Compilation #66 | Effective 2026-05-21
FRBR Work URI: /akn/au/act/1976/31
This Act may be cited as the Superannuation Act 1976.
This Act shall come into operation on 1 July 1976.
In this Act, unless the contrary intention appears:
accumulated basic contributions means an amount equal to the sum of the basic contributions that have been, or are deemed to have been, paid, or have become payable, by him or her on or after his or her first day of service and the amount of any interest on those contributions together with, in the case of a person who had previously ceased to be an eligible employee on an occasion earlier than his or her first day of service, any amount that, under section 7A, is to be added to the amount of his or her accumulated basic contributions.
accumulated contributions means the sum of: the person’s accumulated basic contributions; and the person’s accumulated supplementary contributions (if any); less, if the person has made an election under section 80B or subsection 136(3A) or if the person’s spouse has made an election under subsection 92(1A), the person’s surcharge deduction amount.
the person’s accumulated basic contributions; and
the person’s accumulated supplementary contributions (if any);
less, if the person has made an election under section 80B or subsection 136(3A) or if the person’s spouse has made an election under subsection 92(1A), the person’s surcharge deduction amount.
accumulated employer contributions has the meaning given by section 110Q.
accumulated performance pay employee contributions means the sum of: an amount equal to the difference between: (i) the sum of the amounts paid into a declared fund (within the meaning of the Superannuation (Productivity Benefit) Act 1988) in respect of the person under paragraph 11(1)(a) of the Superannuation (Productivity Benefit) Alternative Arrangements Declaration No. 6 (Statutory Rules 1993, No. 34); and the sum of any amounts deducted by way of charges or fees from those amounts by the trustee of the fund; and interest on the amount mentioned in paragraph (a).
an amount equal to the difference between:
(i) the sum of the amounts paid into a declared fund (within the meaning of the Superannuation (Productivity Benefit) Act 1988) in respect of the person under paragraph 11(1)(a) of the Superannuation (Productivity Benefit) Alternative Arrangements Declaration No. 6 (Statutory Rules 1993, No. 34); and
the sum of any amounts deducted by way of charges or fees from those amounts by the trustee of the fund; and
interest on the amount mentioned in paragraph (a).
accumulated performance pay employer contributions means the sum of: an amount equal to the difference between: (i) the sum of the amounts paid into a declared fund (within the meaning of the Superannuation (Productivity Benefit) Act 1988) in respect of the person under paragraph 11(1)(b) of the Superannuation (Productivity Benefit) Alternative Arrangements Declaration No. 6 (Statutory Rules 1993, No. 34); and the sum of any amounts in the nature of income tax relevant to those amounts and any amounts deducted by way of charges or fees from those amounts by the trustee of the fund; and interest on the amount mentioned in paragraph (a).
an amount equal to the difference between:
(i) the sum of the amounts paid into a declared fund (within the meaning of the Superannuation (Productivity Benefit) Act 1988) in respect of the person under paragraph 11(1)(b) of the Superannuation (Productivity Benefit) Alternative Arrangements Declaration No. 6 (Statutory Rules 1993, No. 34); and
the sum of any amounts in the nature of income tax relevant to those amounts and any amounts deducted by way of charges or fees from those amounts by the trustee of the fund; and
interest on the amount mentioned in paragraph (a).
accumulated supplementary contributions means an amount equal to the sum of the supplementary contributions that have been, or are deemed to have been, paid, or have become payable, by him or her on or after his or her first day of service and the amount of any interest on those contributions together with, in the case of a person who had previously ceased to be an eligible employee on an occasion earlier than his or her first day of service, any amount that, under section 7A, is to be added to the amount of his or her accumulated supplementary contributions.
age retirement pension means pension payable under Division 1 of Part V.
amount includes a nil amount.
approved authority means:
an authority or other body that is declared by the Minister, by legislative instrument, to be an approved authority for the purposes of this Act and is:
a body corporate incorporated, whether before or after the commencement of this Act, for a public purpose by an Act, regulations made under an Act or a law of a Territory; or
an authority or body, not being a body corporate, established, whether before or after the commencement of this Act, for a public purpose by, or in accordance with the provisions of, an Act, regulations made under an Act or a law of a Territory; or
a company or other body corporate incorporated, whether before or after the commencement of this Act, under a law of the Commonwealth or of a State or Territory, being a body corporate in which the Commonwealth has a controlling interest; or
an authority or body established, whether before or after the commencement of this Act, and whether by or in accordance with the provisions of an Act, regulations made under an Act or a law of a Territory or otherwise, and whether a body corporate or not, being an authority or body which is financed in whole or in substantial part, either directly or indirectly, by moneys provided by the Commonwealth; or
a company or other body corporate incorporated, whether before or after the commencement of this subparagraph, under an Act or a law of a State or Territory, being a company or body corporate in which:
(A) an authority or body referred to in subparagraph (i), (ii), (iii) or (iv), or that is an approved authority because of paragraph (b), has; or
(B) the Commonwealth and one, or more than one, such authority or body together have; or
(C) 2 or more such authorities or bodies together have;
a controlling interest; or
an authority or body that, immediately before the commencement of this Act, was an approved authority for the purposes of the superseded Act other than such an authority or body in relation to which a declaration under subsection (2A) is in force.
approved medical practitioner means a medical practitioner approved by CSC for the purposes of this Act.
approved part-time employee means:
(a) a part-time employee included in a class of part-time employees declared by the Minister, by notice published in the Gazette, to be an approved class of part-time employees for the purposes of this Act; or
a person who:
is the holder of a statutory office; and
performs the duties of the office on a part-time basis;
and is included in a class of such persons declared by the Minister, by notice published in the Gazette, to be an approved class of part-time employees for the purposes of this Act.
APS Agency means an Agency within the meaning of the Public Service Act.
ASIC means the Australian Securities and Investments Commission.
asking a question includes making a request (whether oral or in writing) for information.
associate member means a person who is entitled to a benefit under section 146MB or 146MC.
AWOTE means full-time adult average weekly ordinary time earnings for all persons in .
basic contributions means contributions paid or payable under section 45.
benefit means pension or other benefit payable under this Act, and: (a) includes a release authority lump sum (within the meaning of Taxation Administration Act 1953; butPart IXC) paid in relation to a release authority issued to a person under Subdivision 135-A in Schedule 1 to the does not include a payment made out of the Fund that is required to be made under: (i) a release authority given to CSC under former Income Tax Assessment Act 1997; orsection 292-410 of the (ii) a transitional release authority given to the Board under Income Tax (Transitional Provisions) Act 1997; orsection 292-80B of the (iii) a release authority issued under former item 1 or 2 of the table in subsection 135-10(1) in Schedule 1 to the Taxation Administration Act 1953.
(a) includes a release authority lump sum (within the meaning of Taxation Administration Act 1953; butPart IXC) paid in relation to a release authority issued to a person under Subdivision 135-A in Schedule 1 to the
does not include a payment made out of the Fund that is required to be made under:
(i) a release authority given to CSC under former Income Tax Assessment Act 1997; orsection 292-410 of the
(ii) a transitional release authority given to the Board under Income Tax (Transitional Provisions) Act 1997; orsection 292-80B of the
(iii) a release authority issued under former item 1 or 2 of the table in subsection 135-10(1) in Schedule 1 to the Taxation Administration Act 1953.
benefit classification certificate means a certificate in force in respect of the person under section 16.
Board has the same meaning as in the Superannuation Act 1990.
category 1 deceased pensioner means a deceased pensioner who: before his or her death, was entitled to receive age retirement pension or early retirement pension; and had not elected under section 57AA or 61AB (as the case may be) to be paid that pension at a reduced rate.
before his or her death, was entitled to receive age retirement pension or early retirement pension; and
had not elected under section 57AA or 61AB (as the case may be) to be paid that pension at a reduced rate.
category 2 deceased pensioner means a deceased pensioner who: before his or her death, was entitled to receive age retirement pension or early retirement pension; and had elected under section 57AA or 61AB (as the case may be) to be paid that pension at a reduced rate.
before his or her death, was entitled to receive age retirement pension or early retirement pension; and
had elected under section 57AA or 61AB (as the case may be) to be paid that pension at a reduced rate.
child, in relation to a person who has died, means:
a child of the person, including:
an adopted child, an ex-nuptial child, a foster child, a stepchild or a ward, of the person; and
(ii) someone who is a child of the person within the meaning of the Family Law Act 1975; or
a child of a spouse of the person, including:
an adopted child, an ex-nuptial child, a foster child, a stepchild or a ward, of the spouse; and
(ii) someone who is a child of the spouse within the meaning of the Family Law Act 1975.
commencing day means 1 July 1976.
Commissioner means the Commissioner for Superannuation appointed under section 17, as in force before its repeal by item 183 of Schedule 1 to the Superannuation Legislation (Consequential Amendments and Transitional Provisions) Act 2011.
contribution day means, subject to section 3A, the Thursday that falls on 8 July 1976, and each succeeding alternate Thursday.
contributions means basic contributions or supplementary contributions.
CSC (short for Commonwealth Superannuation Corporation) has the same meaning as in the Governance of Australian Government Superannuation Schemes Act 2011.
CSS means the superannuation scheme established by this Act.
Defence Force Retirement and Death Benefits Act means the Defence Force Retirement and Death Benefits Act 1973.
deferred annuity has the same meaning as in the SIS Act.
designated employer has the meaning given by section 3C.
early retirement pension means pension payable under Division 2 of Part V.
eligible child, in relation to a person who has died and was, at the time of his or her death, an eligible employee or a retirement pensioner, means a person who:
is a child of the deceased person; and
is a person who:
is under the age of 18 years; or
has reached the age of 18 years but is under the age of 25 years and is receiving full-time education at a school, college or university; and
immediately before the deceased person’s death:
was (except where the person is a child of a spouse of the deceased person, but not of the deceased person) living with the deceased person;
was, in the opinion of CSC, wholly or substantially dependent upon the deceased person; or
where the person is a child born after the deceased person’s death—would have been, in the opinion of CSC, living with the deceased person or so dependent if the person had been born before the death of the deceased person.
eligible employee means:
a person who, immediately before the commencement of this Act, was an employee for the purposes of the superseded Act and has continued to be, and is, such an employee; and
a person who is a permanent employee; and
a person who is a temporary employee and is specified in a direction given under section 11 or 13; and
a person who is the holder of a statutory office and is specified in a direction given under subsection 14(1) in relation to that statutory office; and
a person:
who is a temporary employee; or
who is the holder of a statutory office to which he or she was appointed on a full-time basis;
and who, immediately before the commencement of the employment by reason of which he or she is such a temporary employee or his or her appointment to that office, was an eligible employee by virtue of another paragraph of this definition or a previous application of this paragraph; and
a person to whom section 14A of this Act as previously in force applied immediately before that section was repealed; and
(eb) a person who has made an election under Superannuation Act 1990; andsection 6A of the
a person included in a class of persons declared by the Minister, by legislative instrument, to be eligible employees for the purposes of this Act; and
a person:
who is a temporary employee; or
who is the holder of a statutory office;
and to whom, immediately before becoming a temporary employee or the holder of that office, invalidity pension was payable and who is specified in a direction given under subsection 15(1);
but, in relation to a person to whom any of the preceding paragraphs of this definition applies, does not include:
(h) a person to whom the Judges’ Pensions Act 1968 applies; or
a person who, immediately before the commencement of this paragraph, was included in a class of persons that, under the regulations in force at that time, were not eligible employees for the purposes of this Act; or
a person included in a class of persons declared by the Minister, by legislative instrument, not to be eligible employees for the purposes of this Act; or
a person who is a member of a scheme for the provision of superannuation benefits conducted by the Health Insurance Commission; or
a person who is eligible for membership of a scheme referred to in paragraph (k), not being a person who:
within the period, or the appropriate period, prescribed by that scheme for electing to become a member of that scheme, requests CSC, in writing, to direct that the person be treated as an eligible employee for the purposes of this Act; or
at the expiration of the period, or the appropriate period, referred to in subparagraph (i), has not elected to become a member of that scheme; or
a person who, under section 15A, is excluded from this definition.
eligible roll-over fund means a fund in respect of which a declaration by the ISC under section 243 of the SIS Act is in force.
employer component means that part of the benefit that is payable because of: the accumulated performance pay employer contributions of the person; and if the person’s transferable productivity amount was paid to CSC under the trustee of another superannuation entity and then an amount in respect of that transferable productivity amount was paid under section 110SL by that trustee to CSC—the person’s transferable productivity amount.section 110SL or was paid first to
the accumulated performance pay employer contributions of the person; and
if the person’s transferable productivity amount was paid to CSC under the trustee of another superannuation entity and then an amount in respect of that transferable productivity amount was paid under section 110SL by that trustee to CSC—the person’s transferable productivity amount.section 110SL or was paid first to
exempt public sector superannuation scheme has the same meaning as in the SIS Act.
existing contributor means a person who is, or has at any time been, a person referred to in paragraph (a) of the definition of eligible employee in this subsection and who, immediately before the commencing day, was a contributor for the purposes of the superseded Act.
extra spouse’s pension means pension payable under Division 3A of Part VI.
final annual rate of salary, in relation to a person who has ceased to be an eligible employee, means:
if paragraph (b), (c) or (d) does not apply in relation to the person—the person’s annual rate of salary on his or her last day of service; or
if the annual rate of salary by reference to which his or her final basic contribution (including a final basic contribution of nil) was calculated is higher than the rate specified in paragraph (a)—that higher rate; or
if his or her annual rate of salary was higher than the rate referred to in paragraph (a) or (b) at any time on or after:
the anniversary of his or her birth last preceding his or her last day of service; or
where, on or after that anniversary, he or she made an election under section 47 in respect of a reduction in his or her annual rate of salary—the date of the election;
that higher rate; or
if the person on his or her last day of service had, or would have had if that last day of service were the anniversary of his or her birth, an imputed annual rate of salary within the meaning of paragraph 47(1)(b) that was higher than the rate mentioned in paragraph (a), (b) or (c)—that imputed annual rate of salary.
final basic contribution means the fortnightly basic contribution payable by him or her on the contribution day last preceding his or her last day of service, or, if his or her last day of service is a contribution day, payable by him or her on his or her last day of service.
first day of service, in relation to a person who is, or has ceased to be, an eligible employee, means:
except where paragraph (b) applies—the day on which he or she became an eligible employee; or
where the person has become an eligible employee on more than 1 occasion—the day on which he or she last became an eligible employee.
fortnightly rate of salary means an amount equal to one-twenty-sixth of the amount of his or her annual rate of salary.
Fund or Superannuation Fund means the CSS Fund established by this Act.
Fund accumulated employer contributions means the person’s accumulated employer contributions less any part of them that is: a notional interim benefit of the person within the meaning of Part VIA; or interest on that benefit.
Note: From 1 July 2011, the CSS Fund is vested in CSC.
a notional interim benefit of the person within the meaning of Part VIA; or
interest on that benefit.
industrial award means an industrial award, determination or agreement made, approved, lodged or registered under a law of the Commonwealth, a State or a Territory.
interest includes negative or zero interest, and accruing, when used in relation to interest, has a corresponding meaning.
invalidity pension means pension payable under Division 4 of Part V, other than partial invalidity pension.
invest means expend moneys with a view to obtaining a present or future financial return (whether by way of income, profit or otherwise).
last day of service, in relation to a person who has ceased to be an eligible employee, means:
except where paragraph (b) applies—the day on which he or she so ceased; or
where the person has ceased to be an eligible employee on more than 1 occasion—the day on which he or she last so ceased.
late short-term marital or couple relationship means a marital or couple relationship between the pensioner and his or her spouse that began: less than 3 years before the pensioner’s death; and after the pensioner became a retirement pensioner and had reached the age of 60 years.
less than 3 years before the pensioner’s death; and
after the pensioner became a retirement pensioner and had reached the age of 60 years.
legal personal representative has the same meaning as in the SIS Act.
marital or couple relationship has the meaning given by section 8A.
maximum retiring age, in relation to a person who is, or has been, an eligible employee, means the age of 65 years or such lesser age as, under the regulations, is the maximum retiring age applicable to him or her or a class of persons in which he or she is, at the relevant time, included.
minimum retiring age means:
in relation to a person who is an eligible employee:
unless subparagraph (ii) applies—the age of 55 years; or
if another age is applicable under the terms and conditions of employment or appointment of the person—the other age; or
in relation to a person who is no longer an eligible employee:
unless subparagraph (ii) applies—the age of 55 years; or
if another age was applicable under the terms and conditions of employment or appointment of the person immediately before the person last ceased to be an eligible employee—the other age.
MSB Act means the Military Superannuation and Benefits Act 1991.
notional interest includes negative or zero notional interest.
orphan pension means pension payable under Division 4 of Part VI.
partial invalidity pension means pension payable under section 77 or 78.
partially dependent child, in relation to a person who has died and was, at the time of his or her death, an eligible employee or a retirement pensioner, means a person:
who is a child (other than an eligible child) of the deceased person; and
to whom either of the following applies:
the person is under the age of 18 years;
the person has reached the age of 18 years but is under the age of 25 years and is receiving full-time education at a school, college or university; and
to or in respect of whom, immediately before the deceased person’s death, the deceased person was voluntarily making, or required by a court to make, regular maintenance payments.
partner: a person is the partner of another person if the two persons have a relationship as a couple (whether the persons are the same sex or different sexes).
pension means any pension payable under this Act.
pension pay day means the Thursday that falls on 1 July 1976, and each succeeding alternate Thursday.
pensioner means a person who is entitled to pension under this Act.
period of contributory service means a period equal to the period (the period of actual service) beginning on the person’s first day of service and ending on the person’s last day of service (less any part of the period of actual service that is: (a) a period of leave of absence in respect of which subsection 51(1) applies to the person; or (b) a period of absence from duty in respect of which subsection 51A(1) of the Superannuation Act 1976 as in force before 1 July 1990 applies to the person; or (c) a period that is taken, under subsection 51A(5) of the Superannuation Act 1976 as in force on and after 1 July 1990, to be a non-contributory period of service for the person; or a period in respect of which the person was not required or permitted to pay contributions because of subsection 3(3); or a period in respect of which benefits did not accrue to the person because of section 55A); together with, if the person had previously ceased to be an eligible employee on an occasion earlier than his or her first day of service, any period that, under section 8, is to be added to his or her period of contributory service. period of prospective service, in relation to a person who, before attaining the age of 65 years or, if his or her maximum retiring age is less than 65 years, before attaining his or her maximum retiring age, ceases to be an eligible employee by reason of having been retired on the ground of invalidity or by reason of death, means the aggregate of: his or her period of contributory service; and the period commencing on the day immediately following his or her last day of service and ending on the day on which he or she will, or but for his or her death, would, attain the age of 65 years or his or her maximum retiring age, whichever is the earlier.
(a) a period of leave of absence in respect of which subsection 51(1) applies to the person; or
(b) a period of absence from duty in respect of which subsection 51A(1) of the Superannuation Act 1976 as in force before 1 July 1990 applies to the person; or
(c) a period that is taken, under subsection 51A(5) of the Superannuation Act 1976 as in force on and after 1 July 1990, to be a non-contributory period of service for the person; or
a period in respect of which the person was not required or permitted to pay contributions because of subsection 3(3); or
a period in respect of which benefits did not accrue to the person because of section 55A);
together with, if the person had previously ceased to be an eligible employee on an occasion earlier than his or her first day of service, any period that, under section 8, is to be added to his or her period of contributory service.
period of prospective service, in relation to a person who, before attaining the age of 65 years or, if his or her maximum retiring age is less than 65 years, before attaining his or her maximum retiring age, ceases to be an eligible employee by reason of having been retired on the ground of invalidity or by reason of death, means the aggregate of:
his or her period of contributory service; and
the period commencing on the day immediately following his or her last day of service and ending on the day on which he or she will, or but for his or her death, would, attain the age of 65 years or his or her maximum retiring age, whichever is the earlier.
permanent employee means a person employed in a permanent capacity by the Commonwealth or by an approved authority, but does not include: a part-time employee who is not an approved part-time employee; or a person who is engaged or appointed for employment outside only, not being a person who is included in a class of persons approved by the Minister, in writing, for the purposes of this definition. plus has a meaning affected by subsection (9).
a part-time employee who is not an approved part-time employee; or
a person who is engaged or appointed for employment outside only, not being a person who is included in a class of persons approved by the Minister, in writing, for the purposes of this definition.
plus has a meaning affected by subsection (9).
profit includes capital profit.
PSS Fund has the same meaning as in the Superannuation Act 1990.
Public Sector Superannuation Scheme has the same meaning as in the Superannuation Act 1990.
Public Service Act means the Public Service Act 1999.
re-employed former contributor with preserved rights has the meaning given by section 4B.
regulated superannuation fund has the same meaning as in the SIS Act.
relevant industrial organization means an organization the members, or a substantial proportion of the members, of which are eligible employees.
retirement pensioner means:
a person to whom age retirement pension, early retirement pension or invalidity pension is payable; or
a person who has ceased to be an eligible employee and has made an election under section 110T.
Rules for the administration of the Public Sector Superannuation Scheme means the rules for the administration of that scheme set out in the Schedule to the deed by which that scheme was established.
Rules for the administration of the Superannuation (1990) Scheme means the rules for the administration of that scheme set out in the Schedule to the deed by which that scheme was established.
SIS Act means the Superannuation Industry (Supervision) Act 1993 and, except in a reference to a particular provision of that Act, includes the regulations in force under that Act.
spouse has a meaning affected by section 8B.
spouse’s pension means pension payable under Division 1, 2 or 3 of Part VI.
statutory office means an office established by an Act, by regulations made under an Act or by a law of a Territory, or an office specified in the regulations as an office that is a statutory office for the purposes of this Act.
stepchild: without limiting who is a stepchild of a person for the purposes of this Act, someone who is a child of a partner of the person is the stepchild of the person, if he or she would be the person’s stepchild except that the person is not legally married to the partner.
sum has a meaning affected by subsection (9).
superannuation entity has the same meaning as in the SIS Act.
superannuation guarantee top-up benefit means benefit payable under section 110SE.
superseded Act means the Superannuation Act 1922.
supplementary contributions means contributions paid or payable under section 48.
surcharge debt account means the surcharge debt account kept for the person by CSC under section 16 of the Superannuation Contributions Tax (Assessment and Collection) Act 1997.
surcharge deduction amount, in relation to a person to or in respect of whom benefits become payable under this Act, means the surcharge deduction amount that is specified in the determination made by CSC, under section 80A, in relation to the person.
temporary employee means a person employed, otherwise than in a permanent capacity, by the Commonwealth or by an approved authority, but does not include: a part-time employee who is not an approved part-time employee; or a person who is engaged or appointed for employment outside only, not being a person who is included in a class of persons approved by the Minister, in writing, for the purposes of this definition. total has a meaning affected by subsection (9). transferable productivity amount, in relation to a person whose continuing contributions (within the meaning of the Superannuation (Productivity Benefit) Act 1988) are, or were, held in a declared fund (within the meaning of that Act), means the sum of: an amount equal to the difference between: the sum of the continuing contributions paid into the declared fund; and the sum of any amounts in the nature of income tax relevant to those contributions and any amounts deducted by way of charges or fees from those contributions by the trustee of the declared fund; and interest on the amount mentioned in paragraph (a).
a part-time employee who is not an approved part-time employee; or
a person who is engaged or appointed for employment outside only, not being a person who is included in a class of persons approved by the Minister, in writing, for the purposes of this definition.
total has a meaning affected by subsection (9).
transferable productivity amount, in relation to a person whose continuing contributions (within the meaning of the Superannuation (Productivity Benefit) Act 1988) are, or were, held in a declared fund (within the meaning of that Act), means the sum of:
an amount equal to the difference between:
the sum of the continuing contributions paid into the declared fund; and
the sum of any amounts in the nature of income tax relevant to those contributions and any amounts deducted by way of charges or fees from those contributions by the trustee of the declared fund; and
interest on the amount mentioned in paragraph (a).
Trustee has the same meaning as trustee has in the Superannuation Act 1990.
(1AA) The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom paragraph (ec) of the definition of eligible employee applies or has applied or to and in relation to a prescribed class of persons to whom that paragraph applies or has applied.
(1A) A declaration made for the purposes of paragraph (ec) of the definition of eligible employee in subsection (1) may be expressed to have taken effect from and including a day specified in the declaration, being a day earlier than the day on which the declaration is signed but, subject to subsection (1B), not earlier than 12 months before the day on which the declaration is signed.
Note: The day of effect may be a day earlier than the day on which paragraph (ec) commenced (see subsection (1BC)).
(1B) If, before a declaration is made for the purposes of paragraph (ec) of the definition of eligible employee in subsection (1), contributions were accepted from, or in respect of, a person to whom the declaration applies, the declaration may be expressed to have taken effect from and including the earliest day on which contributions were so accepted.
Note: The day of effect may be a day earlier than the day on which paragraph (ec) commenced (see subsection (1BC)).
(1BA) A declaration made for the purposes of paragraph (j) of the definition of eligible employee in subsection (1) may be expressed to have taken effect from and including a day specified in the declaration, being a day earlier than the day on which the declaration is signed but not earlier than 1 July 2003, if, and only if, there is no person to whom the declaration applies:
who was treated as an eligible employee on or after the specified day; or
from, or in respect of, whom contributions were accepted on or after the specified day.
(1BB) A declaration that is expressed, in accordance with subsection (1A), (1B) or (1BA), to have taken effect from and including a day earlier than the day on which the declaration was signed, is taken to have had effect accordingly.
(1BC) To remove any doubt, a declaration made for the purposes of paragraph (ec) of the definition of eligible employee in subsection (1) may be expressed, to the extent permitted under subsection (1A) or (1B), to have taken effect from and including a day (the effective day) earlier than the day on which that paragraph commenced. If a declaration is so expressed, it is taken to have had, before the day on which that paragraph commenced, the effect that the declaration would have had if that paragraph had been in force from and including the effective day.
(1BD) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a declaration made for the purposes of paragraph (ec) or (j) of the definition of eligible employee in subsection (1) of this section.
For the purposes of this Act, to remove any doubt:
a payment of a pension or benefit is taken to be permitted under the SIS Act if:
the payment is permitted by that Act as modified under section 332 of that Act; or
the payment is authorised by an exemption granted by the Commissioner under that Act; and
a benefit is taken to be dealt with in accordance with the SIS Act if:
it is dealt with in accordance with that Act as modified under section 332 of that Act; or
it is dealt with in accordance with an exemption granted by the Commissioner under that Act.
(2A) If an authority or body referred to in paragraph (b) of the definition of approved authority in subsection (1) becomes a body:
not operating for a public purpose under an Act, regulations made under an Act or a law of a Territory; and
in which none of the following has a controlling interest, namely:
the Commonwealth;
an authority or other body mentioned in paragraph (a) of that definition;
the Commonwealth together with one or more such authorities or bodies;
such an authority or body together with one or more other such authorities or bodies;
the Minister, for the purposes of paragraph (b), may, by legislative instrument, declare that the body is not an approved authority for the purposes of this Act.
If a person ceases to be an eligible employee and, immediately after so ceasing, again becomes an eligible employee:
the person is taken, for the purposes of this Act, other than paragraph (b), not to have so ceased; but
the person is not required or permitted to pay contributions in respect of the period between the time when the person ceased to be an eligible employee and the time when the person again becomes an eligible employee.
A reference in this Act to a person who has ceased to be an eligible employee shall, unless the contrary intention appears, be read as including a reference to a person who has ceased to be an eligible employee by reason of death.
A person who is or becomes employed by the Commonwealth or by an approved authority shall not be taken, for the purposes of this Act, to be employed otherwise than in a permanent capacity by reason only that his or her appointment was or is on probation and has not been confirmed.
(5AA) For the purposes of this Act, a person who was at any time before the commencement of this subsection, or is, a member of the Australian Capital Territory Fire Brigade (other than the Fire Commissioner or the Deputy Fire Commissioner) pursuant to an appointment made under the Fire Brigade (Administration) Act 1974 of the Australian Capital Territory is taken:
if the person was appointed, and ceased to hold office under the appointment, before 11 May 1989—to have been employed by the Commonwealth at all times from the time of his or her appointment or the commencement of this Act, whichever was the later, until the time when he or she ceased to hold office under the appointment; or
if the person was appointed before 11 May 1989 and did not cease to hold office under the appointment before that day:
to have been employed by the Commonwealth at all times from the time of his or her appointment or the commencement of this Act, whichever was the later, until the time immediately before that day; and
to have been or to be employed by the Australian Capital Territory at all times on and after that day until he or she ceased or ceases to hold office under the appointment; or
if the person was appointed on or after 11 May 1989—to have been or to be employed by the Australian Capital Territory at all times from and including the time of his or her appointment until he or she ceased or ceases to hold office under the appointment.
(5A) For the purposes of this Act, an AFP employee (within the meaning of the Australian Federal Police Act 1979) shall be deemed to be employed by the Commonwealth.
Where a person is a director of a company or other body corporate incorporated, whether before or after the commencement of this Act, under a law of the Commonwealth or of a State or Territory, being a company or other body that is an approved authority, the person shall, for the purposes of this Act, be deemed to be employed by the company or other body.
(7) A reference in this Act, by number, to a provision of the superseded Act shall be read as a reference to that provision as re-numbered by Superannuation Act 1959.section 78 of the
A reference in this Act to a medical examination by a medical practitioner does not include a reference to a medical examination by a person other than a person registered or licensed as a medical practitioner under a law of a State or Territory that provides for the registration or licensing of medical practitioners unless:
the medical examination is made in a place that is not in or an external Territory; and
the person is registered or licensed as a medical practitioner under a law of that place that provides for the registration or licensing of medical practitioners.
If:
a provision of this Act involves the calculation of a sum (whether the expression “sum”, “total”, “plus” or any other expression is used); and
the calculation involves negative interest or negative notional interest; and
apart from this subsection, the sum would be less than zero;
the sum is taken to be zero.
This Act continues to apply despite the repeal of the Commonwealth Legal Aid Act 1977 as if:
section 3 and Part IV of that Act had not been repealed; and
any arrangement under subsection 21(1) of that Act that ceased to be in force only because of that repeal had not ceased to be in force because of that repeal.
If an eligible employee is paid remuneration in respect of his or her employment otherwise than in respect of fortnights ending on the day before a day that, apart from this section, would be a contribution day:
CSC and the designated employer may agree in writing that this Act is to apply in relation to the employee as if references to contribution days were references to such days as are stated in, or determined in accordance with, the agreement; and
if such an agreement is made:
the agreement may provide that this Act is to apply in relation to the employee as if references to a fortnight were references to such period as is stated in, or determined in accordance with, the agreement; and
(ii) if the agreement provides as mentioned in subparagraph (i), this Act applies in relation to the employee as if cognate expressions (such as fortnightly) were construed accordingly.
An agreement made under subsection (1) has effect according to its terms.
If an agreement is in force under subsection (1) in relation to an eligible employee, CSC may, having regard to this Act and the need to ensure equity between eligible employees, make any adjustments that it thinks appropriate in respect of the calculation and payment of contributions and benefits under this Act in respect of that employee.
A reference in this Act to the designated employer of an eligible employee is a reference to:
if the employee is a permanent employee or temporary employee but is not an LWOP employee or employed by an approved authority:
if the remuneration in respect of his or her employment is paid wholly or mainly out of money appropriated by an annual Appropriation Act—the Department in respect of which the money is appropriated; or
if the remuneration in respect of his or her employment is paid wholly or mainly out of money appropriated by an Act other than an annual Appropriation Act—a Department determined by the Minister; or
if the employee is the holder of a statutory office but is not an LWOP employee:
if the remuneration in respect of the office is paid by an approved authority—the Authority; or
if subparagraph (i) does not apply—a Department or person determined by the Minister; or
if the employee is employed by an approved authority but is not an LWOP employee—the authority; or
otherwise—a person determined by the Minister.
In this section:
Department means:
an APS Agency; or
(b) a Department of the Parliament established under the Parliamentary Service Act 1999.
LWOP employee means an eligible employee who:
(a) is on leave of absence without pay for a period in respect of which the Board has directed, for the purposes of subsection 51(1) of the Superannuation Act 1976 as in force immediately before the commencement of the Superannuation Legislation Amendment Act 1994, that the subsection is not to apply; or
is on leave of absence for a period that:
is more than 12 weeks; and
is an excluded period of leave of absence for the purposes of subsection 51(1); or
is a person to whom section 51A applies and is making contributions in accordance with an election made under subsection (3) of that section.
Chapter 2 of the Criminal Code applies to all offences against this Act.
Note: Chapter 2 of the Criminal Code sets out the general principles of criminal responsibility.
This Act applies both within and without .
If a provision of this Act refers to a declaration or determination made, approval given or other thing done by the Minister, CSC or the Commissioner and there is no other provision in this Act expressly authorising the Minister, CSC or the Commissioner to make such a declaration or determination, give such an approval or do such a thing, the Minister, CSC or the Commissioner, as the case may be, is, and is taken to have at all times been, authorised to make such a declaration or determination, give such an approval or do such a thing.
(2) An approval given by the Minister for the purposes of the definition of temporary employee in subsection 3(1) may take effect on a day not earlier than:
12 months before the giving of the approval; or
if contributions have been accepted before the start of that period of 12 months from, or in respect of, the person to whom the approval relates—the earliest day on which contributions were so accepted.
(1) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a declaration for the purposes of paragraph (a) or (b) of the definition of approved authority in subsection 3(1) of this Act.
A declaration for the purposes of paragraph (a) of that definition may be expressed to have taken effect from and including a day not earlier than 12 months before the making of the declaration.
For the purposes of this Act, a person is a re-employed former contributor with preserved rights if:
the person:
was a contributor under the superseded Act; or
has ceased to be an eligible employee; and
after his or her so ceasing or last ceasing to be such a contributor or an eligible employee (as the case may be), a transfer value in respect of the person was paid to the person administering a superannuation scheme (other than the scheme established under the superseded Act or the CSS); and
on or after 1 July 1990, the person becomes:
a permanent employee; or
a temporary employee; or
the holder of a statutory office; or
(iv) a person to whom paragraph (ec) of the definition of eligible employee applies;
and a transfer value that includes the transfer value referred to in paragraph (b) is payable, or will, on the person’s becoming an eligible employee, be payable, to or in respect of the person under:
the superannuation scheme referred to in paragraph (b); or
another superannuation scheme applicable in relation to any employment in which the person was employed after ceasing, or last ceasing, to be a contributor under the superseded Act or an eligible employee (as the case may be).
(1) In this section, salary means salary or wages and includes any allowance, or the value of any allowance, or any fee, that is an allowance or fee of a kind that, under the regulations, is to be treated as salary for the purposes of this Act, but does not include any part of any salary or wages that, under the regulations, is not to be treated as salary for the purposes of this Act.
For the purposes of this Act but subject to subsections (3) to (3E), the annual rate of salary of an eligible employee on a particular day is an amount equal to the amount per annum of the salary payable to him or her on that day.
The regulations may provide that, in a case specified in the regulations, the annual rate of salary of an eligible employee on a particular day shall, for the purposes of this Act or a provision of this Act specified in the regulations, be an amount equal to such amount per annum as is ascertained under the regulations.
(3AA) Despite subsections (1), (2) and (3), an eligible employee and his or her designated employer may agree that a particular annual rate is to be the employee’s annual rate of salary for the purposes of the application of this Act on a particular day and, if such an agreement is made, the agreed rate is taken to be the employee’s annual rate of salary on that day.
(3AB) Subsection (3AC) applies if:
a Minister makes a determination under an Act in respect of the remuneration of a person appointed under that Act; or
(b) the Presiding Officers (within the meaning of the Parliamentary Service Act 1999) make a determination under that Act in respect of the remuneration of a person appointed under that Act; or
(c) a determination is made under the Remuneration Tribunal Act 1973 in respect of the remuneration of a person;
and an annual rate of salary of the person can be ascertained under the determination. (To avoid doubt, subsection (3AC) applies whether a determination is expressed to apply to a person or an office.)
(3AC) Despite subsections (1), (2) and (3), for the purposes of the application of this Act on a particular day, the annual rate of salary of the person is the annual rate of salary ascertained for the purposes of this Act under the determination on that day.
(3A) If, at the time (the later time) immediately before a person ceased or last ceased to be an eligible employee, the person was entitled to partial invalidity pension under section 77 or 78, the annual rate of salary payable to the person at the later time is to be worked out, for the purposes of this Act other than sections 77 and 78, under subsections (3B) to (3E).
(3B) If the person’s entitlement arose under earlier time) that was the occasion on which the person ceased or last ceased to be an eligible employee before the person’s entitlement arose.section 77, the annual rate of salary payable to the person at the later time is taken to be the amount per annum that would have been the person’s final annual rate of salary at the time (the
(3C) If the person’s entitlement arose under earlier time) that would have been the occasion of the person’s so ceasing to be an eligible employee.section 78, the annual rate of salary payable to the person at the later time is taken to be the amount per annum that would, if the person had ceased to be an eligible employee on the day immediately before the day on which the person’s entitlement arose, have been the person’s final annual rate of salary at the time (the
However, if:
the Australian Statistician has published, at or before the later time, an estimate or successive estimates of the change or changes (expressed as a percentage or percentages) in AWOTE in respect of the period between the relevant earlier time and the later time; and
the estimate or estimates show an overall increase (expressed as a percentage) in those earnings over that period, or over the part of that period in respect of which the estimate or estimates were published;
the annual rate of salary payable to the person at the later time is taken to be the annual rate of salary worked out under subsection (3B) or (3C), as the case requires, increased by that percentage.
If, at any time, whether before or after the commencement of this subsection, the Australian Statistician has published or publishes for a particular period an estimate of a change (including an estimate that no change has occurred) in AWOTE in substitution for an estimate of such a change for that period previously published by the Australian Statistician, the publication of the later estimate is to be disregarded for the purposes of this section.
Where the rate of the salary, or of a part of the salary, of an eligible employee is not an annual rate, the amount per annum of that salary, or of that part of that salary, as the case may be, shall, for the purposes of this section, be ascertained:
where the rate is a weekly rate—by multiplying the weekly rate by 52;
where the rate is a monthly rate—by multiplying the monthly rate by 12; and
in any other case—in such manner as is prescribed.
A reference in this Act to the anniversary of the birth of a person shall be read as a reference to the day on which the anniversary occurs, and a reference in this Act to the anniversary of the birth of a person last preceding a particular day shall, where the person is or has been an eligible employee and that anniversary occurred before his or her first day of service, be read as a reference to his or her first day of service.
Where a person was born on 29 February in any year, then, in any subsequent year that is not a leap year, the anniversary of the birth of the person shall be deemed to occur on 1 March of that subsequent year.
For the purposes of this Act, a person shall be taken to have attained a particular age on the day immediately preceding the relevant anniversary of his or her birth.
Subject to subsection (3), if:
a person is engaged in more than one employment; and
either:
in relation to more than one of those employments the person is an eligible employee; or
in relation to any such employment, the person would, if that were the person’s only employment, be an eligible employee or entitled to request that a direction be given under section 11, 13 or 14;
this Act has a separate operation in respect of the person in relation to any employment in relation to which the person is an eligible employee, or any employment mentioned in subparagraph (b)(ii), as if that were the person’s only employment.
A separate operation of this Act given by subsection (1) in respect of a person in relation to any employment, being a person who is, or becomes, an eligible employee in relation to that employment, continues after the person ceases to be an eligible employee.
A person who:
is an eligible employee and on leave of absence without pay from particular employment; and
while on such leave engages in other employment;
is not, for the purposes of this section, because of engaging in that other employment, taken to be engaged in 2 different employments.
