Federal Register of Legislation - Australian Government

Primary content

Act No. 118 of 2020 as amended
An Act to amend the law relating to taxation and superannuation, and for related purposes
Administered by: Treasury
General Comments: This compilation only includes an editorial change
Registered 24 Nov 2021
Start Date 24 Nov 2021
Table of contents.

Commonwealth Coat of Arms of Australia

Treasury Laws Amendment (2020 Measures No. 5) Act 2020

No. 118, 2020

Compilation No. 1

Compilation date:                              24 November 2021

Registered:                                         24 November 2021

This compilation only includes an editorial change

About this compilation

This compilation

This is a compilation of the Treasury Laws Amendment (2020 Measures No. 5) Act 2020 that shows the text of the law as amended and in force on 24 November 2021 (the compilation date).

The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law.

Uncommenced amendments

The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Legislation Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the series page on the Legislation Register for the compiled law.

Application, saving and transitional provisions for provisions and amendments

If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes.

Editorial changes

For more information about any editorial changes made in this compilation, see the endnotes.

Modifications

If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the series page on the Legislation Register for the compiled law.

Self‑repealing provisions

If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes.

  

  

  


Contents

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

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

3............ Schedules............................................................................................ 2

Schedule 1—Making tax free certain small business grants relating to the coronavirus recovery          3

Income Tax Assessment Act 1997                                                                              3

Schedule 2—Payment of amounts to KiwiSaver scheme provider          5

Part 1—Main amendments                                                                                         5

Income Tax Assessment Act 1997                                                                              5

Superannuation (Unclaimed Money and Lost Members) Act 1999                   6

Part 2—Contingent amendments                                                                          13

Superannuation (Unclaimed Money and Lost Members) Act 1999                 13

Schedule 3—Deductible gift recipients                                                                    16

Income Tax Assessment Act 1997                                                                            16

Endnotes                                                                                                                                    17

Endnote 1—About the endnotes                                                                            17

Endnote 2—Abbreviation key                                                                                19

Endnote 3—Legislation history                                                                             20

Endnote 4—Amendment history                                                                           21

Endnote 5—Editorial changes                                                                               22


An Act to amend the law relating to taxation and superannuation, and for related purposes

1  Short title

                   This Act is the Treasury Laws Amendment (2020 Measures No. 5) Act 2020.

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

Provisions

Commencement

Date/Details

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

The day this Act receives the Royal Assent.

11 December 2020

2.  Schedule 1

The day after this Act receives the Royal Assent.

12 December 2020

3.  Schedule 2, Part 1

A single day to be fixed by Proclamation.

However, if the provisions do not commence within the period of 12 months beginning on the day this Act receives the Royal Assent, they commence on the day after the end of that period.

 

4.  Schedule 2, Part 2

The later of:

(a) the commencement of the provisions covered by table item 3; and

(b) immediately after the commencement of Schedule 1 to the Treasury Laws Amendment (Reuniting More Superannuation) Act 2021.

However, the provisions do not commence at all if the event mentioned in paragraph (b) does not occur.

 

5.  Schedule 3

The first 1 January, 1 April, 1 July or 1 October to occur after the day this Act receives the Royal Assent.

1 January 2021

Note:          This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

             (2)  Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

                   Legislation 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 1Making tax free certain small business grants relating to the coronavirus recovery

  

Income Tax Assessment Act 1997

1  Section 11‑55 (table item headed “Coronavirus economic response payment”)

Repeal the item, substitute:

Coronavirus economic response

 

certain payments in accordance with the Coronavirus Economic Response Package (Payments and Benefits) Act 2020..........................................................



59‑95

State and Territory grants to small business relating to the recovery from the coronavirus..............................


59‑97

2  After section 59‑95

Insert:

59‑97  State and Territory grants to small business relating to the recovery from the coronavirus known as COVID‑19

             (1)  A payment an entity receives is not assessable income and is not *exempt income if:

                     (a)  the entity receives the payment under a grant program administered by:

                              (i)  a State or a Territory; or

                             (ii)  an authority of a State or a Territory; and

                     (b)  the grant program is declared under subsection (3) to be an eligible program (whether this declaration is made before, on or after the day the entity receives the payment); and

                     (c)  the entity receives the payment in the 2020‑21 *financial year; and

                     (d)  the entity is a *small business entity, or an entity covered by subsection (2), for the income year in which the entity receives the payment.

