Superannuation Industry (Supervision) Tax File Number approval No. 1 of 2007
 
Superannuation Industry (Supervision) Act 1993
 
I, Tony Randle, a delegate of the Australian Prudential Regulation Authority:
 
Revocations
 
1.      under subsection 33(3) of the Acts Interpretation Act 1901, and the provisions referred to in subparagraphs (a), (b), (c) and (d) below, REVOKE the following instruments:
 
(a)  except insofar as it applies in relation to self managed superannuation funds (SMSFs) – Approval of Manner of Quoting Tax File Numbers to an Employer dated 19 June 1997, which was made under paragraph 299P(a) for the purposes of section 299A of the Superannuation Industry (Supervision) Act 1993 (SIS Act);
 
(b)  except insofar as it applies in relation to SMSFs– Approval of Manner of Requesting and Informing of Tax File Numbers dated 19 June 1997, which was made under and for the purposes of subsections 299E(1), 299F(1), 299G(1) and paragraph 299P(a) (for the purposes only of section 299D) of the SIS Act;
 
(c) Approval of Manner of Setting Out Tax File Numbers in an Application for Benefits dated 19 June 1997, which was made under and for the purposes of paragraph 299S(1)(b) of the SIS Act;  
 
(d)  except insofar as it applies in relation to SMSFs –  Approval of Manner of Informing of Tax File Numbers dated 19 June 1997, which was made under and for the purposes of subsections 299M(2) and 299N(2) of the SIS Act;
 
Tax File Number (TFN) approvals
 
2.      for the purposes of:
 
(a)  subsection 299E(1) of the SIS Act, APPROVE the manner set out in paragraphs 1 to 5 of the Schedule of a trustee of an eligible superannuation entity (other than an SMSF) or of a regulated public sector superannuation scheme requesting that a beneficiary or applicant to become a beneficiary of the entity or scheme quote their TFN in connection with the operation or the possible future operation of the SIS Act and the other Superannuation Acts;
 
(b) subsection 299G(1) of the SIS Act, APPROVE the manner set out in paragraphs 1 to 5 of the Schedule of a trustee of an eligible superannuation entity (other than an SMSF) requesting that a beneficiary of the entity or scheme quote their TFN in connection with the operation or the possible future operation of the Acts referred to in that subsection;
 
3.      under paragraph 299P(a), for the purposes only of section 299D, of the SIS Act – APPROVE the manner set out in paragraph 6 of the Schedule for a beneficiary, or applicant to become a beneficiary, of an eligible superannuation entity (other than an SMSF) or of a regulated exempt public sector superannuation scheme, to quote their TFN to a trustee of the entity or scheme in connection with the operation or possible future operation of the SIS Act and the other Superannuation Acts;
 
4.      for the purposes of paragraph 299S(1)(b) of the SIS Act – APPROVE the manner set out in paragraph 6 of the Schedule of a person setting out their TFN in an application to the trustee of an eligible superannuation entity (including an SMSF) or regulated exempt public sector superannuation scheme for payment of a benefit;
 
5.      for the purposes of subsection 299M(2) of the SIS Act – APPROVE the manner set out in paragraphs 7 and 8 of the Schedule  of a trustee of an eligible superannuation entity (other than an SMSF) (the first fund) informing another superannuation provider (within the meaning of the Schedule) of a TFN of a beneficiary of the first fund;
 
6.      for the purposes of subsection 299N(2) of the SIS Act – APPROVE the manner set out in paragraphs 7 and 8 of the Schedule  of a trustee of a regulated exempt public sector superannuation scheme (the first fund) informing another superannuation provider of a TFN of a beneficiary of the first fund.
 
Note:      eligible superannuation entity, regulated exempt public sector superannuation scheme, Superannuation Acts and tax file number are defined in section 299W of the SIS Act.
 