If, before the commencement of this section, a person made payments in respect of any employment that would have been contributions if subsection (1) had then been in force, that subsection is taken to have been in force in relation to that person at the time the payments were made or at such earlier time (not being a time earlier than the commencement of that employment) as CSC may determine.
If, because of subsection (1), this Act has a separate operation in respect of a person in relation to any employment, the person may elect, by notice in writing to CSC, that that subsection applies to him or her in respect of that employment before the commencement of this section and, where such an election is made, that subsection is taken to have been in force in relation to the person during the period of that employment.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision in relation to a person in respect of whom this Act, because of subsection (1), has an operation in relation to any employment.
A reference in this Act to the retirement of an eligible employee on the ground of invalidity shall be read as a reference to his or her having been retired, or his or her services having been otherwise terminated, on the ground of physical or mental incapacity to perform his or her duties.
Where a person has, before attaining his or her maximum retiring age, ceased to be an eligible employee otherwise than by reason of death or by reason of his or her having been retired, or his or her services having been otherwise terminated, on the ground of physical or mental incapacity to perform his or her duties, but CSC is satisfied that, at the time he or she ceased to be an eligible employee, he or she was, by reason of physical or mental incapacity, totally and permanently incapacitated within the meaning of Part IVA, CSC may direct that the person shall, for the purposes of this Act, be deemed to have been retired on the ground of invalidity because of that physical or mental incapacity.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, invalidity pension becomes payable to him or her in accordance with section 67 or 70; and
his or her entitlement to the pension is cancelled under subsection 76(1) upon his or her again becoming an eligible employee;
then, upon his or her next ceasing to be an eligible employee, there shall be added to the amount that, but for this subsection, would be the amount of his or her accumulated basic contributions an amount equal to the amount paid to the Fund under subsection 112(5) in respect of the person upon his or her again becoming an eligible employee as referred to in paragraph (b), plus interest on the amount.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX;
a deferred benefit does not become payable to him or her; and
those deferred benefits cease, by virtue of paragraph 144(1)(b), to be applicable in relation to the person upon his or her again becoming an eligible employee;
then, upon his or her next ceasing to be an eligible employee:
there shall be added to the amount that, but for this subsection, would be the amount of his or her accumulated basic contributions an amount equal to the amount that was his or her accumulated basic contributions upon his or her ceasing to be an eligible employee as referred to in paragraph (a), plus interest on the amount; and
there shall be added to the amount that, but for this subsection, would be the amount of his or her accumulated supplementary contributions an amount equal to the amount that was his or her accumulated supplementary contributions upon his or her ceasing to be an eligible employee as referred to in paragraph (a), plus interest on the amount; and
there shall be added to the amount that, but for this subsection, would be the amount of the person’s Fund accumulated employer contributions an amount equal to the amount that was the person’s Fund accumulated employer contributions upon the person ceasing to be an eligible employee as referred to in paragraph (a), plus interest on the amount.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX;
those deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity pension becoming payable to him or her in accordance with section 67 or 70;
the person does not, before again becoming an eligible employee, become entitled to deferred benefit by way of invalidity benefit otherwise than in accordance with section 67 or 70; and
his or her entitlement to deferred benefit is cancelled under subsection 76(1) upon his or her again becoming an eligible employee;
then, upon his or her next ceasing to be an eligible employee, there shall be added to the amount that, but for this subsection, would be the amount of his or her accumulated basic contributions an amount equal to the amount paid to the Fund under subsection 112(9) in respect of the person upon his or her entitlement to deferred benefit being cancelled under subsection 76(1), plus interest on the amount.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX;
those deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity pension becoming payable to him or her in accordance with section 67 or 70;
his or her entitlement to the deferred benefit is cancelled under subsection 143(2) and deferred benefits again become applicable in relation to him or her;
the person does not, before again becoming an eligible employee, become entitled to deferred benefit by way of invalidity benefit otherwise than in accordance with section 67 or 70; and
those deferred benefits cease, by virtue of paragraph 144(1)(b), to be applicable in relation to the person upon his or her again becoming an eligible employee;
then, upon his or her next ceasing to be an eligible employee, there shall be added to the amount that, but for this subsection, would be the amount of his or her accumulated basic contributions an amount equal to the amount paid, or last paid, to the Fund under subsection 112(9) in respect of the person upon his or her entitlement to deferred benefit being cancelled under subsection 143(2), plus interest on the amount.
Where:
a person became entitled to an invalidity pension upon his or her ceasing to be an eligible employee; and
he or she again becomes an eligible employee and the pension referred to in paragraph (a) is cancelled under subsection 76(1) upon his or her again becoming an eligible employee;
then, upon his or her next ceasing to be an eligible employee, there shall be added to the period that, but for this subsection, would be his or her period of contributory service:
the period that was his or her period of contributory service upon his or her previously ceasing to be an eligible employee and becoming entitled to the pension that was so cancelled; and
if that pension was payable in accordance with section 67 or 68—any period in respect of which that pension was payable.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits are applicable in relation to him or her by virtue of Division 3 of Part IX; and
the person again becomes an eligible employee and the deferred benefits cease to be applicable in relation to him or her by virtue of section 144;
then, upon his or her next ceasing to be an eligible employee, there shall be added to the period that, but for this subsection, would be his or her period of contributory service:
the period that was his or her period of contributory service upon his or her previously ceasing to be an eligible employee and becoming a person in relation to whom deferred benefits are applicable; and
if, during any period after his or her previously so ceasing to be an eligible employee and before he or she again becomes an eligible employee, he or she was in receipt of deferred benefits, being invalidity pension payable in accordance with section 67 or 68—any period in respect of which that pension was payable.
Where:
a person ceases to be an eligible employee and, upon so ceasing, deferred benefits are applicable in relation to the person by virtue of Division 3 of Part IX;
those deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity pension becoming payable to the person; and
the person again becomes an eligible employee and the person’s entitlement to deferred benefit is, upon the person’s so becoming an eligible employee, cancelled under subsection 76(1);
then, upon the person’s next ceasing to be an eligible employee, there shall be added to the period that, but for this subsection, would be the person’s period of contributory service:
the period that was the person’s period of contributory service upon the person’s previously ceasing to be an eligible employee and becoming a person in relation to whom deferred benefits are applicable; and
if, during any period after the person’s previously so ceasing to be an eligible employee and before the person again becomes an eligible employee, the person was in receipt of deferred benefit by way of invalidity pension in accordance with section 67 or 68—any period in respect of which that pension was payable.
(1) For the purposes of this Act, a person had a marital or couple relationship with another person at a particular time if the person ordinarily lived with that other person as that other person’s husband, wife, spouse or partner on a permanent and bona fide domestic basis at that time.
(2) For the purpose of subsection (1), a person is to be regarded as ordinarily living with another person as that other person’s husband, wife, spouse or partner on a permanent and bona fide domestic basis at a particular time only if:
the person had been living with that other person as that other person’s husband, wife, spouse or partner for a continuous period of at least 3 years up to that time; or
(b) the person had been living with that other person as that other person’s husband, wife, spouse or partner for a continuous period of less than 3 years up to that time and CSC, having regard to any relevant evidence, is of the opinion that the person ordinarily lived with that other person as that other person’s husband, wife, spouse or partner on a permanent and bona fide domestic basis at that time;
whether or not the person was legally married to that other person.
For the purposes of this Act, a marital or couple relationship is taken to have begun at the beginning of the continuous period mentioned in paragraph (2)(a) or (b).
For the purpose of subsection (2), relevant evidence includes, but is not limited to, evidence establishing any of the following:
the person was wholly or substantially dependent on that other person at the time;
the persons were legally married to each other at the time;
(ba) the persons’ relationship was registered under a law of a State or Territory prescribed for the purposes of Acts Interpretation Act 1901, as a kind of relationship prescribed for the purposes of that section;section 2E of the
the persons had a child who was:
born of the relationship between the persons; or
adopted by the persons during the period of the relationship; or
(iii) a child of both of the persons within the meaning of the Family Law Act 1975;
the persons jointly owned a home which was their usual residence.
For the purposes of this section, a person is taken to be living with another person if CSC is satisfied that the person would have been living with that other person except for a period of:
temporary absence; or
absence because of the person’s illness or infirmity.
In this section:
deceased person means a person who was, at the time of his or her death, an eligible employee or a retirement pensioner.
(2) For the purposes of this Act, a person is a spouse who survives a deceased person if the person had a marital or couple relationship with the deceased person at the time of the death of the deceased person (the death).
In spite of subsection (2), a person is taken to be a spouse who survives a deceased person if:
the person had previously had a marital or couple relationship with the deceased person; and
the person did not, at the time of the death, have a marital or couple relationship with the deceased person but was legally married to the deceased person; and
in CSC’s opinion, the person was wholly or substantially dependent upon the deceased person at the time of the death.
A member of the Defence Force shall not, by reason only of being a member of the Defence Force, be deemed to be an eligible employee.
Where a member of the Defence Force who is liable to contribute under the Defence Force Retirement and Death Benefits Act or the MSB Act becomes an eligible employee, he or she shall not be treated as such until he or she ceases to be liable to contribute under that Act.
Where a person who is a temporary employee requests CSC to direct, under this section, that the person be treated as an eligible employee for the purposes of this Act, CSC may direct that the person is, as from the day on which the direction is given, an eligible employee for the purposes of this Act.
The regulations may make provision for modifying this section in the application of the section to and in relation to a prescribed temporary employee, or to and in relation to a prescribed class of temporary employees.
Where:
a person who is a temporary employee is employed under a contract; and
the person requests CSC to direct, under this section, that he or she be treated as an eligible employee for the purposes of this Act;
CSC may direct that the person is an eligible employee for the purposes of this Act.
A direction under subsection (1) in relation to a person who is employed under a contract has effect from:
where the person has been employed under that contract for longer than one year—the day of the direction; or
in any other case—the day specified in the direction, which may be a day earlier than the day on which the direction is given but not earlier than the day on which the person commenced to be employed under that contract.
Sections 11 and 13 do not apply in relation to a person who is on 1 July 1990, or becomes after that date, a temporary employee unless:
immediately before the person became or becomes so employed:
invalidity pension was, or would, but for a suspension of payment, have been, payable to him or her under this Act; or
deferred benefits were applicable to him or her under this Act or the superseded Act; or
a pension of a kind mentioned in section 64A or 65 of the superseded Act as in force immediately before the repeal of that section was, or but for a suspension of payment would have been, payable to him or her; or
the person became or becomes, by virtue of his or her being so employed, a re-employed former contributor with preserved rights.
Where:
a person is the holder of a statutory office to which the person has been appointed on a full-time basis; and
the person requests CSC to direct, under this section, that he or she be treated as an eligible employee for the purposes of this Act;
CSC may direct that the person is an eligible employee for the purposes of this Act.
A direction under subsection (1) in relation to a person who is the holder of a statutory office has effect from:
where the person has been holding that office for longer than one year—the day of the direction; or
in any other case—the day specified in the direction, which may be a day earlier than the day on which the direction is given but not earlier than the day on which the person commenced to hold that office.
This section does not apply in relation to a person who is on 1 July 1990, or becomes after that date, the holder of a statutory office unless:
immediately before the person became or becomes the holder of the statutory office:
invalidity pension was, or would, but for a suspension of payment, have been, payable to him or her under this Act; or
deferred benefits were applicable to him or her under this Act or the superseded Act; or
a pension of a kind mentioned in section 64A or 65 of the superseded Act as in force immediately before the repeal of that section was, or but for a suspension of payment would have been, payable to him or her; or
the person became or becomes, by virtue of his or her becoming the holder of the statutory office, a re-employed former contributor with preserved rights.
Where:
a person to whom invalidity pension is payable becomes a temporary employee or the holder of a statutory office to which the person was appointed on a full-time basis; and
CSC is satisfied that the health of the person has become so restored as to enable him or her to perform duties of a kind that are, in the opinion of CSC, suitable to be performed by him or her, having regard to the duties performed by him or her immediately before he or she ceased to be an eligible employee by reason of his or her retirement on the ground of invalidity;
CSC may direct that the person is, as from the date of the direction, or shall be deemed to have been as from such earlier date as is specified in the direction (not being a date earlier than the date on which he or she became a temporary employee or the holder of the statutory office), an eligible employee for the purposes of this Act.
(1) A person who, on or after 1 July 1990, becomes a permanent employee because he or she is employed in a permanent capacity by an approved authority declared by the Minister to be an exempt authority for the purposes of this subsection is excluded from the definition of eligible employee in subsection 3(1).
(2) If, on or after 1 July 1990, a person (other than a person to whom subsection (1) applies) becomes a permanent employee, that person is excluded from the definition of eligible employee in subsection 3(1) unless:
immediately before the person becomes so employed or is so appointed:
the person was an eligible employee; or
invalidity pension was, or would, but for a suspension of payment, have been, payable to him or her under this Act; or
deferred benefits were applicable to him or her under this Act or the superseded Act; or
a pension of a kind mentioned in section 64A or 65 of the superseded Act as in force immediately before the repeal of that section was, or but for a suspension of payment would have been, payable to him or her; or
the person becomes, by virtue of his or her employment or appointment, a re-employed former contributor with preserved rights.
CSC may, for the purposes of this section, require a person (other than a person to whom section 184 applies) who proposes to become or becomes an eligible employee to undergo, within such period as CSC specifies, such medical examination or examinations by an approved medical practitioner or practitioners as CSC determines.
A report or reports of the result or results of the medical examination or examinations shall be furnished to CSC.
CSC shall consider the report or reports, and such other matters (if any) as CSC considers relevant, and, if it is of the opinion that there is a real risk that the person, by reason of or for a reason connected with a physical or mental condition or conditions referred to in the report or reports, will not continue to be an eligible employee until the person attains his or her maximum retiring age, CSC shall issue a benefit classification certificate to that effect, being a certificate in which the relevant condition or conditions is or are specified.
Subsection (4) does not apply after 31 March 1991 in relation to a person:
in respect of whom a benefit classification certificate was not in force on that date; and
who was on 30 June 1990, and continued to be until 31 March 1991, an eligible employee.
Despite subsection (4A), subsection (4) applies to a person mentioned in subsection (4A) who, after 31 March 1991, ceases to be an eligible employee and again becomes an eligible employee.
Nothing in subsection (4A) affects the operation of section 16AC or subsections 184(5) to (5C) (inclusive).
In the application of this Act to an eligible employee at any time, a reference in this Act to a benefit classification certificate that is in force in respect of an eligible employee shall, in the case of an eligible employee whose period of contributory service would, if he or she ceased to be an eligible employee at that time, be not less than 20 years or an eligible employee who has attained his or her maximum retiring age, be read as not including a reference to a benefit classification certificate that has been issued in respect of him or her.
In the application of this Act to:
an eligible employee who has previously ceased to be an eligible employee by reason of retirement on the ground of invalidity, being an eligible employee to whom, upon his or her so ceasing, invalidity benefit was payable in accordance with section 69, 72 or 73; or
an eligible employee who has previously ceased to be an eligible employee otherwise than by reason of retirement on the ground of invalidity;
a reference in this Act to a benefit classification certificate that is in force in respect of the eligible employee shall be read as not including a reference to a benefit classification certificate (if any) that was issued in respect of him or her before or upon his or her so previously ceasing to be an eligible employee.
Where a benefit classification certificate is in force in respect of an eligible employee, he or she may, on grounds specified in the request, request CSC to revoke the certificate or to revoke the certificate and issue in substitution for the certificate a new benefit classification certificate and, where an eligible employee makes such a request, he or she shall, within such period as CSC requires, undergo such further medical examination (if any) or examinations by an approved medical practitioner or practitioners as CSC requires.
A report or reports of the result or results of the further medical examination or examinations shall be furnished to CSC.
CSC shall consider the report or reports (if any), and such other matters as it considers relevant, and:
where there is not more than 1 physical or mental condition specified in the benefit classification certificate and CSC is of the opinion that there is not a real risk that the person, by reason of or for a reason connected with that condition, will not continue to be an eligible employee until he or she attains his or her maximum retiring age—CSC shall revoke the certificate;
where there is more than 1 physical or mental condition specified in the benefit classification certificate:
if CSC is of the opinion that there is not a real risk that the person, by reason of or for a reason connected with those conditions, will not continue to be an eligible employee until the person attains his or her maximum retiring age—CSC shall revoke the certificate; or
if CSC is of the opinion that there is a real risk that the person, by reason of or for a reason connected with 1 or some only of the conditions specified in the certificate, will not continue to be an eligible employee until he or she attains his or her maximum retiring age—CSC shall revoke the certificate and issue in substitution for the certificate a new benefit classification certificate specifying only the condition or conditions in respect of which CSC is of the opinion referred to in this subparagraph; and
in any other case—CSC shall refuse the request to revoke the benefit classification certificate or to revoke the benefit classification certificate and to issue in substitution for the certificate a new benefit classification certificate.
Where, under subsection (8), CSC revokes a benefit classification certificate on a particular day:
the revocation has effect on and from that day; and
the new certificate (if any) issued in substitution for the revoked certificate is to be taken to have been issued on that day.
In this section:
benefit event, in relation to a person who is an eligible employee, means:
the person’s death; or
the person ceasing to be an eligible employee because of retirement on the ground of invalidity; or
the annual rate of salary of the person decreasing under such circumstances that CSC is satisfied that the decrease can properly be attributed to physical or mental incapacity.
condition means a physical or mental condition.
examination means a medical examination.
Subsections (3) to (9), inclusive, apply where, as at the time of a benefit event in relation to a person who is an eligible employee:
the person has undergone no examination under subsection 16(2); or
the person has undergone such an examination, or 2 or more such examinations, but CSC has not yet decided that the person should not be required under subsection 16(2) to undergo a further examination; or
CSC has so decided but has not yet considered the report or reports of the result or results of the examination or examinations that the person has undergone under subsection 16(2); or
CSC has considered the report or reports but has not yet decided whether or not to issue a benefit classification certificate in respect of the person under subsection 16(4); or
CSC has decided so to issue such a certificate but has not yet issued it.
If subparagraph (2)(a) or (b) applies, CSC must, in relation to each examination (if any) that:
CSC required the person under subsection 16(2) to undergo; or
CSC is satisfied it would, but for the benefit event, have so required the person to undergo;
but that the person did not in fact undergo, determine what, in CSC’s opinion, the report of the result of the examination would have contained if the person:
had undergone the examination on the day when the person:
if paragraph (2)(a) applies—became an eligible employee; or
if paragraph (2)(b) applies—underwent the examination, or the later or last of the examinations, referred to in that paragraph; and
at or in connection with the examination:
had answered properly, within the meaning of section 16AC, all the questions asked of the person; and
had given no false or misleading information.
For the purposes of subsection (3), CSC must consider such information and other matters as it considers relevant.
In subsection (6):
report material means:
if paragraph (2)(a) applies—the determination or determinations under subsection (3); or
if paragraph (2)(b) applies:
the report or reports of the result or results of the examination or examinations referred to in that paragraph; and
the determination or determinations (if any) under subsection (3); or
if paragraph (2)(c) or (d) applies—the report or reports referred to in that paragraph.
Unless paragraph (2)(e) applies, CSC must consider the report material and any other matters (other than matters excluded by subsection (7)) that it considers relevant and, if satisfied on the basis of the matters set out in the report material and of those other matters that, had the benefit event not happened, it would have formed on that basis the opinion that there was a real risk that the person, by reason of, or for a reason connected with:
a condition that is referred to in the report material and that CSC is satisfied is a condition of the person that existed at the time when the person became an eligible employee; or
2 or more such conditions;
would not continue to be an eligible employee until the person attained his or her maximum retiring age, must issue in respect of the person a benefit classification certificate specifying the condition or conditions.
The matters excluded by this subsection are the following:
the fact that the benefit event has happened;
any information CSC has about the causes of:
the death; or
the incapacity that was the ground for the retirement; or
the incapacity to which CSC is satisfied that the decrease in the annual rate of salary of the person could properly be regarded as attributable;
as the case may be;
any information CSC has about the person’s state of physical or mental health, or medical history, during a period beginning after:
if the person has undergone an examination or examinations under subsection 16(2)—the person underwent the examination or the later or last of the examinations; or
otherwise—the person became an eligible employee.
If paragraph (2)(e) applies, CSC must issue in respect of the person the benefit classification certificate that CSC would have so issued but for the benefit event.
For the purposes of this Act, a benefit classification certificate issued under this section is to be taken to have been issued under subsection 16(4) on the day before the day of the benefit event.
Nothing in this section applies in relation to a person who on 30 June 1990 was, and until the time of the benefit event in relation to the person, being a benefit event that occurred after 31 March 1991, continued to be, an eligible employee.
This section applies where a benefit classification certificate (whether issued before or after the commencement of this section):
(a) is in force in respect of a person (in this section called the employee) who is an eligible employee; or
(b) was in force in respect of a person (in this section also called the employee) immediately before:
the annual rate of salary of the employee decreased, at or after that commencement, under such circumstances that CSC is satisfied that the decrease can properly be attributed to physical or mental incapacity; or
the employee ceased, at or after that commencement, to be an eligible employee.
A person, being:
the employee or a person acting on his or her behalf; or
if the employee is dead:
a spouse or child of the employee who is entitled to benefits under Part VI; or
a person acting on behalf of such a spouse or child;
may apply to CSC for the certificate to be revoked under this section.
If an application is made under subsection (2) and the employee is living, CSC may, for the purposes of the application, require him or her to undergo within a specified period such medical examination or examinations by an approved medical practitioner or practitioners as CSC determines.
A report or reports of the result or results of a medical examination or medical examinations under subsection (3) is to be given to CSC.
On an application under subsection (2), CSC must consider each report (if any) given to CSC under subsection (4), and such other matters (if any) as it thinks relevant, and must:
if it is satisfied that a physical or mental condition or conditions specified in the certificate came into existence after the relevant time:
if the certificate specifies no other physical or mental condition—revoke the certificate; or
otherwise—revoke the certificate and issue in substitution for it a new benefit classification certificate that does not specify the first-mentioned condition or conditions but specifies the other condition or conditions specified in the revoked certificate; or
otherwise—refuse the application.
For the purposes of paragraph (5)(a), the relevant time is the time when the employee:
(a) if he or she became an eligible employee because of paragraph (a) of the definition of eligible employee in subsection 3(1)—became an employee for the purposes of the superseded Act; or
otherwise—became an eligible employee.
Except for the purposes of this section, a certificate revoked under subsection (5) is taken never to have been issued.
A certificate issued under subsection (5) in substitution for a revoked certificate is taken to have been issued on the day on which, and under the provision under which, the revoked certificate was issued.
Subsections (5), (7) and (8) have effect even if the certificate referred to in subsection (1) had previously been revoked, in which case:
a certificate issued under subsection (5) in substitution for the first-mentioned certificate is taken to have been revoked at the time of the previous revocation; and
a certificate that was previously issued in substitution for the first-mentioned certificate is taken to have been issued in substitution for the certificate (if any) issued under subsection (5).
In this section:
condition means a physical or mental condition.
relevant person means:
a person:
who is an eligible employee; and
who has not attained his or her maximum retiring age; and
whose period of contributory service, if the person were to cease to be an eligible employee, would be less than 20 years; or
a person:
who is or was an eligible employee to whom partial invalidity pension is or was payable in accordance with section 78; and
whose period of contributory service, if the person had ceased to be an eligible employee at the time when partial invalidity pension became so payable, would have been less than 20 years; or
a person:
who has ceased, because of death or retirement on the ground of invalidity, to be an eligible employee before attaining his or her maximum retiring age; and
whose period of contributory service is less than 20 years.
Subsections (4) to (8), inclusive, apply where CSC is satisfied, in respect of a person who is a relevant person:
that:
at or in connection with a medical examination that the person was required under subsection 16(2) or (6) or 16AB(3) to undergo; or
in connection with a request under subsection 16(6) by the person;
the person failed to answer properly a question asked of him or her or gave false or misleading information; and
that, if the person had answered the question properly or had not given that false or misleading information:
where there is in force, or there was in force immediately before the person’s retirement or death, a benefit classification certificate in respect of the person—a condition or conditions of the person not specified in the certificate would be or would have been so specified; or
where subparagraph (i) does not apply—there would be in force, or there would have been in force immediately before the person’s retirement or death, a benefit classification certificate in respect of the person specifying a condition or conditions of the person.
Subsections (4) to (8), inclusive, also apply where CSC is satisfied, in respect of a person who is a relevant person:
(a) that, in connection with an application under subsection 16AB(2) for the revocation of a certificate issued in respect of the person, a person (in this section called the non-discloser), being:
the relevant person; or
the applicant; or
a person acting on the applicant’s behalf; or
a person on whose behalf the applicant was acting;
failed to answer properly a question asked of him or her or gave false or misleading information; and
that, if the non-discloser had answered the question properly or had not given that false or misleading information:
where there is in force, or there was in force immediately before the relevant person’s retirement or death, a benefit classification certificate in respect of the relevant person—a condition or conditions of the relevant person not specified in the certificate would be or would have been so specified; or
where subparagraph (i) does not apply—there would be in force, or there would have been in force immediately before the relevant person’s retirement or death, a benefit classification certificate in respect of the relevant person specifying a condition or conditions of the relevant person.
If subparagraph (2)(b)(i) or (3)(b)(i) applies, CSC shall revoke the certificate and issue in substitution for it a new benefit classification certificate in which the condition or conditions referred to in that subparagraph is or are specified either in addition to, or instead of, the condition, or some or all of the conditions, specified in the revoked certificate.
If subparagraph (2)(b)(ii) or (3)(b)(ii) applies, CSC shall issue in respect of the relevant person a benefit classification certificate specifying the condition or conditions referred to in that subparagraph.
Except for the purposes of this section, a certificate revoked under subsection (4) is taken never to have been issued.
A certificate issued under subsection (4) in substitution for a revoked certificate is taken to have been issued on the day on which, and under the provision under which, the revoked certificate was issued.
A certificate issued under subsection (5) shall be taken to have been issued on the day, and under the provision, that CSC determines to be the day on which, and the provision under which, a benefit classification certificate would have been issued, or would have been taken to have been issued, as the case requires, in respect of the relevant person if the relevant person, or the non-discloser, as the case may be, had answered the question properly, or had not given the false or misleading information, as the case may be.
For the purposes of this section, a person answers a question properly if, and only if, he or she gives in answer to the question all the information that he or she could reasonably be expected to give, on the basis of:
his or her knowledge about the relevant matters; and
the knowledge that, having regard to his or her knowledge about the relevant matters, he or she could reasonably be expected to have about those matters;
if he or she answered the question fully and truthfully on the basis of the knowledge referred to in paragraphs (a) and (b).
In subsection (9):
relevant matters, in relation to a question asked of a person, means:
in any case—the matters that the person could reasonably be expected to regard as relevant to answering the question; and
if the question is asked of the person:
at or in connection with a medical examination that the person was required under subsection 16(2) or (6) or 16AB(3) to undergo; or
in connection with a request by the person under subsection 16(6); or
in connection with an application under subsection 16AB(2) for the revocation of a certificate issued in respect of the person;
the person’s medical history and past and present state of physical and mental health.
CSC must serve:
a copy of a benefit classification certificate; or
notice of the revocation of a benefit classification certificate; or
notice of a refusal by CSC of a request or application made under subsection 16(6) or 16AB(2) in relation to a benefit classification certificate;
on:
in any case—the person to whom the certificate relates; and
in the case of:
a copy of a certificate issued under subsection 16AB(5) on an application made under subsection 16AB(2); or
notice of a refusal by CSC of an application made under subsection 16AB(2);
the applicant.
Where subsection (1) requires a copy or notice to be served on a person and the person has died, CSC must serve the copy or notice on:
the person’s personal representative; or
such other person or persons as CSC, in its discretion, determines.
Where:
(a) Public Service Act 1922 as in force at any time before the commencement of the Public Service and Statutory Authorities Amendment Act 1983 applied in relation to an eligible employee;section 32A of the
(b) a section of another Act that corresponded with the section of the Public Service Act 1922 referred to in paragraph (a) applied in relation to an eligible employee; or
(c) the terms and conditions of employment of an eligible employee have at any time included, or include, provisions that correspond with the provision made by the section of the Public Service Act 1922 referred to in paragraph (a);
this Act applies, and shall be deemed to have applied, to the employee as if any period during which he or she was or is deprived of salary under and in accordance with that section, or those provisions of his or her terms and conditions of employment, as the case may be, were a period during which he or she was on leave of absence without pay.
The functions of CSC under this Act are:
to manage and invest the Fund so as to maximise the return earned on the Fund, having regard to:
the need to make provision for payments out of the Fund under this Act; and
the need for equity among eligible employees and associate members; and
the need to exercise reasonable care and prudence in order to maintain the integrity of the Fund; and
to be responsible for the general administration of this Act.
Note: For other functions of CSC, see Governance of Australian Government Superannuation Schemes Act 2011.section 8 of the
It is the duty of CSC, in the exercise of its functions under paragraph (1)(a):
to establish from time to time:
policies for the investment of money standing to the credit of the Fund; and
the strategies to be adopted to achieve those policies; and
to ensure that the decisions and operations of CSC are directed towards achieving the objective referred to in paragraph (1)(a); and
to ensure that CSC has, or has access to, the skills, facilities and resources required to achieve the objective referred to in paragraph (1)(a); and
to take reasonable steps, consistently with the objective referred to in paragraph (1)(a) and subject to subsection (4), to inform eligible employees and associate members about the management and investment of the Fund; and
to liaise with relevant industrial organisations concerning the interests of eligible employees and, subject to subsection (4), to inform those organisations about the management and investment of the Fund; and
to ensure that CSC conducts its operations in an efficient manner; and
to ensure that CSC complies with its obligations under this Act and its other legal obligations.
Without limiting the generality of paragraph (2)(a), CSC must develop and maintain plans and procedures for the implementation of its investment strategies in relation to the Fund.
CSC must, in performing its duties under paragraphs (2)(d) and (e), have regard to the need to protect information the disclosure of which could adversely affect the financial position or the commercial or other operations of CSC.
Without limiting the generality of paragraph (2)(d), CSC must, at least once in each financial year, publish to eligible employees a summary that contains information of the kind referred to in that paragraph.
The reference in paragraph (2)(e) to relevant industrial organisations is a reference to relevant industrial organisations the objectives of which extend to representing the interests of their members in relation to the terms and conditions of employment of those members.
CSC must cause proper records to be kept in respect of:
contributions paid into the Superannuation Fund; and
benefits paid under this Act, whether out of the Superannuation Fund or out of the Consolidated Revenue Fund; and
amounts that, under this Act, are:
paid out of the Consolidated Revenue Fund into the Superannuation Fund; or
paid out of the Superannuation Fund to the Commonwealth.
Subject to this Act, CSC has power to do all things necessary or convenient to be done for or in connection with the performance of its functions under this Act.
For the purposes of this Act, there shall be a Fund to be known as the CSS Fund.
The Fund shall be managed by CSC.
CSC has power to do, in or elsewhere, all things necessary or convenient to be done for or in connexion with, or as incidental to, the management of the Fund, and the investment under section 42 of moneys standing to the credit of the Fund, including, without limiting the generality of the foregoing, power:
to give guarantees;
to underwrite or sub-underwrite any form of investment;
subject to subsection (3), to borrow moneys;
to appoint agents and attorneys;
to act as agents for other persons;
to engage consultants and investment managers; and
to open and maintain accounts with banks.
CSC may not borrow money otherwise than in accordance with the SIS Act.
Without limiting the generality of subsection (2), the reference in that subsection to the doing of things necessary or convenient to be done as incidental to the investment under section 42 of moneys standing to the credit of the Fund includes a reference to the taking of action to control or manage, or to enhance or protect the value of, any investment made out of those moneys or to enhance or protect the return on any such investment.
Without limiting the generality of paragraph (2)(aa), the reference in that paragraph to underwriting or sub-underwriting any form of investment includes a reference to underwriting or sub-underwriting the issue of shares, debentures or units in a unit trust.
The reference in paragraph (2)(d) to the engagement of investment managers shall be read as a reference to the placement of funds with persons who undertake to invest, and manage the investment of, those funds on behalf of CSC.
Nothing in this section or section 42 shall be read as derogating from CSC’s duties under section 27C.
In this section:
bank has the same meaning as it has in the Public Governance, Performance and Accountability Act 2013.
Moneys standing to the credit of the Fund which CSC is of the opinion are moneys that are not for the time being required for the purpose of making payments out of the Fund under this Act shall, so far as is practicable, be invested by CSC in accordance with this Part, but CSC shall so manage the Fund that moneys that are from time to time required to pay benefits that are payable out of the Fund are available for that purpose.
Moneys that, by virtue of subsection (1), are required to be invested by CSC may be invested in any manner and, without limiting the generality of the foregoing, may be invested by CSC jointly with another person or other persons.
CSC may invest the money only through an investment manager or managers.
CSC must ensure that any investment manager engaged by CSC in accordance with subsection (3):
operates within the investment powers of CSC and the investment strategy and policy determined for the time being by CSC; and
reports to CSC on the state of CSC’s investments and the investment market at such times and in such manner as CSC determines.
Income derived from the investment of moneys standing to the credit of the Fund, or otherwise from the management of the Fund by CSC, shall form part of the Fund.
Despite any other provision of this Act, an eligible employee is not entitled or permitted to pay contributions if, under the SIS Act, the Fund is not permitted to receive those contributions.
Subject to subsection 3(3) and sections 51, 51A and 54, an eligible employee shall pay fortnightly basic contributions.
Note: The amount of fortnightly basic contributions payable might be nil (see subsection 46(2)).
Subject to subsection (3), the first fortnightly basic contribution of an eligible employee is payable:
in the case of an eligible employee who, immediately before the commencing day, was an employee for the purposes of the superseded Act—on the contribution day next following the commencing day; and
in any other case—on the contribution day next following the day on which the person became an eligible employee;
and subsequent basic contributions are payable on each succeeding contribution day during the period during which the person continues to be an eligible employee.
Where an eligible employee (not being an eligible employee referred to in paragraph (2)(a) who was an existing contributor) dies, or retires on the ground of invalidity, before the day on which, but for his or her death or retirement, his or her first fortnightly basic contribution would have been payable, that contribution shall be deemed to have become payable by him or her on the day on which he or she became an eligible employee.
The amount of the fortnightly basic contribution payable by an eligible employee on a contribution day is an amount equal to 5 per centum of the fortnightly rate of salary that was payable (or is deemed by section 47 to have been payable) to the employee on the anniversary of his or her birth last preceding that contribution day or, if that amount is not a multiple of 10 cents, the next higher amount that is such a multiple.
However, an eligible employee may elect that the amount of the fortnightly basic contribution payable by the employee is an amount equal to 0% of the fortnightly rate of salary referred to in subsection (1).
Note: The election is suspended during some periods of leave of absence without pay of more than 12 weeks (see sections 51A and 51AA).
To avoid doubt, while an election made by an eligible employee under subsection (2) is in force:
basic contributions continue to be payable by the employee; and
the amount of basic contribution that is payable by the employee is nil.
An eligible employee may revoke an election at any time.
An eligible employee who makes an election under subsection (2), or revokes an election under subsection (4), must give written notice of the election or revocation to CSC.
An election under subsection (2), or a revocation under subsection (4), takes effect from the first contribution day following the day on which notice of the election or revocation is given to CSC.
(1) If, on an anniversary of an eligible employee’s birth (in this subsection referred to as the relevant anniversary), his or her annual rate of salary is less than the highest annual rate of salary that was payable (or is deemed by a previous application of this subsection, or by subsection (3), to have been payable) to him or her on any day during the period commencing on the anniversary of his or her birth last preceding the relevant anniversary and ending on the day immediately preceding the relevant anniversary, his or her annual rate of salary on the relevant anniversary shall, unless he or she has made or makes an election under subsection (2) by virtue of a decrease in his or her annual rate of salary that occurred during that period, be deemed, for the purposes of section 46, and any subsequent application of this subsection, to be such rate as is relevant to the eligible employee under the regulations or if there is no such rate:
where paragraph (b) does not apply—that highest annual rate of salary; or
where, if:
there had not been any decrease in his or her annual rate of salary during the period beginning immediately after the last day on which that highest annual rate of salary was payable to him or her and ending on the relevant anniversary; and
his or her annual rate of salary had been increased during the period by the same percentage as any overall percentage increase in AWOTE that occurred over the period (being an overall percentage increase worked out from estimates of changes in AWOTE in respect of the period published by the Australian Statistician, other than estimates published in substitution for earlier estimates);
the annual rate of salary of the eligible employee on the relevant anniversary (in this paragraph called the imputed annual rate of salary) would be higher than that highest annual rate of salary—that imputed annual rate of salary.
If the annual rate of salary payable to an eligible employee decreases, the employee may, not later than 3 months after the anniversary of his or her birth next following the date of the decrease, elect, by notice in writing to CSC, that subsection (1) shall not apply in relation to his or her annual salary on that anniversary of his or her birth.
Where:
an eligible employee makes an election under subsection (2) by virtue of a decrease in his or her annual rate of salary; and
the annual rate of his or her salary on the anniversary of his or her birth next following the date of the decrease is less than the highest annual rate of salary that was payable to him or her on any day during the period commencing on the date of the decrease and ending on the day immediately preceding that anniversary;
the annual rate of his or her salary on that anniversary shall, for the purposes of section 46 and subsection (1) of this section, be deemed to be such rate as is relevant to the eligible employee under the regulations or if there is no such rate:
where paragraph (d) does not apply—that highest annual rate of salary; or
where, if:
there had not been any decrease in his or her annual rate of salary during the period beginning immediately after the last day on which that highest annual rate of salary was payable to him or her and ending on the relevant anniversary; and
his or her annual rate of salary had been increased during the period by the same percentage as any overall percentage increase in AWOTE that occurred over the period (being an overall percentage increase worked out from estimates of changes in AWOTE in respect of the period published by the Australian Statistician, other than estimates published in substitution for earlier estimates);
the annual rate of salary of the eligible employee on the relevant anniversary (in this paragraph called the imputed annual rate of salary) would be higher than that highest annual rate of salary—that imputed annual rate of salary.
Where:
an eligible employee makes an election under subsection (2) by virtue of a decrease in his or her annual rate of salary;
the annual rate of salary payable to him or her immediately after the decrease is less than the rate of salary that was payable (or is deemed by subsection (1) or (3) to have been payable) to him or her on the anniversary of his or her birth last preceding the date of the decrease; and
the election is made before the anniversary of his or her birth next following the date of the decrease;
the annual rate of his or her salary on the anniversary of his or her birth last preceding the date of the decrease shall, for the purpose of calculating the amount of the basic contribution payable by him or her on each contribution day occurring after the date of the election and before the anniversary of his or her birth next following that date, be deemed to be the annual rate of his or her salary immediately after the decrease.
An eligible employee may, on any contribution day, pay a supplementary contribution of such amount as the employee determines.
If the designated employer of an eligible employee deducts a fortnightly basic contribution or a supplementary contribution from the employee’s salary:
the employer is to pay the amount deducted to CSC; and
if an amount deducted is not paid to CSC on the day on which it is deducted and CSC directs that this paragraph is to apply in relation to the amount—the employer is to pay to CSC interest on the amount in respect of the period beginning on the day on which the amount is deducted and ending on the day immediately before the day on which the amount is paid.
CSC is to pay to the Fund any interest paid to CSC under paragraph (1)(b).
