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Treasury Laws Amendment (Work Test Exemption) Regulations 2018

Authoritative Version
  • - F2018L01682
  • In force - Latest Version
Regulations as made
These regulations amend the Retirement Savings Accounts Regulations 1997 and the Superannuation Industry (Supervision) Regulations 1994 to provide a one-year exemption from the work test for superannuation contributions to allow recent retirees to boost their superannuation balances.
Administered by: Treasury
Made 06 Dec 2018
Registered 07 Dec 2018
Table of contents.

Commonwealth Coat of Arms of Australia

 

Treasury Laws Amendment (Work Test Exemption) Regulations 2018

I, the Honourable Paul de Jersey AC, Administrator of the Government of the Commonwealth of Australia, acting with the advice of the Federal Executive Council, make the following regulations.

Dated 06 December 2018

Paul de Jersey AC

Administrator of the Government of the Commonwealth of Australia

By His Excellency’s Command

Stuart Robert

Assistant Treasurer

 

  

  


Contents

1............ Name............................................................................................................................. 1

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

3............ Authority....................................................................................................................... 1

4............ Schedules...................................................................................................................... 1

Schedule 1—Amendments                                                                                                                          2

Retirement Savings Accounts Regulations 1997                                                                             2

Superannuation Industry (Supervision) Regulations 1994                                                           3

 


1  Name

                   This instrument is the Treasury Laws Amendment (Work Test Exemption) Regulations 2018.

2  Commencement

             (1)  Each provision of this instrument 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 4 and anything in this instrument not elsewhere covered by this table

The day after this instrument is registered.

8 December 2018

2.  Schedule 1

The first 1 January, 1 April, 1 July or 1 October to occur after the day this instrument is registered.

1 January 2019

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

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

3  Authority

                   This instrument is made under the following:

                             (a)  the Superannuation Industry (Supervision) Act 1993;

                             (b)  the Retirement Savings Accounts Act 1997.

4  Schedules

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

Schedule 1Amendments

 

Retirement Savings Accounts Regulations 1997

1  Subregulation 5.03(1) (at the end of the cell at table item 2, column headed “the RSA institution may accept ”)

Add:

; or (d) if the RSA holder has not been gainfully employed, either on a full‑time or a part‑time basis, during the financial year in which the contributions are made, but all of the requirements mentioned in subregulation (1A) are satisfied for the RSA holder:

(i) employer contributions (except mandated employer contributions); or

(ii) RSA holder contributions

2  Subregulation 5.03(1) (at the end of the cell at table item 3, column headed “the RSA institution may accept ”)

Add:

; or (d) if the RSA holder has not been gainfully employed, either on a full‑time or a part‑time basis, during the financial year in which the contributions are made, but all of the requirements mentioned in subregulation (1A) are satisfied for the RSA holder—contributions received on or before the day that is 28 days after the end of the month on which the RSA holder turns 75 that are:

(i) employer contributions (except mandated employer contributions); or

(ii) RSA holder contributions made by the RSA holder

3  After subregulation 5.03(1)

Insert:

          (1A)  For the purposes of paragraph (d) of item 2 or 3 of the table in subregulation (1), the requirements are the following:

                     (a)  the RSA holder has been gainfully employed on at least a part‑time basis during the financial year (the previous financial year) ending before the financial year in which the contributions are made;

                     (b)  the RSA holder has a total superannuation balance (within the meaning of section 307‑230 of the 1997 Tax Act) of less than $300,000 at the end of the previous financial year;

                     (c)  no contributions have been accepted by an RSA institution in respect of the RSA holder, in the previous financial year or any earlier financial year, because of the operation of paragraph (d) of item 2 or 3 of the table in subregulation (1);

                     (d)  no contributions have been accepted by a regulated superannuation fund in respect of the RSA holder, in the previous financial year or any earlier financial year, because of the operation of paragraph (d) of item 2 or 3 of the table in subregulation 7.04(1) of the Superannuation Industry (Supervision) Regulations 1994.

4  In the appropriate position in Part 7

Insert:

7.7  Amendments made by the Treasury Laws Amendment (Work Test Exemption) Regulations 2018

                   The amendments made by items 1 to 3 of Schedule 1 to the Treasury Laws Amendment (Work Test Exemption) Regulations 2018 apply in relation to contributions made in the 2019‑20 financial year and later financial years.

Superannuation Industry (Supervision) Regulations 1994

5  Subregulation 7.04(1) (at the end of the cell at table item 2, column headed “the fund may accept ”)

Add:

; or (d) if the member has not been gainfully employed, either on a full‑time or a part‑time basis, during the financial year in which the contributions are made, but all of the requirements mentioned in subregulation (1A) are satisfied for the member:

(i) employer contributions (except mandated employer contributions); or

(ii) member contributions

6  Subregulation 7.04(1) (at the end of the cell at table item 3, column headed “the fund may accept ”)

Add:

; or (d) if the member has not been gainfully employed, either on a full‑time or a part‑time basis, during the financial year in which the contributions are made, but all of the requirements mentioned in subregulation (1A) are satisfied for the member—contributions received on or before the day that is 28 days after the end of the month on which the member turns 75 that are:

(i) employer contributions (except mandated employer contributions); or

(ii) member contributions made by the member

7  After subregulation 7.04(1)

Insert:

          (1A)  For the purposes of paragraph (d) of item 2 or 3 of the table in subregulation (1), the requirements are the following:

                     (a)  the member has been gainfully employed on at least a part‑time basis during the financial year (the previous financial year) ending before the financial year in which the contributions are made;

                     (b)  the member has a total superannuation balance (within the meaning of section 307‑230 of the 1997 Tax Act) of less than $300,000 at the end of the previous financial year;

                     (c)  no contributions have been accepted by a regulated superannuation fund in respect of the member, in the previous financial year or any earlier financial year, because of the operation of paragraph (d) of item 2 or 3 of the table in subregulation (1);

                     (d)  no contributions have been accepted by an RSA institution in respect of the member, in the previous financial year or any earlier financial year, because of the operation of paragraph (d) of item 2 or 3 of the table in subregulation 5.03(1) of the Retirement Savings Accounts Regulations 1997.

8  In the appropriate position in Part 14

Insert:

Division 14.18Transitional arrangements arising out of the Treasury Laws Amendment (Work Test Exemption) Regulations 2018

14.18  Arrangements

The amendments made by items 5 to 7 of Schedule 1 to the Treasury Laws Amendment (Work Test Exemption) Regulations 2018 apply in relation to contributions made in the 2019‑20 financial year and later financial years.