SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995
Making Information - Assented to 23 June 1995
SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - LONG TITLE
An Act to amend the law relating to superannuation SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SECT 1 Short title
1. This Act may be cited as the Superannuation Laws Amendment (Small Accounts and Other Measures) Act 1995. (Minister's second reading speech made in- House of Representatives on 10 May 1995 Senate on 1 June 1995) SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SECT 2 Commencement
2. This Act commences on 1 July 1995. SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SECT 3 Amendments
3. The Acts specified in the Schedules are amended in accordance with the applicable items in the Schedules, and the other items in the Schedules have effect according to their terms. SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SECT 4 Repeal of the Superannuation (Rolled-Over Benefits) Levy Act 1993
4. The Superannuation (Rolled-Over Benefits) Levy Act 1993 is repealed. SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SCHEDULE 1
SCHEDULE 1 Section 3 FRINGE BENEFITS TAX ASSESSMENT ACT 1986 After section 58V: Insert: Exempt benefits-deposits under the Small Superannuation Accounts Act 1995 When section applies "58W.(1) This section applies if: (a) a benefit is provided in respect of the employment of an employee; and (b) the benefit consists of the making of a deposit, or purported deposit, under the Small Superannuation Accounts Act 1995. Exempt benefit "(2) The benefit is an exempt benefit. Definition "(3) In this section: 'deposit' has the same meaning as in the Small Superannuation Accounts Act 1995.". SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SCHEDULE 2
SCHEDULE 2 Section 3 INCOME TAX ASSESSMENT ACT 1936 1. Subsection 27A(1) (after paragraph (f) of the definition of "eligible termination payment"): Insert: "(fa) a payment under section 63, 64, 65, 66 or 67 of the Small Superannuation Accounts Act 1995, where the payment is in respect of an account kept under that Act in the name of the taxpayer; (fb) a payment under section 68 of the Small Superannuation Accounts Act 1995 made after the death of the taxpayer to the trustee of the estate of the taxpayer, where the payment is in respect of an account kept under that Act in the name of the taxpayer; (fc) a payment made to the taxpayer under subsection 76(6) of the Small Superannuation Accounts Act 1995; (fd) a payment under subsection 76(7) of the Small Superannuation Accounts Act 1995 made after the death of the taxpayer to the trustee of the estate of the taxpayer, where the payment is in respect of an account kept under that Act in the name of the taxpayer; (fe) a payment made to the taxpayer under section 66 of the Superannuation Guarantee (Administration) Act 1992; (ff) a payment under section 67 of the Superannuation Guarantee (Administration) Act 1992 made after the death of the taxpayer to the trustee of the estate of the taxpayer;". 2. Subsection 27AAA(2) (item 3 of the Table): Omit "or (ga)", substitute ", (fb), (fd), (ff) or (ga)". 3. Subsections 27AA(1) and (3): After "ETP" (first occurring) insert "(other than an ETP referred to in subsection (4))". 4. Section 27AA: Add at the end: "(4) Subject to subsection (5), an ETP covered by paragraph (fa), (fb), (fc), (fd), (fe) or (ff) of the definition of 'eligible termination payment' in subsection 27A(1) consists of one or both of the following components: (a) the excessive component;
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(b) the post-June 83 component, which is the ETP reduced by the excessive component. "(5) If: (a) an ETP referred to in subsection (4) of this section consists of an ETP to which subsection 140M(5) applies; and (b) the Commissioner does not make a determination under subsection 140R(1) of the reasonable benefit limits in relation to the ETP; the ETP consists wholly of the excessive component.". 5. Subsection 27AB(1) (item 1 of the Table): Omit "or (aa)", substitute ", (aa), (fa), (fb), (fc), (fd), (fe) or (ff)". 6. Section 27AC: Add at the end: "(8) In the case of an ETP referred to in subsection 27AA(4), subsection (2) of this section has effect as if: (a) the amount calculated in relation to the ETP under paragraph (2)(d) were 0; and (b) if subsection 27AA(5) applies to the ETP-the amount calculated in relation to the ETP under paragraph (2)(e) were 0.". 7. After section 82AAE: Insert: Deduction for deposits under the Small Superannuation Accounts Act 1995 Deduction "82AAF.(1) If a taxpayer makes a deposit under the Small Superannuation Accounts Act 1995 in respect of an eligible employee, the amount of the deposit is an allowable deduction for the year of income of the taxpayer in which the deposit is made. $1,200 limit "(2) The total of the deductions allowable under subsection (1) for deposits made by a taxpayer, or by a taxpayer and one or more associates of the taxpayer, in a year of income in respect of a particular employee, must not exceed $1,200. No deduction unless deposit form contains correct declarations etc. "(3) A deduction is not allowable to a taxpayer under subsection (1) for a deposit if the deposit form that accompanied the deposit, in so far as the form relates to the deposit, contained a declaration that is false or misleading. Definitions "(4) In this section: 'associate' has the same meaning as in section 26AAB; 'deposit' has the same meaning as in the Small Superannuation Accounts Act 1995; 'deposit form' has the same meaning as in the Small Superannuation Accounts Act 1995.". 8. After section 82AAQ: Insert: Assessable income to include deposits refunded under the Small Superannuation Accounts Act 1995 "82AAQA.