Scope of section
This section applies to a person if:
the person is, or at any time has been, an eligible employee; and
the person, while an eligible employee, has been on leave of absence without pay for a period longer than 12 weeks; and
the period of leave of absence is not an excluded period of leave of absence; and
where the period of leave of absence starts after 30 June 2003—the person’s designated employer has stopped making payments to the Commonwealth in respect of benefits that become payable under this Act to or in respect of the person.
Note: Subsection (3) prohibits a person to whom this section applies from making contributions during the period of leave of absence without pay.
Excluded periods (during which person is permitted to make contributions)
For the purposes of subsection (1), the following periods of leave of absence of a person are, subject to subsections (2AA) and (2B), excluded periods of leave of absence:
a period of leave of absence during which the person’s liability to make contributions is deferred under subsection 54(1);
a period of sick leave without pay;
(d) a period of compensation leave granted under the Safety, Rehabilitation and Compensation Act 1988 or the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988;
(da) a period of leave of absence because of a service injury or disease (within the meaning of the Military Rehabilitation and Compensation Act 2004) in respect of which the person is receiving compensation under section 86 (part-time Reservists) or 127 (former member maintained in hospital) of that Act;
subject to subsection (2A), a period of leave of absence for the purpose of engaging in other employment (other than employment by an approved organisation) if:
in respect of a person employed in an APS Agency—the Agency Head of the Agency is satisfied that the engaging by the person in the other employment is in the interests of the Australian Public Service; or
in respect of any other person—the person’s employer is satisfied that the engaging by the person in the other employment is in the employer’s interests;
subject to subsection (2A), a period of leave of absence for the purpose of engaging in employment by an approved organisation;
subject to subsection (2BC), a period of leave of absence in respect of which there is in force an agreement made (whether before or after the end of the period) between the Minister and CSC declaring the period to be an excluded period of leave of absence.
(2AA) Subsection (2) does not apply in respect of a period, or a part of a period, of leave of absence occurring after the commencement of this subsection in respect of which the person is, because of section 45A, not entitled to pay contributions.
Certain transfers of employment (during which person is permitted to make contributions)
Subject to subsection (2BA), paragraph (2)(f) or (g) does not apply in respect of a period, or a part of a period, of leave of absence granted to a person unless the following requirements have been complied with:
(a) if the person is ordinarily employed by one of the following Governments, authorities or bodies (the usual employer):
the Government of the or of the ;
an authority or body established by or under a law of the or of the ;
the ;
another authority or body declared by the Minister, by signed writing, to be an authority or body to which this subparagraph applies;
the person’s employer in respect of the employment engaged in during the period, or the part of the period, of leave of absence (the temporary employer) makes payments to the usual employer of such amounts, or at such rates, as are determined in respect of the person during the period or the part of the period by:
if the usual employer is an authority or body established by or under a law of the Australian Capital Territory or of the Northern Territory—the Government of the Territory concerned; or
otherwise—the usual employer;
(b) if the person is ordinarily employed by one of the following authorities or bodies (the usual employer) that is not an authority or body referred to in paragraph (a):
an approved authority;
another authority or body referred to in subsection 159(1);
a body referred to in item 2.1 of Schedule 1 to the Superannuation (Continuing Contributions for Benefits) Regulations;
the person’s employer in respect of the employment engaged in during the period, or the part of the period, of leave of absence (the temporary employer):
makes payments to the usual employer of such amounts, or at such rates, as the Minister determines in respect of the person during the period or the part of the period; and
makes those payments at the times at which payments are required to be made to the Commonwealth under section 159 by authorities or bodies to which that section applies;
(c) if the person is ordinarily employed by someone other than a Government, authority or body referred to in paragraph (a) or (b)—the person’s employer in respect of the employment engaged in during the period, or the part of the period, of leave of absence (the temporary employer) makes payments to the Commonwealth of such amounts or at such rates, and at such times, as the Minister determines in respect of the person during the period or the part of the period.
Subject to subsection (2BA), except in respect of a person who is not a productivity employee within the meaning of the Minister and CSC, exempted from the operation of this subsection, subsection (2) does not apply in respect of a period, or a part of a period, of leave of absence granted to a person unless:Part VIA or is, under an agreement made between
if the leave of absence was granted so that the person could engage in other employment—the other employer; or
otherwise—the employer by whom the person is ordinarily employed;
makes payments to CSC in respect of the person, during the period, or the part of the period, of leave of absence, of productivity contributions of the amounts worked out under section 110C.
(2BA) Subsections (2A) and (2B) have effect in relation to a particular period of leave granted to a person, or a particular part of such a period, subject to any modifications agreed between the Minister and CSC in relation to the person in respect of the period or the part of the period, as the case may be.
(2BB) In paragraphs (2)(f) and (g):
approved organisation means:
(a) an organisation registered or an association recognised under the Fair Work (Registered Organisations) Act 2009 whose membership includes people who are eligible employees or members of the Public Sector Superannuation Scheme; or
a body consisting of organisations referred to in paragraph (a).
Minister and CSC agreements that period is an excluded period
(2BC) An agreement made under paragraph (2)(h) in respect of a period of leave of absence may be subject to such conditions as are set out in the agreement, and, if any such conditions are contravened in relation to the period or a part of the period, that paragraph does not apply in respect of the period or the part of the period, as the case may be.
(2BD) The Minister and CSC may at any time vary or terminate an agreement made under paragraph (2)(h).
Prohibition on making contributions during period of unpaid leave
A person to whom this section applies is not required or permitted, and shall be deemed not to have been required or permitted, to make contributions on any contribution day occurring during the period of leave of absence without pay, and the regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of such persons.
The modifications that may be made by regulations in pursuance of subsection (3) include, but are not limited to, modifications providing for benefits in addition to, or in substitution for, benefits provided for by this Act.
Anticipating that a person will be on unpaid leave for more than 12 weeks
For the purposes of this section, an eligible employee who is on leave of absence without pay but has not been on leave of absence without pay for a period that exceeds 12 weeks, but is expected to be on leave of absence without pay for a period exceeding 12 weeks, shall, except as otherwise provided by the regulations, be deemed to have been on leave of absence without pay for a period exceeding 12 weeks.
Section does not apply to maternity and parental leave etc.
A person who is on leave of absence without pay for reasons related to:
(a) the birth of a child of the person or of the spouse, or de facto partner within the meaning of the Acts Interpretation Act 1901, of the person; or
the termination (otherwise than by child-birth) of a pregnancy of the person; or
the adoption of a child by the person;
is taken, for the purposes of this section, not to be absent during that period on leave of absence without pay.
(7) The reference in paragraph (6)(a) to the birth of a child of the person includes a reference to the birth of a child who is a child of the person within the meaning of the Family Law Act 1975.
This section applies to a person if:
the person is, or at any time has been, an eligible employee; and
the person, while an eligible employee, has been on leave of absence without pay for a period of more than 12 weeks; and
paragraph 51(2)(b), (d), (da), (f) or (g) applies in respect of the period; and
the person has (whether before or after the period of leave began) made an election under subsection 46(2) (contributions of 0%) that is in force.
Despite the election made under subsection 46(2), the person is required to make contributions, on each contribution day occurring during the period of leave, of the amount that is payable under subsection 46(1).
Note: Subsection 46(1) requires a person to pay 5% of his or her fortnightly rate of salary. However, the person would be permitted to make contributions of 0% after the period of leave ends (without making a further election).
For the purposes of this section, an eligible employee is taken to have been on leave of absence without pay for a period of more than 12 weeks if:
the employee has been on leave of absence without pay for a period of less than 12 weeks; but
the employee is expected to be on leave of absence without pay for a period of more than 12 weeks.
The regulations may modify the operation of this section in relation to:
a person to whom this section applies; or
a prescribed class of such persons.
This section applies to a person:
who is, or at any time has been, an eligible employee; and
who, on or after 1 July 1990, has been, while an eligible employee, on leave of absence without pay for reasons related to:
(i) the birth of a child of the person or of the spouse, or de facto partner within the meaning of the Acts Interpretation Act 1901, of the person; or
the termination (otherwise than by child-birth) of a pregnancy of the person; or
the adoption of a child by the person.
Subject to this section, where this section applies to a person in respect of a period of leave of absence, the person is not required or permitted to make contributions on any contribution day occurring during that period.
A person to whom this section applies in respect of a period of leave of absence may, by writing addressed to CSC, elect to pay contributions on any contribution day that:
occurs during that period of leave of absence; and
is specified in the instrument of election; and
is not a contribution day earlier than the day of election.
Where a person makes an election under subsection (3), the person is required to pay, on each contribution day to which the election relates, the contribution or contributions (as the case may be) that, but for subsection (2), would be payable under subsection 46(1) (despite any election in force under subsection 46(2)) by the person on that day.
Note: Subsection (4) requires a person to pay 5% of his or her fortnightly rate of salary even if an election by the person to pay 0% of that salary is in force under subsection 46(2). However, the person would be permitted to make contributions of 0% after the period covered by the election under subsection (3) ends (without making a further election under subsection 46(2)).
(5) For the purposes of the definition of period of contributory service in subsection 3(1):
if a person to whom this section applies in respect of a period of leave of absence does not make an election under subsection (3)—the whole of the period of leave of absence is taken to be a non-contributory period of service for the person; or
if the person elects to pay contributions in respect of a number, but not all, of the contribution days included in the period of leave of absence:
there must be deducted from the number of days included in the period of leave of absence 14 days in respect of each of those contribution days; and
the period consisting of the resulting number of days is taken to be a non-contributory period of service for the person.
The regulations may make provisions for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of such persons.
The modifications that may be made by the regulations in pursuance of subsection (6) include, but are not limited to, modifications providing for benefits in addition to, or in substitution for, benefits provided for by this Act.
(8) The reference in subparagraph (1)(b)(i) to the birth of a child of a person includes a reference to the birth of a child who is a child of the person within the meaning of the Family Law Act 1975.
Where an eligible employee is on leave of absence, either without pay or with less than full pay, CSC may, upon application in writing by or on behalf of the eligible employee, permit him or her to make payment of the contributions falling due during the absence in such instalments and at such times as CSC approves.
Contributions payable under this Act shall, subject to subsection (2), be paid to CSC by or on behalf of the person liable to pay the contributions.
Contributions payable under this Act by an eligible employee may be deducted from his or her salary and any contributions so deducted shall be paid to CSC.
CSC shall pay all contributions received by it under this section into the Fund.
Where an eligible employee is or becomes liable to contribute under the Defence Force Retirement and Death Benefits Act or the MSB Act, his or her liability to make contributions under this Act is deferred until, for any reason (including death):
he or she ceases (otherwise than by reason of the operation of section 18 of the Defence Force Retirement and Death Benefits Act) to be liable to contribute under that Act; or
he or she ceases to be an eligible employee;
whichever first occurs, but, upon his or her so ceasing to be liable or so ceasing to be an eligible employee, the amount of the deferred contributions shall be paid to CSC.
(2) Subsection (1) does not apply to an eligible employee who, immediately before becoming liable to contribute under the Defence Force Retirement and Death Benefits Act or the MSB Act, is entitled to retirement pay or pension (as the case requires) under that Act or pension under the Defence Forces Retirement Benefits Act 1948 or that Act as amended and in force from time to time or under any other Act that relates to retirement benefits for members of the Defence Force and modifies or affects the provisions of the Defence Forces Retirement Benefits Act 1948 or that Act as amended and in force from time to time.
Subsection (1) does not apply, and shall be deemed never to have applied, to an eligible employee who, upon ceasing to be liable to contribute under the Defence Force Retirement and Death Benefits Act, becomes entitled to retirement pay under section 23 of that Act.
In this Part, unless the contrary intention appears:
Comcare means the Commission for the Safety, Rehabilitation and Compensation of Commonwealth Employees established under the Safety, Rehabilitation and Compensation Act 1988.
compensation leave means leave of absence from his or her employment due to an incapacity for work resulting from an injury in respect of which: (a) if the Safety, Rehabilitation and Compensation Act 1988 or the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 applies in relation to the eligible employee—compensation is payable under section 19 or 22 of that Act; or (aa) if the Military Rehabilitation and Compensation Act 2004 applies in relation to the eligible employee—compensation is payable under section 86 (part-time Reservists) or 127 (former member maintained in hospital) of that Act; or in any other case—payments similar in nature to payments under those sections are payable.
(a) if the Safety, Rehabilitation and Compensation Act 1988 or the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 applies in relation to the eligible employee—compensation is payable under section 19 or 22 of that Act; or
(aa) if the Military Rehabilitation and Compensation Act 2004 applies in relation to the eligible employee—compensation is payable under section 86 (part-time Reservists) or 127 (former member maintained in hospital) of that Act; or
in any other case—payments similar in nature to payments under those sections are payable.
totally and permanently incapacitated has the meaning given by section 54B.
For the purposes of this Part a person is totally and permanently incapacitated if, because of a mental or physical condition, it is unlikely that the person will ever be able to work in any employment or hold any office for which the person:
is reasonably qualified by education, training or experience; or
could become reasonably qualified after retraining.
In spite of anything contained in any Act, industrial award or contract of employment, an eligible employee who has not reached his or her maximum retiring age is not, after the commencement of this section, capable of being retired from the employment or office by virtue of which he or she is an eligible employee on the ground that, because of any mental or physical condition, the eligible employee is unable to perform his or her duties, unless CSC has certified in writing that, if the eligible employee is so retired, he or she will be entitled to receive benefits under Division 4 of Part V.
CSC must not give a certificate in respect of an eligible employee under subsection (1) unless CSC has approved the retirement of the eligible employee on the ground of invalidity in accordance with this Part.
In subsection (1), a reference to an eligible employee being retired from employment or office includes a reference to the services of the eligible employee being otherwise terminated.
In this Division:
employee means a person who under the Safety, Rehabilitation and Compensation Act 1988 is an employee of the licensed administering authority.
licensed administering authority means a Commonwealth authority that holds a Class 2 Licence or a Class 3 Licence under Part VIIIA, or a corporation that holds a Class B Licence under Part VIIIB, of the Safety, Rehabilitation and Compensation Act 1988.
retirement means retirement on the ground of invalidity.
A request to CSC for the approval of the retirement of an eligible employee:
may be made by:
the eligible employee; or
the person or body by which the eligible employee is employed; or
any other person authorised under the regulations; and
if the regulations make provision as to the manner in which the request is to be made—must be made in accordance with the regulations.
Subject to subsection 54H(1), CSC must appoint a panel consisting of such number of persons as CSC determines to assist it in reaching a decision whether or not to approve the retirement of an eligible employee.
The members of the panel must be persons with expertise in the assessment of invalidity claims for the purposes of superannuation.
CSC:
may require the eligible employee to undergo such medical examinations as it considers necessary and to provide such information as the members of the panel require; and
must make available to the members of the panel any medical or other evidence that it has concerning the eligible employee and that is relevant to his or her proposed retirement.
The members of the panel must, within the period applicable under subsection (5), make recommendations in writing to CSC, giving reasons for their recommendations:
on the question whether the eligible employee is totally and permanently incapacitated; and
on any other matter that the panel considers relevant or CSC may require.
Recommendations under subsection (4) are to be made in relation to an eligible employee not later than 2 years after:
if the eligible employee is on sick leave as a result of the condition in relation to which the request was made to CSC to approve his or her retirement—the commencement of that sick leave; or
if the eligible employee is on compensation leave as a result of that condition—the day on which the request was made to CSC.
(1) If the request to CSC was made in relation to a condition in respect of which the eligible employee is entitled to receive compensation under the Safety, Rehabilitation and Compensation Act 1988, CSC must, subject to subsection 54H(1):
if the eligible employee is an employee of a licensed administering authority—also ascertain whether or not the licensed administering authority recommends that the eligible employee be retired because he or she is totally and permanently incapacitated; or
if the eligible employee is not an employee of a licensed administering authority—also ascertain whether or not Comcare recommends that the eligible employee be retired because he or she is totally and permanently incapacitated.
(2) If the request to CSC was made in relation to a condition in respect of which the eligible employee is entitled to receive compensation under the Military Rehabilitation and Compensation Act 2004 or the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988, CSC may, subject to subsection 54H(1), also ascertain the views of the Military Rehabilitation and Compensation Commission as to whether or not the employee be retired because he or she is totally and permanently incapacitated.
If, after considering:
any medical report submitted with the request to approve the retirement of an eligible employee; and
any other matter that it considers relevant;
CSC is satisfied that, because of his or her mental or physical condition, the eligible employee is totally and permanently incapacitated, CSC may decide to approve the retirement of the eligible employee without appointing a panel of persons under subsection 54F(1) or seeking the recommendations of Comcare or a licensed administering authority or the views of the Military Rehabilitation and Compensation Commission, as the case may be, under section 54G.
If subsection (1) does not apply, CSC, after:
taking into consideration the recommendations made to CSC under subsection 54F(4) and section 54G and any views given to CSC under that section; and
ascertaining whether it is practicable for the eligible employee to find employment, or to be appointed to an office, for which he or she is reasonably qualified by education, training or experience or could become reasonably qualified after retraining;
must decide whether or not to approve the retirement of the eligible employee unless it defers its decision under subsection (2A).
If, after taking the steps mentioned in paragraphs (2)(a) and (b), CSC thinks that it should allow further time within which to make a decision whether or not to approve the retirement of an eligible employee, CSC may:
defer making such a decision until such time as appears to it to be appropriate; and
if it appears to it to be desirable in the circumstances, before making a decision again have the matter considered by a panel mentioned in section 54F.
Where CSC wants to have the matter considered again by a panel mentioned in section 54F, that section, other than subsection (5), applies, subject to subsection (2C), in relation to the matter in the same way as it applied in relation to the initial consideration of the matter by such a panel.
In the application of section 54F as mentioned in subsection (2B), subsection 54F(4) applies as if the period within which the members of the panel are required to make recommendations in writing to CSC were such period as is specified by CSC in the particular case.
If the matter is again considered by a panel of persons, CSC is to take the recommendations of the panel into consideration before making its decision.
A decision of CSC to approve or not to approve the retirement of an eligible employee must be in writing.
CSC must send a copy of its decision to approve or not to approve the retirement of an eligible employee to:
the eligible employee; and
the person or body by whom the eligible employee is employed;
together with:
a written statement of the reasons for the decision; and
if a panel was appointed under subsection 54F(1) to assist CSC in making its decision—a copy of the recommendations of the panel.
Where CSC:
for the purposes of subsection 7(2) gives consideration to whether a person was, because of physical or mental incapacity, totally and permanently incapacitated within the meaning of Part IVA; or
for the purposes of a provision of section 122 gives consideration to whether a person would have ceased to be an eligible employee because of retirement on the ground of invalidity; or
for the purposes of a provision of section 138 or 146MC gives consideration to whether a person has become totally and permanently incapacitated within the meaning of Part IVA;
the following provisions of this section apply.
CSC, if it thinks it desirable in the particular case, may appoint a panel consisting of such number of persons as CSC determines to assist it in its consideration of a matter mentioned in subsection (1).
The members of the panel must be persons with expertise in the assessment of invalidity claims for the purposes of superannuation.
CSC:
may require the person to undergo such medical examinations as it considers necessary and to provide such information as the members of the panel require; and
must make available to the members of the panel any medical or other evidence that it has concerning the person and that is relevant in the circumstances.
The members of the panel must, within such period as is specified by CSC, make recommendations in writing to CSC, giving reasons for their recommendations:
on the matter under consideration by CSC; and
on any other matter that the panel considers relevant or CSC may specify.
(6) If the matter under consideration relates to a condition in respect of which the person is, or was, entitled to receive compensation under the Safety, Rehabilitation and Compensation Act 1988, CSC may ascertain, in relation to that matter, the views of any Commonwealth authority that, under that Act, is or has been, liable to pay compensation in respect of the person.
(6A) If the matter under consideration relates to a condition in respect of which the person is, or was, entitled to receive compensation under the Military Rehabilitation and Compensation Act 2004 or the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988, CSC may ascertain, in relation to that matter, the views of the Military Rehabilitation and Compensation Commission.
The fact that, in relation to a matter, CSC has previously under this section received the recommendations of a panel or ascertained the views of a Commonwealth authority does not prevent CSC, if it wishes to give the matter further consideration, from again appointing such a panel under this section or ascertaining those views.
Divisions 2 and 3 of Part 12 of the Rules for the administration of the Public Sector Superannuation Scheme apply in relation to a person to whom a request under section 54E relates as if:
any reference in those Divisions to an approved medical practitioner were a reference to an approved medical practitioner within the meaning of this Act; and
any reference in Division 2 to a fortnightly rate of salary were a reference to a fortnightly rate of salary within the meaning of this Act; and
the reference in paragraph 12.2.4(c) to a member were a reference to an eligible employee within the meaning of this Act; and
any reference in rule 12.2.5 to partial invalidity pension were a reference to partial invalidity pension within the meaning of this Act; and
subparagraph 12.2.5(c)(i) were amended by omitting “exercised the option under rule 4.3.4” and substituting “made an election under section 68, 69, 71 or 72; and
rule 12.2.6 were omitted and the following rule substituted:
“12.2.6 The amount applicable to a member for the purposes of paragraph 12.2.5(b) or subparagraph 12.2.5(c)(ii) is 50% of the fortnightly rate of salary applicable to the person.”; and
rule 12.2.7 were omitted.
Payments to a person under Division 2 of Part 12 of the Rules for the administration of the Public Sector Superannuation Scheme as made applicable in relation to the person by section 54K:
are to be made on contribution days; and
are taken, for the purposes of section 53, to be payments of salary.
A payment referred to in subsection (1) is to be made outs of the Consolidated Revenue Fund, which is appropriated accordingly.
The following costs:
any cost incurred in relation to a panel of persons appointed under subsection 54F(1) or 54JA(2);
the cost of any medical examination that a person is required to undergo under subsection 54F(3) or 54JA(4);
the cost of any rehabilitation program met by CSC under Division 3 of Part 12 of the Rules for the administration of the Public Sector Superannuation Scheme as made applicable in relation to the person by section 54K;
are payable from the Consolidated Revenue Fund, which is appropriated accordingly.
Despite any other provision of this Act, benefits do not accrue to an eligible employee if, under the SIS Act, the accrual of those benefits is not permitted.
Where a person ceases to be an eligible employee on or after attaining the age of 65 years, otherwise than by reason of death, then, if the person does not make an election under section 62 and subject to subsection (3) of this section, the person is entitled to:
standard age retirement pension in accordance with subsection 56(1), (2), (3) or (5) or paragraph 57AA(4)(a); and
if he or she does not make an election under section 64, additional age retirement pension in accordance with subsection 57(1) or (1A) or paragraph 57AA(4)(b); and
lump sum benefit (if any) in accordance with subsection 57(2) or paragraph 57AA(4)(c).
Where a person ceases to be an eligible employee on or after attaining the age of 60 years, but before attaining the age of 65 years, otherwise than by reason of death, then, if the person does not make an election under section 62 and subject to subsections (2A) and (3) of this section, the person is entitled to:
standard age retirement pension in accordance with subsection 56(4) or (5) or paragraph 57AA(4)(a); and
if he or she does not make an election under section 64, additional age retirement pension in accordance with subsection 57(1) or (1A) or paragraph 57AA(4)(b); and
lump sum benefit (if any) in accordance with subsection 57(2) or paragraph 57AA(4)(c).
Subsection (2) does not apply to a person who ceases to be an eligible employee by reason of retirement on the ground of invalidity unless at the time that he or she ceases to be an eligible employee he or she has attained his or her maximum retiring age.
Subsections (1) and (2) do not apply to a person whose period of contributory service is less than 1 year.
Payment of benefit to which a person becomes entitled under this section may be postponed under Part VIB.
This section does not apply to a person who makes an election under subsection 57AA(1).
Where:
a person is entitled to standard age retirement pension by virtue of subsection 55(1); and
his or her period of contributory service is not less than 30 years;
then, subject to subsections (2) and (5) of this section, the annual rate of that pension is 50 per centum of his or her final annual rate of salary.
Where:
a person is entitled to standard age retirement pension by virtue of subsection 55(1); and
the person’s period of contributory service before attaining the age of 65 years exceeds 30 years;
then, subject to subsection (5), the annual rate of that pension is:
if that period of contributory service consists of 30 complete years and a part of a year—such percentage of the person’s final annual rate of salary as is calculated in accordance with the formula:
where:
D is the number of days included in that part of a year; or
if that period of contributory service consists exactly of a number of complete years, or exceeds 40 years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period, is applicable in accordance with Table 1 in Schedule 1; or
if paragraphs (c) and (d) do not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in that period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (d); and
D is the number of days included in that part of a year.
Where:
a person is entitled to a standard age retirement pension by virtue of subsection 55(1); and
his or her period of contributory service is less than 30 years;
then, subject to subsection (5), the annual rate of that pension is:
if that period of contributory service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to that number of years, is applicable in accordance with Table 2 in Schedule 1; or
if that period of contributory service consists of a number of complete years and a part of a year—such percentage of the person’s final annual rate of salary as is ascertained in accordance with the formula:
where:
P1 is the percentage referred to in paragraph (c); and
D is the number of days included in that part of a year; and
P2 is equal to:
if the person’s period of contributory service is not less than 20 years—1; or
if the person’s period of contributory service is less than 20 years—2.
Where a person is entitled to standard age retirement pension by virtue of subsection 55(2), then, subject to subsection (5), the annual rate of that pension is:
if the person’s period of contributory service consists exactly of a number of complete years, or exceeds 40 years—such percentage of the person’s final annual rate of salary as, having regard to the person’s age on his or her last day of service and to the number of complete years included in the person’s period of contributory service, is applicable in accordance with Schedule 2; or
if paragraph (a) does not apply and the person’s period of contributory service consists of a number of complete years and of a part of a year—such percentage of the person’s final annual rate of salary as is calculated in accordance with the formula:
where:
P1 is the percentage referred to in paragraph (a); and
D is the number of days included in that part of a year; and
P2 is such percentage of the person’s final annual rate of salary as, having regard to his or her age on his or her last day of service and the number of complete years that would be included in the person’s period of contributory service if the part of a year included in it were taken to be a complete year, is applicable in accordance with Schedule 2.
If:
a person is entitled to standard age retirement pension by virtue of subsection 55(1) or (2); and
the person’s surcharge debt account is in debit when the pension becomes payable to the person; and
the person does not make an election under section 80B or 80C;
the annual rate of the pension is the rate worked out as provided in subsection 80D(1).
(1AA) This section does not apply to a person who makes an election under subsection 57AA(1).
Where a person is entitled to additional age retirement pension by virtue of section 55, then, subject to subsection (1A), the annual rate of that pension is:
(a) an amount per annum equal to the amount (in this section referred to as the base amount) that is the product of his or her accumulated contributions and such factor as, having regard to his or her age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to him or her in accordance with regulations made for the purposes of this paragraph; or
if the rate ascertained in accordance with paragraph (a) of this subsection is greater than 20 per centum of his or her final annual rate of salary—20 per centum of his or her final annual rate of salary.
If:
a person is entitled to additional age retirement pension by virtue of section 55; and
the person’s surcharge debt account is in debit when the pension becomes payable to the person; and
the person makes an election under section 80C;
the annual rate of that pension is the rate worked out as provided in subsection 80D(2).
(2) Where the base amount is greater than an amount (in this subsection referred to as the maximum amount) equal to 20 per centum of the amount per annum that is his or her final annual rate of salary, there shall be paid to him or her a lump sum benefit equal to the amount by which his or her accumulated contributions exceed an amount ascertained by dividing the maximum amount by the factor referred to in paragraph (1)(a).
Subject to subsection (2), a person who becomes, or is about to become, entitled to standard age retirement pension payable under this Division may, not later than 3 months after but not earlier than 3 months before he or she becomes so entitled, by notice in writing to CSC, elect to be paid age retirement benefit at a reduced rate under this section.
A person who has made an election under section 76A or 110T may not make an election under subsection (1).
If a person makes an election under section 110T after making an election under subsection (1), the person is taken not to have made the election under subsection (1).
If a person makes an election under subsection (1):
the annual rate at which standard age retirement pension is payable to the person is 93% of the annual rate at which that pension would be payable to the person if he or she did not make the election; and
if the person is entitled to additional age retirement pension, the annual rate of that pension is:
(i) an amount per annum equal to the amount (base amount) worked out by multiplying the person’s accumulated contributions by the factor that, having regard to the person’s age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to the person under regulations made for the purposes of this paragraph; or
if the rate worked out under subparagraph (i) is greater than 20% of his or her final annual rate of salary—20% of the person’s final annual rate of salary; and
(c) if the base amount is greater than an amount (maximum amount) equal to 20% of the person’s final annual rate of salary, the person is to be paid a lump sum benefit equal to the amount by which his or her accumulated contributions exceed an amount worked out by dividing the maximum amount by the factor referred to in subparagraph (b)(i).
Where a person:
makes an election under section 76A; and
would, if he or she had retired otherwise than on the ground of invalidity, have been entitled to a standard age retirement pension under section 55;
then, on the day on which the person ceases to be entitled to an invalidity pension because of the election, the person becomes entitled to:
standard age retirement pension at the rate that would have been the rate of that pension at the time of the election if he or she had retired otherwise than on the ground of invalidity; and
if the person did not make an election under section 68 or 71 at the time of his or her retirement, additional age retirement pension in accordance with subsection 57(1) as if his or her accumulated contributions consisted only of his or her accumulated basic contributions.
(1) In this Division, fixed-term employee means:
a person appointed under section 58 of the Public Service Act; or
an APS employee on a fixed term; or
a person who holds an appointment, or is employed, otherwise than under the Public Service Act, by the Commonwealth for a fixed term; or
a person who holds an appointment, or is employed, by an approved authority for a fixed term.
For the purposes only of this Division, if, after ceasing to hold an office of Secretary under the Public Service Act, a person is immediately engaged under section 60 of that Act, the following provisions have effect:
if the person ceased to hold the office of Secretary because the office was abolished, the office is to be taken to have been abolished at the same time as the engagement under that section ends, and the person is to be taken to have ceased to be an eligible employee because of the abolition of the office;
if the person ceased to hold the office of Secretary because the term of his or her appointment to the office expired, that term is to be taken to have expired at the same time as the engagement under that section ends, and the person is to be taken to have ceased to be an eligible employee because of the expiration of the term of the appointment;
if the person ceased to hold the office of Secretary because his or her appointment to the office was terminated before the expiration of the term of the appointment, the appointment is to be taken to have been terminated at the same time as the engagement under that section ends, and the person is to be taken to have ceased to be an eligible employee because of the termination of the appointment.
(3) For the purposes only of this Division, if, after ceasing to hold a Commonwealth office within the meaning of Public Service Act 1922, a person continues as an officer by virtue of a direction under subsection 87ZCA(1) of that Act, the following provisions have effect:Part IV of the
if the person ceased to hold the Commonwealth office because the office was abolished, the office is to be taken to have been abolished at the same time as the person ceases to be an officer by virtue of the direction, and the person is to be taken to have ceased to be an eligible employee because of the abolition of the office;
if the person ceased to hold the Commonwealth office because the term of his or her appointment to the office expired, that term is to be taken to have expired at the same time as the person ceases to be an officer by virtue of the direction, and the person is to be taken to have ceased to be an eligible employee because of the expiration of the term of the appointment;
if the person ceased to hold the Commonwealth office because his or her appointment was terminated before the expiration of the term of the appointment, the appointment is to be taken to have been terminated at the same time as the person ceases to be an officer by virtue of the direction, and the person is to be taken to have ceased to be an eligible employee because of the termination of the appointment.
For the purposes of this Act, a person shall be deemed to have ceased to be an eligible employee by reason of early retirement if:
the person is deemed by subsection (2) to have retired voluntarily; or
the person is deemed by subsection (3) to have retired involuntarily; or
the person is deemed by section 58A or 58B to have retired involuntarily.
Where:
the minimum retiring age of a person who is an eligible employee is less than 60 years; and
on or after reaching the person’s minimum retiring age but before reaching the age of 60 years, the person ceases to be an eligible employee for any reason other than death or involuntary retirement;
the person shall, for the purposes of this Act, be deemed to have retired voluntarily.
Where a person ceases to be an eligible employee because:
if the person has attained his or her minimum retiring age—the person is retired, otherwise than at his or her own request;
in the case of an SES employee—the person retires under section 37 of the Public Service Act;
(b) the person’s employment or appointment is terminated on a ground similar to a ground specified in Public Service Act 1922, as in force immediately before its repeal;section 76D, 76L or 76W of the
except in the case of a temporary employee—his or her position or office ceases to exist, whether by reason of its being abolished or otherwise;
the person retires, or the person’s employment or appointment is terminated, in prescribed circumstances;
the person shall, for the purposes of this Act, be deemed to have retired involuntarily.
(3B) The termination, under the Public Sector Management Act 1994 of the Australian Capital Territory, of an appointment made under that Act is not to be taken to be the termination of the appointment for the purposes of paragraph (3)(b) of this section if:
the appointment was made on probation; and
the appointment had not been confirmed when the termination was effected.
Subsections (2) and (3) and sections 58A and 58B do not apply to a person:
who ceases to be an eligible employee by reason of retirement on the ground of invalidity; or
whose period of contributory service is less than 1 year.
If the question arises whether employment mentioned in paragraph (3A)(b) is equivalent employment, the Minister may determine the matter.
Subsection (2) applies to a person who:
ceases to be an eligible employee; and
(b) immediately before ceasing to be an eligible employee, is the holder of a statutory office (in this section called the relevant statutory office); and
immediately before becoming the holder of the relevant statutory office:
was an APS employee or a Secretary (within the meaning of the Public Service Act), other than a fixed-term employee; or
was a fixed-term employee (other than a person referred to in paragraph 57B(1)(d) or (e)) who would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the fixed term of the appointment or employment by virtue of which the person was a fixed-term employee had he or she not been appointed to the relevant statutory office; or
was an employee (other than as a fixed-term employee) of the authority or body that is liable to pay the remuneration of the holder of the relevant statutory office; or
as a fixed-term employee, held office under an appointment, or was employed, by the authority or body that is liable to pay the remuneration of the holder of the relevant statutory office and would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the fixed term of the appointment or employment by virtue of which the person was a fixed-term employee had he or she not been appointed to the relevant statutory office; or
held a statutory office and would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the term of his or her appointment to that office had he or she not been appointed to the relevant statutory office.
A person to whom this subsection applies is to be deemed, for the purposes of this Act, to have retired involuntarily on the expiration of the term of his or her appointment to the relevant statutory office if:
the person was eligible to be re-appointed to the office; and
he or she desired to be so re-appointed; and
he or she was not so re-appointed.
If:
a person who is the holder of a statutory office ceases to be an eligible employee on the expiration of the term of his or her appointment to the office; and
the person is not a person to whom subsection (2) applies; and
the person is eligible to be re-appointed to the office; and
although the person desires to be so re-appointed, he or she is not re-appointed;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily.
If:
it is provided in the document by means of which a person is appointed to a statutory office, or it is a term or condition of the appointment, that subsection (2) is not to apply to the person in relation to the office; and
the term of the appointment expires; and
the person is eligible to be re-appointed to the office; and
although the person desires to be so re-appointed, he or she is not re-appointed; and
but for this subsection, the person would have been deemed to have retired involuntarily;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily.
If:
it is provided in the document by means of which a person is appointed to a statutory office, or it is a term or condition of the appointment, that subsection (3) is not to apply to the person in relation to the office; and
the term of the appointment expires; and
the person is eligible to be re-appointed to the office; and
although the person desires to be so re-appointed, he or she is not re-appointed; and
but for this subsection, the person would not have been deemed, for the purposes of this Act, to have retired involuntarily;
the person is to be deemed, for the purposes of this Act, to have retired involuntarily.
If a person who is the holder of a statutory office ceases to be an eligible employee because the person’s appointment to the statutory office is terminated before the expiration of the term of the appointment, the following provisions have effect:
if:
the document by means of which the person was appointed to the office provided that, in the events that have happened, the person was not to be deemed to have retired involuntarily for the purposes of this Act; or
it was a term or condition of the appointment that, in the events that have happened, the person was not to be deemed to have retired involuntarily for the purposes of this Act;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily;
in any other case, the person is to be deemed, for the purposes of this Act, to have retired involuntarily.
The document by means of which a person is appointed to a statutory office must not include provision of the kind mentioned in paragraph (5)(a) except with the approval of the Minister.
An appointment of a person must not be made on the basis that it is a term or condition of the appointment that subsection (3) is not to apply to the person in relation to the office unless the Minister has approved the making of the appointment on that basis.
The inclusion of a provision in a document in contravention of subsection (7) is ineffective for the purposes of paragraph (5)(a), but the document is as effective in all other respects as it would be apart from this subsection.
If an appointment is made in contravention of subsection (8), the term or condition referred to in that subsection is ineffective, but all other terms and conditions of the appointment are as effective in all other respects as they would be apart from this subsection.
In the case of a person who has ceased to be an eligible employee on more than one occasion, this section cannot have effect except in relation to the last such occasion.
Subsection (2) applies to a person who:
ceases to be an eligible employee; and
(b) immediately before ceasing to be an eligible employee, is a fixed-term employee under employment referred to in this section as the latest employment; and
immediately before becoming a fixed-term employee under the latest employment:
was an APS employee or a Secretary (within the meaning of the Public Service Act), other than a fixed-term employee; or
was an employee (other than a fixed-term employee) of the authority or body that appointed him or her as a fixed-term employee under the latest employment; or
was employed by the Commonwealth (otherwise than as a fixed-term employee) under the same law (not being the Public Service Act) as that under which he or she was employed in the latest employment; or
was a fixed-term employee (other than a person referred to in paragraph 57B(1)(d) or (e)) who would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the fixed term of the appointment or employment by virtue of which the person was a fixed-term employee had he or she not been appointed or employed as a fixed-term employee under the latest employment; or
was:
(A) a fixed-term employee of the authority or body that appointed or employed him or her under the latest employment; or
(B) a fixed-term employee of the Commonwealth under the same law (not being the Public Service Act) as that under which he or she was employed in the latest employment;
who would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the fixed term of the appointment or employment by virtue of which the person was a fixed-term employee had he or she not been appointed or employed as a fixed-term employee under the latest employment; or
held a statutory office and would have been deemed, by a provision of this Division (including this section) or otherwise, for the purposes of this Act, to have retired involuntarily on the expiration of the term of his or her appointment to that office had he or she not become a fixed-term employee.
A person to whom this subsection applies is to be deemed, for the purposes of this Act, to have retired involuntarily on the expiration of the fixed term of his or her appointment or employment as a fixed-term employee if:
the person was eligible to be re-appointed or re-employed as a fixed-term employee; and
he or she desired to be so re-appointed or re-employed; and
he or she was not so re-appointed or re-employed.
If:
a person who is a fixed-term employee ceases to be an eligible employee on the expiration of the fixed term of his or her appointment or employment as a fixed-term employee; and
the person is not a person to whom subsection (2) applies; and
the person is eligible to be re-appointed or re-employed as a fixed-term employee; and
although the person desires to be so re-appointed or re-employed, he or she is not so re-appointed or re-employed;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily.
If:
it is provided in a document by means of which a person is appointed or employed as a fixed-term employee, or it is a term or condition of the appointment or employment, that subsection (2) is not to apply to the person in relation to the appointment or employment; and
the fixed term of the appointment or employment expires; and
the person is eligible to be re-appointed or re-employed as a fixed-term employee; and
although the person desires to be so re-appointed or re-employed, he or she is not so re-appointed or re-employed; and
but for this subsection, the person would have been deemed to have retired involuntarily;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily.
