Stamp Duties (Amendment) Act 1972 (NSW)

STAMP DUTIES (AMENDMENT) ACT.

JgetD OTialesJ

ANNO VICESIMO PRIMO

ELIZABETHiE II REGINiE

Act No. 79,1972.

An Act to provide for a method of valuing superannuation benefits for death duty purposes and for the allowance of certain deductions in respect thereof; for these and other purposes to amend the Stamp Duties Act, 1920; and for purposes connected therewith. [Assented to, 4th December, 1972.]

BE

Stamp Duties {Amendment).

No. 79, 1972 O E it enacted by the Queen’s Most Excellent Majesty, by

and with the advice and consent of the Legislative

Council and Legislative Assembly of New South Wales in

Parliament assembled, and by the authority of the same, as

follows; —

Short tide. !• This Act may be cited as the “Stamp Duties

(Amendment) Act, 1972”.

Amendment	2.	The Stamp Duties Act, 1920, is amended—
of Act No.
47, 1920.

Sec. too. (a) by inserting next after the definition of “Disposition

(Interpre­	of property” in section 100 the following new
tation.)	definition : —

“Eligible superannuation scheme” means any

scheme, fund or plan established for the

purpose of providing superannuation bene­

. fits or superannuation benefits and death benefits, and—

(a)	created or arranged by an employer for the benefit of his employees and operated under the terms of an instrument of trust executed by or on behalf of the employer;
(b)	created or arranged for the benefit of employees or self-employed per­ sons in a form approved by the Commissioner for the purposes of this Part; or
(c)	created and operated by or under any law of the Commonwealth or of any State or Territory of the Commonwealth.

(b)

Stamp Duties {Amendment).

(b)	(i)
by omitting from section 102 (2) (h) the No. 79,1972 the words “Subject to subsection (7) of (pj-pperty
section 102 e , any money” ; subject to

duty as

(ii) by omitting section 102 (2) (i) esta\°o?^

and by inserting instead the following

subparagraph ;— ’

(i)    Any annuity or other interest purchased or provided before or after the commencement of this Act—

(i)   by or on behalf of the deceased, either by the deceased alone or in concert or by arrangement with any other person;

(ii)   by or on behalf of any person in concert or by arrangement with the deceased; or

(iii)  by any person who at any time was an employer of the deceased or was acting on behalf of or in concert or by arrangement with an employer of the deceased,

to the extent of the beneficial interest accruing or arising by survivorship or otherwise on the death of the deceased.

(iii)   by inserting next after section 102 (2) (1) the following new subparagraph :—

(m) The value of any benefit that accrues to any person or any amount of money paid or payable to any person, on or

after

Stamp Duties {Amendment).

No. 79, 1972 after the death of the deceased by th& operation of, or pursuant to, any agree­ ment entered into, or disposition made, by the deceased before or after the commencement of this Act or by the operation of, or pursuant to, the memorandum, articles or rules of any body, corporate or unincorporate, association, scheme, fund or plan of or in which the deceased was a member or participant, where the benefit accrued or the money was paid or is payable by reason of the deceased having died while he was holding an office or while he was an employee, whether or not the benefit or payment is enforceable and whether or not that person was ascertained on the death of the deceased.

(iv)   by inserting next after section 102 (2b) the

following new paragraph

(2c) The value of any benefit that accrues outside New South Wales, and any amount of money paid or payable outside New South Wales, where—

(a)	the deceased dies after the com­ mencement of the Stamp Duties (Amendment) Act, 1972;
(b)	the deceased was, at the time of his death, domiciled in New South Wales; and
(c)	the benefit or amount of money would, had it accrued or been paid or payable in New South Wales, have been deemed by the operation of subpara­ graph (m) of paragraph (2) to have been included in the dutiable estate of the deceased.

(V )

I ll 's

Stamp Duties {Amendment).

(v) by omitting section 102 ( 3 ) (c) and no. 79, 1972

by inserting instead the following sub­

paragraph ;—

(c) the value of an annual or periodical payment of money under an eligible superannuation scheme to the widow or widower of the deceased, or to any children of the deceased who, at the time of the death of the deceased, were under the age of twenty-one years or were wholly dependent adult children, or to the wholly dependent widower father or the wholly dependent widowed mother of the deceased, where—

(i)   the payment is to be made dur­ ing the life, or until the remarriage, of the person entitled to the payment or for a term certain of not less than ten years; and

(ii)   any right to commute the whole or part of the payment to a capital sum is exercisable only by the person entitled to the payment under the scheme.

f(c) by inserting next after section 102d the following New sec.

new section ;— ®̂2e.

1 0 2 e . ( 1 ) Where an annuity or other interest Further

referred to in subparagraph (i) of paragraph ( 2 ) relatlngto

of section 102 was purchased or provided—-	dutiable
estate.

(a) partly by or on behalf of the deceased; and

(b) partly by or on behalf of another person (not being a person who at any time was the employer of the deceased or a person

who

Stamp Duties (Amendment).

No. 79, 1972 who was acting in concert or by arrange­ ment with a person who at any time was tho employer of the deceased),'

that subparagraph applies to and in respect of only so much of the annuity or other interest as was purchased or provided by or on behalf of the deceased.

(2) For the purposes of subparagraph (i) of paragraph (2) of section 102, to the extent to which an annuity or other interest was purchased or provided—

(a)	by or on behalf of a person who at any time was the employer of the deceased; or
(b)	by or on behalf of a person who was acting in concert or by arrangement with a person who at any time was the employer of the deceased,

it shall be deemed to have been purchased or

provided by or on behalf of the deceased.

