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Judges' Pensions Amendment Act 2007

Authoritative Version
  • - C2007A00162
  • In force - Latest Version
Act No. 162 of 2007 as made
An Act to amend the law in relation to Judges' pensions, and for related purposes
Administered by: Attorney-General's
Originating Bill: Judges' Pensions Amendment Bill 2007
Registered 03 Oct 2007
Date of Assent 25 Sep 2007
Table of contents.

 

 

 

 

 

 

Judges’ Pensions Amendment Act 2007

 

No. 162, 2007

 

 

 

 

 

An Act to amend the law in relation to Judges’ pensions, and for related purposes

  

  


Contents

1............ Short title............................................................................................. 1

2............ Commencement................................................................................... 1

3............ Schedule(s)......................................................................................... 2

Schedule 1—Amendments                                                                                                3

Part 1—Amendments                                                                                                    3

Judges’ Pensions Act 1968                                                                                        3

Part 2—Application and transitional                                                                     8

 


 

 

Judges’ Pensions Amendment Act 2007

No. 162, 2007

 

 

 

An Act to amend the law in relation to Judges’ pensions, and for related purposes

[Assented to 25 September 2007]

The Parliament of Australia enacts:

1  Short title

                   This Act may be cited as the Judges’ Pensions Amendment Act 2007.

2  Commencement

             (1)  Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1.  Sections 1 to 3 and anything in this Act not elsewhere covered by this table

The day on which this Act receives the Royal Assent.

25 September 2007

2.  Schedule 1, items 1 to 7

The day on which this Act receives the Royal Assent.

25 September 2007

3.  Schedule 1, items 8 to 12

1 July 2007.

1 July 2007

4. Schedule 1, items 13 to 16

The day on which this Act receives the Royal Assent.

25 September 2007

5.  Schedule 1, item 17

1 July 2007.

1 July 2007

6.  Schedule 1, item 18

The day on which this Act receives the Royal Assent.

25 September 2007

7.  Schedule 1, item 19

1 July 2007.

1 July 2007

Note:          This table relates only to the provisions of this Act as originally passed by both Houses of the Parliament and assented to. It will not be expanded to deal with provisions inserted in this Act after assent.

             (2)  Column 3 of the table contains additional information that is not part of this Act. Information in this column may be added to or edited in any published version of this Act.

3  Schedule(s)

                   Each Act that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.


 

Schedule 1Amendments

Part 1Amendments

Judges’ Pensions Act 1968

1  Subsection 4(1)

Insert:

salary means salary at the rate determined under the Judicial and Statutory Officers (Remuneration and Allowances) Act 1984 and the Remuneration Tribunal Act 1973:

                     (a)  excluding any allowances that are paid in lieu of any other entitlement; and

                     (b)  if any arrangements have been entered into for any amount of the rate of remuneration (other than an allowance covered by paragraph (a)) to be provided in the form of another benefit—including that amount.

2  Paragraph 6B(2)(a) (formula)

Repeal the formula, substitute:

3  Paragraph 6B(2)(b) (formula)

Repeal the formula, substitute:

4  Subsection 6B(2) (definition of Pt)

Repeal the definition.

5  Subsection 6B(2) (definition of P1)

Repeal the definition.

6  Subsection 6B(2) (after the definition of relevant period)

Insert:

SCS1 means the rate of superannuation contributions surcharge that applies to the Judge for financial year 1 included in the relevant period in relation to him or her, and SCS2 and SCSy each have a corresponding meaning.

7  Subsection 6B(2) (definition of Y)

Repeal the definition, substitute:

Y means:

                     (a)  if paragraph (b) does not apply—the number of financial years included in the relevant period in relation to the Judge; or

                     (b)  if the Judge becomes entitled to a pension because the Attorney‑General certifies under subsection 6(2) that the Judge’s retirement is due to permanent disability or infirmity—the number of financial years included in the qualifying period for a pension in relation to the Judge, less the number of years in the Judge’s period of exempt service.

8  After section 6B

Insert:

6C  Commuting superannuation surcharge debt

             (1)  This section applies to a Judge if:

                     (a)  the Judge retires; and

                     (b)  on retirement, the Judge becomes entitled to a pension in accordance with subsection 6B(2).

             (2)  The Judge may, within a period of 2 months after retirement, give the Secretary to the Department a written notice electing to have his or her pension calculated under this section, rather than subsection 6B(2).

             (3)  If a Judge makes an election under this section, the Judge’s annual rate of pension is worked out using the following method statement:

Method statement

Step 1.   Work out the reduction % using the formula:

             

              where:

              age factor means the age factor for the Judge on the day on which the pension becomes payable (see subsection (4)).

              amount of surcharge debt means the amount by which the Judge’s surcharge debt account is in debit on the day on which the pension becomes payable.

              basic pension on retirement means the annual rate of the pension that would be payable to the Judge on retirement if his or her surcharge debt account were not in debit when the pension becomes payable.

