OCCUPATIONAL SUPERANNUATION STANDARDS REGULATIONS 1987 (REPEALED)

PART IA - REASONABLE BENEFIT LIMITS  

Division 4 - Determinations  

REGULATION 4Y   QUALIFYING PORTION  

4Y(1)   [ Indexation of ETP pension, annuity ]  

For the purposes of applying regulation 4X in determining whether a benefit paid, or commencing to be paid, to a person (in this regulation called the " current benefit " ) is within the person ' s reasonable benefit limits, the qualifying portion of a benefit previously received by a person is:

(a) in the case of an ETP - the amount worked out by multiplying the amount of the ETP (other than any part of the ETP that consists of undeducted contributions, concessional components, non-qualifying components or excessive components) by the index number for the quarter 2 quarters before the quarter in which the current benefit was paid or in which the commencement day of the current benefit falls and dividing the product by the index number for the quarter in which the ETP was paid; or

(b) in the case of a superannuation pension - the amount worked out by multiplying the capital value of the pension (other than any part that has been determined under paragraph 4W(1)(a) or (b) to exceed the reasonable benefit limits) by the index number for the quarter 2 quarters before the quarter in which the current benefit was paid or in which the commencement day of the current benefit falls and dividing the product by the index number for the quarter in which the commencement day of the pension falls; or

(c) in the case of an annuity - the amount worked out using the formula:

[ ROA − (UCC + EP) ] × QIN 1 QIN 2

where:

ROA
is the amount of the ETP rolled-over to purchase the annuity;

UCC
is any part of that amount that consists of undeducted contributions or concessional components;

EP
is any part of that amount that has been determined under paragraph 4W(1)(a) or (b) to exceed the reasonable benefit limits;

QIN ₁
is the index number for the quarter 2 quarters before the quarter in which the current benefit was paid or in which the commencement day of the current benefit occurs;

QIN ₂
is the index number for the quarter in which the commencement day of the annuity occurs.

4Y(2)   [ Current benefit paid within 12 months ]  

Where the current benefit is paid or commences to be paid within 12 months of the payment of the previous benefit or of the commencement day of the previous benefit, subregulation (1) applies to the previous benefit as if all of the index numbers referred to in that subregulation were 1.

4Y(3)   [ Benefits without qualifying portions ]  

For the purposes of this regulation, a benefit that is referred to in subregulation 4P(1) does not have a qualifying portion.