Superannuation Industry (Supervision) Act 1993
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View history notePt 2C inserted by No 162 of 2012, s 3 and Sch 1 item 9, effective 1 January 2013. No 162 of 2012 (as amended by No 61 of 2013), s 3 and Sch 1 Part 2 items 10 - 13 contain the following application provisions:
Part 2 - Application and transitional provisions
10 Definitions
10
In this Part:SG Act
means the Superannuation Guarantee (Administration) Act 1992 .SIS Act
11 Authority to offer a MySuper product given before 1 July 2013
means the Superannuation Industry (Supervision) Act 1993 .
11
If, before 1 July 2013, APRA authorises an RSE licensee to offer a class of beneficial interest in a regulated superannuation fund as a MySuper product, that authority takes effect on 1 July 2013. 11A Enhanced trustee obligations - decisions made before 1 July 2013
Decision to give, or refuse to give, authority to offer a MySuper product
11A(1)
Subitem (2) applies if, before 1 July 2013, APRA makes a decision under section 29T of the SIS Act to give, or refuse to give, an RSE licensee authority to offer a class of beneficial interest in a regulated superannuation fund as a MySuper product.
11A(2)
APRA ' s decision is not invalid merely because the enhanced trustee obligations do not commence until 1 July 2013, provided subitem (3) or (4) has been complied with.
11A(3)
If the decision is to give authority, APRA must be satisfied at the time it makes the decision that it is likely that on and after 1 July 2013:
(a) where the RSE licensee is a body corporate - the RSE licensee; or
(b) where the RSE licensee is made up of a group of individual trustees - each of those individual trustees;will comply with the enhanced trustee obligations for MySuper products that will come into force on that day.
11A(4)
If the decision is to refuse to give authority on the ground that:
(a) where the RSE licensee is a body corporate - the RSE licensee; or
(b) where the RSE licensee is made up of a group of individual trustees - each of those individual trustees;will not comply with the enhanced trustee obligations for MySuper products that will come into force on 1 July 2013, APRA must be satisfied at the time it makes the decision that it is not likely that the person will satisfy those obligations on and after 1 July 2013.
12 Applications for authority to offer a MySuper product for a large employerHistoryS 11A inserted by No 61 of 2013, s 3 and Sch 1 item 120, effective 26 June 2013.
12(1)
This item applies if:
(a) an RSE licensee makes an application to APRA before 1 July 2013 under section 29S of the SIS Act for authority to offer a class of beneficial interest in a regulated superannuation fund as a MySuper product; and
(b) the application is made on the basis that the class of interest is one in relation to which section 29TB of the SIS Act is satisfied.
12(2)
Section 29SB of the SIS Act (period for considering the application) applies as if:
(a) the application were received on 1 July 2013; and
(b) the references in paragraphs (1)(a) and (b) of that section to " 60 days " were instead references to " 120 days " .
12(3)
Sections 29WA and 29WB of the SIS Act (contributions in relation to which no election made) do not apply in relation to a contribution if:
(a) the contribution is made during the period in which APRA decides the application (see section 29SB of the SIS Act); and
(b) the contribution is paid into the class of beneficial interest to which the application relates.HistoryS 12(3) amended by No 61 of 2013, s 3 and Sch 1 item 121, by substituting " Sections 29WA and 29WB of the SIS Act (contributions in relation to which no election made) do not apply " for " Section 29WA of the SIS Act (contributions in relation to which no election made) does not apply " , effective 27 June 2013.
12(4)
On and after 1 January 2014, a contribution to the fund is taken to satisfy paragraph 32C(2)(c) of the SG Act (employer ' s superannuation guarantee obligation) if the contribution is made during the period in which APRA decides the application (see section 29SB of the SIS Act).
12(5)
If APRA refuses the application, then:
(a) a contribution to the fund made on or after 1 January 2014 is taken to satisfy paragraph 32C(2)(c) of the SG Act, provided it is made before the end of the grace period; and
(b) sections 29WA and 29WB of the SIS Act do not apply in relation to a contribution to the fund made on or after 1 January 2014, provided it is paid into the class of beneficial interest to which the application relates before the end of the grace period.HistoryS 12(5) amended by No 61 of 2013, s 3 and Sch 1 item 122, by substituting " sections 29WA and 29WB of the SIS Act do not apply " for " section 29WA of the SIS Act does not apply " in para (b), effective 27 June 2013.