If:
it is provided in a document by means of which a person is appointed or employed as a fixed-term employee, or it is a term or condition of the appointment or employment, that subsection (3) is not to apply to the person in relation to the appointment or employment; and
the fixed term of the appointment or employment expires; and
the person is eligible to be re-appointed or re-employed as a fixed-term employee; and
although the person desires to be so re-appointed or re-employed, he or she is not so re-appointed or re-employed; and
but for this subsection, the person would not have been deemed to have retired involuntarily;
the person is to be deemed, for the purposes of this Act, to have retired involuntarily.
If a person who is a fixed-term employee ceases to be an eligible employee because his or her appointment or employment is terminated before the expiration of the fixed term, the following provisions have effect:
if:
the document by means of which the person was appointed or employed in the position or office provided that, in the events that have happened, the person was not to be deemed to have retired involuntarily for the purposes of this Act; or
it was a term or condition of the appointment or employment that, in the events that have happened, the person was not to be deemed to have retired involuntarily for the purposes of this Act;
the person is not to be deemed, for the purposes of this Act, to have retired involuntarily;
in any other case, the person is to be deemed, for the purposes of this Act, to have retired involuntarily.
A document by means of which a person is appointed or employed as a fixed-term employee must not include provision of the kind mentioned in paragraph (5)(a) except with the approval of the Minister.
A person must not be appointed or employed as a fixed-term employee on the basis that it is a term or condition of the appointment or employment that subsection (3) is not to apply to the person in relation to the appointment or employment unless the Minister has approved the appointment or employment of the person on that basis.
The inclusion of a provision in a document in contravention of subsection (7) is ineffective for the purposes of paragraph (5)(a), but the document is as effective in all other respects as it would be apart from this subsection.
If a person is appointed or employed in contravention of subsection (8), the term or condition referred to in that subsection is ineffective, but all other terms and conditions of the appointment or employment are as effective in all other respects as they would be apart from this subsection.
In the case of a person who has ceased to be an eligible employee on more than one occasion, this section cannot have effect except in relation to the last such occasion.
Where a person who has not attained the age of 60 ceases to be an eligible employee by reason of early retirement, then, if the person does not make an election under section 62, he or she is entitled to:
standard early retirement pension in accordance with section 60 or paragraph 61AB(4)(a); and
if he or she does not make an election under section 64, additional early retirement pension in accordance with subsection 61(1) or (1A) or paragraph 61AB(4)(b); and
lump sum benefit (if any) in accordance with subsection 61(2) or paragraph 61AB(4)(c).
Payment of benefit to which a person becomes entitled under this section may be postponed under Part VIB.
This section does not apply to a person who makes an election under subsection 61AB(1).
Where a person is entitled to standard early retirement pension by virtue of section 59, then, subject to subsection (2), the annual rate of that pension is the amount per annum of the standard age retirement pension that would be payable to him or her in accordance with subsection 56(4) if his or her age on his or her last day of service had been 60 years, reduced by 3⅓ per centum of that amount for each year, or part of a year, included in the period commencing on the day immediately following his or her last day of service and ending on the day immediately preceding the day on which the 60th anniversary of his or her birth will occur.
If:
the person’s surcharge debt account is in debit when standard early retirement pension becomes payable to the person; and
the person does not make an election under section 80B or 80C;
the annual rate of that pension is the rate worked out as provided in subsection 80D(1).
(1AA) This section does not apply to a person who makes an election under subsection 61AB(1).
Where a person is entitled to additional early retirement pension by virtue of section 59, then, subject to subsection (1A), the annual rate of that pension is:
(a) an amount per annum equal to the amount (in this section referred to as the base amount) that is the product of his or her accumulated contributions and the factor applicable to him or her under subsection (3); or
if the rate ascertained in accordance with paragraph (a) is greater than 20 per centum of the notional final annual rate of salary of the person—20 per centum of his or her notional final annual rate of salary.
If:
a person is entitled to additional early retirement pension by virtue of section 59; and
the person’s surcharge debt account is in debit when the pension becomes payable to the person; and
the person makes an election under section 80C;
the annual rate of that pension is the rate worked out as provided in subsection 80D(2).
(2) Where the base amount is greater than an amount (in this subsection referred to as the maximum amount) equal to 20 per centum of the amount per annum that is the notional final annual rate of salary of the person, there shall be paid to him or her a lump sum benefit equal to the amount by which his or her accumulated contributions exceed an amount ascertained by dividing the maximum amount by the factor applicable to him or her under subsection (3).
The factor applicable to a person for the purposes of subsections (1) and (2) is such factor as, having regard to his or her age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to him or her in accordance with regulations made for the purposes of this subsection.
In this section:
notional final annual rate of salary, in relation to a person, means the annual rate of the person’s final annual rate of salary reduced by such percentage of that rate as, having regard to his or her age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to him or her in accordance with regulations made for the purposes of this definition.
Where a person:
makes an election under section 76A; and
would, if he or she had resigned or had retired otherwise than on the ground of invalidity, have been entitled to a standard early retirement pension under section 59;
then, on the day on which the person ceases to be entitled to an invalidity pension because of the election, the person becomes entitled to:
standard early retirement pension at the rate that would have been the rate of that pension at the time of the election if he or she had resigned or had retired otherwise than on the ground of invalidity; and
if the person did not make an election under section 68 or 71 at the time of his or her retirement, additional early retirement pension in accordance with subsection 61(1) as if his or her accumulated contributions consisted only of his or her accumulated basic contributions.
Subject to subsection (2), a person who becomes, or is about to become, entitled to standard early retirement pension under this Division or Subdivision C of Division 3 of Part VIC may, not later than 3 months after but not earlier than 3 months before he or she becomes so entitled, by notice in writing to CSC, elect to be paid early retirement benefit at a reduced rate under this section.
A person who has made an election under section 76A or 110T may not make an election under subsection (1).
If a person makes an election under section 110T after making an election under subsection (1), the person is taken not to have made the election under subsection (1).
(4) If a person makes an election under this section:
the annual rate at which standard early retirement pension is payable to the person is 93% of the annual rate at which that pension would be payable to the person if he or she did not make the election; and
if the person is entitled to additional early retirement pension, the annual rate of that pension is:
(i) an amount per annum equal to the amount (base amount) worked out by multiplying the person’s accumulated contributions by the factor applicable to him or her under subsection (5); or
if the rate worked out under subparagraph (i) is greater than 20% of the person’s notional final annual rate of salary—20% of his or her notional final annual rate of salary; and
(c) if the base amount is greater than an amount (maximum amount) equal to 20% of the person’s final annual rate of salary, the person is to be paid a lump sum benefit equal to the amount by which his or her accumulated contributions exceed an amount worked out by dividing the maximum amount by the factor applicable to him or her under subsection (5).
The factor applicable to a person for the purposes of paragraphs (4)(b) and (c) is the factor that, having regard to his or her age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to him or her under regulations made for the purposes of this subsection.
In this section:
notional final annual rate of salary, in relation to a person, means the annual rate of the person’s final annual rate of salary reduced by the percentage of that rate that, having regard to his or her age on his or her last day of service and such other matters (if any) as are prescribed, is applicable to him or her under regulations made for the purposes of this definition.
Where a person who ceases, or is about to cease, to be an eligible employee by reason of early retirement is deemed, or will, upon so ceasing, be deemed, by subsection 58(3), or by section 58A or 58B, to have retired involuntarily, the person may, not later than 3 months after, and not earlier than 3 months before, the day on which he or she so ceases to be an eligible employee, elect by notice in writing to CSC, that, in lieu of pension and lump sum benefit being payable under section 55 or 59, benefit be paid under this section.
Subject to subsection (2CA) and 1 July 2000 makes an election under subsection (1), the person is entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section 55 or 59, to payment of:section 62B, if a person who ceases to be an eligible employee before
if paragraph (b) does not apply, a lump sum benefit equal to the sum of:
3.5 times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated supplementary contributions (if any); or
if the person had, at any time before ceasing to be an eligible employee, received a partial invalidity pension, a lump sum benefit equal to the sum of:
the amount worked out using the formula:
the amount of the person’s accumulated supplementary contributions (if any).
Subject to subsection (2CA) and 1 July 2000 makes an election under subsection (1), subsection (2B) or (2C) has effect.section 62B, if a person who ceases to be an eligible employee on or after
If the person has reached the age of 55 years at the time when he or she ceases to be an eligible employee and provides CSC with a statement to the effect that he or she has retired from the workforce upon so ceasing, the person is (subject to subsection (2CA)) entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section 55 or 59, to payment of:
if paragraph (b) does not apply, a lump sum benefit equal to the sum of:
3.5 times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated supplementary contributions (if any); or
if the person had, at any time before ceasing to be an eligible employee, received a partial invalidity pension, a lump sum benefit equal to the sum of:
the amount worked out using the formula:
the amount of the person’s accumulated supplementary contributions (if any).
If the person has not reached the age of 55 years at the time when he or she ceases to be an eligible employee or has not provided CSC with a statement to the effect that he or she has retired from the workforce upon so ceasing, the person is (subject to subsection (2CA)) entitled, in lieu of pension and lump sum benefit to which, if the election had not been made, the person would be entitled under section 55 or 59:
to have an amount equal to the lump sum benefit mentioned in subsection (2B) treated as a preserved benefit under the SIS Act and dealt with accordingly; or
to payment of an amount equal to the amount of the person’s accumulated contributions and to have an amount equal to the balance of the lump sum benefit mentioned in subsection (2B) treated as a preserved benefit under the SIS Act and dealt with accordingly.
(2CA) If the person’s surcharge debt account is in debit when the lump sum benefit becomes payable to the person, the lump sum benefit to which the person is entitled is equal to the difference between:
the lump sum benefit to which the person would be entitled if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
In this section:
Actual contributions, in relation to a person, means the person’s accumulated basic contributions.
Notional contributions, in relation to a person, means the amount that would have been the person’s accumulated basic contributions if, during the period in respect of which partial invalidity pension was paid, the person’s basic contributions had been paid at the rate at which they would have been paid (including, if the person has made an election that is in force under subsection 46(2), at the rate of nil) if:
in respect of a partial invalidity pension paid under section 77—the person’s annual rate of salary on the day on which the person again became an eligible employee had been the same as the annual rate of the person’s retirement salary for the purposes of that section; or
in respect of a partial invalidity pension paid under section 78—the person’s annual rate of salary had not decreased as mentioned in that section.
In this Division:
accumulated government body contributions means the total of: the total amount of the productivity contributions applicable to the person in respect of the period; and notional interest on the amount worked out under paragraph (a).
the total amount of the productivity contributions applicable to the person in respect of the period; and
notional interest on the amount worked out under paragraph (a).
government body scheme means a superannuation scheme: established by, or operating for the benefit of employees of: an authority of the Commonwealth; or a State or an authority of a State; or a Territory or an authority of a Territory; or a body corporate in which the Commonwealth, or a person of the kind referred to in paragraph (i), (ii) or (iii), either individually or in combination with one or more other such persons, has a controlling interest; and that has eligible employees as members; and under which productivity contributions accrue in respect of those eligible employees.
established by, or operating for the benefit of employees of:
an authority of the Commonwealth; or
a State or an authority of a State; or
a Territory or an authority of a Territory; or
a body corporate in which the Commonwealth, or a person of the kind referred to in paragraph (i), (ii) or (iii), either individually or in combination with one or more other such persons, has a controlling interest; and
that has eligible employees as members; and
under which productivity contributions accrue in respect of those eligible employees.
notional accumulated SG contributions means an amount equal to the sum of: the person’s SG minimum contributions in relation to that period as reduced by an amount specified in, or worked out in accordance with, a determination made by an actuary under subsection (5); and notional interest on the amount worked out under paragraph (a).
the person’s SG minimum contributions in relation to that period as reduced by an amount specified in, or worked out in accordance with, a determination made by an actuary under subsection (5); and
notional interest on the amount worked out under paragraph (a).
period of actual contributory service means the person’s period of contributory service other than any part of that period added by the operation of subsection 128(5) that is not attributable to a transfer value previously paid under Division 3 of Part IX.
productivity contribution means:
in relation to a person who is a productivity employee within the meaning of Part VIA—a productivity contribution within the meaning of that Part (other than an amount taken to be a productivity contribution by virtue of the operation of paragraph 128(2)(c)); or
in relation to any other person—an amount similar in kind to such a productivity contribution, whether worked out under an industrial award or otherwise.
rate of fund contribution tax means 15% or such other rate as is determined by CSC under section 110SD.
relevant period of employment, in relation to a person, means:
if the whole of the person’s period of actual contributory service occurred after 30 June 1994—that period; or
if part only of the person’s period of actual contributory service occurred after that date—that part of the person’s period of actual contributory service.
SG minimum contribution has the same meaning as in Part VIAA.
top-up benefit means superannuation guarantee top-up benefit payable under section 110SE.
(2) For the purposes of paragraph (a) of the definition of accumulated government body contributions in subsection (1), the amount of a productivity contribution applicable to a person in relation to a particular period (the accrual period) is:
if the relevant government body scheme provides for productivity contributions (applicable to all eligible employees who are members of the scheme) that may be expressed as a percentage of the earnings (as described for the purposes of the scheme) of each employee—that percentage of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person; or
if the relevant government body scheme provides for productivity contributions (applicable to a class of eligible employees identified by the scheme) that may be expressed as a percentage of the earnings (as described for the purposes of the scheme) of each employee in the class, and the percentage is lower than the corresponding percentage for any other class of eligible employees—that percentage of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person; or
(c) if the relevant government body scheme is a defined benefit superannuation scheme within the meaning of the Superannuation Guarantee (Administration) Act 1992 that provides for a productivity related benefit applicable to all eligible employees who are members of the scheme—the contribution percentage, in relation to that benefit, of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person.
(3) For the purposes of paragraph (2)(c), contribution percentage means the rate of contribution, expressed as a percentage of the eligible employees’ earnings and certified by an actuary, required to provide the productivity related benefit.
The percentage referred to in paragraph (2)(a) or (b) must be certified by the person’s employer.
(5) For the purposes of the definition of notional accumulated SG contributions in subsection (1), an actuary is to determine:
an amount representing the cost of death and invalidity cover relevant to the person’s SG minimum contributions; or
a means of working out such an amount.
If a benefit is payable to a person under subsection 62(2), the portion of that benefit worked out under whichever of subsections (3) and (4) of this section applies is to be treated as a preserved benefit under the SIS Act and dealt with accordingly.
If a person’s employer was liable to pay productivity contributions under section 110H in respect of the person for the person’s relevant period of employment, the portion of the benefit referred to in subsection (1) is the amount worked out using the formula:
where:
NASGC is the notional accumulated SG contributions in respect of the person for the person’s relevant period of employment.
AEC is that part of the accumulated employer contributions in respect of the person that is based on the operation of paragraphs 110Q(1)(a) and (b) in relation to productivity contributions paid or payable after 30 June 1994.
TR is the percentage figure representing the rate of fund contribution tax applicable to the relevant period of employment.
If a person’s employer was liable to pay productivity contributions to a government body scheme in respect of the person for the person’s relevant period of employment, the portion of the benefit referred to in subsection (1) is whichever of the following amounts is determined by CSC after having regard to the views of the government body:
an amount worked out using the formula:
an amount worked out using the formula:
an amount worked out using the formula:
where:
NASGC is the notional accumulated SG contributions in respect of the person for the person’s relevant period of employment.
AGBC is the accumulated government body contributions in respect of the person for the person’s relevant period of employment.
GBB is the benefit paid or payable from the government body scheme in respect of the person for the person’s relevant period of employment plus, except where the person ceases to be both a member of the government body scheme and an eligible employee, notional interest on that benefit.
TR is the percentage figure representing the rate of fund contribution tax applicable to the relevant period of employment.
GBPROD is the total of:
that part of the amount that has been paid to the Commissioner or CSC under section 110MA in respect of the person for the person’s relevant period of employment less the amount in the nature of income tax (if any) that is relevant to that amount; and
interest on the paid amount referred to in paragraph (a).
In determining the benefit paid or payable from a government body scheme in respect of a person, CSC may accept a statement from the trustees, the administrator on behalf of the trustees or, if there are no trustees, the administrator of the government body scheme as to:
the amount of benefit paid or payable; or
the date on which it was paid or is payable; or
the period in respect of which the benefit was paid or is payable; or
rates of interest applicable to amounts of money paid to the scheme; or
any other matter in connection with the payment of the benefit.
If a single application of a formula set out in section 62B cannot properly be made for the whole of a person’s relevant period of employment because of a change in the person’s employment, the rate of fund contribution tax or any other thing:
that period is to be broken up into such separate periods as is appropriate for the proper application of such a formula in respect of each such period; and
the resulting amounts (including negative amounts) are to be aggregated in respect of the whole of the person’s period of actual contributory service.
This Division applies:
to additional age retirement pension payable under Division 1 of this Part; and
to additional early retirement pension payable under Division 2 of this Part.
A person who becomes, or is about to become, entitled to a pension to which this Division applies may, not later than 3 months after but not earlier than 3 months before he or she becomes so entitled, make, by notice in writing to CSC, an election to commute that pension into a lump sum benefit payable to him or her.
If a pension to which this Division applies becomes, or is about to become, payable on a date worked out under section 110TB to a person who elected to postpone payment of that pension under Part VIB, the person may, not later than 3 months after but not earlier than 3 months before, the pension becomes so payable, make, by notice in writing to CSC, an election to commute that pension into a lump sum benefit payable to him or her.
Where a person makes an election under section 64 to commute a pension to which this Division applies, there shall be paid to the person a lump sum benefit equal to his or her accumulated contributions and:
he or she is not entitled to the pension; and
spouse’s additional pension is not payable under subsection 93(1) to a spouse of the person.
Where a lump sum benefit is payable under subsection 57(2), paragraph 57AA(2)(c), subsection 61(2) or paragraph 61AB(2)(c) to a person who has made or makes an election under section 64, subsection (1) of this section has effect in relation to him or her as if the reference in that subsection to his or her accumulated contributions were a reference to the amount of those contributions reduced by the amount of the lump sum benefit payable under subsection 57(2), paragraph 57AA(2)(c), subsection 61(2) or paragraph 61AB(2)(c).
Where a person who is entitled to:
additional age retirement pension by virtue of section 57A; or
additional early retirement pension by virtue of section 61A;
has made or makes an election under section 64, subsection (1) of this section has effect in relation to the person as if the reference in that subsection to the person’s accumulated contributions were a reference to the person’s accumulated basic contributions.
Subject to subsections (3), (3A) and (4) of this section and to section 79, where a person ceases to be an eligible employee by reason of retirement on the ground of invalidity before attaining his or her maximum retiring age then, except in a case where subsection (2) of this section applies, the person is entitled:
if the person does not make an election under section 68 or 69—to invalidity pension in accordance with section 67 and, where the person has paid supplementary contributions, a lump sum benefit in accordance with that section;
if the person makes an election under section 68—to invalidity pension, and a lump sum benefit, in accordance with that section; or
if the person is entitled to make an election under section 69 and makes such an election—to a lump sum benefit in accordance with that section.
Subject to subsections (3), (3A) and (4) of this section and section 79, where:
a person ceases to be an eligible employee by reason of retirement on the ground of invalidity before attaining his or her maximum retiring age;
there was in force in respect of the person, immediately before the person’s retirement, a benefit classification certificate; and
CSC is of the opinion that the incapacity which was the ground for his or her retirement was caused, or was substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or such conditions;
the person is entitled:
where the period of contributory service of the person is not less than 8 years:
if the person does not make an election under section 71 or 72—to invalidity pension in accordance with section 70 and, where the person has paid supplementary contributions, a lump sum benefit in accordance with that section;
if the person makes an election under section 71—to invalidity pension, and a lump sum benefit, in accordance with that section; or
if the person is entitled to make an election under section 72 and makes such an election—to a lump sum benefit in accordance with that section; or
where the period of contributory service of the person is less than 8 years—to a lump sum benefit in accordance with section 73.
Where CSC is of the opinion that:
a person will, in the near future, cease to be an eligible employee by reason of retirement on the ground of invalidity before attaining the person’s maximum retiring age;
there will be in force in respect of the person, immediately before the person’s retirement, a benefit classification certificate; and
the incapacity which will be the ground for the person’s retirement was caused, or was substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or such conditions;
then:
CSC shall inform the person in writing that CSC had formed the opinions referred to in paragraphs (a), (b) and (c); and
where the person becomes a person referred to in paragraph (2)(a) and to whom paragraph (2)(b) applies, CSC shall be taken to have formed the opinion referred to in paragraph (2)(c) in relation to that person immediately on the person becoming a person referred to in paragraph (2)(a) unless, whether before or after the person became a person so referred to, CSC informed the person in writing that this subsection is not to apply to the person.
Where CSC forms the opinion referred to in paragraph (2)(c) in relation to a person on a date after the date on which the person retired, any payment to that person before the first-mentioned date of benefit or of pension purported to be made under subsection (2) shall be deemed to have been as valid as it would have been if CSC had formed that opinion immediately on the person’s retirement.
Where a person to whom invalidity pension had been payable in accordance with section 68 or 71 again became an eligible employee and later ceases to be an eligible employee by reason of retirement on the ground of invalidity before attaining his or her maximum retiring age, he or she is not entitled to invalidity benefit in accordance with section 67 or 70, but he or she is entitled to invalidity benefit in accordance with section 68 or 71, as the case may be, as if he or she had made an election under whichever of those sections is applicable.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX;
deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity pension becoming payable to him or her in accordance with section 68 or 71;
the deferred benefit is cancelled under subsection 76(1) upon his or her again becoming an eligible employee or is cancelled under subsection 143(2); and
the person later ceases to be an eligible employee by reason of retirement on the ground of invalidity before attaining his or her maximum retiring age or becomes entitled to deferred benefit by way of invalidity benefit;
the person is not entitled to invalidity benefit in accordance with section 67 or 70, but he or she is entitled to invalidity benefit in accordance with section 68 or 71, as the case may be, as if he or she had made an election under whichever of those sections is applicable.
Subsections (3) and (3A) shall not be taken to prevent a person who would, but for those subsections, be entitled to make an election under section 69 or 72 from making such an election and becoming entitled to invalidity benefit in accordance with whichever of those sections is applicable.
Subsections (1) and (2) do not apply to a person whose period of prospective service is less than 1 year.
This section applies to a person who:
is entitled to invalidity benefit by virtue of subsection 66(1); and
does not make an election under section 68 or 69.
Where the period of prospective service of a person to whom this section applies is not less than 30 years, then, subject to subsections (3) and (4A) of this section, the annual rate of the pension to which the person is entitled is 70 per centum of that person’s final annual rate of salary.
Where the period of contributory service of a person to whom this section applies exceeds 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if that period of contributory service consists of 30 complete years and a part of a year—such percentage of the person’s final annual rate of salary as is calculated in accordance with the formula:
where:
D is the number of days included in that part of a year; or
if that period of contributory service consists exactly of a number of complete years, or exceeds 40 years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period, is applicable in accordance with columns 1 and 2 of Schedule 3; or
if paragraphs (a) and (b) do not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in that period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (b); and
D is the number of days included in that part of a year.
Where the period of prospective service of a person to whom this section applies is less than 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if that period of prospective service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to that number of years, is applicable in accordance with columns 1 and 2 of Schedule 4; or
if that period of prospective service consists of a number of complete years and a part of a year—such percentage of the person’s final annual rate of salary as is ascertained in accordance with the formula:
where:
P1 is the percentage referred to in paragraph (a); and
D is the number of days included in that part of a year; and
P2 is equal to:
if the person’s period of prospective service is not less than 20 years—1.4; or
if the person’s period of prospective service is less than 20 years—2.8.
If the surcharge debt account of a person to whom this section applies is in debit when invalidity pension becomes payable to the person, the annual rate of the pension to which the person is entitled is the rate worked out as provided in subsection 80D(1).
Where a person to whom this section applies has paid supplementary contributions, the lump sum benefit to which the person is entitled is an amount equal to the person’s accumulated supplementary contributions.
A person who becomes, or is about to become, entitled to invalidity pension by virtue of subsection 66(1) may, not later than 3 months after becoming, but not earlier than 3 months before he or she becomes, so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 67, pension and lump sum benefit be paid in accordance with this section.
Where a person makes an election under subsection (1) and the period of prospective service of the person is not less than 30 years, then, subject to subsections (3) and (4A), the annual rate of the pension to which the person is entitled is 50 per centum of that person’s final annual rate of salary.
Where a person makes an election under subsection (1) and the period of contributory service of the person exceeds 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if that period of contributory service consists of 30 complete years and a part of a year—such percentage of the person’s final annual rate of salary as is calculated in accordance with the formula:
where:
D is the number of days included in that part of a year; or
if that period of contributory service consists exactly of a number of complete years, or exceeds 40 years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period, is applicable in accordance with columns 1 and 3 of Schedule 3; or
if paragraphs (a) and (b) do not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in that period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (b); and
D is the number of days included in that part of a year.
Where a person makes an election under subsection (1) and the period of prospective service of the person is less than 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if that period of prospective service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to that number of years, is applicable in accordance with columns 1 and 3 of Schedule 4; or
if that period of prospective service consists of a number of complete years and a part of a year—such percentage of the person’s final annual rate of salary as is ascertained in accordance with the formula:
where:
P1 is the percentage referred to in paragraph (a); and
D is the number of days included in that part of a year; and
P2 is equal to:
if the person’s period of prospective service is not less than 20 years—1; or
if the person’s period of prospective service is less than 20 years—2.
If:
a person makes an election under subsection (1); and
the person’s surcharge debt account is in debit when invalidity pension becomes payable to the person; and
the person does not make an election under section 80B;
the annual rate of the pension to which the person is entitled is the rate worked out as provided in subsection 80D(1).
Where a person makes an election under subsection (1), the lump sum benefit to which the person is entitled is an amount equal to the person’s accumulated contributions.
A person who makes an election under section 69 is not entitled to make an election under subsection (1) of this section.
A person:
who becomes, or is about to become, entitled to invalidity benefit by virtue of subsection 66(1); and
whose period of prospective service, at the time of his or her so becoming entitled to invalidity benefit is, or will be, less than 8 years;
may, not later than 3 months after becoming, but not earlier than 3 months before he or she becomes, so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 67, lump sum benefit be paid in accordance with this section.
Where a person makes an election under subsection (1), then, subject to subsection (3), the lump sum benefit to which the person is entitled is an amount equal to whichever is the greater of:
the sum of:
3½ times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated supplementary contributions (if any); or
the sum of:
one-half of the amount that is the amount per annum of the person’s final annual rate of salary; and
the amount of the person’s accumulated supplementary contributions (if any).
If:
a person makes an election under subsection (1); and
the person’s surcharge debt account is in debit when invalidity benefit becomes payable to the person;
the lump sum benefit to which the person is entitled is an amount equal to the difference between:
the amount that would be payable to the person under subsection (2) if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
A person who makes an election under section 68 is not entitled to make an election under subsection (1) of this section.
This section applies to a person:
who is entitled to invalidity benefit by virtue of subsection 66(2);
whose period of contributory service is not less than 8 years; and
who has not made an election under section 71 or 72.
Where the period of prospective service of a person to whom this section applies is not less than 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if the person’s period of contributory service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period of contributory service, is applicable in accordance with columns 1 and 2 of Schedule 5; or
if paragraph (a) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (a); and
D is the number of days in that part of a year.
Where the period of prospective service of a person to whom this section applies is less than 30, but is not less than 20, years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is an amount per annum calculated by:
ascertaining the amount per annum that is:
if the person’s period of prospective service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period of prospective service, is applicable in accordance with columns 1 and 2 of Schedule 6; or
if subparagraph (i) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of prospective service, is calculated in accordance with the formula:
multiplying the amount so ascertained by:
if the person’s period of contributory service consists exactly of a number of complete years—such factor as, having regard to that number of years, is applicable in accordance with Schedule 7; or
if subparagraph (i) does not apply—such factor as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in subparagraph (a)(i); and
D1 is the number of days in the part of a year referred to in subparagraph (a)(ii); and
F is the factor referred to in subparagraph (b)(i); and
D2 is the number of days in the part of a year referred to in subparagraph (b)(ii).
Where the period of prospective service of a person to whom this section applies is less than 20 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if the person’s period of contributory service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to that number of complete years, is applicable in accordance with columns 1 and 2 of Schedule 8; or
if paragraph (a) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (a); and
D is the number of days in the part of a year included in the person’s period of contributory service.
If the surcharge debt account of a person to whom this section applies is in debit when invalidity pension becomes payable to the person, the annual rate of the pension to which the person is entitled is the rate worked out as provided in subsection 80D(1).
Where a person to whom this section applies has paid supplementary contributions, the lump sum benefit to which the person is entitled is an amount equal to the person’s accumulated supplementary contributions.
A person:
who becomes, or is about to become, entitled to invalidity benefit by virtue of subsection 66(2); and
whose period of contributory service, at the time of his or her so becoming entitled to invalidity benefit is not, or will not be, less than 8 years;
may, not later than 3 months after becoming, but not earlier than 3 months before he or she becomes, so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 70, pension and lump sum benefit be paid in accordance with this section.
Where a person makes an election under subsection (1) and the period of prospective service of the person is not less than 30 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if the person’s period of contributory service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period of contributory service, is applicable in accordance with columns 1 and 3 of Schedule 5; or
if paragraph (a) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (a); and
D is the number of days in that part of a year.
Where a person makes an election under subsection (1) and the period of prospective service of the person is less than 30, but is not less than 20, years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is an amount per annum calculated by:
ascertaining the amount per annum that is:
if the person’s period of prospective service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years included in that period of prospective service, is applicable in accordance with columns 1 and 3 of Schedule 6; or
if subparagraph (i) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of prospective service, is calculated in accordance with the formula:
multiplying the amount so ascertained by:
if the person’s period of contributory service consists exactly of a number of complete years—such factor as, having regard to that number of years, is applicable in accordance with Schedule 7; or
if subparagraph (i) does not apply—such factor as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in subparagraph (a)(i); and
D1 is the number of days in the part of a year referred to in subparagraph (a)(ii); and
F is the factor referred to in subparagraph (b)(i); and
D2 is the number of days in the part of a year referred to in subparagraph (b)(ii).
Where a person makes an election under subsection (1) and the period of prospective service of the person is less than 20 years, then, subject to subsection (4A), the annual rate of the pension to which the person is entitled is:
if the person’s period of contributory service consists exactly of a number of complete years—such percentage of the person’s final annual rate of salary as, having regard to that number of complete years, is applicable in accordance with columns 1 and 3 of Schedule 8; or
if paragraph (a) does not apply—such percentage of the person’s final annual rate of salary as, having regard to the number of complete years, and the part of a year, included in the person’s period of contributory service, is calculated in accordance with the formula:
where:
P is the percentage referred to in paragraph (a); and
D is the number of days in the part of a year included in the person’s period of contributory service.
If:
a person makes an election under subsection (1); and
the person’s surcharge debt account is in debit when invalidity pension becomes payable to the person; and
the person does not make an election under section 80B;
the annual rate of the pension to which the person is entitled is the rate worked out as provided in subsection 80D(1).
Where a person makes an election under subsection (1), the lump sum benefit to which the person is entitled is an amount equal to the person’s accumulated contributions.
A person who makes an election under section 72 is not entitled to make an election under subsection (1) of this section.
A person:
who becomes, or is about to become, entitled to invalidity benefit by virtue of subsection 66(2); and
whose period of contributory service, at the time of his or her so becoming entitled to invalidity benefit is, or will be, less than 15, but not less than 8, years;
may, not later than 3 months after becoming, but not earlier than 3 months before he or she becomes, so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 70, lump sum benefit be paid in accordance with this section.
Where a person makes an election under subsection (1), then, subject to subsection (3), the lump sum benefit to which the person is entitled is an amount equal to whichever is the greater of:
the sum of:
3½ times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated supplementary contributions (if any); or
the sum of:
one-half of the amount that is the amount per annum of the person’s final annual rate of salary; and
the amount of the person’s accumulated supplementary contributions (if any).
If:
a person makes an election under subsection (1); and
the person’s surcharge debt account is in debit when invalidity pension becomes payable to the person;
the lump sum benefit to which the person is entitled is an amount equal to the difference between:
the amount that would be payable to the person under subsection (2) if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
A person who makes an election under section 71 is not entitled to make an election under subsection (1) of this section.
This section applies to a person:
who is entitled to invalidity benefit by virtue of subsection 66(2); and
whose period of contributory service is less than 8 years.
Subject to subsection (3), the lump sum benefit to which a person to whom this section applies is entitled is an amount equal to whichever is the greater of:
the sum of:
3½ times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated supplementary contributions (if any); or
the sum of:
one-half of the amount that is the amount per annum of the person’s final annual rate of salary; and
the amount of the person’s accumulated supplementary contributions (if any).
If the person’s surcharge debt account is in debit when invalidity benefit becomes payable to the person, the lump sum benefit to which the person is entitled is an amount equal to the difference between:
the amount that would be payable to the person under subsection (2) if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
In this section:
earnings rate, in relation to an invalidity pensioner, means the amount per annum last estimated by CSC under subsection (3) as the annual rate of the personal earnings of the pensioner.
invalidity pensioner means a person to whom invalidity pension is payable and who has not attained the age of 65 years.
personal earnings, in relation to an invalidity pensioner, means salary, wages, fees or other amounts received by the pensioner for services rendered, or work performed, by the pensioner, and includes:
remuneration paid to the pensioner as the director of a company; and
commission received by the pensioner for canvassing, collecting or similar activities.
prescribed maximum rate means:
(a) immediately before 1 January 2002—the rate that was the prescribed maximum rate under this section immediately before the commencement of item 1 of Schedule 2 to the Superannuation Legislation Amendment (Indexation) Act 2001; or
on or after 1 January 2002—the rate that is the prescribed maximum rate because of subsection (2).
prescribed percentage, in relation to a prescribed half-year, means the prescribed percentage in relation to that half-year for the purposes of section 148.
prescribed half-year means a prescribed half-year within the meaning of Part X.
relevant maximum rate, in relation to an invalidity pensioner, means:
the prescribed maximum rate; or
75% of the amount per annum worked out by increasing the final annual rate of salary of the pensioner by the same percentage as any overall percentage increase in AWOTE that occurred during the period since the pensioner ceased to be an eligible employee (being an overall increase worked out from estimates of changes in AWOTE in respect of the period published by the Australian Statistician, other than estimates published in substitution for earlier estimates);
whichever is the greater.
relevant pension rate, in relation to an invalidity pensioner, means:
where the pensioner did not make an election under section 68 or 71—the annual rate of the invalidity pension of the pensioner; or
where the pensioner made such an election—the rate that would have been the annual rate of that pension if the pensioner had not made the election.
(2) Where rates at which invalidity pensions were payable immediately before the commencement of a prescribed half-year are increased in accordance with prescribed maximum rate or the previous operation of this subsection) the prescribed maximum rate is increased, with effect from that commencement, by the prescribed percentage, in relation to that prescribed half-year, of that rate.section 148, the rate that, immediately before that commencement, was (because of paragraph (a) of the definition of
Where an invalidity pensioner or a person acting on behalf of the pensioner gives CSC particulars of the pensioner’s personal earnings and an estimate of those earnings for the next 12 months (whether in compliance with a notice under subsection 74(1) or otherwise), CSC shall estimate the amount per annum that is the annual rate of the personal earnings of the pensioner.
Subject to subsections (5) and (6) but notwithstanding any other provision of this Act, during any period during which the sum of the relevant pension rate of an invalidity pensioner and the earnings rate of the pensioner exceeds the relevant maximum rate for the pensioner, then:
where the lesser of the excess or of that earnings rate is less than the annual rate of the invalidity pension of the pensioner—the amount of the fortnightly instalments of that pension shall be ascertained as if the annual rate of the pension were reduced by the lesser of the excess or of that earnings rate; or
where the lesser of the excess or of that earnings rate is equal to or exceeds the annual rate of that pension—the pension is suspended.
If, after making a calculation for the purposes of subsection (4), CSC ascertains that an invalidity pensioner has been, or is being, paid instalments of invalidity pension, that, by virtue of that subsection, should not have been, or be, paid or the amount of which should have been, or be, lower, then, notwithstanding that subsection, those instalments shall be taken to have been, or be, lawfully paid.
If, after making a calculation for the purposes of subsection (4), CSC ascertains that an invalidity pensioner has, because of a previous calculation for those purposes, not been paid instalments of invalidity pension that should have been paid or been paid instalments of invalidity pension the amount of which should have been higher, that invalidity pensioner is not entitled to be paid, but may be paid, the amount of those instalments or of the balance of those instalments, as the case may be.
Where an invalidity pensioner:
is, on the commencement of this section, in receipt of personal earnings; or
begins, after the commencement of this section, to receive personal earnings;
the pensioner, or a person acting on behalf of the pensioner, shall give CSC particulars in writing of these personal earnings and an estimate of the amount of the personal earnings that the pensioner expects to receive in the next 12 months.
Where:
an estimate of the personal earnings of an invalidity pensioner has been given to CSC under this Act; and
the pensioner or a person acting on behalf of the pensioner revises that estimate;
the pensioner or the person acting on behalf of the pensioner shall give to CSC particulars in writing of the personal earnings of the pensioner and an estimate of those earnings for the next 12 months.
In ascertaining, for the purposes of this Act or of the superseded Act, the annual rate of an invalidity pension or the rate at which an invalidity pension is payable, any reduction or suspension under this section shall be disregarded but nothing in this subsection or in any other provision of this Act or in any provision of the superseded Act shall be taken to imply that a person is entitled to be paid an amount not paid because of such a reduction or suspension.
Where:
(a) a person is entitled to receive payments of a kind mentioned in pre-assessment payments); andsection 54L (in this section called
the person is retired on the ground of invalidity with effect from a day occurring during the period of the person’s entitlement to pre-assessment payments;
the person is entitled to invalidity pension in respect of a pension pay day immediately preceding a contribution day occurring during that period only to the extent (if any) by which the amount of pension that, but for this section, would be payable exceeds the amount of pre-assessment payment payable on that contribution day.
CSC may, by notice in writing given to a person to whom invalidity pension is payable, require the person:
to submit himself or herself for medical examination by a medical practitioner at a time, being a time before the person attains the age of 65 years, and place specified in the notice; or
to give in writing to CSC, within such period as is specified in the notice, being a period that ends before the person attains the age of 65 years:
such information as is required by the notice with respect to any employment (whether as an employee or on the person’s own account) in which the person has been engaged during such period as is specified in the notice; or
particulars of the person’s personal earnings, within the meaning of section 73A, and an estimate of the amount of those earnings that the person expects to receive in the next 12 months.
A notice under subsection (1) shall set out the effect of subsection (3).
Where a person fails to comply with a notice given under subsection (1) and CSC is not satisfied that there was a reasonable excuse for the failure, CSC may, by notice in writing given to the person, suspend the person’s invalidity pension with effect from such day as CSC determines, being a day not earlier than:
in a case where the first-mentioned notice required the person to submit himself or herself for medical examination on a day specified in the notice—the day next following that day; or
in a case where the first-mentioned notice required the person to furnish information within a period specified in the notice—the day next following the expiration of that period.
A notice to a person under subsection (3) shall set out the effect of subsections (5C), (5E) and (5F) and of section 74A.
Subject to section 74A, a suspension of a person’s invalidity pension under subsection (3) continues in force, unless sooner revoked, until the person attains the age of 65 years.
Invalidity pension is not payable in respect of a period during which a suspension of the pension under subsection (3) is in force.
Where:
the invalidity pension of a person is suspended under subsection (3); and
CSC, having regard to such matters as he or she considers relevant, is of the opinion that the suspension should be revoked;
CSC may, by notice in writing given to the person or to the person and a person acting on the person’s behalf, as the case requires, revoke the suspension with effect from such day as CSC determines, being a day not later than the day on which the notice is given.
