Retirement Savings Accounts Regulations 1997

PART 3 - BENEFIT PROTECTION STANDARDS  

Division 3.2 - Treatment of benefits  

REGULATION 3.06A   PRIORITY IN DEDUCTING SURCHARGE OR INSTALMENT  

3.06A(1)   [Obligations]  

This regulation applies if an RSA provider has decided to reduce an RSA holder's benefits in an RSA in connection with payment of a superannuation contributions surcharge or an advance instalment of surcharge.

3.06A(2)   [Application]  

In reducing the RSA holder's benefits, the RSA provider must:

(a) if possible - deduct an amount equal to the whole of the amount of the reduction from the preserved benefits; and

(b) if the required deduction cannot be met under paragraph (a) - deduct the balance from the restricted non-preserved benefits; and

(c) if the required deduction cannot be met under paragraphs (a) and (b) - deduct the balance from the unrestricted non-preserved benefits.