(1) This section applies if: (a) a deduction has been allowed to a taxpayer under subsection 82AAF(1) of this Act in respect of a deposit made under the Small Superannuation Accounts Act 1995; and (b) during a year of income, the taxpayer receives an amount under Part 8 of that Act by way of a refund of the deposit. "(2) The taxpayer's assessable income of the year of income includes the amount received by the taxpayer. "(3) In this section: 'deposit' has the same meaning as in the Small Superannuation Accounts Act 1995.". 9. Section 82AAR: Add at the end: "(3) A deduction is not allowable under a provision of this Act other than this Subdivision in respect of an amount paid, or purportedly paid, by a taxpayer under section 25 of the Small Superannuation Accounts Act 1995.". 10. Paragraph 82AAS(4)(c): Omit "section 65", substitute "paragraph 65(1)(a) or (b)". 11. Section 82AAS: Add at the end: "(8) For the purposes of subsection (2), if: (a) during an individual's year of income, another person makes, or purports to make, a deposit under the Small Superannuation Accounts Act 1995 in respect of the individual; and (b) the deposit or purported deposit, as the case may be, was made in respect of a particular period of employment of the individual; then: (c) the deposit or purported deposit, as the case may be, is taken to be a contribution made to a superannuation fund in relation to the individual by the other person; and
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(d) throughout the period when the balance of the individual's account is attributable, in whole or in part, to the deposit or purported deposit, as the case may be, circumstances are taken to have existed by reason of which it was reasonable to expect that superannuation benefits would be provided for the individual in the event of the retirement of the individual; and (e) those benefits are taken to have been attributable to each year of income in which any part of the period of employment occurred; and (f) those benefits are taken to have been attributable to those contributions. "(9) Subsection (8) has effect despite section 9 of the Small Superannuation Accounts Act 1995. "(10) For the purposes of subsection (2), if: (a) during an individual's year of income, an amount was credited to the individual's account under paragraph 65(1)(c) of the Superannuation Guarantee (Administration) Act 1992; and (b) the credit was attributable to a particular period of employment of the individual; then: (c) the credit is taken to be a contribution made to a superannuation fund in relation to the individual by the other person; and (d) throughout the period when the balance of the individual's account is attributable, in whole or in part, to the credit, circumstances are taken to have existed by reason of which it was reasonable to expect that superannuation benefits would be provided for the individual in the event of the retirement of the individual; and (e) those benefits are taken to have been attributable to each year of income in which any part of the period of employment occurred; and (f) those benefits are taken to have been attributable to those contributions. "(11) Subsection (10) has effect despite section 9 of the Small Superannuation Accounts Act 1995. "(12) An expression used in subsection (8) or (10) and in the Small Superannuation Accounts Act 1995 has the same meaning in that subsection as it has in that Act.". 12. Section 140G: Omit all the words after "as if", substitute the following words and paragraphs: "the following provisions had not been enacted: (e) paragraph 27AA(1)(ca); (f) subsection 27AA(3); (g) paragraph 27AA(4)(a); (h) subsection 27AA(5); (i) subparagraph 27AC(2)(e)(iv).". 13. Paragraph 140M(1)(b): Add at the end "and". 14. After paragraph 140M(1)(b): Insert: "(c) in the case of an ETP-the ETP is not an ETP referred to in subsection 27AA(4);". 15. Section 140M: Add at the end: ETPs referred to in subsection 27AA(4)-special rules "(5) If: (a) the Commissioner makes an ETP in relation to a person; and (b) the ETP is referred to in subsection 27AA(4); and (c) the amount of the ETP exceeds $5,000; and (d) the ETP counts towards the person's RBLs; then, for the purposes of this Act (other than this section or section 140P): (e) the ETP is taken to be an ETP to which subsection (1) applies; and (f) the Commissioner is taken to have received a notice under subsection (1) about the ETP.". 16. Paragraph 202(i): Omit "and 24", substitute ", 24 and 24A". 17. Section 202: Add at the end: "; and (j) to facilitate the administration of the Small Superannuation Accounts Act 1995.". 18. Subsection 274(1): Add at the end: "; and (e) a payment under section 61 of the Small Superannuation Accounts Act 1995.". 19. Application-payments under section 66 or 67 of the Superannuation Guarantee (Administration) Act 1992: Paragraphs (fe) and (ff) of the definition of "eligible termination payment" in subsection 27A(1) of the Income Tax Assessment Act 1936
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apply in relation to a payment made on or after 1 July 1995. SUPERANNUATION LAWS AMENDMENT (SMALL ACCOUNTS AND OTHER MEASURES) ACT 1995 No. 53, 1995 - SCHEDULE 3
SCHEDULE 3 Section 3 SUPERANNUATION GUARANTEE (ADMINISTRATION) ACT 1992 1. Section 23: Add at the end: "(13) Subject to subsection (15), if: (a) an employer makes a deposit under the Small Superannuation Accounts Act 1995 in respect of an employee; and (b) the deposit form that accompanied the deposit, in so far as the form relates to the deposit, did not contain a declaration that is false or misleading; this section has effect as if the deposit were a contribution made by the employer for the benefit of the employee to a complying superannuation fund. "(14) Subsection (13) has effect despite section 9 of the Small Superannuation Accounts Act 1995. "(15) If: