Income Tax Assessment Act 1936
View history note
Hide history notePart IX repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-2008 income year and later years.
Former Part IX inserted by No 97 of 1989 and amended by No 105 of 1989.
Div 3 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years.
(Repealed by No 15 of 2007)
S 279 repealed by No 15 of 2007, s 3 and Sch 1 item 8, applicable to the 2007-08 income year and later years. S 279 formerly read:
Where, in a year of income, the trustee of a complying superannuation fund pays a premium for an insurance policy that is, in whole or in part, in respect of a current or contingent liability of the fund to provide death or disability benefits for the members of the fund:
S 279(1) and (1A) substituted for s 279(1) by No 58 of 1990.
SECTION 279 DEDUCTION FOR PREMIUMS FOR DEATH OR DISABILITY COVER
279(1)
[Premiums deductible]
(a)
if:
(i)
the policy is a whole of life policy; and
30% of that premium is allowable as a deduction in respect of that year of income; or
(ii)
the life insured, or all of the lives insured, are members of the fund;
(b)
if:
(i)
the policy is an endowment policy; and
10% of that premium is allowable as a deduction in respect of the year of income; or
(ii)
the life insured, or all of the lives insured, are members of the fund;
(c)
if the whole or a part of that premium is specified in the policy as being wholly in respect of that liability
-
the whole or that part, as the case may be, of that premium is allowable as a deduction in respect of the year of income; or
(d)
in any other case
-
so much of that premium as is attributable to that liability is allowable as a deduction in respect of the year of income.
279(1A) [Part deemed separate policy and premium]
For the purposes of subsection (1), if the following conditions are satisfied in relation to an insurance policy:
(a) apart from this subsection, the policy is neither a whole of life policy nor an endowment policy;
(b) a distinct part of the policy would, if it were a separate policy, be a whole of life policy or an endowment policy;
(c) a part of the premium is specified in the policy as being wholly in respect of that part of the policy;
the following provisions have effect:
(d) that part of the policy is taken to be a separate whole of life policy or a separate endowment policy, as the case may be;
(e) that part of the premium is taken to be a separate premium for that separate policy.
S 279(1) and (1A) substituted for s 279(1) by No 58 of 1990.
279(2) [Liability not covered by insurance]
Where:
(a) during the whole or a part of a year of income, a complying superannuation fund is subject to a current or contingent liability to provide death or disability benefits for members of the fund; and
(b) that liability, to some extent, is not covered by an insurance policy;
the arm's length premium for an insurance policy in respect of that liability, to the extent to which it is not so covered, is an allowable deduction in respect of the year of income.
S 279(2) amended by No 58 of 1990.
279(3) [Actuary's certificate required]
A deduction is not allowable:
(a) under subsection (1) by virtue of paragraph (1)(d); or
(b) under subsection (2);
unless the trustee of the fund obtains an actuary's certificate, before the certificate date, with respect to the operation of this section.
S 279(3) substituted by No 58 of 1990.
279(4) [Election by trustee]
A deduction is not allowable under this section in relation to a year of income if the trustee of the fund concerned elects that this section does not apply to the trustee in relation to that year of income.
279(5) [Effect of trustee's election]
If the trustee of a fund makes an election under subsection (4) in relation to a year of income then, unless the Commissioner otherwise determines, the trustee shall be taken, for the purposes of this Part, to have made an election under subsection (4) in respect of the next succeeding year of income.
279(6) [Requirements for election]
An election by a trustee under subsection (4) must be made on or before the date of lodgment of the return of income of the trustee for the year of income to which the election relates, or before such later date as the Commissioner allows.
S 279(6) amended by No 101 of 1992.
S 279 inserted by No 97 of 1989 and amended by No 105 of 1989.
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