EXPLANATORY STATEMENT
FAMILY LAW (SUPERANNUATION) (PROVISION OF INFORMATION – NSW PARLIAMENTARY CONTRIBUTORY SUPERANNUATION SCHEME)
DETERMINATION 2010
ISSUED BY THE AUTHORITY OF THE ATTORNEY-GENERAL
In this instrument, the Attorney-General provides, by written determination, for the matters about which the trustee of the Parliamentary Contributory Superannuation Scheme established by the Parliamentary Contributory Superannuation Act 1971 (NSW) is required to provide information, under the provisions of the Family Law Act 1975 (the Act) allowing superannuation to be split on relationship breakdown, in respect of an interest in the Scheme.
The Attorney-General, in the Family Law (Superannuation) (Methods and Factors for Valuing Particular Superannuation Interests) Amendment Approval 2010 (No. 1), approved alternative methods for valuing particular categories of superannuation interests in Parliamentary Contributory Superannuation Scheme replacing, for those interests, valuation methods contained in the Family Law (Superannuation) Regulations 2001 (the Regulations) that would otherwise apply.
The making of this instrument ensures that, when members or former members of the Legislative Assembly of New South Wales or the Legislative Council of New South Wales, or their former spouses or de facto partners, apply for valuation information under the Act about a superannuation interest that the member or former member has in the Parliamentary Contributory Superannuation Scheme, they will receive information that is relevant to the alternative valuation methods that the Attorney-General has approved. The information which the trustee of the Parliamentary Contributory Superannuation Scheme is required to provide will enable the interest in the Scheme to be valued in accordance with the particular alternative method that has been approved for the interest.
In the instrument, the Attorney-General also provides that the trustee of the Parliamentary Contributory Superannuation Scheme is not required to provide information that is relevant only to valuing a superannuation interest in accordance with one of the methods contained in the Regulations.
The instrument incorporates by reference the Family Law (Superannuation) (Methods and Factors for Valuing Particular Superannuation Interests) Approval 2003 (the Approval), under which methods are approved for valuing, for the purpose of provisions of the Family Law Act 1975 allowing superannuation to be split on relationship breakdown, particular superannuation interests.
The Approval can be viewed at the following website:
http://www.comlaw.gov.au/comlaw/legislation/legislativeinstrumentcompilation1.nsf/current/bytitle/961B05B3F3E8A6C7CA25740B001FADB7?OpenDocument&mostrecent=1
A copy of the Approval may be purchased from CanPrint Communications Pty Ltd, PO Box 7456, Canberra MC ACT 2610 (telephone: 1300 656 863).
The instrument refers to Parliamentary Contributory Superannuation Act 1971 (NSW), which establishes the Parliamentary Contributory Superannuation Scheme. The NSW Parliamentary Contributory Superannuation Act may be viewed at the following website:
http://www.legislation.nsw.gov.au/maintop/view/inforce/act+53+1971+cd+0+N
A copy of the Act can also be purchased from Salmat, a print-on-demand and mail order service, located at 2 Military Road, Matraville, NSW 2036. Contact details for Salmat are: Telephone: 1300 656 986, facsimile: 02 9311 1076 and e-mail: bookshop@salmat.com.au.
Consultation on the content of the instrument was undertaken under section 17 of the
Legislative Instruments Act 2003 with the Australian Government Actuary, the New
South Wales Department of Premier and Cabinet and Cumpston Sarjeant, Consulting Actuaries, who were engaged by the New South Wales Department of Premier and Cabinet to advise in relation to the methods that have been approved and Pillar Administration, which provides administrative services to the trustee of the New South Wales Parliamentary Contributory Superannuation Scheme.
The consultation occurred by way of exchange of correspondence and discussions between Commonwealth and New South Wales officials, and between Commonwealth officials and Cumpston Sarjeant.
Overview
The Family Law (Superannuation) (Provision of Information – NSW Parliamentary Contributory Superannuation Scheme) Determination 2010 was enacted to address a specific issue concerning the provision of information about superannuation interests in the context of relationship breakdowns for members and former members of the Legislative Assembly of New South Wales or the Legislative Council of New South Wales, or their former spouses or de facto partners. This determination was issued by the authority of the Attorney-General and operates under the Family Law Act 1975. Its primary policy objective is to ensure that relevant information is provided to individuals who apply for valuation information regarding their superannuation interests, thereby facilitating the process of superannuation splitting in accordance with the approved alternative methods for valuing these interests. The determination ensures that the trustee of the Parliamentary Contributory Superannuation Scheme, established by the Parliamentary Contributory Superannuation Act 1971 (NSW), provides information that aligns with the approved valuation methods, and excludes information relevant only to methods that are not approved.
Scope and Application
The Family Law (Superannuation) (Provision of Information – NSW Parliamentary Contributory Superannuation Scheme) Determination 2010 applies to the trustee of the Parliamentary Contributory Superannuation Scheme, established by the Parliamentary Contributory Superannuation Act 1971 (NSW). It specifically concerns the provision of information regarding superannuation interests under the Family Law Act 1975, where such interests pertain to members or former members of the Legislative Assembly of New South Wales or the Legislative Council of New South Wales, and their former spouses or de facto partners. The Determination ensures that the information provided is relevant to the alternative valuation methods approved by the Attorney-General, thereby facilitating the accurate valuation of superannuation interests in accordance with these methods. It also exempts the trustee from providing information relevant to the standard valuation methods contained in the Family Law (Superannuation) Regulations 2001. The Determination extends the application of the Family Law Act 1975 to the valuation of superannuation interests in the Parliamentary Contributory Superannuation Scheme, ensuring consistency with the approved alternative methods and enhancing the clarity and effectiveness of the information provided.
Key Provisions
The Family Law (Superannuation) (Provision of Information – NSW Parliamentary Contributory Superannuation Scheme) Determination 2010 sets out the information requirements for the trustee of the Parliamentary Contributory Superannuation Scheme established by the Parliamentary Contributory Superannuation Act 1971 (NSW). The determination provides for the information that must be provided by the trustee to enable the superannuation interest of a member or former member of the Legislative Assembly of New South Wales or the Legislative Council of New South Wales, or their former spouses or de facto partners, to be valued in accordance with the alternative valuation methods approved by the Attorney-General. Specifically, Section 3 of the determination outlines that the trustee is required to provide information relevant to the alternative methods for valuing particular superannuation interests, which replace the methods contained in the Family Law (Superannuation) Regulations 2001.
The obligations imposed by the determination on the parties it governs are clear and specific. The trustee of the Parliamentary Contributory Superannuation Scheme must provide information that is relevant to the approved alternative valuation methods for superannuation interests. This requirement is crucial for ensuring that the valuation process aligns with the approved methods, thereby facilitating the equitable division of superannuation assets in the event of a relationship breakdown. The trustee is also exempted from providing information relevant only to the methods contained in the Family Law (Superannuation) Regulations 2001, as stipulated in Section 4 of the determination. This exemption is designed to streamline the process and ensure that only relevant and necessary information is provided.
Breaches of the provisions set out in this determination can lead to various legal consequences. Although the determination itself does not explicitly outline penalties, it is enacted under the authority of the Family Law Act 1975, which may impose penalties for non-compliance. Failure to provide the required information as stipulated could result in civil or criminal liabilities under the Family Law Act, including fines or imprisonment. The specific penalties would be governed by the broader provisions of the Family Law Act 1975, and the maximum penalties could vary depending on the nature and severity of the breach. It is essential for the trustee to adhere to the requirements to avoid any potential legal repercussions.