Step 2.   Work out the Judge’s annual rate of pension using the following formula:

             

              where:

              basic pension means the annual rate of pension that would be payable to the Judge if his or her surcharge debt account were not in debit when the pension became payable.

             (4)  The regulations may prescribe the age factor, or the method for working out the age factor, for the purposes of step 1 of the method statement in subsection (3).

9  At the end of section 7

Add:

             (2)  If:

                     (a)  but for this subsection, the rate of the relevant pension in relation to the Judge would have been worked out under subsection 6B(2); and

                     (b)  the spouse gives the Secretary to the Department a written notice within 2 months after the death of the Judge electing to have the relevant pension worked out under section 6C, rather than subsection 6B(2);

the rate of the relevant pension is taken to be the rate worked out under section 6C, rather than the rate worked out under subsection 6B(2).

10  At the end of section 9

Add:

             (3)  If:

                     (a)  but for this subsection, the rate of the relevant pension in relation to the Judge would have been worked out under subsection 6B(2); and

                     (b)  the spouse gives the Secretary to the Department a written notice within 2 months after the death of the Judge electing to have the relevant pension worked out under section 6C, rather than subsection 6B(2);

the rate of the relevant pension is taken to be the rate worked out under section 6C, rather than the rate worked out under subsection 6B(2).

11  After subsection 11(2)

Insert:

          (2A)  If:

                     (a)  but for this subsection, the rate of the relevant pension in relation to the Judge would have been worked out under subsection 6B(2); and

                     (b)  within 2 months after the Attorney‑General determines under section 13 to whom the pension is payable, that person gives the Secretary to the Department a written notice electing to have that rate worked out under section 6C, rather than subsection 6B(2);

the rate of the relevant pension is taken to be the rate worked out under section 6C, rather than the rate worked out under subsection 6B(2).

12  After subsection 12(2)

Insert:

          (2A)  If:

                     (a)  but for this subsection, the rate of the relevant pension in relation to the Judge would have been worked out under subsection 6B(2); and

                     (b)  within 2 months after the Attorney‑General determines under section 13 to whom the pension is payable, that person gives the Secretary to the Department a written notice electing to have the relevant pension worked out under section 6C, rather than subsection 6B(2);

the rate of the relevant pension is taken to be the rate worked out under section 6C, rather than the rate worked out under subsection 6B(2).

13  After subsection 19(2)

Insert:

          (2A)  For the purposes of the Superannuation Contributions Tax (Assessment and Collection) Act 1997, there are no surchargeable contributions for a Judge for a financial year that ends after 1 July 2005.

14  At the end of section 20

Add:

             (4)  If an amount becomes payable under subsection 16(6) or (6A) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 by the Secretary to the Department in the capacity (because of subsection (1) of this section) of trustee of the Scheme for the purposes of that Act, the amount must be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.


 

Part 2Application and transitional

15  Application—item 1

The amendment made by item 1 of this Schedule applies to define the salary of a Judge, whether he or she retires before, on or after the commencement of that item.

16  Application—items 2 to 7

            The amendments made by items 2 to 7 of this Schedule (inclusive) apply in relation to the annual rate of pension for a Judge, whether he or she retires before, on or after the commencement of those items.

17  Application—items 8 to 12

The amendments made by items 8 to 12 of this Schedule (inclusive) apply in relation to a Judge who retires or, for the purposes of working out the rate of relevant pension, is taken to have retired, on or after the commencement of those items.

18  Application—item 14

The amendment made by item 14 of this Schedule applies in relation to amounts that become payable on or after the commencement of that item.

19  Transitional

(1)       This item applies if this Act receives the Royal Assent after 1 July 2007.

(2)       If:

                     (a)  a person is entitled to make an election within a period of 2 months falling immediately after a particular event under:

                              (i)  subsection 6C(2); or

                             (ii)  paragraph 7(2)(b); or

                            (iii)  paragraph 9(3)(b); or

                            (iv)  paragraph 11(2A)(b); or

                             (v)  paragraph 12(2A)(b);

                            of the Judges’ Pensions Act 1968, as amended by items 8 to 12 of this Schedule; and

                     (b)  the event occurs on or after 1 July 2007 but before the day on which the Act receives the Royal Assent;

the person may instead make the election within the period of 2 months falling immediately after the day on which this Act receives the Royal Assent.

 

 

 

[Minister’s second reading speech made in—

House of Representatives on 14 June 2007

Senate on 14 August 2007]

(108/07)