             (2)  An entity is covered by this subsection for an income year if:

                     (a)  the entity is not a *small business entity for the income year; and

                     (b)  the entity would be a small business entity for the income year if:

                              (i)  each reference in Subdivision 328‑C (about what is a small business entity) to $10 million were instead a reference to $50 million; and

                             (ii)  the reference in paragraph 328‑110(5)(b) to a small business entity were instead a reference to an entity covered by this subsection.

             (3)  The Minister must, by legislative instrument, declare a grant program to be an eligible program if the Minister is satisfied that:

                     (a)  the program was first publicly announced on or after 13 September 2020 by the State, Territory or authority that is administering it; and

                     (b)  the program is, in effect, responding to economic impacts of the coronavirus known as COVID‑19; and

                     (c)  the program is, in effect, directed at supporting businesses:

                              (i)  who are the subject of a public health directive applying to a geographical area in which the businesses operate; and

                             (ii)  whose operations have been significantly disrupted as a result of the public health directive; and

                     (d)  the State, Territory or authority has requested the program to be declared to be an eligible program under this subsection.

3  Application of amendments

The amendments made by this Schedule apply in relation to the 2020‑21 income year and later income years.

Schedule 2Payment of amounts to KiwiSaver scheme provider

Part 1Main amendments

Income Tax Assessment Act 1997

1  Section 11‑55 (table item headed “superannuation”)

After:

KiwiSaver schemes, superannuation benefits paid from complying superannuation funds to ................


312‑15

insert:

KiwiSaver schemes, superannuation benefits paid by Commissioner to ...........................................................


312‑20

2  Section 11‑55 (table item headed “superannuation”)

Omit:

unclaimed money payment ..............................................

306‑20

substitute:

unclaimed money payment to government ...................

306‑20

3  Section 312‑1

Omit:

This Division deals with amounts transferred between KiwiSaver schemes and complying superannuation funds.

substitute:

This Division deals with amounts transferred between KiwiSaver schemes and complying superannuation funds. This Division also deals with amounts paid by the Commissioner to KiwiSaver schemes.

4  Section 312‑5

After “with”, insert “the Superannuation (Unclaimed Money and Lost Members) Act 1999 and”.

5  Section 312‑15 (heading)

After “paid”, insert “from complying superannuation funds”.

6  At the end of Subdivision 312‑C

Add:

312‑20  Superannuation benefits paid by Commissioner to KiwiSaver schemes

                   An *unclaimed money payment that you are taken to receive under section 307‑15 because it is paid to a KiwiSaver scheme provider by the Commissioner in accordance with the Superannuation (Unclaimed Money and Lost Members) Act 1999 is not assessable income and is not *exempt income.

Superannuation (Unclaimed Money and Lost Members) Act 1999

7  Section 7

After:

      (b)     to a fund identified by the person; or

insert:

     (ba)     to a KiwiSaver scheme provider identified by the person; or

8  Section 7

Omit:

Superannuation of lost members

At the times determined by the Commissioner, superannuation providers must give the Commissioner of Taxation details relating to:

       (a)     small accounts of lost members; and

      (b)     inactive accounts of unidentifiable lost members.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount he or she has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     if the person has reached eligibility age or the amount is less than $200—to the person; or

       (c)     if the person has died—to the person’s death beneficiaries or legal personal representative.

Superannuation of inactive low‑balance members

At times determined by the Commissioner, superannuation providers must give the Commissioner of Taxation details relating to inactive low‑balance accounts.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount the Commissioner has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     if the person has reached eligibility age or the amount is less than $200—to the person; or

       (c)     if the person has died—to the person’s death beneficiaries or legal personal representative.

substitute:

Superannuation of lost members

At the times determined by the Commissioner, superannuation providers must give the Commissioner of Taxation details relating to:

       (a)     small accounts of lost members; and

      (b)     inactive accounts of unidentifiable lost members.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount the Commissioner has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     to a KiwiSaver scheme provider identified by the person; or

       (c)     if the person has reached eligibility age or the amount is less than $200—to the person; or

      (d)     if the person has died—to the person’s death beneficiaries or legal personal representative.

