Income Tax Assessment Act 1997

CHAPTER 2 - LIABILITY RULES OF GENERAL APPLICATION  

PART 2-40 - RULES AFFECTING EMPLOYEES AND OTHER TAXPAYERS RECEIVING PAYG WITHHOLDING PAYMENTS  

Division 82 - Employment termination payments  

Subdivision 82-C - Key concepts  

Operative provisions

SECTION 82-135  

82-135   Payments that are not employment termination payments  

The following payments you receive are not employment termination payments :

(a) a *superannuation benefit (see Divisions 301 to 307 );

(b) a payment of a pension or an *annuity (whether or not the payment is a superannuation benefit); and

(c) an *unused annual leave payment (see Subdivision 83-A );

(d) an *unused long service leave payment (see Subdivision 83-B );

(e) the part of a *genuine redundancy payment or an *early retirement scheme payment worked out under section 83-170 (see Subdivision 83-C );

(f) a payment to which Subdivision 83-D (Foreign termination payments) applies;

(fa) a payment (or part of one) made by a company or trust as mentioned in subsection 152-310(2) ;

(g) a payment that is an advance or a loan to you on terms and conditions that would apply if you and the payer were dealing at *arm ' s length;

(h) a payment that is deemed to be a *dividend under this Act;

(i) a capital payment for, or in respect of, personal injury to you so far as the payment is reasonable having regard to the nature of the personal injury and its likely effect on your capacity to *derive income from personal exertion (within the meaning of the definition of income derived from personal exertion in subsection 6(1) of the Income Tax Assessment Act 1936 );

(j) a capital payment for, or in respect of, a legally enforceable contract in restraint of trade by you so far as the payment is reasonable having regard to the nature and extent of the restraint;

(k) a payment:

(i) received by you, or to which you are entitled, as the result of the commutation of a pension payable from a *constitutionally protected fund; and

(ii) wholly applied in paying any superannuation contributions surcharge (as defined in section 37 of the Superannuation Contributions Tax (Members of Constitutionally Protected Superannuation Funds) Assessment and Collection Act 1997 );

(l) a payment:

(i) received by you, or to which you are entitled, as the result of the commutation of a pension payable by a superannuation provider (within the meaning of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 ); and

(ii) wholly applied in paying any superannuation contributions surcharge (as defined in section 43 of that Act);

(m) an amount included in your assessable income under Division 83A of this Act (which deals with employee share schemes).

Note:

For paragraph (e) - the remaining part of a genuine redundancy payment or an early retirement scheme payment (apart from the amount mentioned in the paragraph) is an employment termination payment if section 82-130 applies to that part.