(5C) Without limiting subsection (5B), where the invalidity pension of a person (in this subsection referred to as the relevant person) is suspended under subsection (3), the relevant person, or another person acting on his or her behalf, may, by notice in writing given to CSC, request CSC to revoke the suspension, and where such a request is made, CSC shall, by notice in writing given to the relevant person or to the relevant person and the other person, as the case may be:
if the pension has been suspended by virtue of the relevant person’s having failed to comply with a notice requiring the relevant person to submit himself or herself for medical examination—require the relevant person to submit himself or herself for medical examination by a medical practitioner at a time, being a time before the relevant person attains the age of 65 years, and place specified in the second-mentioned notice; or
(b) if the pension has been suspended by virtue of the relevant person’s having failed to comply with a notice requiring the relevant person to give information to CSC (in this paragraph referred to as the original notice)—require the relevant person to give in writing to CSC, within such period as is specified in the second-mentioned notice, being a period that ends before the relevant person attains the age of 65 years, such information as was required by the original notice to be given.
A notice given by CSC under subsection (5C) shall set out the effects of subsections (5E) and (5F) and of section 74A.
Where:
(a) because of a request having been made to revoke the suspension of the invalidity pension of a person (in this subsection referred to as the relevant person), a notice under subsection (5C) is given to the relevant person or to the relevant person and another person; and
either:
the relevant person complies with the notice; or
the relevant person fails to comply with the notice but CSC is satisfied that there was a reasonable excuse for the failure;
CSC shall, by notice in writing given to the relevant person or to the relevant person and the other person, as the case may be, revoke the suspension with effect from such day as CSC determines, being a day not later than:
in a case to which subparagraph (b)(i) applies—the day on which the relevant person so complied with the notice; or
in a case to which subparagraph (b)(ii) applies—the day on which CSC became so satisfied.
Where:
(a) because of a request having been made to revoke the suspension of the invalidity pension of a person (in this subsection referred to as the relevant person), a notice under subsection (5C) is given to the relevant person or to the relevant person and another person; and
the relevant person fails to comply with the notice and CSC is not satisfied that there was a reasonable excuse for the failure;
CSC shall, by notice in writing given to the relevant person or to the relevant person and the other person, as the case may be, refuse to revoke the suspension.
A notice under subsection (5F) shall set out the effect of section 74A.
Where a person whose invalidity pension has been suspended under subsection (3) of this section or subsection 73A(4) dies before the invalidity pension again becomes payable, he or she shall, for the purposes of subsection 93(2), 106(1) or 108(1), be deemed to have been in receipt of invalidity pension at the time of his or her death and, for the purposes of section 96 and subsections 106(3) and 108(3), the pension shall be deemed to have been payable at the rate at which it would have been payable to him or her if it had not been suspended.
Where invalidity pension again becomes payable to a person whose pension was suspended under subsection (3) of this section or subsection 73A(4), the person shall, for the purposes of the application of Part X in relation to the pension, be deemed to have been in receipt of invalidity pension during the period of the suspension at the rate at which it would have been payable to him or her if it had not been suspended.
The cost of any medical examination carried out for the purposes of this section shall be treated as part of the cost of the administration of this Act.
Where CSC is required by this section to give a person a notice, the notice shall be taken to have been given to the person if:
the notice is served on the person personally;
the notice is sent to the person by pre-paid post as a letter and the person acknowledges receipt of the letter; or
where CSC has caused all reasonable steps to be taken to ascertain a reliable address of the person, the notice is sent to the person by pre-paid post to:
in a case where CSC is satisfied that at least one reliable address of the person has been ascertained—that reliable address, or one of the reliable addresses, ascertained; or
in any other case—the last address of the person known to CSC.
A reference in subsection (9) to a reliable address of a person shall be read as a reference to an address where, if a letter were sent to the person by pre-paid post to the address, the person would probably receive the letter.
Nothing in this section shall be taken, by implication, to exclude or limit the application of Part XIA of the superseded Act to decisions of CSC (within the meaning of that Act) under this section.
Where:
a person’s invalidity pension is suspended under subsection 74(3);
immediately before the suspension, the person had not attained the age of 64 years; and
the suspension is not revoked:
in a case where a request to revoke the suspension is made under section 74 before the expiration of a period of 12 months after the suspension came into force and CSC does not make a decision under section 74 in relation to that request within that period—upon the making of that decision; or
in any other case—for a period of 12 months;
CSC may, by notice in writing given to the person, cancel the person’s entitlement to invalidity pension.
Where CSC is satisfied, after receiving the report or reports of a medical practitioner or medical practitioners with respect to the health of a person to whom invalidity pension is payable, that the health of the person has become so restored as to enable him or her to perform duties of a kind that are, in the opinion of CSC, suitable to be performed by him or her (having regard to the duties performed by him or her immediately before his or her retirement on the ground of invalidity and to such other matters as CSC considers relevant), CSC shall so inform such person or authority as CSC considers appropriate with a view to that person or authority finding suitable employment for the pensioner.
If:
the pensioner is offered by the Commonwealth or by an approved authority employment (not being employment on a part-time basis) that involves the performance of duties that, in the opinion of CSC, are suitable to be performed by him or her (having regard to the duties performed by him or her immediately before his or her retirement on the ground of invalidity and to such other matters as CSC considers relevant); and
the person unreasonably refuses or fails to accept the offer within 14 days after the receipt by him or her of the offer, or within such further period as CSC allows;
CSC may cancel the person’s entitlement to invalidity pension.
Upon a person to whom invalidity pension is payable again becoming an eligible employee, his or her entitlement to that pension is, by force of this subsection, cancelled.
Where:
a person, upon ceasing to be an eligible employee, becomes entitled to invalidity pension;
his or her entitlement to that pension is cancelled under subsection (1) upon his or her again becoming an eligible employee; and
he or she again ceases to be an eligible employee before attaining his or her maximum retiring age by reason of death or retirement on the ground of invalidity;
the annual rate of any pension that becomes payable under this Act to or in respect of him or her upon or after his or her again ceasing to be an eligible employee as referred to in paragraph (c) shall not be less than:
in the case of pension payable to the person:
the rate at which the invalidity pension referred to in paragraph (a) would have been payable to him or her if he or she had not again become an eligible employee; or
if a lesser rate is applicable in relation to him or her under the regulations—that lesser rate; and
in the case of pension payable in respect of the person:
the rate at which that pension would have been payable in respect of him or her if he or she had not again become an eligible employee; or
if a lesser rate is applicable in relation to him or her under the regulations—that lesser rate.
If:
a person’s entitlement to an invalidity pension has, whether before or after the commencement of this subsection, been cancelled under subsection (1) upon the person’s becoming an eligible employee; and
the person so became an eligible employee as a result of having been appointed to an office or position on probation; and
after that commencement the person ceases to be an eligible employee before attaining the person’s maximum retiring age; and
the person so ceased to be an eligible employee as a result of the appointment not being confirmed because the person had a physical or mental condition;
the person is entitled to invalidity pension, and subsection (2) applies, for the purpose of calculating the annual rate of that pension, as if the person had so ceased to be an eligible employee by reason of retirement on the ground of invalidity.
Where a person:
became entitled to an invalidity pension under section 66 after attaining his or her minimum retiring age;
did not make an election under section 69 or 72;
would, if he or she had resigned or had retired otherwise than on the ground of invalidity, have been entitled to a pension under section 55 or 59; and
has not attained the age of 65 years;
the person may make, by notice in writing to CSC, an election to renounce the invalidity pension and, where the person does so, the person is not entitled to the invalidity pension on and after a day determined by CSC (not being a day earlier than the day on which the election was made).
Where the annual rate of salary of a person referred to in section 76 is, on the day on which he or she again becomes an eligible employee, less than the annual rate of his or her retirement salary, he or she is entitled to a partial invalidity pension in accordance with this section.
The annual rate of partial invalidity pension to which a person is, at any time, entitled by virtue of subsection (1) is:
if the annual rate of his or her salary is, at that time, not less than one-half of the annual rate of his or her retirement salary—an amount per annum ascertained in accordance with the formula:
where:
A is:
if invalidity pension was payable to the person in accordance with section 67 immediately before he or she became entitled to partial invalidity pension—the amount per annum equal to the annual rate at which invalidity pension would have been payable to him or her in accordance with section 68 immediately after his or her retirement on the ground of invalidity if he or she had made an election under subsection 68(1) and subsection 68(4A) did not apply to him or her;
if invalidity pension was payable to the person in accordance with section 70 immediately before he or she became entitled to partial invalidity pension—the amount per annum equal to the annual rate at which invalidity pension would have been payable to him or her in accordance with section 71 immediately after his or her retirement on the ground of invalidity if he or she had made an election under subsection 71(1) and subsection 71(4A) did not apply to him or her; or
in any other case—the amount per annum equal to the annual rate at which invalidity pension was payable to him or her immediately after his or her retirement on the ground of invalidity.
B is an amount per annum equal to his or her final annual rate of salary on the day that was his or her last day of service before he or she became entitled to the invalidity pension that was payable to him or her immediately before he or she became entitled to partial invalidity pension.
C is an amount per annum equal to the annual rate of his or her retirement salary; and
D is an amount per annum equal to his or her annual rate of salary; or
if the annual rate of his or her salary is, at that time, less than one-half of the annual rate of his or her retirement salary—such annual rate as CSC, in its discretion, determines, being an annual rate not less than the rate that would be payable to the person if paragraph (a) applied to him or her.
Upon the annual rate of salary of a person to whom partial invalidity pension is payable in accordance with this section becoming equal to or greater than the annual rate of his or her retirement salary, his or her entitlement to that pension is, by force of this subsection, cancelled.
Upon a person to whom partial invalidity pension is payable in accordance with this section ceasing to be an eligible employee, his or her entitlement to that pension is, by force of this subsection, cancelled.
Subject to subsection (6), a reference in this section to the annual rate of the retirement salary of a person to whom subsection (1) applies shall be read as a reference to the rate that was his or her annual rate of salary immediately before he or she last ceased to be an eligible employee.
Where at any time CSC, having regard to any changes in rates of remuneration which have occurred since the retirement of a person referred to in subsection (5) and which CSC considers to be relevant, is of the opinion that the annual rate of the retirement salary of the person should, for the purposes of this section, be a rate other than the rate referred to in subsection (5) or a rate specified by CSC in a previous determination made under this subsection, CSC may determine that, for the purposes of this section, the annual rate of the retirement salary of the person shall, from the date of the determination or such other date as is specified in the determination, be deemed to be such rate as is specified in the determination.
Subject to subsection (8), a reference in the preceding provisions of this section to the annual rate of the salary of a person to whom subsection (1) applies shall, notwithstanding any change in that rate of salary, be read as a reference to the rate that was his or her annual rate of salary on the day on which he or she again became an eligible employee.
Where at any time CSC, having regard to any changes in the annual rate of salary of a person referred to in subsection (7) which have occurred since he or she again became an eligible employee and which CSC considers to be relevant, is of the opinion that the annual rate of salary of the person should, for the purposes of this section, be a rate other than the rate referred to in subsection (7) or a rate specified by CSC in a previous determination made under this subsection, CSC may determine that, for the purposes of this section, the annual rate of the salary of the person shall, from the date of the determination or such other date as is specified in the determination, be deemed to be such rate as is specified in the determination.
Subject to section 78A, if the annual rate of salary of an eligible employee who has not attained his or her maximum retiring age and is not entitled to partial invalidity pension in accordance with section 77 decreases under such circumstances that CSC is satisfied that the decrease can properly be regarded as attributable to physical or mental incapacity and:
the number of complete years included in the period that would have been his or her period of contributory service if he or she had ceased to be an eligible employee on the day immediately preceding the day on which that rate decreases is not less than 8 years; or
where the number of complete years included in that period is less than 8 years:
a benefit classification certificate is not in force in respect of him or her immediately before that last-mentioned day; or
a benefit classification certificate is so in force in respect of him or her but CSC is of the opinion that the physical or mental incapacity was not caused, or substantially contributed to, by a physical or mental condition or conditions specified in the certificate or a physical or mental condition or conditions connected with such a condition or such conditions;
he or she is entitled to a partial invalidity pension in accordance with this section.
The annual rate of partial invalidity pension to which a person is, at any time, entitled by virtue of subsection (1) is:
except where paragraph (b) applies:
if the annual rate of his or her salary is, at that time, not less than one-half of his or her previous annual rate of salary—an amount per annum ascertained in accordance with the formula:
where:
A is an amount per annum equal to the annual rate at which invalidity pension would have been payable to him or her in accordance with section 68 if he or she had become entitled to invalidity benefit on the day on which he or she became entitled to partial invalidity pension and had made an election under subsection 68(1) and if subsection 68(4A) did not apply to him or her.
B is an amount per annum equal to the annual rate that would have been his or her final annual rate of salary if he or she ceased to be an eligible employee on the day immediately preceding the day on which he or she became entitled to partial invalidity pension.
C is an amount per annum equal to his or her previous annual rate of salary; and
D is an amount per annum equal to his or her annual rate of salary; or
if the annual rate of his or her salary is, at that time, less than one-half of his or her previous annual rate of salary—such annual rate as CSC, in its discretion, determines, being an annual rate not less than the rate that would be payable to the person if subparagraph (i) applied to him or her; or
where:
there was in force in respect of the person, immediately before he or she became entitled to partial invalidity pension in accordance with this section, a benefit classification certificate; and
CSC is of the opinion that the physical or mental incapacity referred to in subsection (1) was caused, or substantially contributed to, by a physical or mental condition or conditions specified in the certificate or a physical or mental condition or conditions connected with such a condition or such conditions;
then:
if the annual rate of his or her salary, at that time, is not less than one-half of his or her previous annual rate of salary—an amount per annum ascertained in accordance with the formula:
where:
A is an amount per annum equal to the annual rate at which invalidity pension would have been payable to him or her in accordance with section 71 if he or she had become entitled to invalidity benefit on the day on which he or she became entitled to partial invalidity pension and had made an election under subsection 71(1) and if subsection 71(4A) did not apply to him or her.
B is an amount per annum equal to the annual rate that would have been his or her final annual rate of salary if he or she ceased to be an eligible employee on the day immediately preceding the day on which he or she became entitled to partial invalidity pension.
C is an amount per annum equal to his or her previous annual rate of salary; and
D is an amount per annum equal to his or her annual rate of salary; or
if the annual rate of his or her salary is, at that time, less than one-half of his or her previous rate of salary—such annual rate as CSC, in its discretion, determines, being an annual rate not less than the rate that would be payable to the person if subparagraph (iii) applied to him or her.
Upon the annual rate of salary of a person to whom partial invalidity pension is payable in accordance with this section becoming equal to or greater than his or her previous annual rate of salary, his or her entitlement to that pension is, by force of this subsection, cancelled.
Upon a person to whom partial invalidity pension is payable in accordance with this section ceasing to be an eligible employee, his or her entitlement to that pension is, by force of this subsection, cancelled.
Subject to subsection (6), a reference in this section to the previous annual rate of salary of a person to whom subsection (1) applies shall be read as a reference to the rate that was his or her annual rate of salary immediately before he or she became entitled to partial invalidity pension under this section.
Where at any time CSC, having regard to any changes in rates of remuneration which have occurred since a person referred to in subsection (5) became entitled to partial invalidity pension and which CSC considers to be relevant, is of the opinion that the previous annual rate of salary of the person should, for the purposes of this section, be a rate other than the rate referred to in subsection (5) or a rate specified by CSC in a previous determination made under this subsection, CSC may determine that, for the purposes of this section, the previous annual rate of salary of the person shall, from the date of the determination or such other date as is specified in the determination, be deemed to be such rate as is specified in the determination.
Subject to subsection (8), a reference in the preceding provisions of this section to the annual rate of the salary of a person to whom subsection (1) applies shall, notwithstanding any change in that rate of salary, be read as a reference to the rate that was his or her annual rate of salary on the day on which he or she became entitled to partial invalidity pension under this section.
Where at any time CSC, having regard to any changes in the annual rate of salary of a person referred to in subsection (7) which have occurred since he or she became entitled to partial invalidity pension and which CSC considers to be relevant, is of the opinion that the annual rate of salary of the person should, for the purposes of this section, be a rate other than the rate referred to in subsection (7) or a rate specified by CSC in a previous determination made under this subsection, CSC may determine that, for the purposes of this section, the annual rate of the salary of the person shall, from the date of the determination or such other date as is specified in the determination, be deemed to be such rate as is specified in the determination.
(1) A partial invalidity pension, or an increase in the rate of such a pension, is not payable to a person under Safety, Rehabilitation and Compensation Act 1988, the Safety, Rehabilitation and Compensation (Defence-related Claims) Act 1988 or the Military Rehabilitation and Compensation Act 2004, or under any other law of the Commonwealth, or any law of a State or Territory, providing for compensation for an employee who suffers injury or disease arising out of, or in the course of, his or her employment, in respect of the physical or mental incapacity that would, apart from this subsection, give rise to the entitlement to the pension or to the increase, as the case may be.section 78 if the person is entitled to compensation under the
If a person was entitled to a partial invalidity pension immediately before the commencement of this section, subsection (1) does not apply to the pension as payable immediately before that day and applies to an increase in the rate of the pension on or after that day only to the extent to which the increase results from a decrease in the annual rate of salary of the person occurring on or after that day.
Where:
a person ceases to be an eligible employee by reason of retirement on the ground of invalidity; and
the incapacity which was the ground for his or her retirement was, in the opinion of CSC, due to wilful action on the part of the person for the purpose of obtaining invalidity benefit;
the person is not entitled to benefit under this Division.
In this Division:
available early release amount means the difference between the person’s early release amount at that time and the person’s early release deduction amount at that time.
available early release authority amount means the amount worked out by: starting with the person’s early release authority amount at that time; and subtracting from the result of paragraph (a) the person’s early release deduction amount at that time; and adding to the result of paragraph (b) the lesser of: (i) the amount referred to in paragraph (a) of the definition of early release amount; and the modified early release deduction amount in relation to the person at the time.
starting with the person’s early release authority amount at that time; and
subtracting from the result of paragraph (a) the person’s early release deduction amount at that time; and
adding to the result of paragraph (b) the lesser of:
(i) the amount referred to in paragraph (a) of the definition of early release amount; and
the modified early release deduction amount in relation to the person at the time.
Note 1: The result of paragraph (b) may be less than nil.
Note 2: Subparagraph (c)(i) is affected by subsection (2).
compassionate ground has the same meaning as in regulation 6.01 of the Superannuation Industry (Supervision) Regulations 1994.
deferred benefit member means a person, who has ceased to be an eligible employee, to or in respect of whom a deferred benefit has not been paid.
early release amount means the sum of the following amounts: the person’s accumulated basic contributions; the person’s accumulated supplementary contributions; the person’s accumulated employer contributions (disregarding any amounts mentioned in paragraphs 110Q(1)(c) and (d)); the amount (if any) payable in respect of the person under section 110SN; the amount of the benefit payable to the person under Subdivision B of Division 2 of Part IX.
the person’s accumulated basic contributions;
the person’s accumulated supplementary contributions;
the person’s accumulated employer contributions (disregarding any amounts mentioned in paragraphs 110Q(1)(c) and (d));
the amount (if any) payable in respect of the person under section 110SN;
the amount of the benefit payable to the person under Subdivision B of Division 2 of Part IX.
Note: This definition is affected by subsection (2).
early release authority amount means the sum of the amounts referred to in paragraphs (b) to (e) of the definition of early release amount.
early release deduction amount means the total of the following: the amount of each early release lump sum previously paid to or for the benefit of the person; interest on the amount of each such early release lump sum for the period beginning at the time the early release lump sum is paid and ending at the particular time.
Note: This definition is affected by subsection (2).
the amount of each early release lump sum previously paid to or for the benefit of the person;
interest on the amount of each such early release lump sum for the period beginning at the time the early release lump sum is paid and ending at the particular time.
early release lump sum means a lump sum paid under section 79B.
modified early release deduction amount means the total of the following: the amount of each early release lump sum previously paid to or for the benefit of the person under subsection 79B(1); interest on the amount of each such early release lump sum for the period beginning at the time the early release lump sum is paid and ending at the particular time.
the amount of each early release lump sum previously paid to or for the benefit of the person under subsection 79B(1);
interest on the amount of each such early release lump sum for the period beginning at the time the early release lump sum is paid and ending at the particular time.
severe financial hardship has the same meaning as in regulation 6.01 of the Superannuation Industry (Supervision) Regulations 1994.
(2) For the purposes of a provision mentioned in subsection (3), work out an amount referred to in the definition of early release amount:
in the case of an eligible employee—as if the person ceased to be an eligible employee at that time; or
in the case of a deferred benefit member—as if the person ceased to be a deferred benefit member at that time; or
in the case of a person who has made an election under section 110T—as if the person’s benefit became payable at that time.
Note: The components that make up a person’s early release amount and early release authority amount might be reduced if CSC has received, under Part IXB (family law superannuation splitting), a splitting agreement or splitting order in relation to the person’s superannuation interest.
For the purposes of subsection (2), the provisions are as follows:
(a) the definition of early release amount;
(b) the definition of early release authority amount;
(c) the definition of available early release authority amount.
(1) For the purposes of the Superannuation Industry (Supervision) Regulations 1994, a lump sum may be paid, on the grounds of severe financial hardship or on compassionate grounds, in accordance with those regulations, to or for the benefit of the following persons:
an eligible employee;
a deferred benefit member;
a person who has made an election under section 110T (postponement of benefits).
(1A) A lump sum may be paid in compliance with a release authority issued to CSC under Taxation Administration Act 1953 for the benefit of the following persons:section 131-15 or 139-115 in Schedule 1 to the
an eligible employee;
a deferred benefit member;
a person who has made an election under section 110T (postponement of benefits).
To avoid doubt, more than one early release lump sum can be paid to or for the benefit of a person.
Note: The components that make up the person’s early release amount and early release authority amount are not reduced when a lump sum is paid under this section. However, when a benefit to which the person is entitled under this Act becomes payable to the person, the amount of the benefit is reduced to reflect any previous lump sums paid to or for the benefit of the person (see section 79D).
(1) In addition to any requirements in the Superannuation Industry (Supervision) Regulations 1994, the amount of an early release lump sum paid to or for the benefit of a person at a particular time must not exceed:
for a lump sum paid under subsection 79B(1)—the person’s available early release amount at that time; and
for a lump sum paid under subsection 79B(1A)—the person’s available early release authority amount at that time.
Payment to be made to or for the benefit of a person
Despite section 112 of this Act (payments from the Consolidated Revenue Fund), an early release lump sum that is payable to or for the benefit of a person must be paid out of the Superannuation Fund to or for the benefit of the person.
Benefit does not become payable
For the purposes of this Act, merely because an early release lump sum becomes payable to or for the benefit of a person does not mean a benefit to which the person is entitled under this Act becomes payable.
This section applies if:
an early release lump sum is paid to or for the benefit of a person; and
a benefit to which the person is entitled under this Act becomes payable to the person at a particular time.
The amount of the benefit to which the person is entitled to be paid at that time must be reduced to reflect the person’s early release deduction amount at that time. However, the method of working out the amount of the reduction is to be determined by CSC.
Subject to subsections (2) and (3), where:
a person ceases to be an eligible employee otherwise than by reason of death; and
the person is not entitled to benefit under Division 1, 2 or 4 of this Part or under Division 3 of Part IX;
the person is entitled to a lump sum benefit, payable out of the Fund, of an amount equal to the person’s accumulated contributions.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, invalidity pension becomes payable to him or her in accordance with section 67 or 70;
his or her entitlement to the pension is cancelled under subsection 76(1) upon his or her again becoming an eligible employee; and
the person again ceases to be an eligible employee, otherwise than by reason of death, but, upon so ceasing, does not become entitled to benefit under Division 1, 2 or 4 of this Part or under Division 3 of Part IX;
the person is entitled to a lump sum benefit equal to the sum of:
an amount equal to so much of his or her accumulated basic contributions as would be applicable in relation to him or her but for section 7A;
his or her accumulated supplementary contributions; and
where the amount that, under section 7A, is to be added to the amount of his or her accumulated basic contributions exceeds the difference between:
the total of the amounts of invalidity pension at any time paid to the person in accordance with section 67 or 70 and the amounts of deferred benefit by way of invalidity pension at any time paid to the person in accordance with either of those sections (other than an amount, if any, taken into account in a previous application of this subsection or subsection (3) in relation to the person); and
what would have been that total if the person had made an election under subsection 68(1) or 71(1) in respect of the invalidity pension or deferred benefit so paid:
the amount of that excess.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX;
those deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity pension becoming payable to him or her in accordance with section 67 or 70;
the person does not, before again becoming an eligible employee, become entitled to deferred benefit by way of invalidity benefit otherwise than in accordance with section 67 or 70;
his or her entitlement to deferred benefit is cancelled under subsection 76(1) upon his or her again becoming an eligible employee or is cancelled under subsection 143(2) and he or she later becomes an eligible employee; and
the person again ceases to be an eligible employee, otherwise than by reason of death, but, upon so ceasing, does not become entitled to benefit under Division 1, 2 or 4 of this Part or under Division 3 of Part IX;
the person is entitled to a lump sum benefit equal to the sum of:
an amount equal to so much of his or her accumulated basic contributions as would be applicable in relation to him or her but for section 7A;
his or her accumulated supplementary contributions; and
where the amount that, under section 7A, is to be added to the amount of his or her accumulated basic contributions exceeds the difference between:
the total of the amounts of invalidity pension at any time paid to the person in accordance with section 67 or 70 and the amounts of deferred benefit by way of invalidity pension at any time paid to the person in accordance with either of those sections (other than an amount, if any, taken into account in a previous application of this subsection or subsection (2) in relation to the person); and
what would have been that total if the person had made an election under subsection 68(1) or 71(1) in respect of the invalidity pension or deferred benefit so paid;
the amount of that excess.
If:
benefits become payable to or in respect of a person who has ceased to be an eligible employee; and
the person’s surcharge debt account is in debit when those benefits become so payable;
CSC must determine in writing the surcharge deduction amount that, in its opinion, it would be fair and reasonable to take into account in working out the amount of those benefits.
In making the determination, CSC must have regard to the following:
the amount by which the person’s surcharge debt account is in debit when those benefits become payable;
the value of the employer-financed component of those benefits;
(c) the value of the benefits that, for the purpose of working out (under the Superannuation Contributions Tax (Assessment and Collection) Act 1997) the notional surchargeable contributions factors applicable to the person, were assumed to be likely to be payable to the person on his or her ceasing to be an eligible employee;
whether the person has or had qualified for his or her maximum benefit entitlement under this Act;
any other matter that CSC considers relevant.
The amount determined by CSC may not be more than the total of the following amounts:
15% of the employer-financed component of any part of the benefits payable to the person that accrued between 20 August 1996 and 1 July 2003;
14.5% of the employer-financed component of any part of the benefits payable to the person that accrued in the 2003-2004 financial year;
12.5% of the employer-financed component of any part of the benefits payable to the person that accrued in the 2004-2005 financial year.
Reductions under Division 3 of Part IXB are to be disregarded in applying subsection (3) of this section.
A person:
(a) who, by virtue of an election (first election) under this Act, is entitled to a lump sum benefit under section 65, 68 or 71; and
whose surcharge debt account is in debit when the benefit becomes payable to him or her;
may, within the period during which the first election may be made, by notice in writing given to CSC, elect not to have any pension payable to the person adjusted to take the person’s surcharge deduction amount into account.
However, a person may not make an election under this section if the person has given CSC a written notice under paragraph 146RB(2)(c).
A person:
who is entitled to additional age retirement pension (see sections 55 and 57) or additional early retirement pension (see sections 59 and 61); and
whose surcharge debt account is in debit when the benefit becomes payable to him or her;
may, not later than 3 months after, but not earlier than 3 months before, the pension becomes payable, by notice in writing given to CSC, elect that the pension be adjusted to take the person’s surcharge deduction amount into account.
However, a person may not make an election under this section if the person has given CSC a written notice under paragraph 146RB(2)(c).
The following rates of pension:
the annual rate at which standard age retirement pension is payable to a person under subsection 56(5);
the annual rate at which standard early retirement pension is payable to a person under subsection 60(2);
the annual rate at which invalidity pension is payable to a person under subsection 67(4A), 68(4A), 70(4A) or 71(4A);
are worked out by using the formula:
where:
basic pension rate means the annual rate at which the pension to which the person is entitled would be payable to the person if the person’s surcharge debt account were not in debit when the pension becomes payable.
conversion factor means the factor that is applicable to the person under the determination made by CSC under subsection 154AB(1).
surcharge deduction amount means the person’s surcharge deduction amount.
The following rates of pension:
the annual rate at which additional age retirement pension is payable to a person under subsection 57(1A);
the annual rate at which additional early retirement pension is payable to a person under subsection 61(1A);
are worked out by using the formula:
where:
basic pension rate means the annual rate at which the pension to which the person is entitled would be payable to the person if the person’s surcharge debt account were not in debit when the pension becomes payable.
conversion factor means the factor that is applicable to the person under the determination made by CSC under subsection 154AB(2).
surcharge deduction amount means the person’s surcharge deduction amount.
Where an eligible employee who dies before attaining his or her maximum retiring age is survived by a spouse, then, except in a case where subsection (2) of this section applies, the spouse is entitled:
if the spouse does not make an election under section 83 or 84—to spouse’s pension in accordance with section 82 and, where the eligible employee had paid supplementary contributions, a lump sum benefit in accordance with that section;
if the spouse makes an election under section 83—to spouse’s pension, and a lump sum benefit, in accordance with that section; or
if the spouse is entitled to make an election under section 84 and makes such an election—to a lump sum benefit in accordance with that section.
Where:
an eligible employee who dies before attaining his or her maximum retiring age is survived by a spouse;
there was in force in respect of the eligible employee, immediately before his or her death, a benefit classification certificate; and
CSC is of the opinion that the eligible employee’s death was caused, or was substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or conditions;
the spouse is entitled:
where the period of contributory service of the eligible employee is not less than 8 years:
if the spouse does not make an election under section 86 or 87—to spouse’s pension in accordance with section 85 and, where the eligible employee had paid supplementary contributions, a lump sum in accordance with that section;
if the spouse makes an election under section 86—to spouse’s pension, and a lump sum benefit, in accordance with that section; or
if the spouse is entitled to make an election under section 87 and makes such an election—to a lump sum benefit in accordance with that section; or
where the period of contributory service of the eligible employee is less than 8 years—to a lump sum benefit in accordance with section 88.
Where the surviving spouse is the spouse of an eligible employee who, if he or she had not died but had retired on the ground of invalidity on the day of his or her death, would have been entitled to invalidity benefit as provided by subsection 66(3) or (3A), the spouse shall be deemed, for the purposes of this Division, to have made an election under subsection 83(1) or 86(1), as the case may be.
Subsection (3) shall not be taken to prevent a spouse who would, but for that subsection, be entitled to make an election under subsection 84(1) or 87(1) from making such an election and becoming entitled to spouse’s benefit in accordance with section 84 or 87, as the case may be.
Subsections (1) and (2) do not apply to the spouse of a deceased eligible employee whose period of prospective service is less than 1 year.
This section applies to the spouse of a deceased eligible employee who:
is entitled to spouse’s benefit by virtue of subsection 81(1); and
does not make an election under section 83 or 84.
The annual rate of spouse’s pension of a spouse to whom this section applies is 67 per centum of the annual rate of the invalidity pension to which the deceased eligible employee would have been entitled under section 67 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit in accordance with that section.
If, at any time when spouse’s pension is payable to a spouse to whom this section applies, there are children of the deceased eligible employee who are eligible children, then, in the application of subsection (2) at that time to the spouse, the reference in subsection (2) to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
Where a spouse to whom this section applies is the spouse of a deceased eligible employee who had paid supplementary contributions, the lump sum benefit to which the spouse is entitled is an amount equal to the accumulated supplementary contributions of the deceased eligible employee.
The spouse of a deceased eligible employee who becomes entitled to spouse’s benefit by virtue of subsection 81(1) may, not later than 3 months after becoming so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 82, pension and lump sum benefit be paid in accordance with this section.
Where a spouse makes an election under subsection (1) of this section, the annual rate of pension to which the spouse is entitled is 67 per centum of the annual rate of the pension to which the deceased eligible employee would have been entitled under section 68 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and had made an election under that section.
If, at any time when spouse’s pension is payable to a spouse who makes an election under subsection (1), there are children of the deceased eligible employee who are eligible children, then, in the application of subsection (2) at that time to the spouse, the reference in subsection (2) to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
The lump sum benefit to which a spouse who makes an election under subsection (1) is entitled is an amount equal to the accumulated contributions of the deceased eligible employee.
A spouse who makes an election under section 84 is not entitled to make an election under subsection (1) of this section.
The spouse of a deceased eligible employee (being an eligible employee whose period of prospective service is less than 8 years) who becomes entitled to spouse’s benefit by virtue of subsection 81(1) may, not later than 3 months after becoming so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 82, lump sum benefit be paid in accordance with this section.
Where a spouse makes an election under subsection (1) of this section, the lump sum benefit to which the spouse is entitled in accordance with this section is an amount equal to the lump sum benefit to which the deceased eligible employee would have been entitled under subsection 69(2) or (3) (as the case may be) if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and had made an election under section 69.
A spouse who makes an election under section 83 is not entitled to make an election under subsection (1) of this section.
This section applies to the spouse of a deceased eligible employee (being an eligible employee whose period of contributory service is not less than 8 years) who:
is entitled to spouse’s benefit by virtue of subsection 81(2); and
does not make an election under section 86 or 87.
The annual rate of spouse’s pension of a spouse to whom this section applies is 67 per centum of the annual rate of invalidity pension to which the deceased eligible employee would have been entitled under section 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension in accordance with that section.
If, at any time when spouse’s pension is payable to a spouse to whom this section applies, there are children of the deceased eligible employee who are eligible children then, in the application of subsection (2) at that time to the spouse, the reference in subsection (2) to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
Where a spouse to whom this section applies is the spouse of a deceased eligible employee who had paid supplementary contributions, the lump sum benefit to which the spouse is entitled is an amount equal to the accumulated supplementary contributions of the deceased eligible employee.
The spouse of a deceased eligible employee (being an eligible employee whose period of contributory service is not less than 8 years) who becomes entitled to spouse’s benefit by virtue of subsection 81(2) may, not later than 3 months after becoming so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 85, pension and lump sum benefit be paid in accordance with this section.
Where a spouse makes an election under subsection (1) of this section, the annual rate of the pension to which the spouse is entitled is 67 per centum of the annual rate of the pension to which the deceased eligible employee would have been entitled under section 71 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and had made an election under that section.
If, at any time when spouse’s pension is payable to a spouse who makes an election under subsection (1), there are children of the deceased eligible employee who are eligible children, then, in the application of subsection (2) at that time to the spouse, the reference in subsection (2) to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
Where a spouse makes an election under subsection (1), the lump sum benefit to which the spouse is entitled is an amount equal to the accumulated contributions of the deceased eligible employee.
A spouse who makes an election under section 87 is not entitled to make an election under subsection (1) of this section.
The spouse of a deceased eligible employee (being an eligible employee whose period of contributory service is less than 15, but not less than 8, years) who becomes entitled to spouse’s benefit by virtue of subsection 81(2) may, not later than 3 months after becoming so entitled, elect, by notice in writing to CSC, that, in lieu of benefit being payable in accordance with section 85, a lump sum benefit be paid in accordance with this section.
Where a spouse makes an election under subsection (1) of this section, the lump sum benefit to which the spouse is entitled in accordance with this section is an amount equal to the lump sum benefit to which the deceased eligible employee would have been entitled under subsection 72(2) or (3) (as the case may be) if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and had made an election under section 72.
A spouse who makes an election under section 86 is not entitled to make an election under subsection (1) of this section.
Where the spouse of a deceased eligible employee (being an eligible employee whose period of contributory service is less than 8 years) is entitled to lump sum benefit by virtue of subsection 81(2), the lump sum benefit payable in accordance with this section is an amount equal to the lump sum benefit to which the deceased eligible employee would have been entitled under subsection 73(2) if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit.
Where an eligible employee who dies on or after attaining his or her maximum retiring age is survived by a spouse, the spouse is entitled to:
spouse’s standard pension in accordance with section 90;
subject to subsection 92(2), spouse’s additional pension in accordance with subsection 91(1); and
lump sum benefit (if any) in accordance with subsection 91(2).
Subsection (1) does not apply to the spouse of a deceased eligible employee whose period of contributory service is less than 1 year.
Where the spouse of a deceased eligible employee is entitled to spouse’s standard pension by virtue of section 89, the annual rate of that pension is, subject to subsection (2) of this section, 67 per centum of the annual rate of the standard age retirement pension to which the deceased eligible employee would have been entitled if he or she had not died but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension in accordance with section 56.
If, at any time when spouse’s standard pension is payable by virtue of section 89 to the spouse of a deceased eligible employee, there are children of the eligible employee who are eligible children, then, in the application of subsection (1) of this section at that time to the spouse, the reference in that subsection to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
Where the spouse of a deceased eligible employee is entitled to spouse’s additional pension by virtue of section 89, then, subject to subsection 92(2), the annual rate of that pension is:
(a) an amount per annum equal to the amount (in this section referred to as the base amount) that is the product of the accumulated contributions of the deceased eligible employee and such factor as is applicable in accordance with regulations made for the purposes of this paragraph; or
if the rate ascertained in accordance with paragraph (a) is greater than 13.4 per centum of the final annual rate of salary of the deceased eligible employee—13.4 per centum of that final annual rate of salary.
(2) Where the base amount is greater than an amount (in this subsection referred to as the maximum amount) equal to 13.4 per centum of the amount per annum that is the final annual rate of salary of a deceased eligible employee, there shall be paid to the spouse of that eligible employee a lump sum benefit equal to the amount by which the accumulated contributions of the deceased eligible employee exceed an amount ascertained by dividing the maximum amount by the factor referred to in paragraph (1)(a).
The spouse of a deceased eligible employee who becomes entitled to spouse’s additional pension by virtue of section 89 may, not later than 3 months after becoming so entitled, make, by notice in writing to CSC, an election to commute that pension into a lump sum benefit.
If a spouse makes an election under subsection (1), the spouse may, at the same time, by notice in writing to CSC, elect not to have any pension payable to him or her adjusted to take the eligible employee’s surcharge deduction amount into account.
Where a spouse makes an election under subsection (1) there shall be paid to the spouse a lump sum benefit equal to the accumulated contributions of the deceased eligible employee and the spouse is not entitled to the pension to which the election relates.
Where a lump sum benefit is payable under subsection 91(2) to a spouse who makes an election under this section, subsection (2) of this section has effect in relation to the spouse as if the reference in that subsection to the accumulated contributions of the deceased eligible employee were a reference to the amount of those contributions reduced by the amount of the lump sum benefit payable under subsection 91(2).
Where a pensioner to whom age retirement pension or early retirement pension is payable dies and is survived by a spouse, the spouse is, subject to section 95A, entitled:
to spouse’s standard pension in accordance with section 94; and
if the pensioner:
did not make an election under section 64; or
made an election under subsection 64(2) but died before a lump sum benefit became payable;
to spouse’s additional pension under section 95.
Where a pensioner to whom invalidity pension is payable dies and is survived by a spouse, the spouse is, subject to section 96AA, entitled to spouse’s pension in accordance with section 96.