Superannuation of inactive low‑balance members

At times determined by the Commissioner, superannuation providers must give the Commissioner of Taxation details relating to inactive low‑balance accounts.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount the Commissioner has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     to a KiwiSaver scheme provider identified by the person; or

       (c)     if the person has reached eligibility age or the amount is less than $200—to the person; or

      (d)     if the person has died—to the person’s death beneficiaries or legal personal representative.

9  Section 8

Insert:

KiwiSaver scheme has the meaning given by subsection 995‑1(1) of the Income Tax Assessment Act 1997.

KiwiSaver scheme provider has the meaning given by subsection 995‑1(1) of the Income Tax Assessment Act 1997.

10  After paragraph 17(2)(a)

Insert:

                    (aa)  to a single KiwiSaver scheme provider if:

                              (i)  the person has not died; and

                             (ii)  the person directs the Commissioner to pay to the KiwiSaver scheme provider; and

                            (iii)  the matters (if any) prescribed by the regulations are satisfied; or

11  Paragraph 17(2AB)(a)

After “a fund,”, insert “a KiwiSaver scheme provider,”.

12  Paragraph 17(2AB)(b)

After “(2)(a),”, insert “(aa),”.

13  Subsection 17(2AB)

After “the fund,”, insert “KiwiSaver scheme provider,”.

14  Paragraph 18B(1)(a)

After “this Part”, insert “(other than a payment to a KiwiSaver scheme provider)”.

15  Paragraph 18C(1)(a)

Omit “subsection 17(2)”, substitute “paragraph 17(2)(a)”.

16  After paragraph 20H(2)(b)

Insert:

                   (ba)  to a single KiwiSaver scheme provider, if the person directs the Commissioner to pay to the provider and the matters (if any) prescribed by the regulations are satisfied; or

17  Subsection 20H(2AA)

After “fund”, insert “, KiwiSaver scheme provider”.

18  Paragraph 20L(1)(a)

After “this Part”, insert “(other than a payment to a KiwiSaver scheme provider)”.

19  Paragraph 20M(1)(a)

Omit “subsection 20H(2), (2AA)”, substitute “paragraph 20H(2)(b) or subsection 20H(2AA)”.

20  After paragraph 20QF(2)(a)

Insert:

                    (aa)  to a single KiwiSaver scheme provider if:

                              (i)  the person has not died; and

                             (ii)  the person directs the Commissioner to pay to the KiwiSaver scheme provider; and

                            (iii)  the matters (if any) prescribed by the regulations are satisfied; or

21  Paragraph 20QF(3)(a)

Omit “subparagraph (2)(a)(ii) does”, substitute “subparagraphs (2)(a)(ii) and (aa)(ii) do”.

22  Paragraph 20QF(5)(a)

After “a fund,”, insert “a KiwiSaver scheme provider,”.

23  Paragraph 20QF(5)(b)

After “(2)(a),”, insert “(aa),”.

24  Subsection 20QF(5)

After “the fund,”, insert “KiwiSaver scheme provider,”.

25  Paragraph 20QK(1)(a)

After “this Part”, insert “(other than a payment to a KiwiSaver scheme provider)”.

26  Paragraph 20QL(1)(a)

Omit “subsection 20QF(2) or (5)”, substitute “paragraph 20QF(2)(a) or subsection 20QF(5)”.

27  After paragraph 24G(2)(a)

Insert:

                    (aa)  to a single KiwiSaver scheme provider if:

                              (i)  the person has not died; and

                             (ii)  the person directs the Commissioner to pay to the KiwiSaver scheme provider; and

                            (iii)  the matters (if any) prescribed by the regulations are satisfied; or

28  Paragraph 24G(2A)(a)

Omit “subparagraph (2)(a)(ii) does”, substitute “subparagraphs (2)(a)(ii) and (aa)(ii) do”.

