Income Tax Regulations (Amendment) (Cth)

Statutory Rules 1988 No. 2081

 

Income Tax Regulations2 (Amendment)

I, THE GOVERNOR-GENERAL of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, hereby make the following Regulations under the Income Tax Assessment Act 1936.

Dated 19 August 1988.

N. M. STEPHEN

Governor-General

By His Excellency’s Command,

Paul Keating

Treasurer

 

Commencement

1. These Regulations commence on 1 September 1988.

Principal Regulations

2. In these Regulations, “Principal Regulations” means the Income Tax Regulations.

3. Regulation 4ae of the Principal Regulations is repealed and the following regulation substituted:

Prescribed Life Tables—subsection 27h (4) of the Act

“4ae. For the purposes of the definition of ‘life expectation factor’ in subsection 27h (4) of the Act, the prescribed Life Tables are:

(a) where the annuity first commenced to be payable before 1 September 1988—the Australian Life Tables 1975-1977 prepared by the Australian Government Actuary;

 

(S.R. 169/88)—Cat. No. 16/2.8.1988

 

(b) where the annuity first commenced to be payable on or after 1 September 1988—the Australian Life Tables 1980-1982 prepared by the Australian Government Actuary.”.

Eligible termination payments—roll-over

4. Regulation 33a of the Principal Regulations is amended:

(a) by omitting from subregulation (2) “At or before the time” and substituting “Subject to subregulation (6), at or before the time”;

(b) by omitting from subparagraph (3) (b) (iv) “where the eligible termination payment is of a kind referred to in paragraph (b) or(c) of the definition of ‘eligible termination payment’ in sub-section 27a (1) of the Act,”; and

(c) by adding at the end the following subregulation:

“(6) Subregulation (2) does not apply to a taxpayer where:

(a) the roll-over payment is made by one superannuation fund directly to another superannuation fund;

(b) the eligible termination payment was made in relation to the taxpayer upon the taxpayer and other members of the first-mentioned superannuation fund transferring from the membership of that superannuation fund to the membership of that other superannuation fund;

(c) the whole of the eligible termination is expended in making the roll-over payment; and

(d) the Commissioner declares in writing that it would be inappropriate for that subregulation to apply to the taxpayer in relation to the roll-over payment.”.

Interpretation

5. Regulation 54dao of the Principal Regulations is amended by inserting in subregulation (2) the following definitions:

“‘non-qualifying component’ has the same meaning as in subsection 27a (1) of the Act;

‘roll-over payment’, in relation to an eligible termination payment, means the payment of an amount in the manner described in subsection 27a (12) of the Act;”.

Statement of termination payment

6. Regulation 54daq of the Principal Regulations is amended:

(a) by omitting from subregulation (1) “Before an eligible termination payment” and substituting “Subject to this regulation, before an eligible termination payment”;

(b) by omitting from sub-subparagraph (1) (a) (i) (c) “and”;

(c) by omitting from sub-subparagraph (1) (a) (i) (d) “where the eligible termination payment is of a kind referred to in paragraph (b) or (c) of the definition of ‘eligible termination payment’ in sub-section 27a (1) of the Act,”;

 

(d) by adding at the end of subparagraph (1) (a) (i) the following sub-subparagraph:

“(e) the non-qualifying component (if any); and”;

(e) by omitting from subparagraph (2) (b) (iv) “where the eligible termination payment is of a kind referred to in sub-subparagraph (1) (a (i) (d),”; and

(f) by adding at the end the following subregulations:

“(6) This regulation does not apply in relation to an eligible termination payment where:

(a) the whole of the eligible termination payment is to be expended in making the roll-over payment;

(b) the roll-over payment is to be made by one superannuation fund directly to another superannuation fund;

(c) the eligible termination payment is to be made in relation to the employee upon the employee and other members of the first-mentioned superannuation fund transferring from the membership of that superannuation fund to the membership of that other superannuation fund; and

(d) the Commissioner declares in writing that it would be inappropriate for this regulation to apply in the circumstances.

“(7) An employer is not required to cause the original and copies of the statement referred to in subparagraph (1) (a) (ii) to be given to the employee and the employee is not required to comply with paragraph (1) (b) if:

(a) because of the remoteness of the employee’s place of employment from the place where the employer’s wages records are kept, an undue delay in payment would, but for this subregulation, be likely to occur;

(b) the employee notifies the employer at the time of termination of employment that no part of the eligible termination payment will be rolled over; and

(c) the Commissioner declares in writing that it would be inappropriate for the employer and the employee to be so required in the circumstances.”.

NOTES

1. Notified in the Commonwealth of Australia Gazette on 26 August 1988.

2. Statutory Rules 1936 No. 94 as amended to date. For previous amendments see Note 2 to Statutory Rules 1988 No. and see also Statutory Rules 1988 No. .

 

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