12(6)
For the purposes of subitem (5), the grace period is a period of 3 months beginning on the day on which APRA refuses the application.
13 Contributions in relation to which no election made
13
Sections 29WA and 29WB of the SIS Act apply to contributions made to a regulated superannuation fund on or after 1 January 2014.HistoryS 13 amended by No 61 of 2013, s 3 and Sch 1 item 123, by substituting " Sections 29WA and 29WB of the SIS Act apply " for " Section 29WA of the SIS Act applies " , effective 27 June 2013.
Div 5 inserted by No 162 of 2012, s 3 and Sch 1 item 9, effective 1 January 2013. For application provisions see note under Part 2C heading.
An administration fee charged to members of a regulated superannuation fund who hold a MySuper product is charged in accordance with the administration fee exemption for employees of an employer-sponsor if:
(aa) although the trustee, or the trustees, of the fund are authorised to offer the MySuper product, it is not on the basis that section 29TB was satisfied in relation to that class of beneficial interest in the fund; and
(a) the fee is charged in relation to all members of the fund who hold the MySuper product; and
(b) an employer-sponsor contributes to the fund or would, apart from a temporary cessation of contributions, contribute to the fund for the benefit of those members of the fund (the employee members ) who hold the MySuper product and who are:
(i) employees of the employer-sponsor, or an associate of the employer-sponsor; or
(ii) the relatives or dependants of those employees; and
(c) the trustee, or the trustees, of the fund have entered into an arrangement with the employer-sponsor that secures lower administration fees for the employee members; and
(d) the fee is in accordance with subsection (2), (3), (4) or (4A); and
(e) the fee is in accordance with subsection (5).
S 29VB(1) amended by No 16 of 2019, s 3 and Sch 1 item 10, by substituting " (3), (4) or (4A) " for " (3) or (4) " in para (d), effective 13 March 2019. For application provisions, see note under s 99G .
S 29VB(1) amended by No 61 of 2013, s 3 and Sch 1 items 42 - 42A, by inserting para (aa) and substituting " those " for " one or more " in para (b), effective 27 June 2013. For application and transitional provision, see history note under s 29T(1) .
S 29VB(1) amended by No 171 of 2012, s 3 and Sch 1 item 34, by substituting para (d) and (e) for para (d), effective 1 January 2013. Para (d) formerly read:
(d) the fee is in accordance with one of the following subsections.
All employees charged same flat fee
29VB(2)
The amount of the administration fee is the same for each of the employee members.
All employees charged same percentage of account balance
29VB(3)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the same percentage of so much of that member ' s account balance with the fund that relates to the MySuper product.
All employees charged combination of same flat fee and same percentage of account balance
29VB(4)
Each of the following is satisfied:
(a) the amount of the administration fee charged in relation to one of the employee members is the sum of a fixed amount (the flat fee ) and another amount that is a percentage of so much of the member ' s account balance with the fund that relates to the MySuper product;
(b) the amount of the administration fee charged in relation to each of the other employee members is the sum of the flat fee and the same percentage of so much of that member ' s account balance with that fund that relates to the MySuper product.
Reduced fees for employees with low balances
29VB(4A)
Each of the following is satisfied:
(a) the administration fee is charged at a reduced amount, in accordance with section 99G , in relation to one or more employee members of the fund;
(b) in relation to the remaining employee members of the fund, the administration fee would be in accordance with subsection (2), (3) or (4) if those were the only employee members of the fund.
S 29VB(4A) inserted by No 16 of 2019, s 3 and Sch 1 item 11, effective 13 March 2019. For application provisions, see note under s 99G .
29VB(5)
The total amount of the administration fee charged in relation to the employee members is at least equal to an amount that reasonably relates to costs that:
(a) are incurred by the trustee, or the trustees, of the fund in the administration and operation of the fund in relation to those members; and
(b) are not otherwise charged as an investment fee, a buy-sell spread, a switching fee, an activity fee, an advice fee or an insurance fee.
S 29VB(5) amended by No 16 of 2019, s 3 and Sch 1 item 12, by omitting " , an exit fee " after " a switching fee " from para (b), effective 13 March 2019. For application provisions, see note under s 99G .
S 29VB(5) inserted by No 171 of 2012, s 3 and Sch 1 item 35, effective 1 January 2013.
S 29VB inserted by No 162 of 2012, s 3 and Sch 1 item 9, effective 1 January 2013. For application provisions see note under Part 2C heading.
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