29  Paragraph 24G(3A)(a)

After “a fund,”, insert “a KiwiSaver scheme provider,”.

30  Paragraph 24G(3A)(b)

After “(2)(a),”, insert “(aa),”.

31  Subsection 24G(3A)

After “the fund,”, insert “KiwiSaver scheme provider,”.

32  Paragraph 24K(1)(a)

After “this Part”, insert “(other than a payment to a KiwiSaver scheme provider)”.

33  Paragraph 24L(1)(a)

Omit “subsection 24G(2) or (3A)”, substitute “paragraph 24G(2)(a) or subsection 24G(3A)”.

34  Application of amendments

The amendments of the Superannuation (Unclaimed Money and Lost Members) Act 1999 made by this Part apply in relation to payments of amounts made by the Commissioner on or after the commencement of this Part, regardless of when the amounts were received by the Commissioner.

Part 2Contingent amendments

Superannuation (Unclaimed Money and Lost Members) Act 1999

35  Section 7

Omit:

Superannuation of eligible rollover fund members

Superannuation providers who are trustees of eligible rollover funds must, by 30 June 2020 and 30 June 2021, give the Commissioner of Taxation details relating to accounts of those funds.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Payments must be made by 30 June 2020 (for accounts that had balances of less than $6,000 on 1 June 2020) and 30 June 2021 (for all other accounts).

Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount the Commissioner has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     if the person has reached eligibility age or the amount is less than $200—to the person; or

       (c)     if the person has died—to the person’s death beneficiaries or legal personal representative.

substitute:

Superannuation of eligible rollover fund members

Superannuation providers who are trustees of eligible rollover funds must, by 30 June 2020 and 30 June 2021, give the Commissioner of Taxation details relating to accounts of those funds.

Superannuation providers must pay to the Commissioner of Taxation the value of any such accounts. Payments must be made by 30 June 2020 (for accounts that had balances of less than $6,000 on 1 June 2020) and 30 June 2021 (for all other accounts).

Later, the Commissioner must, if satisfied that it is possible to do so, pay an amount the Commissioner has received in respect of a person:

       (a)     to a fund identified by the person; or

      (b)     to a KiwiSaver scheme provider identified by the person; or

       (c)     if the person has reached eligibility age or the amount is less than $200—to the person; or

      (d)     if the person has died—to the person’s death beneficiaries or legal personal representative.

36  After paragraph 21E(2)(a)

Insert:

                    (aa)  to a single KiwiSaver scheme provider if:

                              (i)  the person has not died; and

                             (ii)  the person directs the Commissioner to pay to the KiwiSaver scheme provider; and

                            (iii)  the matters (if any) prescribed by the regulations are satisfied; or

37  Paragraph 21E(3)(a)

Omit “subparagraph (2)(a)(ii) does”, substitute “subparagraphs (2)(a)(ii) and (aa)(ii) do”.

38  Paragraph 21E(5)(a)

After “a fund,”, insert “a KiwiSaver scheme provider,”.

39  Paragraph 21E(5)(b)

After “(2)(a),”, insert “(aa),”.

40  Subsection 21E(5)

After “the fund,”, insert “KiwiSaver scheme provider,”.

41  Paragraph 21G(1)(a)

After “this Part”, insert “(other than a payment to a KiwiSaver scheme provider)”.

42  Paragraph 21H(1)(a)

Omit “subsection 21E(2) or (5)”, substitute “paragraph 21E(2)(a) or subsection 21E(5)”.

43  Application of amendments

The amendments of the Superannuation (Unclaimed Money and Lost Members) Act 1999 made by this Part apply in relation to payments of amounts made by the Commissioner on or after the commencement of this Part, regardless of when the amounts were received by the Commissioner.

Schedule 3Deductible gift recipients

  

Income Tax Assessment Act 1997

1  In the appropriate position in subsection 30‑45(2) (table)

Insert:

 

4.2.48

Neighbourhood Watch Australasia Limited

the gift must be made after 30 June 2019

Section 30‑315 (after table item 79)

Insert:

 

79A

Neighbourhood Watch Australasia Limited

item 4.2.48

 


Endnotes

Endnote 1—About the endnotes

The endnotes provide information about this compilation and the compiled law.

