Retirement Savings Accounts Regulations (Amendment) 1997

(308 of 1997)

29 October 1997

Made under Retirement Savings Accounts Act 1997

1.   Amendment

1.1 The Retirement Savings Accounts Regulations are amended as set out in these Regulations.

[NOTE: These Regulations commence on gazettal: see Acts Interpretation Act 1901, s 48.]

2.   Regulation 1.03 (Interpretation)

2.1 Subregulation 1.03 (1):

Insert the following definitions:

" 'advance instalment of surcharge' means the advance instalment payable under section 11 of the Superannuation Contributions Tax (Assessment and Collection) Act 1997;

'superannuation contributions surcharge' means the superannuation contributions surcharge imposed by the Superannuation Contributions Tax Imposition Act 1997;"

[NOTE: The following note should be inserted after the definition of "costs" in subregulation 1.03 (1):

"[NOTE: Examples of 'taxation costs': contributions tax, superannuation contributions surcharge.]".]

3.   Regulation 2.15 (Information to be given where applicable)

3.1 Subregulation 2.15 (1):

Add at the end:

"; (o) if the RSA provider reduced the RSA holder's benefits in connection with payment of a superannuation contributions surcharge or an advance instalment of surcharge:

(i) the amount deducted; and

(ii) if there is a difference between the amount deducted and the amount assessed under subsection 15 (1) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 or between the amount deducted and the amount determined under subsection 15 (2) of that Act - a statement explaining the difference.".

4.   Regulation 2.17 (Exception - RSA holders subject to compulsory protection of small amounts)

4.1 Subregulation 2.17 (1):

Add at the end:

"; (h) the information mentioned in paragraph 2.15 (1) (o).".

5.   Regulation 2.41 (Information to be given where applicable)

5.1 Subregulation 2.41 (1):

Add at the end:

"; (k) the amount of any deduction, from the RSA holder's benefits, in connection with payment of a superannuation contributions surcharge, or an advance instalment of surcharge, during the exit reporting period;

(l) if there is a difference between the amount deducted and the amount assessed under subsection 15 (1) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 or between the amount deducted and the amount determined under subsection 15 (2) of that Act - a statement explaining the difference.".

6.   Regulation 2.44 (Exception - RSA holders subject to compulsory protection of small amounts)

6.1 Regulation 2.44:

Add at the end:

"; (c) the amount of any deduction, from the RSA holder's benefits, in connection with payment of a superannuation contributions surcharge, or an advance instalment of surcharge, during the exit reporting period;

(d) if there is a difference between the amount deducted and the amount assessed under subsection 15 (1) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 or between the amount deducted and the amount determined under subsection 15 (2) of that Act - a statement explaining the difference.".

7.   Regulation 3.01 (Interpretation)

[NOTE: The note following the definition of "administration costs" in subregulation 3.01 (1) should be omittedllowing note substituted:

"[NOTE: Examples of 'taxation costs': contributions tax, superannuation contributions surcharge.]".

8.   New regulations 3.06A and 3.06B

8.1 After regulation 3.06, insert:

Priority in deducting surcharge or instalment

" 3.06A.(1) 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.

" (2) 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.

Refund of costs

" 3.06B. The RSA provider may refund to an RSA costs charged against the RSA holder's benefits in the RSA.".