Treasury Laws Amendment (Military Superannuation Benefits) Regulations 2023 (F2023L00846)

Schedule 1   Amendments

Part 1   Components of a superannuation benefit

Income Tax Assessment (1997 Act) Regulations 2021

1   At the end of Subdivision 307-C

Add:

307-125.03 Components of certain military superannuation benefits

(1) For the purposes of paragraph 307-125(4)(a) of the Act, subsection (3) specifies an alternative method for determining the components of a superannuation benefit covered by subsection (2).

(2) For the purposes of subsection (1), this subsection covers a superannuation benefit if:

(a) the superannuation benefit is a superannuation lump sum that is a payment of invalidity pay, an invalidity pension or a pension mentioned in subparagraph 301-275(1)(b)(i), (ii) or (iii) of the Act; and

(b) the invalidity pay, invalidity pension or pension commenced at a time (the commencement time ) that is on or after 20 September 2007.

(3) Determine the components, according to the following method:

(a) first, assume that:

(i) the superannuation benefit is a superannuation income stream benefit; and

(ii) the relevant superannuation income stream commenced at the commencement time;

(b) next, determine the components, making the assumptions mentioned in paragraph (a), in accordance with subsections 307-125(1), (2) and (3) of the Act.

Note: The components may be modified under sections 307-145 and 307-150 of the Act (see subsection 307-120(3) of the Act).