If, at any time, the spouse of a category 1 deceased pensioner is entitled to spouse’s standard pension under paragraph 93(1)(a), then, subject to subsection (2A), the annual rate of that pension is:
(a) if at that time there are no children of the pensioner who are eligible children—67% of the annual rate (pensioner rate) at which standard age retirement pension or standard early retirement pension (as the case may be) was payable to the pensioner immediately before his or her death; or
if at that time only one child of the pensioner is an eligible child—78% of the pensioner rate; or
if at that time 2 children of the pensioner are eligible children—89% of the pensioner rate; or
if at that time 3 or more children of the pensioner are eligible children—100% of the pensioner rate.
If, at any time, the spouse of a category 2 deceased pensioner is entitled to spouse’s standard pension under paragraph 93(1)(a), then, subject to subsection (2A), the annual rate of that pension is:
(a) if at that time there are no children of the pensioner who are eligible children—85% of the annual rate (pensioner rate) at which standard age retirement pension or standard early retirement pension (as the case may be) was payable to the pensioner immediately before his or her death; or
if at that time only one child of the pensioner is an eligible child—97% of the pensioner rate; or
if at that time 2 or more children of the pensioner are eligible children—108% of the pensioner rate.
If the spouse of the deceased pensioner had a late short-term marital or couple relationship with the pensioner, spouse’s standard pension is payable to the spouse at the rate applicable under section 96AB.
(3) Despite subsections (1), (2) and (2A), if, on any of the 7 pension pay days immediately following the death of the pensioner, spouse’s standard pension would, apart from this subsection, be payable to the spouse of the deceased pensioner at a rate that is less than the rate (pensioner rate) at which standard age retirement pension or standard early retirement pension (as the case may be) would be payable to the deceased pensioner on that day if he or she had not died, spouse’s standard pension is payable to the spouse on that day at a rate equal to the pensioner rate.
If the spouse of a category 1 deceased pensioner is entitled to spouse’s additional pension under paragraph 93(1)(b), then, subject to subsection (1B), the annual rate of that pension is 67% of the annual rate at which additional age retirement pension or additional early retirement pension was payable to the pensioner immediately before his or her death.
If the spouse of a category 2 deceased pensioner is entitled to spouse’s additional pension under paragraph 93(1)(b), then, subject to subsection (1B), the annual rate of that pension is 85% of the annual rate at which additional age retirement pension or additional early retirement pension was payable to the pensioner immediately before his or her death.
If the spouse of the deceased pensioner had a late short-term marital or couple relationship with the pensioner, spouse’s additional pension is payable to the spouse at the rate applicable under section 96AB.
Despite subsections (1), (1A) and (1B), if:
the pensioner did not make an election under section 64; and
(b) on any of the 7 pension pay days immediately following the death of the pensioner, spouse’s additional pension would, apart from this subsection, be payable to the spouse of the deceased person at a rate that is less than the rate (pensioner rate) at which additional age retirement pension or additional early retirement pension (as the case may be) would be payable to the deceased pensioner on that day if he or she had not died;
spouse’s additional pension is payable to the spouse on that day at a rate equal to the pensioner rate.
If:
the annual rate at which spouse’s standard pension is payable to a person under subsection 94(2A); or
if the person is entitled to spouse’s additional pension under subsection 95(1B)—the combined annual rate of the spouse’s standard pension and the spouse’s additional pension payable to the person;
is less than the annual rate determined in writing by CSC for the purposes of this section, the person may, not later than 3 months after the pension or pensions become payable, by notice in writing to CSC, elect to commute the pension or pensions into a lump sum benefit payable to him or her.
If the person makes the election, there is payable to the person, instead of spouse’s standard pension, or spouse’s standard pension and spouse’s additional pension (as the case may be), a lump sum of an amount determined in writing by CSC after consultation with an actuary.
Where the spouse of a deceased pensioner is entitled to spouse’s pension by virtue of subsection 93(2), the annual rate of that pension is, subject to subsection (2A), 67 per centum of the annual rate at which invalidity pension was payable to the deceased pensioner immediately before the pensioner’s death.
If, at any time when spouse’s pension is payable to the spouse under subsection (1), there are children of the deceased pensioner who are eligible children, then, in the application of subsection (1) at that time to the spouse, the reference in subsection (1) to 67 per centum shall be read as a reference to:
where there is 1 eligible child—78 per centum;
where there are 2 eligible children—89 per centum; or
where there are 3 or more eligible children—100 per centum.
If the spouse of the deceased pensioner had a late short-term marital or couple relationship with the pensioner, spouse’s pension is payable to the spouse at the rate applicable under section 96AB.
In spite of subsections (1) and (2), on each of the 7 pension pay days immediately following the death of a pensioner referred to in subsection 93(2), spouse’s pension is payable to the spouse of the deceased pensioner at the same rate at which invalidity pension would be payable to the deceased pensioner on that day if he or she had not died.
If the annual rate at which spouse’s pension is payable to a person under subsection 96(2A) is less than the annual rate determined in writing by CSC for the purposes of this section, the person may, not later than 3 months after the pension becomes payable, by notice in writing to CSC, elect to commute that pension into a lump sum benefit payable to him or her.
If the person makes the election, there is payable to the person, instead of spouse’s pension, a lump sum of an amount determined in writing by CSC after consultation with an actuary.
Where:
(a) the spouse of a deceased pensioner to whom age retirement pension, early retirement pension or invalidity pension (in this section called the primary pension) was payable is entitled to spouse’s benefit in accordance with subsection 94(3), 95(2) or 96(3); and
an amount purporting to be an instalment of primary pension payable to the pensioner in respect of a period in respect of which spouse’s benefit is payable in accordance with subsection 94(3), 95(2) or 96(3) is paid into an account with a bank; and
the bank pays, out of that account, to the spouse of the deceased pensioner an amount not exceeding the amount so paid into the account;
then, in spite of any other law:
the bank is not liable to the Commonwealth, the personal representative of the deceased pensioner or anyone else for any loss incurred because of the payment of that amount to the spouse of the pensioner; and
an amount equal to the amount so paid by the bank to the spouse of the deceased pensioner must be set off against any amount of spouse’s benefit payable to him or her in accordance with subsection 94(3), 95(2) or 96(3).
In this section:
bank has the same meaning as in the Public Governance, Performance and Accountability Act 2013.
If, at any time:
spouse’s standard pension under subsection 94(2A); or
spouse’s additional pension under subsection 95(1B); or
spouse’s pension under subsection 96(2A);
is payable to the spouse of a deceased pensioner, then, for the purposes of whichever of those subsections is applicable, the applicable rate is:
if paragraph (e) does not apply—the rate worked out by using the formula:
if at that time there is one or more than one eligible child who became a child of the pensioner:
before the pensioner became a retirement pensioner or turned 60; or
at least 3 years before the pensioner died;
—such rate, being a rate higher than the rate worked out under paragraph (d) but less than the basic rate of pension, as CSC determines to be fair and equitable in all the circumstances of the case.
In subsection (1):
basic rate of pension means the annual rate at which, apart from subsection (1), spouse’s standard pension, spouse’s additional pension or spouse’s pension (as the case requires) would be payable to the spouse at that time.
relevant period means the period:
beginning on the day on which the marital or couple relationship between the deceased pensioner and his or her spouse began; and
ending on the day on which the pensioner died.
If at any time when spouse’s pension is payable:
to the spouse of a deceased eligible employee in accordance with section 82, 83, 85, 86 or 90; or
to the spouse of a deceased pensioner in accordance with subsection 94(1) or section 96;
there is one, or more than one, child of the deceased eligible employee or pensioner who is a partially dependent child, then, subject to subsection (3) and section 96BA, the spouse is entitled to extra spouse’s pension in accordance with subsection (2).
Where, at any time, the spouse of a deceased eligible employee or pensioner is entitled to extra spouse’s pension under subsection (1), the annual rate of that pension is:
the applicable percentage of the annual rate of the pension by reference to which the spouse’s pension payable to the spouse under section 82, 83, 85, 86 or 90, subsection 94(1) or section 96 (whichever is applicable) is to be calculated under that section; or
an amount equal to the amount per annum of the regular maintenance payments that the deceased eligible employee or deceased pensioner was, at the time of his or her death, voluntarily making, or required by a court to make, to or in respect of the partially dependent child or children;
whichever is less.
The spouse of a deceased eligible employee or deceased pensioner is not entitled to extra spouse’s pension under subsection (1) at any time when there are more than 2 children of the deceased eligible employee or deceased pensioner who are eligible children.
Where, at any time, the spouse of a deceased eligible employee or pensioner is entitled to extra spouse’s pension under subsection (1), then, for the purposes of subsection (2), the applicable percentage is:
if at that time 2 children of the deceased eligible employee or pensioner are eligible children—11 per centum; or
if at that time one child of the deceased eligible employee or pensioner is an eligible child:
if there is only one partially dependent child—11 per centum; or
if there is more than one partially dependent child—22 per centum; or
if at that time no child of the deceased eligible employee or pensioner is an eligible child:
if there is only one partially dependent child—11 per centum; or
if there are 2 partially dependent children—22 per centum; or
if there are more than 2 partially dependent children—33 per centum.
If, at any time when spouse’s pension is payable to the spouse of a deceased pensioner in accordance with subsection 94(2), there is one, or more than one, child of the deceased pensioner who is a partially dependent child, then, subject to subsection (7) and section 96BA, the spouse is entitled to extra spouse’s pension in accordance with subsection (6).
If, at any time, the spouse of a deceased pensioner is entitled to extra spouse’s pension under subsection (5), the annual rate of that pension is:
the applicable percentage of the annual rate of the pension by reference to which the spouse’s pension payable to the spouse under subsection 94(2) is to be calculated under that subsection; or
an amount equal to the amount per annum of the regular maintenance payments that the deceased pensioner was, at the time of his or her death, voluntarily making, or required by a court to make, to or in respect of the partially dependent child or children;
whichever is less.
The spouse of a deceased pensioner is not entitled to extra spouse’s pension under subsection (5) at any time when there is more than one child of the deceased pensioner who is an eligible child.
If, at any time, the spouse of a deceased pensioner is entitled to extra spouse’s pension under subsection (5), then, for the purposes of subsection (6), the applicable percentage is:
if, at that time, one child of the deceased pensioner is an eligible child—11%; or
if, at that time, no child of the deceased pensioner is an eligible child:
if there is one partially dependent child—12%; or
if there are 2 or more partially dependent children—23%.
If:
the spouse of a deceased pensioner had a late short-term marital or couple relationship with the pensioner; and
apart from this section, the spouse of the deceased pensioner would, at any time, be entitled to extra spouse’s pension under subsection 96B(2) or (6);
the annual rate of that pension at that time is:
if paragraph (d) does not apply—the amount worked out by using the formula:
if at that time there is one or more than one eligible child or partially dependent child who became a child of the pensioner:
before the pensioner became a retirement pensioner or turned 60; or
at least 3 years before the pensioner died;
—such rate, being a rate higher than the rate worked out under paragraph (c) but less than the basic rate of pension, as CSC determines to be fair and equitable in all the circumstances of the case.
In subsection (1):
basic rate of pension means the annual rate at which, apart from subsection (1), extra spouse’s pension would be payable to the person.
relevant period means the period:
beginning on the day on which the marital or couple relationship between the deceased pensioner and his or her spouse began; and
ending on the day on which the pensioner died.
If:
instead of a pension under Division 3 of this Part, a lump sum benefit is payable to the spouse of a deceased pensioner under section 95A or 96AA; and
had the pension been payable to the spouse, extra spouse’s pension would be payable to him or her under section 96B;
there is payable to the spouse, instead of that extra spouse’s pension, a lump sum of an amount determined in writing by CSC after consultation with an actuary.
In this Division, a reference to an eligible child includes a reference to a partially dependent child.
Where:
an eligible employee dies on or after attaining his or her maximum retiring age;
his or her period of contributory service is not less than 1 year; and
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children;
then:
at any time after his or her death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children—orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2); and
if the surviving child or 1 or more of the surviving children is or are, immediately after his or her death, an eligible child or eligible children or, in the opinion of CSC, is or are likely to become an eligible child or eligible children—lump sum benefit is payable in respect of that child or those children in accordance with subsection (3).
Where, by virtue of paragraph (1)(d), orphan pension is at any time payable in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional standard age retirement pension of the deceased eligible employee as is applicable under section 109.
Where, by virtue of paragraph (1)(e), lump sum benefit is payable in respect of a surviving child or surviving children of a deceased eligible employee, the lump sum benefit is an amount equal to the accumulated contributions of the deceased eligible employee.
The reference in subsection (2) to the notional standard age retirement pension of a deceased eligible employee means the rate of the standard age retirement pension to which he or she would have been entitled if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension in accordance with section 56.
Where:
an eligible employee dies before attaining his or her maximum retiring age;
his or her period of prospective service is not less than 1 year; and
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children;
then, except in a case where section 99, 100 or 101 applies:
at any time after his or her death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children—orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2); and
if the deceased eligible employee had paid supplementary contributions and the surviving child or 1 or more of the surviving children is or are, immediately after his or her death, an eligible child or eligible children or, in the opinion of CSC, is or are likely to become an eligible child or eligible children—lump sum benefit is payable in respect of that child or those children in accordance with subsection (3) of this section.
Where, by virtue of paragraph (1)(d), orphan pension is at any time payable in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased eligible employee as is applicable under section 109.
Where, by virtue of paragraph (1)(e), lump sum benefit is payable in respect of a surviving child or surviving children of a deceased eligible employee, the lump sum benefit is an amount equal to the accumulated supplementary contributions of the deceased eligible employee.
The reference in subsection (2) to the notional invalidity pension of a deceased eligible employee means:
subject to paragraph (b) of this subsection, the rate of the invalidity pension to which the eligible employee would have been entitled under section 67 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension in accordance with that section; or
where an amount equal to the deceased eligible employee’s accumulated contributions has been paid out of the Fund under section 111—the rate of the invalidity pension to which the eligible employee would have been entitled under section 68 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension and had made an election under that section.
Where a deceased eligible employee would, if he or she had not died but had retired on the ground of invalidity on the day of his or her death, have been entitled to invalidity benefit as provided by subsection 66(3) or (3A), this section applies in relation to him or her as if:
there were substituted for paragraph (1)(e) of this section provision that lump sum benefit equal to the accumulated contributions of the deceased eligible employee were payable in respect of the child or children referred to in that paragraph; and
paragraph (4)(b) of this section applied in relation to him or her.
Where:
an eligible employee dies before attaining his or her maximum retiring age;
his or her period of prospective service is less than 8 years but not less than 1 year;
there was not in force in respect of him or her immediately before his or her death a benefit classification certificate or, if such a certificate was in force in respect of him or her immediately before his or her death, CSC is of the opinion that his or her death was not caused, and was not substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or such conditions;
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children, being a child who is, or children at least one of whom is, an eligible child; and
CSC is of the opinion that no other surviving child of the deceased eligible employee who is not an eligible child immediately after his or her death is likely to become an eligible child;
then, upon application in writing being made to CSC not later than 3 months after the date of the eligible employee’s death by or on behalf of the eligible child or eligible children, CSC may, in its discretion, direct that, in lieu of benefit being payable in accordance with section 98 in respect of the eligible child or eligible children, a lump sum benefit be payable in accordance with this section.
Subject to subsection (3), where CSC gives a direction under subsection (1) of this section in relation to an eligible child or eligible children of a deceased eligible employee, there is payable in respect of the eligible child or eligible children a lump sum benefit of an amount equal to the amount of the lump sum benefit to which the deceased eligible employee would have been entitled under subsection 69(2) or (3) (as the case may be) if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to an invalidity pension and had made an election under section 69.
Where:
CSC gives a direction under subsection (1) of this section in relation to an eligible child or eligible children of a deceased eligible employee; and
that child, or each of those children, is a partially dependent child;
there is payable in respect of the child or children a lump sum benefit of an amount determined by CSC, being an amount that is:
not less than the amount of the deceased eligible employee’s accumulated contributions; and
not more than the sum of the lump sum benefit referred to in subsection (2) and the productivity benefit payable in respect of the deceased eligible employee under Part VIA.
Where:
an eligible employee dies before attaining his or her maximum retiring age;
his or her period of contributory service is not less than 8 years;
there was in force in respect of him or her immediately before his or her death a benefit classification certificate and CSC is of the opinion that his or her death was caused, or was substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or such conditions; and
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children;
then:
at any time after his or her death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children—orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2); and
if the deceased eligible employee had paid supplementary contributions and the surviving child or 1 or more of the surviving children is or are, immediately after his or her death, an eligible child or children or, in the opinion of CSC, is or are likely to become an eligible child or children—lump sum benefit is payable in respect of that child or those children in accordance with subsection (3).
Where, by virtue of paragraph (1)(e) of this section, orphan pension is at any time payable in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased eligible employee as is applicable under section 109.
Where, by virtue of paragraph (1)(f), lump sum benefit is payable in respect of a surviving child or surviving children of a deceased eligible employee, the lump sum benefit is an amount equal to the accumulated supplementary contributions of the deceased eligible employee.
The reference in subsection (2) of this section to the notional invalidity pension of a deceased eligible employee means:
subject to paragraph (b) of this subsection, the rate of the invalidity pension to which the eligible employee would have been entitled under section 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension in accordance with that section; or
where an amount equal to the deceased eligible employee’s accumulated contributions has been paid out of the Fund under section 111—the rate of the invalidity pension to which the eligible employee would have been entitled under section 71 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension and had made an election under that section.
Where a deceased eligible employee would, if he or she had not died but had retired on the ground of invalidity on the day of his or her death, have been entitled to invalidity benefit as provided by subsection 66(3) or (3A), this section applies in relation to him or her as if:
there were substituted for paragraph (1)(f) of this section provision that lump sum benefit equal to the accumulated contributions of the deceased eligible employee were payable in respect of the child or children referred to in that paragraph; and
paragraph (4)(b) of this section applied in relation to him or her.
Where:
an eligible employee dies before attaining his or her maximum retiring age;
his or her period of contributory service is less than 8 years;
his or her period of prospective service is not less than 1 year;
there was in force in respect of him or her immediately before his or her death a benefit classification certificate and CSC is of the opinion that his or her death was caused, or was substantially contributed to, by a physical or mental condition or conditions specified in the certificate or by a physical or mental condition or conditions connected with such a condition or such conditions;
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children; and
the surviving child or 1 or more of the surviving children is or are, immediately after his or her death, an eligible child or eligible children or, in the opinion of CSC, is or are likely to become an eligible child or eligible children;
a lump sum benefit is payable in respect of that child or those children in accordance with this section.
Subject to subsection (3), where, by virtue of subsection (1), a lump sum benefit is payable in respect of the child or children of a deceased eligible employee, the lump sum benefit payable in accordance with this section is an amount equal to the amount of the lump sum benefit to which the deceased eligible employee would have been entitled under subsection 73(2) or (3) (as the case may be) if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit under section 73.
Where:
by virtue of subsection (1) a lump sum benefit is payable in respect of the child or children of a deceased eligible employee; and
that child, or each of those children, is a partially dependent child;
there is payable in respect of the child or children a lump sum benefit of an amount determined by CSC, being an amount that is:
not less than the amount of the deceased eligible employee’s accumulated contributions; and
not more than the sum of the lump sum benefit referred to in subsection (2) and the productivity benefit payable in respect of the deceased eligible employee under Part VIA.
Where:
spouse’s pension is payable to the spouse of a person who ceased to be an eligible employee by reason of the death of the eligible employee on or after attaining his or her maximum retiring age; and
the spouse dies but is survived by a person or persons who is or are the child or children of the deceased eligible employee;
then, at any time after the spouse’s death when the surviving child or 1 or more of the surviving children, is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1), orphan pension is at any time payable in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional standard age retirement pension of the deceased eligible employee as is applicable under section 109.
The reference in subsection (2) to the notional standard age retirement pension of a deceased eligible employee means the rate of the standard age retirement pension to which the deceased eligible employee would have been entitled on the day on which the spouse’s pension ceased to be payable if the eligible employee had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension in accordance with section 56.
Where:
spouse’s pension is payable in accordance with section 82 or 83 to the spouse of a person who ceased to be an eligible employee by reason of the death of the eligible employee before attaining his or her maximum retiring age; and
the spouse dies but is survived by a person or persons who is or are the child or children of the deceased eligible employee;
then, at any time after the spouse’s death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1), orphan pension is at any time payable in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased eligible employee as is applicable under section 109.
The reference in subsection (2) to the notional invalidity pension of a deceased eligible employee means:
subject to paragraph (b) of this subsection, the rate of the invalidity pension to which the eligible employee would have been entitled under section 67 on the day on which spouse’s pension ceased to be payable to the spouse if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension in accordance with that section; or
if the spouse had made an election under section 83—the rate of the invalidity pension to which he or she would have been entitled under section 68 on the day on which spouse’s pension ceased to be payable to the spouse if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and made an election under section 68.
Where:
spouse’s pension is payable in accordance with section 85 or 86 to the spouse of a person who ceased to be an eligible employee by reason of the death of the eligible employee before attaining his or her maximum retiring age; and
the spouse dies but is survived by a person or persons who is or are the child or children of the deceased eligible employee;
then, at any time after the spouse’s death when the surviving child or 1 or more of the surviving children, is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1), orphan benefit is payable at any time in respect of an eligible child or eligible children of a deceased eligible employee, the annual rate of pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased eligible employee as is applicable under section 109.
The reference in subsection (2) to the notional invalidity pension of a deceased eligible employee means:
subject to paragraph (b) of this subsection, the rate of the invalidity pension to which the eligible employee would have been entitled under section 70 on the day on which spouse’s pension ceased to be payable to the spouse if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension in accordance with that section; or
if the spouse had made an election under section 86—the rate of the invalidity pension to which he or she would have been entitled under section 71 on the day on which spouse’s pension ceased to be payable to the spouse if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity benefit and made an election under section 71.
Where:
a pensioner to whom age retirement pension or early retirement pension is payable dies; and
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children;
then, subject to section 108A, at any time after his or her death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1) of this section, orphan pension is payable at any time in respect of an eligible child or eligible children of a deceased pensioner, the annual rate of the pension payable in respect of the child or children is such percentage of the notional standard pension of the deceased pensioner as is applicable under section 109.
A reference in subsection (2) to the notional standard pension of a deceased pensioner means the annual rate at which standard age retirement pension or standard early retirement pension, as the case may be, was payable to the deceased pensioner immediately before his or her death.
Where:
a pensioner to whom invalidity pension is payable dies; and
he or she is not survived by a spouse but is survived by a person or persons who is or are his or her child or children;
then, subject to section 108A, at any time after his or her death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1) of this section, orphan pension is payable in respect of an eligible child or eligible children of a deceased pensioner, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased pensioner as is applicable under section 109.
A reference in subsection (2) to the notional invalidity pension of a deceased pensioner means the rate at which invalidity pension was payable to the deceased pensioner immediately before his or her death.
Where:
spouse’s pension is payable to the spouse of a person to whom age retirement pension or early retirement pension was payable at the time of the person’s death; and
the spouse dies, but is survived by a person or persons who is or are the child or children of the deceased pensioner;
then, subject to section 108A, at any time after the spouse’s death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1), orphan pension is payable at any time in respect of an eligible child or eligible children of a deceased pensioner, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional standard pension of the deceased pensioner as is applicable under section 109.
A reference in subsection (2) to the notional standard pension of a deceased pensioner means the rate at which standard age retirement pension or standard early retirement pension, as the case may be, would have been payable to the deceased pensioner immediately before the pensioner’s death if the pensioner had died on the day on which his or her spouse died.
Where:
a spouse’s pension is payable to the spouse of a person to whom invalidity pension was payable at the time of the person’s death; and
the spouse dies, but is survived by a person or persons who is or are the child or children of the deceased pensioner;
then, subject to section 108A, at any time after the spouse’s death when the surviving child or 1 or more of the surviving children is an eligible child or are eligible children, orphan pension is payable in respect of the eligible child or eligible children in accordance with subsection (2).
Where, by virtue of subsection (1), orphan pension is payable at any time in respect of an eligible child or eligible children of a deceased pensioner, the annual rate of the pension payable in respect of that child or those children is such percentage of the notional invalidity pension of the deceased pensioner as is applicable under section 109.
A reference in subsection (2) to the notional invalidity pension of a deceased pensioner means the annual rate at which invalidity pension would have been payable to the deceased pensioner immediately before the pensioner’s death if he or she had died on the day on which his or her spouse died.
This section applies to the eligible child or eligible children of a deceased retirement pensioner if the child, or at least one of the children, is a child of the pensioner because of a late short-term marital or couple relationship between the pensioner and his or her spouse.
This section also applies to the eligible child or eligible children of a deceased retirement pensioner if:
the child, or at least one of the children, became a child of the pensioner only because he or she was an adopted child, foster child or ward of the pensioner; and
he or she had been such an adopted child, foster child or ward for a period of less than 3 years before the pensioner’s death.
Orphan pension is payable in respect of a person or persons to whom this section applies only in accordance with this section.
If, apart from this section, orphan pension would at any time be payable under section 105, 106, 107 or 108 in respect of a person or persons to whom this section applies, the annual rate of that pension at that time is:
if paragraph (b) does not apply—the amount worked out by using the formula:
if at that time there is one or more than one eligible child who is not a child referred to in subsection (1) or (2)—such rate, being a rate higher than the rate worked out under paragraph (a) but less than the basic rate of pension, as CSC determines to be fair and equitable in all the circumstances of the case.
In subsection (4):
basic rate of pension means the annual rate at which, apart from this section, orphan pension would be payable at that time in respect of the person under subsection 105(2), 106(2), 107(2) or 108(2).
relevant period means the period:
beginning on the day on which:
the marital or couple relationship between the deceased pensioner and his or her spouse began; or
the child, or one of the children, first became an adopted child, foster child or ward of the pensioner; and
ending on the day on which the pensioner died.
Where, at any time, orphan pension is payable in respect of an eligible child or eligible children of a deceased eligible employee or a deceased pensioner, then, for the purposes of subsection 97(2), 98(2), 100(2), 102(2), 103(2), 104(2), 106(2) or 108(2), as the case requires, the applicable percentage is:
if at that time there is 1 eligible child—45 per centum;
if at that time there are 2 eligible children—80 per centum;
if at that time there are 3 eligible children—90 per centum; and
if at that time there are 4 or more eligible children—100 per centum.
If, at any time, orphan pension is payable in respect of an eligible child or eligible children of a deceased pensioner, then, for the purposes of subsection 105(2) or 107(2), the applicable percentage is the percentage worked out in accordance with the following table:
Subject to subsection (3), if:
at any time when orphan pension is payable in accordance with a provision of this Division to or in respect of an eligible child or eligible children of a deceased eligible employee or pensioner, that child or any of those children is a partially dependent child; and
but for this section, that pension would be payable at an annual rate that exceeds the maximum permissible rate in relation to that pension, the annual rate of that pension is an amount per annum equal to the maximum permissible rate.
For the purposes of subsection (1), the maximum permissible rate, in relation to orphan pension payable in accordance with a provision of this Division to or in respect of an eligible child or eligible children of a deceased eligible employee or pensioner who is, or any of whom is, a partially dependent child is:
where the pension is payable to or in respect of one eligible child and that child is a partially dependent child—an amount per annum equal to the amount per annum of the regular maintenance payments that the deceased eligible employee or pensioner was, at the time of his or her death, voluntarily making, or required by a court to make, to or in respect of the child; or
in any other case—an amount per annum equal to the sum of:
the annual rate at which orphan pension would be payable under that provision if the deceased eligible employee or pensioner had no partially dependent child; and
the amount per annum of the regular maintenance payments that the deceased eligible employee or pensioner was, at the time of his or her death, voluntarily making, or required by a court to make, to or in respect of his or her partially dependent child or children.
This section does not apply at any time when there are more than 3 eligible children of the deceased eligible employee or pensioner who are not partially dependent children.
(1) Where a person (in this section called the deceased person) who is an eligible employee or a retirement pensioner dies and is survived by one spouse and by an eligible child or eligible children, or a partially dependent child or partially dependent children, not in the custody, care and control of the spouse, benefit is only payable under Division 1, 2, 3 or 3A in accordance with this section.
The amount of spouse’s pension payable to the spouse must not exceed:
if the deceased person was, immediately before his or her death, an eligible employee who had not attained his or her maximum retiring age—the applicable percentage of the annual rate of the invalidity pension to which the deceased eligible employee would have been entitled under section 67 or 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension under that section; or
if the deceased person was, immediately before his or her death, an eligible employee who had attained his or her maximum retiring age—the applicable percentage of the annual rate of the standard age retirement pension to which the deceased eligible employee would have been entitled under section 56 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension under that section; or
if the deceased person was, immediately before his or her death, a retirement pensioner and had had a marital or couple relationship that had begun:
before he or she had become a retirement pensioner; or
before he or she had turned 60; or
not less than 3 years before the pensioner’s death;
—the applicable percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death.
The applicable percentage mentioned in paragraphs (2)(a) and (b) is:
if there are no eligible children of the deceased person in the custody, care and control of the spouse—67%; or
if there is one such eligible child—78%; or
if there are 2 such eligible children—89%; or
if there are 3 or more such eligible children—100%.
The applicable percentage mentioned in paragraph (2)(c) is the percentage worked out in accordance with the following table:
If the deceased person:
was, immediately before his or her death, a retirement pensioner; and
had had a late short-term marital or couple relationship with his or her spouse;
the amount of the spouse’s pension payable to the spouse must not exceed such percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death as is determined by CSC.
In making a determination under subsection (3B), CSC must take into consideration:
the extent to which spouse’s pension payable to the spouse of a deceased pensioner under Division 3 is reduced when the spouse and the deceased pensioner have been in a marital or couple relationship of the kind referred to in paragraph (3B)(b); and
whether one or more than one eligible child, or one or more than one partially dependent child, of the pensioner is or is not a child of the pensioner because of the late short-term marital or couple relationship referred to in paragraph (3B)(b).
CSC must, having regard to:
the needs of the spouse; and
the respective needs of any eligible child or eligible children, or any partially dependent child or partially dependent children, of the deceased person; and
such other matters as CSC considers relevant;
subject to the limitations set out in subsections (5), (5A) and (7), determine the part of a benefit to which the spouse is entitled under Division 1, 2, 3 or 3A that is attributable to each such child.
Benefit attributed under subsection (4) to an eligible child or eligible children of the deceased person not in the custody, care and control of the spouse must not exceed in the aggregate:
if the deceased person was, immediately before his or her death, an eligible employee who had not attained his or her maximum retiring age—the applicable percentage of the annual rate of the invalidity pension to which the deceased eligible employee would have been entitled under section 67 or 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension under that section; or
if the deceased person was, immediately before his or her death, an eligible employee who had attained his or her maximum retiring age—the applicable percentage of the annual rate of the standard age retirement pension to which the deceased eligible employee would have been entitled under section 56 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension under that section; or
(c) if the deceased person was, immediately before his or her death, a retirement pensioner and had had a marital or couple relationship that had begun:
before he or she had become a retirement pensioner; or
before he or she had turned 60; or
not less than 3 years before the pensioner’s death;
—the applicable percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death.
If the deceased person:
(a) was, immediately before his or her death, a retirement pensioner; and
had had a late short-term marital or couple relationship with his or her spouse;
benefit attributed under subsection (4) to the eligible child or eligible children of the deceased person not in the custody, care and control of the spouse must not exceed in the aggregate such proportion of the applicable percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death as is determined by CSC.
In making a determination under subsection (4) or (5A), CSC must take into consideration:
(a) the extent to which spouse’s pension payable to the spouse of a deceased pensioner under Division 3 is reduced when the spouse and the deceased pensioner have been in a marital or couple relationship of the kind referred to in paragraph (5A)(b); and
whether one or more than one eligible child of the pensioner is or is not a child of the pensioner because of the late short-term marital or couple relationship referred to in paragraph (5A)(b).
The applicable percentage mentioned in paragraphs (5)(a) and (b) is:
if there is one eligible child not in the custody, care and control of the spouse—45%; or
if there are 2 such eligible children—80%; or
if there are 3 such eligible children—90%; or
if there are 4 or more such eligible children—100%.
The applicable percentage mentioned in paragraph (5)(c) is the percentage worked out in accordance with the following table:
Benefit attributed under subsection (4) to a partially dependent child or partially dependent children of the deceased person must not exceed in the aggregate the lesser of:
the annual rate of the regular maintenance payments being made, or required to be made by order of a court, in relation to the child or children by the deceased person immediately before his or her death; or
the maximum benefit that, under subsection (5) or (5A), could be attributed to the child or children if the child or children were an eligible child or eligible children, as the case may be, of the deceased person not in the custody, care and control of the spouse.
CSC must not determine that a part of spouse’s additional pension, being such pension mentioned in sections 89 and 93, is attributable to a partially dependent child or partially dependent children.
Where CSC makes a determination under subsection (4), the spouse may make any election under this Act in relation to the part of a benefit that, under the determination, is not attributable to a child or children (being a child or children not in the custody, care and control of the spouse) as if the part of the benefit were the whole of the benefit to which the spouse had become entitled.
Where a determination is made under subsection (4), CSC, having regard to the respective needs of the persons mentioned in that subsection and to such other matters as CSC considers relevant, may vary the determination from time to time.
A reference in subsection (2) to spouse’s pension does not include a reference to spouse’s additional pension mentioned in sections 89 and 93.
For the purposes of this section, in determining the needs of a spouse, disregard any need that results from an election made by the spouse under section 146E.
CSC must ensure that so much of a spouse’s pension as is commuted under section 146E is not attributed under this section to a child.
(1) Where a person (in this section called the deceased person) who is an eligible employee or a retirement pensioner dies and is survived by more than one spouse, benefit is only payable under Division 1, 2, 3 or 3A in accordance with this section.
Subject to this section and section 110AB, benefit payable under Division 1, 2, 3 or 3A to those spouses is such benefit as would be payable in respect of the deceased person if the deceased person had had only one spouse who survived him or her.
CSC must, having regard to:
the respective needs of the surviving spouses; and
the respective needs of any eligible child or eligible children, or any partially dependent child or partially dependent children, of the deceased person; and
such other matters as CSC considers relevant;
allocate any benefit payable in respect of the deceased person under Division 1, 2, 3 or 3A (other than a benefit payable in accordance with section 91) among those spouses, subject to the limitations set out in subsections (4) and (5), and benefit is payable accordingly.
The amount of spouse’s pension payable to a spouse must not exceed:
if the deceased person was, immediately before his or her death, an eligible employee who had not attained his or her maximum retiring age—the applicable percentage of the annual rate of the invalidity pension to which the deceased eligible employee would have been entitled under section 67 or 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension under that section; or
if the deceased person was, immediately before his or her death, an eligible employee who had attained his or her maximum retiring age—the applicable percentage of the annual rate of the standard age retirement pension to which the deceased eligible employee would have been entitled under section 56 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension under that section; or
(c) if the deceased person was, immediately before his or her death, a retirement pensioner and had had a marital or couple relationship with the spouse that had begun:
before the retirement pensioner had become a retirement pensioner; or
before the retirement pensioner had turned 60; or
not less than 3 years before the pensioner’s death;
—the applicable percentage of the annual rate of pension payable to the retirement pensioner before his or her death; or
if the deceased pensioner was, immediately before his or her death, a retirement pensioner and had had a late short-term marital or couple relationship with the spouse—such percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death as is determined by CSC.
The applicable percentage mentioned in paragraphs (4)(a) and (b) is:
if there are no eligible children of the deceased person in the custody, care and control of the spouse—67%; or
if there is one such eligible child—78%; or
if there are 2 such eligible children—89%; or
if there are 3 or more such eligible children—100%.
The applicable percentage mentioned in paragraph (4)(c) is the percentage worked out in accordance with the following table:
In making a determination under paragraph (4)(d), CSC must take into consideration:
the extent to which spouse’s pension payable to the spouse of a deceased pensioner under Division 3 is reduced when the spouse and the deceased pensioner have been in a marital or couple relationship of the kind referred to in paragraph (4)(d); and
whether there is in the custody, care and control of the spouse one, or more than one, eligible child who:
was not born of the marital or couple relationship referred to in paragraph (4)(d); or
(ia) was not a child of the spouse, and the pensioner, within the meaning of the Family Law Act 1975; or
did not become a stepchild of the pensioner as a result of that marital or couple relationship; or
is not a child of the person with whom the pensioner had that marital or couple relationship.
Where, under subsection (3), CSC allocates a benefit payable in respect of a deceased person and there is an eligible child or eligible children, or a partially dependent child or partially dependent children, of the deceased person, CSC must determine the part of the benefit that is attributable to each such child other than, in the case of a benefit payable under section 91 or 95, a partially dependent child.
Benefit attributed under subsection (6) to an eligible child or eligible children of the deceased person not in the custody, care and control of any of the surviving spouses must not exceed in the aggregate:
if the deceased person was, immediately before his or her death, an eligible employee who had not attained his or her maximum retiring age—the applicable percentage of the annual rate of the invalidity pension to which the deceased eligible employee would have been entitled under section 67 or 70 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to invalidity pension under that section; or
if the deceased person was, immediately before his or her death, an eligible employee who had attained his or her maximum retiring age—the applicable percentage of the annual rate of the standard age retirement pension to which the deceased eligible employee would have been entitled under section 56 if he or she had not died, but had, on the day immediately following the date of his or her death, become entitled to standard age retirement pension under that section; or
if the deceased person was, immediately before his or her death, a retirement pensioner and had been in a marital or couple relationship that had begun:
before he or she had become a retirement pensioner; or
before he or she had turned 60; or
not less than 3 years before the pensioner’s death;
the applicable percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death.
If:
the deceased person:
was, immediately before his or her death, a retirement pensioner; and
had had a late short-term marital or couple relationship; and
one or more than one eligible child of the pensioner:
was born of that marital or couple relationship; or
(ia) was, within the meaning of the Family Law Act 1975, a child of the pensioner and the person with whom the pensioner had that marital or couple relationship; or
became a stepchild of the pensioner as a result of that marital or couple relationship; or
is a child of the person with whom the pensioner had that marital or couple relationship; and
that child or any of those children is not in the custody, care and control of any of the surviving spouses;
the following provisions apply:
benefit attributed under subsection (6) to that child or to each of those children should be less than the amount of benefit that would be attributed to him or her if he or she were an eligible child other than a child referred to in paragraph (b);
benefit attributed under subsection (6) to the eligible child or eligible children of the deceased person not in the custody, care and control of any of the surviving spouses must not exceed in the aggregate such proportion of the applicable percentage of the annual rate of pension payable to the retirement pensioner immediately before his or her death as is determined by CSC.
In making a determination under subsection (6) as affected by paragraph (7A)(d) or under paragraph (7A)(e), CSC must take into consideration:
the extent to which spouse’s pension payable to the spouse of a deceased pensioner under Division 3 is reduced when the spouse and the deceased pensioner have been in a marital or couple relationship of the kind referred to in paragraph (7A)(a); and
whether the eligible child or any of the eligible children not in the custody of any surviving spouse was or was not a child referred to in paragraph (7A)(b).
The applicable percentage mentioned in paragraphs (7)(a) and (b) is:
if there is one eligible child not in the custody, care and control of any of the surviving spouses—45%; or
if there are 2 such eligible children—80%; or
if there are 3 such eligible children—90%; or
if there are 4 or more such eligible children—100%.