The following endnotes are included in every compilation:

Endnote 1—About the endnotes

Endnote 2—Abbreviation key

Endnote 3—Legislation history

Endnote 4—Amendment history

Abbreviation key—Endnote 2

The abbreviation key sets out abbreviations that may be used in the endnotes.

Legislation history and amendment history—Endnotes 3 and 4

Amending laws are annotated in the legislation history and amendment history.

The legislation history in endnote 3 provides information about each law that has amended (or will amend) the compiled law. The information includes commencement details for amending laws and details of any application, saving or transitional provisions that are not included in this compilation.

The amendment history in endnote 4 provides information about amendments at the provision (generally section or equivalent) level. It also includes information about any provision of the compiled law that has been repealed in accordance with a provision of the law.

Editorial changes

The Legislation Act 2003 authorises First Parliamentary Counsel to make editorial and presentational changes to a compiled law in preparing a compilation of the law for registration. The changes must not change the effect of the law. Editorial changes take effect from the compilation registration date.

If the compilation includes editorial changes, the endnotes include a brief outline of the changes in general terms. Full details of any changes can be obtained from the Office of Parliamentary Counsel.

Misdescribed amendments

A misdescribed amendment is an amendment that does not accurately describe the amendment to be made. If, despite the misdescription, the amendment can be given effect as intended, the amendment is incorporated into the compiled law and the abbreviation “(md)” added to the details of the amendment included in the amendment history.

If a misdescribed amendment cannot be given effect as intended, the abbreviation “(md not incorp)” is added to the details of the amendment included in the amendment history.

 

Endnote 2—Abbreviation key

ad = added or inserted

o = order(s)

am = amended

Ord = Ordinance

amdt = amendment

orig = original

c = clause(s)

par = paragraph(s)/subparagraph(s)

C[x] = Compilation No. x

/sub‑subparagraph(s)

Ch = Chapter(s)

pres = present

def = definition(s)

prev = previous

Dict = Dictionary

(prev…) = previously

disallowed = disallowed by Parliament

Pt = Part(s)

Div = Division(s)

r = regulation(s)/rule(s)

ed = editorial change

reloc = relocated

exp = expires/expired or ceases/ceased to have

renum = renumbered

effect

rep = repealed

F = Federal Register of Legislation

rs = repealed and substituted

gaz = gazette

s = section(s)/subsection(s)

LA = Legislation Act 2003

Sch = Schedule(s)

LIA = Legislative Instruments Act 2003

Sdiv = Subdivision(s)

(md) = misdescribed amendment can be given

SLI = Select Legislative Instrument

effect

SR = Statutory Rules

(md not incorp) = misdescribed amendment

Sub‑Ch = Sub‑Chapter(s)

cannot be given effect

SubPt = Subpart(s)

mod = modified/modification

underlining = whole or part not

No. = Number(s)

commenced or to be commenced

 

Endnote 3—Legislation history

 

Act

Number and year

Assent

Commencement

Application, saving and transitional provisions

Treasury Laws Amendment (2020 Measures No. 5) Act 2020

118, 2020

11 Dec 2020

Sch 1: 12 Dec 2020 (s 2(1) item 2)
Sch 2: awaiting commencement (s 2(1) items 3, 4)
Sch 3: 1 Jan 2021 (s 2(1) item 5)
Remainder: 11 Dec 2020 (s 2(1) item 1)

 

 

Endnote 4—Amendment history

 

Provision affected

How affected

s 2........................................

ed C1

 

Endnote 5—Editorial changes

In preparing this compilation for registration, the following kinds of editorial change(s) were made under the Legislation Act 2003.

Subsection 2(1) (table item 4, column 2)

Kind of editorial change

Update to a reference of a law or a provision

Details of editorial change

This compilation was editorially changed to update a reference from the Treasury Laws Amendment (Reuniting More Superannuation) Act 2020 to the Treasury Laws Amendment (Reuniting More Superannuation) Act 2021 in column 2 of table item 4 of subsection 2(1).