand-sourced amounts13A
applicable fund earnings from a foreign fund transfer that you elect to include in the receiving fund's assessable income

(c) At the end of the new fifth dot point, insert footnote 13A:

13A The remainder of a KiwiSaver Scheme amount transferred into an Australian super fund, that is not an Australian-sourced amount or a returning New Zealand-sourced amount, will meet the conditions in paragraph 12 of this Ruling.

4. Paragraph 26

(a) In the heading after 'Obligations following the', insert 'request for'.

(b) In the second sentence, omit the words 'after the release of funds'.

(c) Omit the first two dot points; substitute:

you receive a FHSS determination and you make a valid request for the release of an amount of super in relation to that determination.28A This must be your first such request
you enter into a contract to purchase or construct a CGT asset that is a residential premises29, located in Australia, within the period beginning 14 days before the day you make the valid request for release, and ending 12 months after the day you make the valid request for release (or a further period allowed by the ATO)29A
the price for the purchase or construction of the premises is at least equal to the total amount to be released that is stated in the valid request for release.

(d) At the end of footnote 28, insert 'Section 313-35 was amended by Treasury Laws Amendment (2019 Measures No. 1) Act 2019.'.

(e) In the new first dot point after the word 'determination', insert footnote 28A:

28A A 'valid request' is a request made under section 131-5.

(f) At end of the new second dot point, insert footnote 29A:

29A The contract to purchase or construct a residential premises to which the valid request for release relates has to be entered into on or after 1 July 2018.

5. Paragraph 28

(a) In the first paragraph after 'following the', insert 'valid request for'.

(b) Omit the first dot point; substitute:

make non-concessional contributions within the period beginning 14 days before the day you make the valid request for release, ending 12 months after the day you make the valid request for release (or further period allowed by the ATO)32A.

(c) Omit the third dot point (excluding footnote 33); substitute:

notify the ATO in the approved form that you made the non-concessional contributions within the period beginning 14 days before the day you make the valid request for release, ending 12 months after the day you make the valid request for release' (or further period allowed by the ATO).33

(d) At end of first dot point, insert footnote 32A:

32A Sections 313-35 and 313-50 of the ITAA 1997. Sections 313-35 and 313-50 were amended by Treasury Laws Amendment (2019 Measures No. 1) Act 2019.

6. Paragraph 29

(a) In the first sentence after 'residential premises', insert 'located in Australia'.

(b) In the first sentence after 'stipulated time periods', insert footnote 33A: 33A Sections 313-40 and 313-50 of the ITAA 1997.

7.Paragraph 30

Omit the words 'because you entered into a contract to purchase or construct a residential premises before the FHSS released amount was released,'.

This Addendum applies on and from 1 July 2019.

Commissioner of Taxation
3 July 2019

© AUSTRALIAN TAXATION OFFICE FOR THE COMMONWEALTH OF AUSTRALIA

You are free to copy, adapt, modify, transmit and distribute this material as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).

References

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