The applicable percentage mentioned in paragraph (7)(c) is the percentage worked out in accordance with the following table:
Benefit attributed under subsection (6) to a partially dependent child or partially dependent children of the deceased person must not exceed in the aggregate the lesser of:
the annual rate of the regular maintenance payments being made, or required to be made by order of a court, in relation to the child or children by the deceased person immediately before his or her death; or
the maximum benefit that, under subsection (7) or (7A), could be attributed to the child or children if the child or children were an eligible child or eligible children, as the case may be, of the deceased person not in the custody, care and control of any of the surviving spouses.
Where the deceased person was, immediately before his or her death, an eligible employee who had attained his or her maximum retiring age:
CSC, having regard to:
the respective needs of the surviving spouses; and
the respective needs of any eligible child or eligible children; and
such other matters as CSC considers relevant;
must, for the purposes of ascertaining the benefit payable in accordance with section 91, allocate the accumulated contributions of the deceased person among such spouses; and
section 91 applies in relation to a spouse of the deceased person as if:
the deceased person had had only one spouse who survived him or her and that person were that spouse; and
the accumulated contributions of the deceased person were the part of those contributions allocated to that spouse under paragraph (a); and
each reference in that section to 13.4 per centum were a reference to such percentage as bears to 13.4 per centum the same proportion as the part of the accumulated contributions of the deceased person allocated to that spouse under paragraph (a) bears to the accumulated contributions of the deceased person.
Where, under subsection (10), CSC allocates a benefit payable in respect of a deceased person and there is an eligible child or eligible children of the deceased person not in the custody, care and control of any of the surviving spouses, CSC must determine the part of the benefit that is attributable to each such child.
Each of the surviving spouses of a deceased person may make such elections under this Act in relation to the part of a benefit allocated to the spouse that is not attributable to a child or children (being a child or children not in the custody, care and control of the spouse) as could be made by the spouse in relation to the benefit if the deceased person had had only one spouse who survived him or her and that person were that spouse.
Where a benefit is payable in accordance with an allocation made under subsection (3) or (10), CSC, having regard to the respective needs of the persons mentioned in that subsection and to such other matters as CSC considers relevant, may vary the allocation from time to time.
Where:
benefit is payable to the surviving spouses of a deceased person under subsection 81(1) or (2); and
the spouses are entitled under subsection (12) of this section to make an election under section 84 or 87; and
one or more, but not all, of the surviving spouses make such an election;
then:
(d) unless CSC otherwise directs, orphan pension is not payable in respect of a child (including a child of a kind referred to in subparagraph (b)(i) or (ii) of the definition of child in subsection 3(1)) of a spouse who makes such an election; and
if orphan pension becomes payable in respect of a child or children of the deceased person, the rate of the pension is such rate as CSC determines, being a rate equal to such rate as CSC considers would have been the rate of pension payable to, or for the benefit of, that child or those children but for paragraph (d).
Orphan benefit is not payable under section 102, 103, 104, 107 or 108 in respect of the children of a deceased person until the death of the last of the surviving spouses entitled to pension under this section.
A reference in subsection (4) to spouse’s pension does not include a reference to spouse’s additional pension mentioned in sections 89 and 93.
For the purposes of this section, in determining the needs of a spouse, disregard any need that results from an election made by the spouse under section 146E.
CSC must ensure that so much of a spouse’s pension as is commuted under section 146E is not allocated under this section.
If, at any time:
spouse’s pension is payable:
to the spouse of a deceased eligible employee under section 82, 83, 85, 86 or 90; or
to the spouse of a deceased pensioner under section 94 or 96; and
(b) the sum of the spouse’s pension and extra spouse’s pension (if any) is less than the annual rate of the pension by reference to which the rate of spouse’s pension is calculated under whichever is applicable of base amount); andsection 82, 83, 85, 86, 90, 94 or 96 (in this section called the
there is more than one spouse of the deceased eligible employee or pensioner;
the spouse’s pension is increased under this section.
The increase in the annual rate of spouse’s pension is:
the applicable percentage of the base amount; or
the amount by which the base amount exceeds the sum of the spouse’s pension and the extra spouse’s pension;
whichever is less.
Where, at any time, the spouse’s pension is increased under this section, the applicable percentage is:
in the case of spouses of a category 2 deceased pensioner:
if there are 2 spouses—11%; or
if there are 3 or more spouses—22%; or
in any other case:
if there are 2 spouses—11%; or
if there are 3 spouses—22%; or
if there are 4 or more spouses—33%.
In this Part, unless the contrary intention appears:
notional interim benefit, in relation to a person, has the same meaning as in section 8A of the Superannuation (Productivity Benefit) Act 1988.
productivity benefit means a benefit payable under section 110P.
productivity contribution, in relation to a productivity employee, has the meaning given by section 110C.
productivity employee means:
an eligible employee other than:
an employee of the or of an authority of the ; or
an employee of a State or of an authority of a State; or
a person who is engaged or appointed for employment outside only; or
a person in a class in respect of which a declaration is in force under section 110E; or
an eligible employee in respect of whom a declaration is in force under section 110F;
but does not include an eligible employee whom the Minister and CSC have agreed to exempt from the operation of subsection 51(2B).
productivity related benefit means a benefit not payable under this Act that consists of, or is worked out by reference to, an amount like the amount described in paragraph 110Q(1)(a).
For the purposes of section 110C, the fortnightly rate of salary of a productivity employee is taken to be the rate of salary that, for the purposes of section 46, was his or her fortnightly rate of salary on the last anniversary of his or her birth that occurred before the contribution day on which the productivity contribution is payable.
Subject to this section, the productivity contribution in respect of a productivity employee for a fortnight is the amount ascertained in accordance with the following Table:
Where CSC makes a declaration under section 110D in relation to a period, the Table has effect in relation to that period as if it had been varied in accordance with the declaration.
Where an amount that, but for this subsection, would be a productivity contribution in respect of a productivity employee includes a part of a cent, then:
where the part is .5 of a cent or more—that part shall be taken to be 1 cent; and
in any other case—the part shall be disregarded.
Before the commencement of a period, CSC, in accordance with a method of calculation notified to CSC by the Minister, may, by legislative instrument, declare that the Table in subsection 110C(1) is to have effect in relation to the period as if amounts specified in the declaration were substituted for amounts specified in the Table (whether sums of money or percentages).
The Minister may, by legislative instrument, declare that a specified class of eligible employees are not to be productivity employees for the purposes of this Part.
The Minister is only to make a declaration about a class of employees if he or she is satisfied that those employees are entitled to productivity related benefits.
A declaration under this section takes effect from such day, not earlier than 1 July 1990, as is specified in it.
If the Minister makes a declaration under section 110E with retrospective effect:
the amounts paid as productivity contributions in respect of an employee to whom the declaration relates in respect of the period covered by the declaration; and
interest in respect of those amounts;
are payable, as soon as practicable after the declaration is made, to the fund out of which the productivity related benefits to which the employee is entitled as mentioned in subsection 110E(2) are payable.
(1) The Minister may, by legislative instrument, declare an eligible employee described in subparagraph (a)(i), (ii) or (iii) of the definition of productivity employee in section 110A to be a productivity employee for the purposes of this Part.
A declaration under this section takes effect from such day, not earlier than 1 July 1990, as is specified in it.
Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a declaration made under section 110D, 110E or 110F of this Act.
Subject to subsection (3), a designated employer of a productivity employee is to pay to CSC:
productivity contributions in respect of the employee in respect of each fortnight occurring during the employee’s employment by the employer; and
where a productivity contribution is not paid on the day on which it is payable under subsection (2A)—interest on it in respect of the period commencing on that day and ending on the day immediately before the day when it is paid.
A productivity contribution in respect of a productivity employee is not payable in respect of a fortnight unless:
a basic contribution is payable by the employee for the fortnight; or
if paragraph (a) does not apply:
the productivity contribution is required to be paid in respect of the employee by an industrial award; or
(ii) a basic contribution would be payable by the employee for the fortnight if the employee’s tax file number had been quoted (for superannuation purposes), within the meaning of the Income Tax Assessment Act 1997, to CSC.
If a basic contribution is payable by a productivity employee for a fortnight, the productivity contribution in respect of the employee for the fortnight is payable on the contribution day on which the basic contribution is payable.
(2B) If subparagraph (2)(b)(ii) applies, the productivity contribution in respect of the employee for the fortnight is payable on the contribution day on which the basic contribution would have been payable if the employee’s tax file number had been quoted (for superannuation purposes), within the meaning of the Income Tax Assessment Act 1997, to CSC.
Where CSC is satisfied that:
a productivity employee is to be, or was, a member of a superannuation scheme during a period; and
the scheme provides for a productivity related benefit in respect of the employee;
CSC may, by notice in writing given to the employee’s designated employer, waive the obligation of the employer under subsection (1) in respect of the employee during that period.
A designated employer of a productivity employee may pay productivity contributions in respect of the employee out of any money under the employer’s control that is available for the purpose.
(1) Subject to subsection (2), where, before 1 July 1990, a productivity employee received, or became entitled to receive, an interim benefit within the meaning of the Superannuation (Productivity Benefit) Act 1988 without ceasing to be an eligible employee:
where the benefit has neither been preserved in a fund nor used to buy a deferred annuity—the employee may pay to CSC all or part of the amount of that benefit; or
where the benefit has been preserved in a fund—all or part of the amount of that benefit and the amount of any interest accruing on that benefit while preserved in the fund may be transferred, or paid, to CSC; or
where the benefit has been used to buy a deferred annuity that has not become payable and an amount has been received by the employee because of the annuity—the employee may pay to CSC the amount received.
A payment to CSC may only be made within the period of 3 months commencing on 1 July 1990 or such longer period as CSC allows for the particular payment.
Subject to subsection (2), where a person who becomes a productivity employee became entitled to receive from a superannuation scheme an amount by way of a productivity related benefit:
where the benefit has neither been preserved in a fund nor used to buy a deferred annuity—the person may pay to CSC all or part of the amount of that benefit; or
where the benefit has been preserved in a fund—all or part of the amount of that benefit and the amount of any interest accruing on that benefit while preserved in the fund may be transferred, or paid, to CSC; or
where the benefit has been used to buy a deferred annuity that has not become payable and an amount has been received by the person because of the annuity—the employee may pay to CSC the amount received.
A payment to CSC may only be made within the period of 3 months commencing on the day on which the person became a productivity employee or such longer period as CSC allows for the particular payment.
Where a productivity employee:
has, while such an employee, been a member of a superannuation scheme that provided for a productivity related benefit in respect of the employee; and
is paid an amount by way of that benefit;
he or she may pay to CSC all or part of the amount.
A payment to CSC may only be made within the period of 3 months commencing on the day on which the amount was paid to the employee or such longer period as CSC allows for the particular payment.
If:
an eligible employee, while an eligible employee but not a productivity employee, has been a member of a government body scheme within the meaning of Part VIAA that provided for a productivity related benefit in respect of the eligible employee; and
an amount is paid to or in respect of the eligible employee by way of that benefit;
the eligible employee may pay that amount to CSC.
A payment to CSC may only be made within the period of 3 months commencing on the day on which the amount was paid to or in respect of the employee or such longer period as CSC allows for the particular payment.
CSC must pay to the Fund all amounts received by him or her under section 110H, 110K, 110L, 110M or 110MA.
Where a person:
ceases to be an eligible employee; and
was a productivity employee immediately before so ceasing or earlier;
a productivity benefit becomes payable in respect of the person.
If:
the person’s surcharge debt account is in debit when the productivity benefit becomes payable; and
the productivity benefit is to be paid to the person or preserved in a preservation fund;
the amount of the benefit is equal to the difference between the amount of the accumulated employer contributions in respect of the person (basic amount) and:
if paragraphs (d) and (e) do not apply—the person’s surcharge deduction amount; or
if part of the person’s surcharge deduction amount has, under another provision of this Act, been deducted from a benefit payable to the person—the balance of the surcharge deduction amount; or
if the person’s surcharge deduction amount, or the balance of the surcharge deduction amount referred to in paragraph (d), is greater than the basic amount—so much of the surcharge deduction amount, or of the balance of the surcharge deduction amount, as is equal to the basic amount.
In any other case, the productivity benefit is equal to the accumulated employer contributions in respect of the person.
Subsection (1A) does not apply if the whole of the person’s surcharge deduction amount has, under another provision of this Act, been deducted from a benefit payable to the person.
Payment of a productivity benefit that becomes payable in respect of a person under this section may be postponed under Part VIB.
For the purposes of this Act, the accumulated employer contributions in respect of a person who ceases to be an eligible employee are the sum of:
an amount equal to the difference between the sum of the productivity contributions paid or payable in respect of the person and the sum of any amounts in the nature of income tax relevant to those contributions; and
interest on the amount mentioned in paragraph (a); and
where the person:
was an eligible employee on, and at all times after, 30 June 1990; and
was a productivity employee on 1 July 1990;
an amount equal to his or her notional interim benefit; and
interest on the amount mentioned in paragraph (c); and
if an amount has been paid or transferred to the Commissioner or CSC under section 110K, 110L, 110M or 110MA in respect of the employee—the amount paid or transferred less such amount (if any) in the nature of income tax that is relevant to that amount; and
interest on the paid or transferred amount mentioned in paragraph (e).
For the purposes of subsection (1), an amount in the nature of income tax relevant to a productivity contribution or to an amount paid or transferred to the Commissioner or CSC to which paragraph (1)(e) applies is such amount as is calculated in accordance with a determination made by CSC for the purposes of this section.
A determination by CSC under subsection (1A) takes effect from:
a specified day; or
if no day is specified in the determination—the day of the making of the determination;
and must be published in the Gazette.
For the purposes of paragraph (1)(c), where deferred benefits became applicable in respect of a person on the person ceasing to be an eligible employee, the person is taken not to have so ceased.
Subject to subsection (2) and section 110S, if a productivity benefit becomes payable in respect of a person, the benefit is to be treated as a preserved benefit under the SIS Act and dealt with accordingly.
If:
the productivity benefit has become payable because of any of the following:
the person ceased to be an eligible employee on or after reaching the age of 60 years;
if the person has reached the age of 55 years—the person is taken, under subsection 58(2), to have retired voluntarily;
if the person has reached the age of 55 years and has not made an election under section 137—the person is taken, under subsection 58(3), or under section 58A or 58B, to have retired involuntarily;
the person retired on the ground of invalidity; and
the person is entitled to receive an additional age retirement pension or an additional early retirement pension; and
the person has not made an election under section 64 to commute his or her pension into a lump sum benefit;
the person may elect to have applied, for the provision of additional age retirement pension or additional early retirement pension, so much of the productivity benefit as will not result in the base amount within the meaning of section 57, 57AA, 61 or 61AB (whichever is applicable) being greater than the maximum amount within the meaning of section 57, 57AA, 61 or 61AB (whichever is applicable).
Where a person has, under subsection (2), elected to have the benefit applied for the provision of additional age retirement pension or additional early retirement pension and, after it has been so applied, that pension is commuted under section 64, any part of the productivity benefit applied for the provision of the additional pension is taken to be accumulated contributions.
Where, because of a person’s death:
a productivity benefit becomes payable in respect of the person; and
Part VI applies;
then:
that Part so applies as if the accumulated employer contributions in respect of the person were accumulated supplementary contributions in respect of the person; and
where the person is survived by a spouse:
the spouse may elect that the benefit is not to be treated for the purposes of section 91 as if it were part of the accumulated contributions in respect of the person; and
where the spouse so elects—the benefit is payable to the spouse.
Where, because of a person’s death:
a productivity benefit becomes payable in respect of the person; and
Part VI does not apply;
the benefit is payable to the person’s legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
Superannuation Act 1976
No. 31, 1976
Compilation No. 66
Compilation date: 21 May 2026
Includes amendments: Act No. 47, 2026
This compilation is in 2 volumes
Each volume has its own contents
About this compilation
This compilation
This is a compilation of the Superannuation Act 1976 that shows the text of the law as amended and in force on 21 May 2026 (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. The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au).
Application, saving and transitional provisions
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.
Presentational changes
The Legislation Act 2003 provides for First Parliamentary Counsel to make presentational changes to a compilation. Presentational changes are applied to give a more consistent look and feel to legislation published on the Register, and enable the user to more easily navigate those documents.
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. Any modifications affecting the law are accessible on the Register.
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
Part VIAA—Superannuation guarantee top-up benefit 1
110SA Purpose of Part 1
110SB Interpretation 1
110SC Interpretation—SG minimum contribution 5
110SD CSC may determine rate of fund contribution tax 6
110SE Superannuation guarantee top-up benefit 6
110SF Application of formulae 10
110SG Payment of top-up benefit 10
Part VIAB—Payment into fund of amounts held in other superannuation funds 11
110SK Request for transfer of amounts to CSC 11
110SL CSC to pay amounts into Fund 12
110SM Person’s entitlement to benefit 12
110SN Amount of benefit 13
110SO Application of benefit 14
110SP Payment of benefit to spouse etc. 14
110SQ Payment of benefit to personal representatives etc. 15
Part VIB—Postponement of benefits of retirement pensioners 16
110T Circumstances in which benefits may be postponed 16
110TA Effect of election 16
110TB Date on which postponed benefits become payable 17
110TBA Election to receive age retirement benefit etc. at reduced rate 17
110TC Rates of pension after postponement of payment 17
110TD Application of Parts VI, VIA and VIAB and Subdivision B of Division 2 of Part IX in relation to postponed benefits 19
110TE Election by spouse to commute 19
110TF Payment of lump sum benefit to orphan 20
110TG Effect of election on benefits already paid 21
Part VID—Benefits on ceasing to be an eligible employee because of sale of organisation or outsourcing of function 22
110TV Entitlement to benefits 22
Part VII—General provisions applicable to benefits 24
111A Relationship between this Act and SIS Act 24
111 Payment of accumulated contributions where no other benefit payable etc. 24
112 Payments to the Commonwealth and payments out of the Consolidated Revenue Fund 27
113 Instalments of pension 31
114 Payment of part of spouse’s pension etc. attributable to children 31
115 Payment of orphan benefit 33
116 Payment of benefit otherwise than to person entitled 34
117 Pension to or in respect of certain contributors under Defence Force Retirement and Death Benefits Act or MSB Act 34
118 Assignment of benefits 36
119 Attachment of benefits 37
Part VIII—Candidates at Parliamentary elections 40
120 Persons to whom Part applies 40
121 Death of person to whom Part applies before declaration of result of election etc. 40
122 Physical or mental incapacity of person to whom Part applies before declaration of result of election etc. 41
123 Re-employment of person to whom Part applies 44
124 Effect of section 121, 122 or 123 in relation to a person to whom Part applies 45
Part IX—Preservation of rights of certain eligible employees 47
Division 1—Preliminary 47
125 Interpretation 47
126 Modification of Act in relation to eligible employees who were previously members of a superannuation scheme 48
126A Modification of Act in relation to former eligible employees who become members of a superannuation scheme 49
Division 2—Eligible employees with preserved rights from previous employment 51
Subdivision A—Transfer values 51
127 Transfer value payable in relation to certain employment 51
128 Payment of transfer values to CSC 53
128AA Payment to CSC under section 6A of the Superannuation Act 1990 58
129 Certain lump sums not included in transfer value may be treated as supplementary contributions 59
130 Exemption of certain eligible employees from medical examination 60
Subdivision B—Transferred amounts 62
130A Transferred amounts 62
130B Transferred amount may be paid to CSC 63
130C Person’s entitlement to benefit 63
130D Amount of benefit 63
130E Payment of benefit to spouse etc. 64
130F Payment of benefit to personal representatives etc. 65
Division 3—Preservation of rights of persons ceasing to be eligible employees 67
131 Interpretation 67
133 Public employment 68
134 Eligible superannuation schemes 70
135 Transfer value 73
136 Deferred benefits 75
137 Election that Division apply 95
137A Election to receive deferred benefits at reduced rate 95
138 Circumstances in which person entitled to deferred benefits 95
139 Circumstances in which person entitled to transfer value 96
139A Election for transfer value by people in relation to whom deferred benefits apply 97
139AA Deferral of benefit 98
140 Person who is entitled to rights under Division not entitled to rights under other provisions of Act 99
141 Certain former eligible employees not entitled to benefits under Division 100
142 Eligible employee who resigned to contest an election 100
143 Invalidity pensioner restored to health 101
144 Person entitled to deferred benefits again becoming an eligible employee etc. 101
Division 4—Miscellaneous 103
145 Special provisions affecting certain former contributors under certain superannuation schemes 103
146 Application of section 112 to payment of transfer value 109
Part IXA—Commutation of pension: payment of surcharge liability 110
Division 1—Introduction 110
146A Simplified outline 110
146B Definitions 110
Division 2—Commutation of former eligible employee’s pension 111
146C Commutation of former eligible employee’s pension—payment of surcharge liability 111
146D Conversion factor in relation to surcharge commutation amount 114
Division 3—Commutation of spouse’s pension 116
146E Commutation of spouse’s pension—payment of surcharge liability 116
146F Method for reduction of spouse’s pension in relation to surcharge commutation amount 119
Division 4—Commutation of orphan pension 120
146G Commutation of orphan pension—payment of surcharge liability 120
146H Method for reducing orphan pension in relation to surcharge commutation amount 122
Part IXB—Family law superannuation splitting 123
Division 1—Preliminary 123
146MA Definitions 123
Division 2—Benefits for non-member spouse 128
146MB Associate pension or deferred benefits for non-member spouse 128
146MC Associate deferred benefits 129
146MD Commutation of small associate pension 130
Division 3—Reduction of benefits for member spouse 131
146ME Operative time during growth phase—reduction of benefits 131
146MF Operative time during growth phase—reduction where original interest is entitlement to associate deferred benefits 134
146MG Operative time during payment phase—reduction of pension 134
Division 4—Miscellaneous 136
146MH Ministerial Orders 136
Part IXC—Release of benefits to meet deferred Division 293 and 296 tax liabilities 137
146RA Definitions 137
146RB Release of benefits under a release authority 137
146RC Election specifying which benefit is to be reduced 138
146RD Limit on amount that may be released 138
146RE Calculation of benefits after payment of release authority lump sum 139
1 January 2002 141Part X—Pension increases on and after
147 Interpretation 141
148 Increases in pensions 142
149 Increase payable in respect of part only of certain pensions 143
150 Adjustment of increase in case of certain pensions 147
151 Application of Part to pensions payable to or in respect of certain overseas employees 149
152 Death or invalidity retirement of eligible employee before 21st anniversary of birth 150
153 Date of effect of increases 150
Part XA—Review of decisions made by the CSC 151
Division 1—Preliminary 151
153AA Interpretation 151
Division 2—Reconsideration Advisory Committees 152
153AB Establishment 152
153AC Membership of Committee 152
153AD Functions of Committee 152
153AE Proceedings of Committee 152
153AF Indemnification of members of Reconsideration Advisory Committees 153
153AG Remuneration and allowances 153
Division 3—Reconsideration of decision made by delegate 154
153AH Application to CSC 154
153AJ Decision to be referred to panel in certain circumstances 154
153AK Decision to be referred to Committee 155
153AL Determination by CSC 155
153ALA Reconsideration of certain decisions by a delegate relating to invalidity 155
Division 4—Reconsideration of decision made by CSC 157
153AM Application to CSC 157
153AN Payment of fees 157
153AP Decision to be reconsidered only on basis of new evidence 157
153AQ Decision to be referred to panel in certain circumstances 158
153AR Decision to be referred to Committee 158
153AS Determination by CSC 159
153AT Reconsideration of certain decisions by the CSC relating to invalidity 159
Part XI—Miscellaneous 160
154AA CSC may rely on information supplied by employers or former employers 160
154A Determinations with respect to interest and notional interest 160
154AB Determination with respect to surcharge deduction amount 161
154B Calculation of increase in annual rate of salary by reference to estimated increase in full-time adult average weekly ordinary time earnings 162
155 Modification of Act in relation to part-time employees 164
155A Modification of Act in relation to person who is or was an eligible employee to whom age or early retirement pension is or was payable 164
155B Modification of Act in relation to persons who cease to be eligible employees in certain circumstances 164
155C Regulations relating to the operation of the SIS Act and certain other laws 166
155D Death may be presumed in certain cases 167
156 Recovery of unpaid contributions etc. 167
156A Refund of money paid by mistake etc. 168
156B Recoverable payments 168
156C Recoverable death payments 169
156D Reports about recoverable payments and recoverable death payments 171
157 General provisions applicable to elections under Act 172
158 Interim payment of benefits 174
158A Payment of unclaimed money to eligible roll-over fund 174
159 Payment by approved authorities etc. to the Commonwealth in respect of eligible employees 175
160 Cost of administration of, and of medical examinations under, Act etc. 176
160A CSC liable to pay surcharge under the Superannuation Contributions Tax (Assessment and Collection) Act 1997 178
163 Minister may request the supply of information 178
163A Power to require persons to give information and produce documents 178
163AB CSC may require employers to distribute information etc. to eligible employees 180
164 Directions etc. to be in writing 181
165 Delegation 181
166 Eligible employees paid in foreign currency 181
167 Making false statements to CSC 182
167AA Proceedings against corporations 183
167AB Exercise of certain powers by Minister 184
168 Regulations 184
Part XII—Transitional provisions 190
Division 1—Preliminary 190
169 Interpretation 190
Division 2—Existing superannuation fund 191
170 Interpretation 191
171 Transfer of certain assets and liabilities 194
172 Instruments 194
173 Certificates 195
174 Pending proceedings 195
175 Allocation of existing Fund between pensioners and contributors 196
176 Allocation among eligible pensioners 196
177 Allocation among existing contributors 197
178 Payment from new Fund to the Commonwealth 201
179 Determinations etc. to be in writing 201
Division 3—Invalidity pensioners 202
180 Existing invalidity pensioners 202
Division 4—Existing contributors 203
181 Interpretation 203
182 First day of service 203
183 Modification of Act in relation to existing contributors 203
184 Medical examinations and benefit classification certificates 204
185 Existing contributors contributing in excess of 5% of salary 210
186 Existing contributors under 40 years of age contributing less than 5% of salary 210
Division 5—Miscellaneous 214
187 Persons who exchanged pension rights for equivalent rights under superseded Act 214
188 Persons who exchanged rights to refunds or gratuities under other law for equivalent rights under superseded Act 214
189 Dealings by former CSC with policies to which section 74 of superseded Act applies 214
190 Unpaid contributions under superseded Act 215
191 Assignment of life policies under superseded Act 215
192 Persons with whom arrangements made under section 7 of the superseded Act 215
Part XIII—Transfers to approved superannuation schemes 216
237 Interpretation 216
238 Loss of entitlement to benefits—eligible employee transferring to an approved superannuation scheme 216
239 Approval of superannuation schemes 217
240 Transfer of assets etc. to approved superannuation schemes 217
241 Payments from Consolidated Revenue Fund 218
242 Exemption from tax etc. 218
Part XIIIA—Transfers to authorised superannuation schemes 219
242A Holders of statutory offices 219
242B Authorisation of superannuation schemes 219
242C Deferred benefits—eligible employee transferring to an authorised superannuation scheme 219
242D Deferred benefits under this Part 220
242E Circumstances in which deferred benefits become payable 220
Part XIV—Transfers to Public Sector Superannuation Scheme 222
243 Interpretation 222
244 Election to join Public Sector Superannuation Scheme 222
245 Effect of election 224
246 Loss of entitlement to benefits 224
247 Revocation of election in certain cases 224
248 Transfer of assets and liabilities to PSS Fund 225
249 Advances in respect of assets to be transferred 225
250 Exemption from tax etc. 225
Schedule 1—Standard age retirement pension on or after attaining 65 years 226
Schedule 2—Standard age retirement pension on or after attaining 60 years and before 65 years 228
Schedule 3—Invalidity pension 230
Schedule 4—Invalidity pension 231
Schedule 5—Invalidity pension 233
Schedule 6—Invalidity pension 234
Schedule 7—Invalidity pension 235
Schedule 8—Invalidity pension 236
Schedule 11—Deferred benefits 237
Endnotes 242
Endnote 1—About the endnotes 242
Endnote 2—Abbreviation key 244
Endnote 3—Legislation history 245
Endnote 4—Amendment history 265
Endnote 5—Miscellaneous 296
The purpose of this Part is to establish, in respect of certain persons who cease to be eligible employees, an entitlement to a benefit (called superannuation guarantee top-up benefit) so that an employer of such a person while the person was an eligible employee does not have an individual superannuation guarantee shortfall within the meaning of the Superannuation Guarantee (Administration) Act 1992 in relation to that person in respect of the period, or any part of the period, during which the person was an eligible employee.
In this Part, unless the contrary intention appears:
accumulated government body contributions means the total of: the total amount of the productivity contributions applicable to the person in respect of the period; and notional interest on the amount worked out under paragraph (a).
the total amount of the productivity contributions applicable to the person in respect of the period; and
notional interest on the amount worked out under paragraph (a).
government body scheme means a superannuation scheme: established by, or operating for the benefit of employees of: an authority of the Commonwealth; or a State or an authority of a State; or a Territory or an authority of a Territory; or a body corporate in which the Commonwealth, or a person of the kind referred to in paragraph (i), (ii) or (iii), either individually or in combination with one or more other such persons, has a controlling interest; and that has eligible employees as members; and under which productivity contributions accrue in respect of those eligible employees.
established by, or operating for the benefit of employees of:
an authority of the Commonwealth; or
a State or an authority of a State; or
a Territory or an authority of a Territory; or
a body corporate in which the Commonwealth, or a person of the kind referred to in paragraph (i), (ii) or (iii), either individually or in combination with one or more other such persons, has a controlling interest; and
that has eligible employees as members; and
under which productivity contributions accrue in respect of those eligible employees.
notional accumulated SG contributions means an amount equal to the sum of: the person’s SG minimum contributions in relation to that period as reduced by an amount specified in, or worked out in accordance with, a determination made by an actuary under subsection (5); and notional interest on the amount worked out under paragraph (a).
the person’s SG minimum contributions in relation to that period as reduced by an amount specified in, or worked out in accordance with, a determination made by an actuary under subsection (5); and
notional interest on the amount worked out under paragraph (a).
other vested benefit means the value that CSC, having regard to the advice of the Australian Government Actuary, determines to be the value that the benefits paid or payable in respect of the person’s relevant period of employment would have if the total amount of these benefits were taken not to include: the amount equal to the total of whichever of the following amounts is, or are, applicable: the amount equal to that part of the accumulated employer contributions in respect of the person that is based on the operation of paragraphs 110Q(1)(a) and (b) in relation to productivity contributions paid or payable after 30 June 1992; the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110L in relation to any period commencing after the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110M in relation to any period commencing after the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110MA in relation to any period commencing after the amount equal to that part of the person’s accumulated contributions based on contributions that became payable, by the person, after 30 June 1992; if a benefit is payable in respect of the person under Part VIAB—the amount equal to that benefit; if a benefit is payable in respect of the person under Subdivision B of Division 2 of Part IX—the amount equal to that benefit.
the amount equal to the total of whichever of the following amounts is, or are, applicable:
the amount equal to that part of the accumulated employer contributions in respect of the person that is based on the operation of paragraphs 110Q(1)(a) and (b) in relation to productivity contributions paid or payable after 30 June 1992;
the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110L in relation to any period commencing after
the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110M in relation to any period commencing after
the amount equal to that part of an amount paid by or in respect of the person that is based on the operation of paragraphs 110Q(1)(e) and (f) in relation to payments made under 30 June 1992;section 110MA in relation to any period commencing after
the amount equal to that part of the person’s accumulated contributions based on contributions that became payable, by the person, after 30 June 1992;
if a benefit is payable in respect of the person under Part VIAB—the amount equal to that benefit;
if a benefit is payable in respect of the person under Subdivision B of Division 2 of Part IX—the amount equal to that benefit.
period of actual contributory service means the person’s period of contributory service other than any part of that period added by the operation of subsection 128(5) that is not attributable to a transfer value previously paid under Division 3 of Part IX.
productivity contribution means:
in relation to a person who is a productivity employee within the meaning of Part VIA—a productivity contribution within the meaning of that Part (other than an amount taken to be a productivity contribution by virtue of the operation of paragraph 128(2)(c)); or
in relation to any other person—an amount similar in kind to such a productivity contribution, whether worked out under an industrial award or otherwise.
rate of fund contribution tax means 15% or such other rate as is determined by CSC under section 110SD.
relevant period of employment, in relation to a person, means:
if the whole of the person’s period of actual contributory service occurred after 30 June 1992—that period; or
if part only of the person’s period of actual contributory service occurred after that date—that part of the person’s period of actual contributory service.
SG minimum contribution has the meaning given by section 110SC.
top-up benefit means superannuation guarantee top-up benefit payable under section 110SE.
(2) For the purposes of paragraph (a) of the definition of accumulated government body contributions in subsection (1), the amount of a productivity contribution applicable to a person in relation to a particular period (the accrual period) is:
if the relevant government body scheme provides for productivity contributions (applicable to all eligible employees who are members of the scheme) that may be expressed as a percentage of the earnings (as described for the purposes of the scheme) of each employee—that percentage of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person; or
if the relevant government body scheme provides for productivity contributions (applicable to a class of eligible employees identified by the scheme) that may be expressed as a percentage of the earnings (as described for the purposes of the scheme) of each employee in the class, and the percentage is lower than the corresponding percentage for any other class of eligible employees—that percentage of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person; or
(c) if the relevant government body scheme is a defined benefit superannuation scheme within the meaning of the Superannuation Guarantee (Administration) Act 1992 that provides for a productivity related benefit applicable to all eligible employees who are members of the scheme—the contribution percentage, in relation to that benefit, of the earnings of the person for the accrual period based on the person’s fortnightly rate of salary that, for the purposes of section 46, was payable on the most recent anniversary of birth of the person.
(3) For the purposes of paragraph (2)(c), contribution percentage means the rate of contribution, expressed as a percentage of the eligible employees’ earnings and certified by an actuary, required to provide the productivity related benefit.
The percentage referred to in paragraph (2)(a) or (b) must be certified by the person’s employer.
(5) For the purposes of the definition of notional accumulated SG contributions in subsection (1), an actuary is to determine:
an amount representing the cost of death and invalidity cover relevant to the person’s SG minimum contributions; or
a means of working out such an amount.
The SG minimum contribution in respect of an eligible employee on a contribution day during the eligible employee’s relevant period of employment is 4% of the fortnightly rate of salary that, for the purposes of section 46, was payable to the eligible employee on the anniversary of his or her birth immediately preceding the contribution day.
CSC may vary the percentage mentioned in subsection (1) by determination.
(3) In so determining, CSC is to have regard to the charge percentage as specified in subsection 19(2) of the Superannuation Guarantee (Administration) Act 1992.
A determination by CSC under subsection (2) takes effect on:
a day stated in the determination; or
if no day is stated—the day of the making of the determination;
and CSC must cause a copy of the determination to be published in the Gazette.
(1) CSC may vary the percentage mentioned in the definition of rate of fund contribution tax in subsection 62A(1) or 110SB(1) by determination.
The determination:
takes effect from such date as is specified in the determination; and
may provide for a percentage of nil.
In making the determination, CSC is to have regard to the rate of tax payable on employer contributions paid to a superannuation fund.
(4) CSC must cause a copy of the determination to be published in the Gazette.
Superannuation guarantee top-up benefit is payable to or in respect of a person who ceases to be an eligible employee in respect of his or her relevant period of employment if an amount greater than nil is worked out, under whichever of subsections (3) and (4) is applicable, in relation to the person for that period.
The top-up benefit is:
if paragraph (b) does not apply—a lump sum benefit equal to the amount referred to in subsection (1); or
if:
the person’s surcharge debt account is in debit when the top-up benefit becomes payable; and
the top-up benefit is to be paid to the person or to a preservation fund for the benefit of the person;
a lump sum benefit equal to the difference between the amount referred to in subsection (1) (basic amount); and
if subparagraphs (iv) and (v) do not apply—the person’s surcharge deduction amount; or
if part of the person’s surcharge deduction amount has, under another provision of this Act, been deducted from a benefit payable to the person—the balance of the surcharge deduction amount; or
if the person’s surcharge deduction amount, or the balance of the surcharge deduction amount referred to in subparagraph (iv), is greater than the basic amount—so much of the surcharge deduction amount, or of the balance of the surcharge deduction amount, as is equal to the basic amount.
Paragraph (2)(b) does not apply if the whole of the person’s surcharge deduction amount has, under another provision of this Act, been deducted from a benefit payable to the person.
If the person’s employer was liable to pay productivity contributions under section 110H in respect of the person for his or her relevant period of employment, the amount mentioned in subsection (1) is the amount worked out using the formula:
where:
NASGC is the notional accumulated SG contributions in respect of the person for the person’s relevant period of employment.
AEC is that part of the accumulated employer contributions in respect of the person that is based on the operation of paragraphs 110Q(1)(a) and (b) in relation to productivity contributions paid or payable after 30 June 1992.
TR is the percentage figure representing the rate of fund contribution tax applicable to that period.
OVB is the person’s other vested benefit in respect of that period.
Reductions under Division 3 of Part IXB are to be disregarded in applying subsection (3) of this section.
If the person’s employer was liable to pay productivity contributions to a government body scheme in respect of the person for his or her relevant period of employment, the amount mentioned in subsection (1) is whichever of the following amounts is determined by CSC after having regard to the views of the government body:
an amount of nil;
an amount worked out using the formula:
an amount worked out using the formula:
an amount worked out using the formula:
where:
NASGC is the notional accumulated SG contributions in respect of the person for the person’s relevant period of employment.
AGBC is the accumulated government body contributions in respect of the person for the relevant period of employment.
OVB is the person’s other vested benefit in respect of that period.
GBB is the benefit paid or payable from the government body scheme in respect of the person for the person’s relevant period of employment plus, except where the person ceases to be both a member of the government body scheme and an eligible employee, notional interest on that benefit.
TR is the percentage figure representing the rate of fund contribution tax applicable to that period.
GBPROD is the total of:
that part of the amount that has been paid to the Commissioner or CSC under section 110MA in respect of the person for the person’s relevant period of employment less the amount in the nature of income tax (if any) that is relevant to that amount; and
interest on the paid amount referred to in paragraph (a).
In determining the benefit paid or payable from a government body scheme in respect of a person, CSC may accept a statement from the trustees, the administrator on behalf of the trustees or, if there are no trustees, the administrator of the government body scheme as to:
the amount of benefit paid or payable; or
the date on which it was paid or is payable; or
the period in respect of which the benefit was paid or is payable; or
rates of interest applicable to amounts of money paid to the scheme; or
any other matter in connection with the payment of the benefit.
(6) Despite anything else in this section, top-up benefit does not become payable to or in respect of a person if an actuary has certified that, in his or her opinion, because of the value of other benefits payable to or in respect of the person, an employer of the person while an eligible employee will not, for the person for a quarter, have an individual superannuation guarantee shortfall within the meaning of the Superannuation Guarantee (Administration) Act 1992.
If a single application of a formula set out in section 110SE cannot properly be made for the whole of a person’s relevant period of employment because of a change in the person’s employment, the rate of fund contribution tax or any other thing:
that period is to be broken up into such separate periods as is appropriate for the proper application of such a formula in respect of each such period; and
the resulting amounts (including negative amounts) are to be aggregated in respect of the whole of the person’s relevant period of employment.
If top-up benefit becomes payable in respect of a person, CSC must:
subject to paragraph (b)—treat the benefit as a preserved benefit under the SIS Act and deal with it accordingly; or
if the person has died:
pay the benefit to his or her legal personal representative; or
if no legal personal representative can be found—pay the benefit to any individual or individuals that CSC determines.