(3) For the purposes of subparagraph (i) of paragraph (2) of section 102, where a con­ tract is, in so far as it does or may confer a benefit on a person who is not a party, enforceable by the administrator of the estate of the deceased—

(a)	the benefit shall be deemed to be an annuity or other interest purchased or provided by the deceased; and
(b)	the beneficial interest in the benefit shall be deemed to accrue or arise on the death of the deceased in favour of the person on whom the benefit is or may be conferred, notwithstanding the inability of that person to enforce the contract.

(4) For the purposes of subparagraph (i) of paragraph (2) of section 102, the extent of any beneficial interest accruing or arising by sur­ vivorship or otherwise on the death of the deceased!

shall

Stamp Duties {Amendment).

shall be ascertained without regard to any interest, no. 79,1972

whether contingent or defeasible or in expectancy,

that the beneficiary may have had therein before

the death of the deceased.

(5) For the purposes of subparagraphs

(i) and (m) of paragraph (2) of section 102, where a beneficial interest accrues or arises, a bene­ fit accrues or an amount of money is paid or becomes payable—

(a)	at or from a time ascertained by reference to the death of the deceased; or
(b)	after the death of the deceased and so accrues, arises, is paid or becomes payable pursuant to the exercise of a discretion by any person,

the beneficial interest, benefit or amount of money shall be deemed to have accrued, arisen, been paid or become payable on the death of the deceased.

( 6 ) For the purposes of Schedule 7a ,

where—

(a)	a beneficial interest referred to in subpara­ graph (i) of paragraph (2) of section 102; or
(b)	a benefit or amount of money referred to in subparagraph (m) of that paragraph,

accrues, arises or is paid or becomes payable pur­ suant to the exercise of a discretion after the death of the deceased by any person, the beneficial interest, benefit or amount of money shall be deemed to have vested in, or passed to, the person in whose favour the discretion was exercised.

(7) In the case of a person who dies

after the commencement of the Stamp Duties

(Amendment) Act, 1972, subparagraph (h) of

paragraph

Stamp Duties {Amendment).

No. 79, 1972 paragraph (2) of section 102 does not apply to or in respect of money payable under a policy of assurance to the extent that—

(a)	a beneficial interest referred to in subpara­ graph (i) of that paragraph accrues or arises therein on the death of the deceased; or
(b)	the money is a benefit or an amount of money referred to in subparagraph (m) of that paragraph,

and is included in the dutiable estate of the deceased or is deemed, by subparagraph (c) of paragraph (3) of section 102, not to be included therein.

(8) Where, on the death of a person

domiciled in New South Wales, benefits accrue or become payable, pursuant to one or more eligible superannuation schemes, to the widow or widower of the deceased, or to any children of the deceased who, at the time of the death of the deceased, were under the age of twenty-one years or were wholly dependent adult children of the deceased, or to the wholly dependent widower father or the wholly dependent widowed mother of the deceased, there shall be allowed as a deduction from the dutiable estate of that person—

(a) where all those benefits so accruing or pay­ able to those persons are included in the dutiable estate—the lesser of—■

(i)   the aggregate amount of those benefits; and

(ii) $70,000; or

(b) where part only of those benefits so accruing or payable to those persons is included in the dutiable estate—the lesser of—

(i) the value of that part; and

( i i )

Stamp Duties {Amendment).

(ii)

the same proportion as that part

bears to the aggregate amount of

an amount that bears to $70,000 No. 79,1972 the dutiable estate or not.

(9) Where a benefit accruing or arising under an eligible superannuation scheme is, pur­ suant to the scheme, payable to the administrator of the estate of the deceased, it shall, for the purposes of subsection (8), be deemed to be payable pur­ suant to the scheme to the person entitled thereto under the will or upon the intestacy of the deceased.

(10) Where a person dies domiciled out­ side New South Wales, there shall be allowed as a deduction from the dutiable estate of that person any benefits accruing or payable pursuant to an eligible superannuation scheme where the benefits are included in the dutiable estate.

(11) Notwithstanding anything in this section, a deduction under this section shall not be allowed in respect of a benefit accruing or payable pursuant to an eligible superannuation scheme if the deceased was aged more than seventy-three years at the time of his death.

(d) (i) by inserting next after section 122 (1) the Sec. 122.

following new subsections :— (No deal­ ings with

(1 a ) Subject to subsection ( 1 b ) where, on shares, &c., of deceaset

at or after the death of a person, a benefit	persons
accrues or is payable to another person	registered
to be
(whether or not that other person has	without
previously been ascertained) pursuant to one	certificate ol
Commis­
or more superannuation schemes of or in	sioner.)
which the deceased was a member or partici­ pant, the payment of any money or transfer of any property, in order to give effect to the benefit, shall not be made without the produc­ tion of a certificate of the Commissioner in

Stamp Duties {Amendment).

No. 79, 1972 the prescribed form to the effect that the bene­ fits have been included in the account lodged in accordance with this Act, or that the benefits do not form part of the dutiable estate of the deceased, or that the Commissioner consents to the proposed payment or transfer.

(1b ) The provisions of subsection (1a ) do

not apply to or in respect of an eligible

superannuation scheme to the extent that—

(a)	payments or transfers of property are made pursuant to the scheme to any one or more of the persons referred to in subparagraph (c) of paragraph (3) of section 102 of not more than one- half of the amount of the benefit that accrues or is payable pursuant to the scheme after excluding the value of any annual or periodical payment of money referred to in paragraph ( b ) ; and
(b)	the value of any annual or periodical payment of money pursuant to the scheme is, by subparagraph (c) of paragraph (3) of section 102, deemed not to be included in the dutiable estate of the deceased.

(ii)   by omitting from section 122 (2) the words “Any corporation, company, or society to which this section applies which” and by inserting instead the words “A person who”.

SYDNEY