 
DatedDated ...... 27 June 2007
 
 
......................................[Signed]
 
Tony Randle
Acting Executive General Manager
Specialised Institutions Division
Schedule
 
Definitions
 
individual means a beneficiary or an applicant to become a beneficiary of an entity or scheme referred to in paragraph 2, 3, 4, 5 or 6, as applicable, on the first and second pages of this instrument;
superannuation provider means the trustee of an eligible superannuation entity or regulated exempt public sector superannuation scheme, or an RSA provider within the meaning of section 16 of the Retirement Savings Accounts Act 1997;
them, their and they refer to the individual to whom the trustee provides the information set out below;
trustee means a trustee of an entity or scheme referred to in paragraph 2, 3, 4, 5 or 6 as applicable, on the first and second pages of this instrument.
Manner of trustee requesting TFN
1.      Before the individual provides their TFN to a trustee, the trustee must set out to the individual the following matters. That:
 
(a)     under the Superannuation Industry (Supervision) Act 1993, the trustee is authorised to collect their TFN, which will only be used for lawful purposes.  These purposes may change in the future as a result of legislative change. The trustee may disclose their TFN to another superannuation provider, when their benefits are being transferred, unless they request the trustee in writing that their TFN not be disclosed to any other superannuation provider;
 
(b)    it is not an offence not to quote their TFN. However, giving their TFN will have the following advantages, which may not otherwise apply:
 
(i)             their superannuation fund will be able to accept all types of contributions to their account/s;
 
(ii)            the tax on contributions to their superannuation account/s will not increase;
 
(iii)          other than the tax that may ordinarily apply, no additional tax will be deducted when they start drawing down their superannuation benefits; and
 
(iv)         it will make it much easier to trace different superannuation accounts in their name so that they receive all their superannuation benefits when they retire.
 
2.         The matters in paragraph 1 may be told to the individual orally or in writing.
 
3.         A trustee may provide information relating to the request for the TFN in addition to the matters in paragraph 1, provided it is not inconsistent with the information in paragraph 1.
 
4.         The matters in paragraph 1 may be told to the individual using the following form of words:
 
Under the Superannuation Industry (Supervision) Act 1993, your superannuation fund is authorised to collect your TFN, which will only be used for lawful purposes.
 
These purposes may change in the future as a result of legislative change. The trustee of your superannuation fund may disclose your TFN to another superannuation provider, when your benefits are being transferred, unless you request the trustee of your superannuation fund in writing that your TFN not be disclosed to any other superannuation provider.
 
It is not an offence not to quote your TFN. However giving your TFN to your superannuation fund will have the following advantages (which may not otherwise apply):
 
·               your superannuation fund will be able to accept all types of contributions to your account/s;
 
·               the tax on contributions to your superannuation account/s will not increase;
 
·               other than the tax that may ordinarily apply, no additional tax will be deducted when you start drawing down your superannuation benefits; and
 
·               it will make it much easier to trace different superannuation accounts in your name so that you receive all your superannuation benefits when you retire.
 
5 .        Nothing in this approval is intended to prevent a TFN being requested or provided orally or in writing (including by means of electronic transfer of information).
Manner of an individual quoting or setting out TFN
6.         An individual may quote or set out their TFN to a trustee orally or in writing if the trustee has made a request that complies with paragraphs 1 to 5.
Manner of trustee informing a superannuation provider
7.         When informing a superannuation provider of an individual’s TFN, the trustee must do so in writing (including by means of electronic transfer of information).  However, a TFN may subsequently be given orally to clarify or complete a TFN given in writing.
 
8.         When informing a superannuation provider of a TFN, the trustee must give the superannuation provider all information in the possession of the trustee that could reasonably help the superannuation provider to locate or identify the individual and which the individual would reasonably expect to be disclosed.  However, the first trustee shall not be obliged to give the superannuation provider any information which the trustee has been asked or instructed by the individual not to divulge.
 
 
Note:      In addition to the above, a trustee must also comply with any other TFN obligations in Part 25A of the SIS Act and with the Tax File Number Guidelines issued by the Privacy Commissioner under section 17 of the Privacy Act 1988.