Coronavirus Economic Response Package Omnibus Act 2020 (22 of 2020)

Schedule 13   Early release of superannuation

Retirement Savings Accounts Regulations 1997

6   After regulation 4.22A

Insert:

4.22B Release of benefits on compassionate ground - coronavirus

(1) A person may apply to the Regulator for a determination that an amount of the person's preserved benefits, or restricted non-preserved benefits, in a specified RSA or RSAs may be released on the ground that it is required to assist the person to deal with the adverse economic effects of the coronavirus known as COVID-19 if:

(a) the person is unemployed; or

(b) the person is eligible to receive any of the following under the Social Security Act 1991:

(i) jobseeker payment;

(ii) parenting payment;

(iii) special benefit; or

(c) the person is eligible to receive youth allowance under the Social Security Act 1991 (other than on the basis that the person is undertaking full-time study or is a new apprentice); or

(d) the person is eligible to receive farm household allowance under the Farm Household Support Act 2014; or

(e) on or after 1 January 2020 the person was made redundant, or their working hours were reduced by 20% or more (including to zero); or

(f) for a person who is a sole trader - on or after 1 January 2020 the person's business was suspended or suffered a reduction in turnover of 20% or more.

(2) A person may make 2 applications under subregulation (1) as follows:

(a) one in the financial year ending 30 June 2020; and

(b) one in the financial year ending 30 June 2021.

However, no application may be made after the end of the period of 6 months starting on the day this regulation commences.

Note: This regulation was inserted by the Coronavirus Economic Response Package Omnibus Act 2020.

(3) The Regulator must determine, in writing, that the person has satisfied, for the purposes of subregulation 4.21(1) or 4.22(1), the condition of release on a compassionate ground if the Regulator has not already made a determination under this regulation or regulation 6.19B of the Superannuation Industry (Supervision) Regulations 1994 in relation to the person in respect of an application made by the person in the financial year.

(4) For the purposes of subregulation (3), treat a revoked determination as not having been made.

(5) A determination under this regulation must specify the RSA or RSAs and the amount of the preserved benefits, or restricted non-preserved benefits, that may be released from each specified RSA. The sum of the amounts specified in a determination must not exceed $10,000.

(6) If the Regulator makes a determination under this regulation, the Regulator must give a copy of the determination to the person and the RSA provider of each specified RSA.