This section applies to a person if:
the person is an eligible employee; or
deferred benefits are applicable in respect of the person under Division 3 of Part IX; or
either:
the person has elected under subsection 110T(1) that Part VIB apply to him or her; or
regulation 15, 15A or 15B of the Superannuation (CSS) Former Eligible Employees Regulations applies to the person;
and no benefits under this Act have been paid or begun to be paid to the person;
and the person made an election under clause 6 of the Superannuation (Productivity Benefit) Alternative Arrangements Declaration No. 6 (Statutory Rules 1993, No. 34) to have performance pay taken into account in his or her superannuation arrangements under the Superannuation (Productivity Benefit) Act 1988.
(2) A person to whom this section applies may, at any time, by notice in writing, ask the trustee of the declared fund (within the meaning of the Superannuation (Productivity Benefit) Act 1988) holding the person’s accumulated performance pay employee contributions and accumulated performance pay employer contributions to pay those contributions to CSC.
(3) If continuing contributions (within the meaning of the Superannuation (Productivity Benefit) Act 1988) have been paid, but are no longer being paid, into the declared fund in respect of a continuous period of employment of the person, the person may, by the same notice, ask the trustee of the declared fund to pay also to CSC the person’s transferable productivity amount.
If:
a person’s accumulated performance pay employee contributions and accumulated performance pay employer contributions; or
a person’s accumulated performance pay employee contributions, accumulated performance pay employer contributions and transferable productivity amount;
have, at the person’s request, been paid by the trustee of the declared fund to the trustee of a superannuation entity other than the Fund, the person may, by notice in writing, ask the trustee of that superannuation entity to pay to CSC the sum of:
an amount equal to the difference between:
the total amount paid to the superannuation entity; and
the sum of any amounts in the nature of income tax relevant to that amount and any amounts deducted by way of charges or fees from that amount by the trustee of the superannuation entity; and
interest on the amount mentioned in paragraph (c).
The person must, as soon as possible, give to CSC notice in writing of any request made to the trustee of a fund or superannuation entity under subsection (2), (3) or (4).
If, following a request from a person under subsection 110SK(2), (3) or (4), the trustee of a fund or superannuation entity pays an amount to CSC, CSC must pay that amount into the Fund.
If an amount has been paid into the Fund under section 110SL in respect of a person, the person becomes entitled to a benefit under this Part if another benefit to which the person was entitled under this Act becomes payable.
The amount of the benefit payable in respect of a person under this Part is the sum of:
an amount equal to the difference between:
the total amount that was paid into the Fund in respect of the person under section 110SL; and
the sum of any amounts in the nature of income tax relevant to that amount; and
interest on the amount mentioned in paragraph (a).
The amount of the benefit payable in respect of a person under this Part is reduced by the sum of the following amounts:
any amount paid out of the Fund in accordance with:
(i) a release authority given to CSC under former Income Tax Assessment Act 1997 that relates to the superannuation interest (within the meaning of that Act) constituted by the amount paid into the Fund in respect of the person under section 110SL of this Act; orsection 292-410 of the
(ii) a transitional release authority given to CSC under Income Tax (Transitional Provisions) Act 1997 that relates to that superannuation interest; orsection 292-80B of the
(iii) a release authority issued under former item 1 or 2 of the table in subsection 135-10(1) in Schedule 1 to the Taxation Administration Act 1953;
the amount of any interest that would have been earned on an amount mentioned in paragraph (a), in respect of the period since the amount was paid out of the Fund, if it had not been paid out of the Fund.
Note: Payments made out of the Fund that are required to be made under a release authority mentioned in subparagraph (2)(a)(i) or (iii) or a transitional release authority are not benefits: see the definition of benefit in subsection 3(1).
The employer component of the benefit to which a person is entitled under this Part is to be treated as a preserved benefit under the SIS Act and the remainder of the benefit is payable to the person.
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Part; and
Part VI applies;
then:
if the person is survived by a spouse—the benefit is payable to the spouse; or
if orphan benefit is payable to an eligible child or eligible children—the benefit is payable to:
the eligible child or eligible children; or
if the orphan benefit is payable under section 115 to another person or other persons—that person or those persons.
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Part; and
a deferred benefit by way of spouse’s benefit is payable in respect of the person;
the benefit under this Part is payable to the spouse.
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Part; and
a deferred benefit by way of orphan benefit is payable in respect of the person;
the benefit under this Part is payable to:
the eligible child or eligible children entitled to the deferred benefit; or
if the deferred benefit is payable under section 115 to another person or other persons—that person or those persons.
If:
because of a person’s death, a benefit is payable in respect of a person under this Part; and
the person is not survived by any spouse; and
there is no surviving child of the person or no surviving child of the person who could be at any time an eligible child of the person;
the benefit is payable to the person’s legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
A person who is, or is about to become, a person who:
has attained his or her minimum retiring age but has not attained the age of 65 years; and
has become entitled to benefits under section 55 or 59;
may, not later than 3 months after but not earlier than 3 months before becoming such a person, by notice in writing given to CSC, elect that this Part apply to him or her.
An election under subsection (1) is only valid if the person provides CSC, not later than 3 months after, but not earlier than, the day on which the person becomes a person mentioned in that subsection, with a statement to the effect that he or she has not retired from the workforce.
If a person makes an election under section 110T, payment to the person of:
standard age retirement pension or standard early retirement pension, as the case may be, to which the person is, or is about to become, entitled; and
any productivity benefit which is, or is about to become, payable in respect of the person under section 110P; and
any benefit that is, or is about to become, payable in respect of the person under Part VIAB; and
any benefit that is, or is about to become, payable in respect of the person under Subdivision B of Division 2 of Part IX;
is postponed until a date worked out under section 110TB.
If a person who makes an election under section 110T specifies in that election that payment of the additional age retirement pension or additional early retirement pension, as the case may be, to which the person is, or is about to become, entitled, is to be postponed, payment of that pension is postponed until a date worked out under section 110TB.
A benefit, the payment of which has been postponed under this Part, becomes payable on the earlier of the following dates:
the date on which the person attains the age of 65 years;
if the person provides CSC with a statement to the effect that he or she has retired from the workforce—the date on which the statement is so provided.
A person who has made an election under section 110T may, not later than 3 months after, but not earlier than 3 months before, age retirement benefit or early retirement benefit becomes payable to him or her under section 110TB, elect to receive the benefit at a reduced rate.
For the purposes of calculating the rate or amount of a benefit payable on a date worked out under section 110TB:
if the benefit became payable on the date on which the person attained the age of 65 years—the person is taken to be entitled to standard age retirement pension under subsection 55(1); and
if the benefit did not become payable on the date mentioned in paragraph (a)—the person’s age on the date on which the benefit became payable is substituted for the person’s age on his or her last day of service; and
the person’s period of contributory service at the date of ceasing to be an eligible employee continues to be the person’s period of contributory service; and
the amount worked out under subsection (2) is taken to be the person’s final annual rate of salary; and
if the person has made an election under section 110TBA—the person is taken to have elected:
to receive age retirement pension at a reduced rate under section 57AA; or
to receive early retirement benefit at a reduced rate under section 61AB;
as the case requires.
The amount mentioned in paragraph (1)(d) is an amount equal to the amount per annum that CSC determines would have been the final annual rate of salary of the person on the day immediately before the date on which the benefit became payable if:
the person had not ceased to be an eligible employee; and
the person had continued to occupy the office or position in respect of which the person’s final annual rate of salary was calculated; and
the following subparagraphs applied in respect of the period starting on the day when the person became a person mentioned in subsection 110TC(1) and ending on the day immediately before the day on which the benefit became payable:
in respect of so much of the period as occurred before 1 July 2003—account were taken of any generally-applying increase (including an increase resulting from the process of work-place bargaining) in annual rate of salary that would have occurred had the person continued to be an eligible employee and continued to occupy the office or position in respect of which the person’s final annual rate of salary was calculated, other than an excluded increase;
in respect of so much of the period as occurred on or after 1 July 2003—the person’s annual rate of salary had been increased by the same percentage as any overall percentage increase in AWOTE that occurred over the period (being an overall percentage increase worked out from estimates of changes in AWOTE in respect of the period published by the Australian Statistician, other than estimates published in substitution for earlier estimates).
(3) For the purposes of paragraph (2)(c), an excluded increase is an increase that falls within either or both of the following paragraphs:
an increase resulting from the person’s progressing to a higher level of salary within a graduated range of salaries applicable to the office or position held by the person;
any allowance (including an allowance in the nature of salary such as Senior Officer allowance) or penalty payment (including a payment in the nature of salary such as shift allowance) that was not included in the person’s final annual rate of salary when the person ceased to be an eligible employee.
Where a person who, under this Part, has postponed the payment of benefits dies before the benefits become payable:
Part VI applies in relation to those benefits as if the benefits became payable immediately before the person’s death; and
Parts VIA and VIAB and Subdivision B of Division 2 of Part IX apply in relation to those benefits as if the benefits became payable because of the person’s death.
Where:
payment of a pension to a person is postponed under subsection 110TA(2); and
the person dies before the pension becomes payable; and
the person is survived by a spouse;
then, whether or not the person made an election under subsection 64(2), the spouse may make, not later than 3 months after the death of the person, by notice in writing to CSC, an election to commute that pension into a lump sum benefit payable to him or her.
If a spouse makes an election under subsection (1) to commute a pension, a lump sum benefit equal to the amount of the accumulated contributions of the deceased person is payable to the spouse and spouse’s additional pension is not payable under paragraph 93(1)(b) to the spouse.
Where:
payment of a pension to a person is postponed under subsection 110TA(2); and
the person dies before the pension becomes payable; and
the person is not survived by a spouse but is survived by the person’s child or children;
then, whether or not the person made an election under subsection 64(2), if the surviving child or one or more of the surviving children are, immediately after his or her death, an eligible child or eligible children or, in the opinion of CSC, are likely to become an eligible child or eligible children—a lump sum benefit equal to the sum of:
the accumulated contributions of the deceased person; and
the accumulated employer contributions in respect of the deceased person; and
the benefit (if any) payable in respect of the deceased person under Part VIAB; and
the benefit (if any) payable in respect of the deceased person under Subdivision B of Division 2 of Part IX;
is payable in respect of that child or those children.
Where a person has been paid:
an amount or amounts by way of pension or by way of pension and lump sum benefit to which the person has become entitled under section 55 or 59 or Part VIA or an amount by way of lump sum benefit to which the person has become entitled under section 62, Part VI or VIAB or Subdivision B of Division 2 of Part IX; and
after that amount was, or those amounts were, paid, the person makes an election under section 110T;
the election does not have effect unless an amount equal to that amount or to the aggregate of those amounts, as the case requires, is paid to CSC within 7 days after the date of the election or within such further period as CSC, in special circumstances, allows.
Where an amount is paid to CSC by a person under subsection (1), CSC must pay that amount to the Commonwealth and there must be paid out of the Consolidated Revenue Fund (which is appropriated accordingly) into the Superannuation Fund an amount equal to so much of the amount paid to CSC as is equal to the amount that was paid to the Commonwealth under section 112 at the time that the person ceased to be an eligible employee.
A person is entitled to benefits in accordance with this section if the person:
ceases to be an eligible employee on or after 27 June 1997 in circumstances connected with the sale or transfer of an organisation, business, service or asset, or the transfer of a function; and
is not taken by section 58 to have retired involuntarily; and
has not reached his or her minimum retiring age when he or she so ceases to be an eligible employee; and
has not made an election under section 137.
(2) Subject to subsection (7), the benefits are an amount (the total benefit) equal to the sum of:
an amount equal to 3.5 times the amount of his or her accumulated basic contributions; and
an amount equal to his or her accumulated supplementary contributions (if any); and
any productivity benefits applying in relation to him or her under Part VIA; and
any benefit applying in relation to him or her under Part VIAB or Subdivision B of Division 2 of Part IX;
The person must choose to receive the benefits either in accordance with subsection (4) or in accordance with subsection (5).
If the person chooses to receive the benefits in accordance with this subsection, the person is entitled to have the total benefit treated as a preserved benefit under the SIS Act and dealt with accordingly.
If the person chooses to receive the benefits in accordance with this subsection, the person is entitled to payment of so much of the total benefit as is equal to his or her accumulated contributions and to have the balance of the total benefit treated as a preserved benefit under the SIS Act and dealt with accordingly.
If the person fails to make a choice as provided by subsection (3), the person is taken to have chosen to receive benefits in accordance with subsection (5).
If the person’s surcharge debt account is in debit when the person becomes entitled to the benefits, the total benefit is reduced by the person’s surcharge deduction amount.
If, apart from this section, a benefit would be payable in cash to a person under this Act but, under the SIS Act, the benefit, or a part of the benefit, is not permitted to be paid in cash to the person, then, despite any other provision of this Act, the benefit, or the part of the benefit, as the case may be, is not to be paid in cash to the person and the following provisions of this section apply.
If the benefit or the part of the benefit consists only of a lump sum, the benefit is to be treated as a preserved benefit under the SIS Act and dealt with accordingly.
If the benefit or the part of the benefit includes a pension that would have been payable under section 55 or 59, Part VIB applies as if payment of the benefit had been postponed under that Part.
If the benefit would have been payable under Division 3 of Part IX, deferred benefits continue to be applicable in respect of the person until:
the 65th anniversary of the person’s birth; or
if, before that anniversary, the payment in full of the benefit becomes permissible under the SIS Act—the day on which the person notifies CSC in writing that the payment has become permissible under that Act.
Where:
a person ceases to be an eligible employee because of death; or
payment of a pension to a person is postponed under subsection 110TA(2) and the person (including a person who made an election under subsection 64(2)) dies before the pension becomes payable;
being a person in respect of whom benefit is not payable under Part VI, a lump sum benefit of an amount worked out under subsection (1A) must be paid out of the Fund to the person’s legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
The amount of the lump sum benefit referred to in subsection (1) is:
if paragraph (b) does not apply—an amount equal to the person’s accumulated contributions; or
if the person’s surcharge debt account is in debit when the benefit becomes payable in respect of the person—an amount equal to the difference between the person’s accumulated contributions and the person’s surcharge deduction amount.
If the total amount of the benefit or benefits (whether paid by way of instalments of pension or as a lump sum or lump sums, or both) paid to or in respect of a person who has been an eligible employee (other than any benefit, or a part of any benefit, that, under subsection (4), (5) or (6), is to be excluded from consideration for the purposes of this subsection) is, at a time when no further benefit is payable under this Act to or in respect of the person, less than the sum of:
the total of the person’s accumulated contributions, and the accumulated employer contributions (if any) in respect of the person, as at the time when the person ceased to be an eligible employee or, if the person had ceased to be an eligible employee on more than one occasion, as at the time when the person last ceased to be an eligible employee; and
if a top-up benefit is or was calculated in respect of the person under Part VIAA but the amount of the top-up benefit is nil—the amount that would have been the top-up benefit if the person had been entitled to benefits under section 80; and
if a benefit is payable in respect of the person under Part VIAB—that benefit; and
if a benefit is payable in respect of the person under Subdivision B of Division 2 of Part IX—that benefit;
an amount equal to the difference is to be paid to:
the person; or
if the person has died:
the person’s legal personal representative; or
if no legal personal representative can be found—any individual or individuals that CSC determines.
For the purposes of subsection (1), benefit shall be deemed not to be payable in respect of an eligible employee under section 97, 98 or 100, if, notwithstanding that benefit may later become payable in respect of him, no benefit is payable in respect of him upon his or her death.
Where a person ceased to be an eligible employee on an occasion earlier than his or her first day of service and, upon his or her so ceasing, the person was not entitled to benefit under Division 1, 2 or 4 of Part V or under Division 3 of Part IX, any benefit or benefits paid to or in respect of him before he or she so ceased or last so ceased, or upon his or her so ceasing or last so ceasing, shall be excluded from consideration for the purposes of subsection (2).
Where a person ceased to be an eligible employee by reason of retirement on the ground of invalidity on an occasion earlier than his or her first day of service and, upon his or her so ceasing, invalidity benefit was paid to him in accordance with section 68, 69, 71, 72 or 73, any benefit or benefits paid to or in respect of him before he or she so ceased or last so ceased, or upon his or her so ceasing or last so ceasing, (other than any benefit or benefits, or a part of any benefit or benefits, that, by virtue of subsection (7), is or are to be taken into account in relation to the person for the purposes of this subsection) shall be excluded from consideration for the purposes of subsection (2).
Where a person became entitled to a deferred benefit by way of invalidity benefit in accordance with section 68, 69, 71, 72 or 73 on an occasion earlier than his or her first day of service, any benefit or benefits paid to or in respect of him before he or she became entitled to such a deferred benefit or last became entitled to such a deferred benefit, or upon his or her becoming entitled to such a deferred benefit or last becoming entitled to such a deferred benefit, (other than any benefit or benefits, or a part of any benefit or benefits, that, by virtue of subsection (7), is or are to be taken into account in relation to the person for the purposes of this subsection) shall be excluded from consideration for the purposes of subsection (2).
For the purposes of subsections (5) and (6):
such part of any invalidity pension paid to a person in accordance with section 67 or 70 as would have been paid to him in accordance with section 68 or 71, as the case may be, if the person had made an election under subsection 68(1) or 71(1), as the case may be;
such part of any deferred benefit paid to a person by way of invalidity pension in accordance with section 67 or 70 as would have been paid to him in accordance with section 68 or 71, as the case may be, if the person had made an election under subsection 68(1) or 71(1), as the case may be;
any invalidity pension paid to a person in accordance with section 68 or 71; and
any deferred benefit paid to a person by way of invalidity pension in accordance with section 68 or 71;
shall be taken into account in relation to the person.
Subject to subsections (3), (4A) and (10A), the accumulated contributions of an eligible employee shall, upon his or her ceasing to be an eligible employee, be paid out of the Superannuation Fund to the Commonwealth.
Where a productivity benefit within the meaning of Part VIA becomes payable under section 110P in respect of a person, the amount of the Fund accumulated employer contributions in respect of the employee must be paid out of the Superannuation Fund to the Commonwealth.
Except where otherwise provided by this Act, any payment of benefit shall be made out of the Consolidated Revenue Fund, which is appropriated accordingly.
Note: An early release lump sum is paid to or for the benefit of the person out of the Superannuation Fund (instead of the Consolidated Revenue Fund) (see subsection 79C(2)).
Where a person ceases to be an eligible employee and, upon his or her so ceasing, a lump sum benefit of an amount equal to his or her accumulated contributions is payable to or in respect of him or her out of the Superannuation Fund, subsection (1) does not apply in relation to him or her.
Where a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her by virtue of Division 3 of Part IX, subsections (1) and (1A) do not apply in relation to him or her.
Where a person to whom invalidity pension is payable in accordance with section 67 or 70 again becomes an eligible employee, an amount equal to the amount that was paid in respect of the person out of the Superannuation Fund to the Commonwealth upon his or her last ceasing to be an eligible employee, less an amount equal to the sum of:
the amount of the person’s accumulated supplementary contributions upon the person last ceasing to be an eligible employee; and
the amount of the person’s Fund accumulated employer contributions upon the person last ceasing to be an eligible employee;
must be paid to the Superannuation Fund out of the Consolidated Revenue Fund, which is appropriated accordingly.
Subject to subsection (7), where deferred benefits applicable in relation to a person by virtue of Division 3 of Part IX cease to be so applicable upon a deferred benefit becoming payable to or in respect of the person, the accumulated contributions and Fund accumulated employer contributions of the person shall be paid out of the Superannuation Fund to the Commonwealth.
Where deferred benefits applicable in relation to a person by virtue of Division 3 of Part IX cease to be so applicable upon a deferred benefit by way of a lump sum benefit equal to his or her accumulated contributions becoming payable to or in respect of him or her out of the Superannuation Fund, subsection (6) does not apply in relation to the person’s accumulated contributions.
Where:
a deferred benefit by way of invalidity pension is payable to a person in accordance with section 67 or 70; and
the deferred benefit is cancelled under subsection 76(1) or 143(2);
an amount equal to the amount that was paid in respect of the person out of the Superannuation Fund to the Commonwealth upon that deferred benefit becoming payable to the person, less an amount equal to the sum of:
the amount of the person’s accumulated supplementary contributions upon that deferred benefit becoming payable to the person; and
the amount of the person’s Fund accumulated employer contributions upon that deferred benefit becoming payable to the person;
must be paid to the Superannuation Fund out of the Consolidated Revenue Fund, which is appropriated accordingly.
Where a person makes an election under section 139A, the accumulated contributions and Fund accumulated employer contributions of the person shall be paid out of the Superannuation Fund to the Commonwealth.
(10AA) If payment of a pension and benefit (if any) to a person is postponed under subsection 110TA(1), subsection (1A) does not apply in relation to the person.
Where payment of a pension to a person is postponed under subsection 110TA(2), subsections (1) and (1A) do not apply in relation to the person.
(10AAA) If a pension the payment of which has been postponed under subsection 110TA(1) becomes payable to or in respect of a person, the person’s Fund accumulated employer contributions (if any) must be paid out of the Superannuation Fund to the Commonwealth.
If a pension, being a pension the payment of which has been postponed under subsection 110TA(2), becomes payable to or in respect of a person, the accumulated contributions and Fund accumulated employer contributions of the person must be paid out of the Superannuation Fund to the Commonwealth.
(10BA) If a person who has postponed payment of a pension and benefit (if any) under subsection 110TA(1) dies and there is no beneficiary to whom a pension and benefit (if any) are payable in respect of the person, an amount equal to the person’s Fund accumulated employer contributions (if any) must be paid out of the Superannuation Fund to the Commonwealth.
Where a person who has postponed payment of a pension under subsection 110TA(2) dies and a benefit by way of a lump sum benefit equal to the person’s accumulated contributions becomes payable in respect of the person out of the Superannuation Fund, the person’s Fund accumulated employer contributions (if any) must be paid out of the Superannuation Fund to the Commonwealth.
To avoid doubt, if an early release lump sum (within the meaning of section 79A) has been paid to or for the benefit of a person, then the amount payable out of the Superannuation Fund to the Commonwealth under this section is reduced by the person’s early release deduction amount (within the meaning of that section) at that time.
Subject to subsection (1A), pensions shall be paid in fortnightly instalments on pension pay days.
Partial invalidity pensions are to be paid in fortnightly instalments on contribution days.
The amount of a fortnightly instalment of pension shall be an amount ascertained by dividing the amount per annum of the pension by 26.
Where the amount of a fortnightly instalment of pension includes a fraction of a cent:
if the fraction is less than one-half of a cent—the amount of the instalment shall be reduced by the amount of the fraction; or
if the fraction is not less than one-half of a cent—the amount of the instalment shall be deemed to be increased by treating the fraction as 1 cent.
The amount of pension payable in respect of a day is one- fourteenth of the amount of a fortnightly instalment of the pension.
CSC may enter into an arrangement with a person’s employer in relation to the payment of an instalment of partial invalidity pension to the person on a contribution day.
Where, in the opinion of CSC, payment of:
the part, or any portion of the part, of an instalment of spouse’s pension attributable to an eligible child or eligible children or to an eligible child or eligible children and a partially dependent child or partially dependent children; or
an instalment, or any portion of an instalment, of extra spouse’s pension attributable to a partially dependent child or partially dependent children or to an eligible child or eligible children and a partially dependent child or partially dependent children;
should, by reason of the child or children not being in the custody, care and control of the spouse, or for any other reason which CSC thinks proper, be made to a person other than the spouse, CSC may authorize payment of that part, or a portion of the part, to be made to the other person, and payment shall be made to the other person accordingly.
If:
CSC determines under Division 5 of Part VI that part of a lump sum benefit to which a spouse is entitled is attributable to an eligible child or eligible children or a partially dependent child or partially dependent children; and
because of the child or children not being in the custody, care and control of the spouse, or for any other reason that CSC thinks proper, CSC is of the opinion that payment of that part, or a portion of that part, of the lump sum benefit should be made to a person other than the spouse;
CSC may authorise payment of that part, or a portion of the part, to be made to the other person, and payment must be made to the other person accordingly.
A payment of the part, and a payment of a portion of the part, of an instalment of pension or of a lump sum benefit that, under this section, is paid to a person other than the child to which that part or portion is attributable, must be applied for the maintenance, education or other benefit of the child.
For the purposes of this section, where there is one, or more than one, child of a deceased eligible employee or pensioner who is a partially dependent child:
the part (if any) of an instalment of spouse’s pension that, but for this subsection, would be attributable to an eligible child or eligible children of the deceased eligible employee or pensioner is taken to be attributable to that eligible child or those eligible children and the partially dependent child or partially dependent children; and
an instalment of extra spouse’s pension is taken to be attributable to the eligible child or eligible children (if any) of the deceased eligible employee or pensioner and the partially dependent child or partially dependent children.
A payment of orphan benefit payable in respect of an eligible child or the eligible children of a deceased person shall be made to the child or children or to such other person or persons as CSC considers appropriate.
Where an amount of orphan benefit is payable in respect of 2 or more eligible children of a deceased person, CSC may, having regard to the respective circumstances of the children and to such other matters as it considers appropriate, apportion the amount amongst the children in such manner as it thinks fit, and the portion applicable to a particular eligible child or to particular eligible children shall, for the purposes of subsection (1), be deemed to be a payment of orphan benefit payable in respect of that child or those children.
For the purposes of subsection (2), in determining the needs of a child or children, disregard any need that results from an election made under section 146G in relation to the child or children.
CSC must ensure that so much of an orphan pension as is commuted under section 146G is not apportioned under subsection (2) of this section.
A payment of orphan benefit that, under subsection (1), is made to a person or persons other than the eligible child or eligible children in respect of whom it is payable shall be applied for the maintenance, education or other benefit of that eligible child or those eligible children.
In this section:
eligible child has the same meaning as in Division 4 of Part VI.
orphan benefit means:
orphan pension or a lump sum benefit payable under Division 4 of Part VI; or
a lump sum benefit payable under section 110TF.
Where, in the opinion of CSC, payment of an instalment, or part of an instalment, of pension, or of an amount of any other benefit, should, by reason of the person who, but for this section, would be entitled to the payment, being a person who is insane or undergoing imprisonment or otherwise being under a disability, or for any other reason which CSC thinks proper, not be made to the person, CSC may authorise the payment to be made to the person’s legal personal representative and, if such an authorisation is made, payment is to be made in accordance with the authorisation.
Where:
the liability of an eligible employee to make contributions under this Act has been deferred by virtue of section 54 of this Act; and
before he or she has ceased to be liable to contribute under the Defence Force Retirement and Death Benefits Act or the MSB Act, he or she ceases to be an eligible employee and becomes entitled to pension under this Act by reason of retirement on the grounds of invalidity;
his or her entitlement to that pension is suspended until such time as he or she ceases to be liable to contribute under the Defence Force Retirement and Death Benefits Act or the MSB Act (as the case may be), but, if he or she dies before he or she so ceases to be liable to contribute under that Act, he or she shall, for the purposes of subsections 93(2), 106(1) and 108(1) of this Act, be deemed to have been in receipt of invalidity pension at the time of his or her death and, for the purposes of section 96 and subsection 106(3), the pension shall be deemed to have been payable at the rate at which pension would, but for this subsection, have been payable to him or her at that time.
Where:
the liability of an eligible employee to make contributions under this Act has been deferred by virtue of section 54 of this Act and:
he or she ceases to be an eligible employee and, upon so ceasing, becomes entitled to pension under this Act by reason of retirement on the ground of invalidity and:
(A) he or she has been or is discharged from the Defence Force on the ground of invalidity or of physical and mental incapacity to perform his or her duties, section 36 of the Defence Force Retirement and Death Benefits Act applies to him or her and, in the opinion of CSC, the incapacity which was the ground for his or her retirement as an eligible employee is related to the ground on which he or she was discharged from the Defence Force; or
(B) he or she dies after ceasing to be an eligible employee but before being discharged from the Defence Force from causes that, in the opinion of CSC, are related to the incapacity which was the ground for his or her retirement as an eligible employee; or
he or she dies:
(A) before being discharged from the Defence Force; or
(B) after having been discharged from the Defence Force on the ground of invalidity or of physical or mental incapacity to perform his or her duties, from causes that, in the opinion of CSC, are related to the ground on which he or she was discharged from the Defence Force; and
the rate of any pension payable to or in respect of him or her under this Act (including pension that became payable before he or she was discharged from the Defence Force) is less than the rate of any corresponding benefit that, but for section 36 or 46 of the Defence Force Retirement and Death Benefits Act, would be payable to or in respect of him or her under that Act;
CSC may increase the rate of the pension payable under this Act to such extent as it considers appropriate in the circumstances.
Where:
the liability of an eligible employee to make contributions under this Act has been deferred by virtue of section 54 of this Act; and
at any time after the death of the person benefit under the Defence Force Retirement and Death Benefits Act would, but for section 36 or 46 of that Act, be payable in respect of him or her under that Act but no pension is payable in respect of him or her under this Act at that time;
CSC may pay such benefit corresponding to the benefit under that Act as he or she considers appropriate in the circumstances.
An eligible employee who is liable to contribute under the Defence Force Retirement and Death Benefits Act shall, for the purposes of this section, be deemed not to have ceased to be liable to so contribute by reason only of the operation of section 18 of that Act in relation to him or her.
Except as prescribed and subject to section 119, no pension or other benefit under this Act is capable of being assigned or charged or of passing by operation of law, and any moneys payable under this Act on the death of a person are not liable to be applied or made available in payment of his or her debts or liabilities.
Where a judgment given by a court in Australia or in an external Territory for the payment of a sum of money has not been fully satisfied by the judgment debtor and the judgment debtor is entitled to a benefit under this Act, the judgment creditor may serve on CSC a copy of the judgment, certified under the hand of the Registrar or other proper officer of the court by which the judgment was given, and a statutory declaration by the judgment creditor stating that the judgment has not been fully satisfied by the judgment debtor and specifying the amount due by the judgment debtor under the judgment.
Where a copy of a judgment and a statutory declaration are served on CSC in accordance with subsection (1), CSC shall, as soon as practicable, by notice in writing given to the judgment debtor, inform him or her of the service of those documents and require him or her, within such period as is specified in the notice and in such manner as is so specified, to notify CSC whether the amount specified in the declaration is still due under the judgment and, if no amount or a lesser amount is due under the judgment, to furnish to CSC, in such manner as is specified in the notice, evidence in support of that fact.
If, at the expiration of the period specified in the notice:
the person to whom the notice was given has not complied with the notice; or
the person has complied with the notice, but CSC is satisfied that an amount is due under the judgment;
CSC may authorize the deduction from the benefit, and the payment to the judgment creditor, of such sums as do not exceed, in the aggregate, the amount that CSC is of the opinion is due under the judgment, and those deductions and those payments shall be made accordingly.
A deduction shall not be authorized from:
an instalment of orphan pension or the part of a spouse’s pension (if any) that is attributable to an eligible child or eligible children; or
an instalment of any other pension or any part of a pension, as the case may be, if the deduction will reduce the amount of the instalment or that part of the instalment payable to less than one-half of the amount that would, but for this section, be payable.
If, after a copy of a judgment given against any person entitled to a benefit under this Act, being a judgment in respect of which CSC is satisfied that an amount is due, has been served in accordance with subsection (1), a copy of another judgment given (whether before or after the first-mentioned judgment) against the same person in favour of the person in whose favour the first-mentioned judgment was given, or in favour of another person, is served in accordance with that subsection, a payment shall not be made in pursuance of this section to the judgment creditor under the other judgment in respect of the amount due under that judgment until the amount due under the first-mentioned judgment has been paid.
A payment made to a judgment creditor in pursuance of this section out of an amount of benefit payable to a person shall be deemed to be a payment of benefit to the person entitled to benefit.
A judgment creditor who serves a copy of a judgment on CSC under subsection (1) must, within 21 days after the day that the judgment debt is satisfied, notify CSC that the judgment debt is satisfied.
Penalty: 5 penalty units.
Note: Crimes Act 1914 contains provisions dealing with penalties.Part IA of the
If the amounts paid in pursuance of this section to a judgment creditor in respect of a judgment exceed, in the aggregate, the amount due under the judgment, the excess is repayable by the judgment creditor to the judgment debtor and, in default of payment, may be recovered by the judgment debtor from the judgment creditor in any court of competent jurisdiction.
This Part applies to a person if:
the person ceased to be an eligible employee because he or she has voluntarily terminated his or her employment in order to become:
a candidate for election as a member of a House of the Parliament of the Commonwealth or of a State or of the Legislative Assembly for the Australian Capital Territory or the Legislative Assembly of the Northern Territory; or
a candidate in an election that is prescribed under the Public Service Act for the purposes of section 32 of that Act; and
the termination took effect not earlier than 6 months before the day on which nominations for the election closed.
Where a person to whom this Part applies dies on or before the day of the declaration of the result of the election, he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee.
Where a person to whom this Part applies was a candidate at the election, but failed to be elected, and:
he or she dies within the period of 2 months after the day of the declaration of the result of the election; or
he or she applies, within that period, to become employed by the Commonwealth or by an approved authority, or to be appointed to a statutory office, and dies before the application is determined (or, if the application is granted, before becoming so employed or appointed) and the employment or appointment is of such a kind that, if the person had become so employed or so appointed, he or she would have become an eligible employee;
he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee.
Where a person to whom this Part applies, and who was a candidate at the election and was elected, dies before he or she becomes a member of the legislative or advisory body to which he or she was elected, he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee.
Where:
(a) CSC is satisfied that, if a person to whom this Part applies had not terminated his or her employment, he or she would, at a time (in this subsection referred to as the relevant time) within the period that commenced on the day after the day of the termination and ended on the day of the declaration of the result of the election, have ceased to be an eligible employee by reason of retirement on the ground of invalidity; and
he or she was not a candidate at the election by reason of the physical or mental incapacity which would have been the ground for his or her retirement or was such a candidate but failed to be elected;
he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee, but shall be deemed to have ceased, by reason of retirement on the ground of invalidity, to be an eligible employee at the relevant time.
Where:
a person to whom this Part applies and who was a candidate at the election, but failed to be elected, does not apply, within the period of 2 months after the day of the declaration of the result of the election, to become employed by the Commonwealth or by an approved authority, or to be appointed to a statutory office; and
(b) CSC is satisfied that, if he or she had not terminated his or her employment, he or she would, at a time (in this subsection referred to as the relevant time) within that period, have ceased to be an eligible employee by reason of retirement on the ground of invalidity;
he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee, but shall be deemed to have ceased, by reason of retirement on the ground of invalidity, to be an eligible employee at the relevant time.
Where:
a person to whom this Part applies, and who was a candidate at the election, but failed to be elected, applies, within the period of 2 months after the day of the declaration of the result of the election, to become employed by the Commonwealth or by an approved authority, or to be appointed to a statutory office; and
the application is granted but the employment or appointment is of such a kind that the person does not become an eligible employee by virtue of the employment or appointment or the application is not granted but the employment or appointment is of such a kind that, if it had been granted, the person would not, by virtue of the employment or appointment, have become an eligible employee;
then, for the purposes of subsection (2), he or she shall be deemed not to have made the application.
Where a person to whom this Part applies, and who was a candidate at the election, but failed to be elected, applies, within the period of 2 months after the day of the declaration of the result of the election, to become employed by the Commonwealth or by an approved authority, or to be appointed to a statutory office, and the employment or appointment is of such a kind that, if the person had become so employed or appointed, he or she would have become an eligible employee and CSC is satisfied that:
(a) in the case of a person whose application is rejected—if he or she had not terminated his or her employment, he or she would, at a time (in this subsection referred to as the relevant time) within the period that commenced on the day after the day of the declaration of the result of the election and ended on the day of the rejection, have ceased to be an eligible employee by reason of retirement on the ground of invalidity;
(b) in the case of a person whose application has been granted but who has not become employed by the Commonwealth or by that authority or appointed to that office—if he or she had not terminated his or her employment, he or she would, at a time (in this subsection also referred to as the relevant time) within the period that commenced on the day after the day of the declaration of the result of the election and ended on the day on which he or she was required to commence his or her employment with the Commonwealth or the authority, have ceased to be an eligible employee by reason of retirement on the ground of invalidity; or
(c) in the case of a person whose application has not been determined—if he or she had not terminated his or her employment, he or she would, at a time (in this subsection also referred to as the relevant time) after the day of the declaration of the result of the election, have ceased to be an eligible employee by reason of retirement on the ground of invalidity;
then he or she shall be deemed not to have ceased, by reason of the termination of his or her employment in order to become a candidate for election, to be an eligible employee but shall be deemed to have ceased, by reason of retirement on the ground of invalidity, to be an eligible employee at the relevant time.
(5) Where CSC is satisfied that, if a person to whom this Part applies, and who was a candidate at the election and was elected, but did not, by reason of physical or mental incapacity, become a member of the legislative or advisory body to which he or she was elected, had not terminated his or her appointment, he or she would, at a time (in this subsection referred to as the relevant time) after he or she was elected, have ceased to be an eligible employee by reason of retirement on the ground of invalidity, he or she shall be deemed not to have ceased, by reason of the termination of his or her employment, to be an eligible employee, but shall be deemed to have ceased, by reason of retirement on the ground of invalidity, to be an eligible employee at the relevant time.
For the purposes of this section, CSC may only be satisfied that a person would, at a particular time, have ceased to be an eligible employee by reason of retirement on the ground of invalidity if it appears to CSC that the person, at that time, was totally and permanently incapacitated within the meaning of Part IVA.
Where:
a person to whom this Part applies was a candidate at the election but failed to be elected; and
by virtue of an application for employment or an appointment made by him or her within the period of 2 months after the day of the declaration of the result of the election:
he or she becomes a permanent employee;
he or she becomes a temporary employee;
he or she becomes the holder of a statutory office to which he or she was appointed on a full-time basis; or
he or she becomes the holder of a statutory office to which he or she was appointed otherwise than on a full-time basis and he or she is specified in the direction given under subsection 14(2);
he or she shall be deemed not to have ceased, by reason of the termination of his or her employment in order to become a candidate for election, to be an eligible employee.
Where a person to whom this Part applies is, by virtue of section 121, 122 or 123, deemed not to have ceased to be an eligible employee by reason of the termination of his or her employment for the purpose referred to in section 120:
any benefit that became payable to him or her under this Act upon that termination shall be deemed not to have been payable and the amount of any benefit so paid to him or her shall be repaid by him or her to CSC before the expiration of 2 months after the day of the declaration of the result of the election or within such further period as CSC allows; and
where his or her accumulated contributions have, under subsection 112(1) been paid out of the Superannuation Fund to the Commonwealth, an amount equal to the amount of those contributions must be paid out of the Consolidated Revenue Fund (which is appropriated accordingly) into the Superannuation Fund and, for the purposes of this Act, those accumulated contributions are taken not to have been so paid out of the Superannuation Fund to the Commonwealth; and
if the Fund accumulated employer contributions in respect of the person have, under subsection 112(1A), been paid out of the Superannuation Fund to the Commonwealth:
an amount equal to the amount of those contributions is to be paid out of the Consolidated Revenue Fund (which is appropriated accordingly) into the Superannuation Fund; and
for the purposes of this Act, those Fund accumulated employer contributions are taken not to have been so paid out of the Superannuation Fund to the Commonwealth.
Where an amount repaid to CSC under subsection (1) is an amount that has been paid out of the Consolidated Revenue Fund, CSC shall pay the amount so repaid to him or her to the Commonwealth, and where an amount so repaid has been paid out of the Superannuation Fund, CSC shall pay the amount so repaid to him or her into the Superannuation Fund.
Where, by virtue of section 121, 122 or 123, a person to whom this Part applies is deemed not to have ceased to be an eligible employee by reason of the termination of his or her employment for the purpose referred to in section 120, then, at any time after that termination that is relevant for the purposes of the application of this Act in relation to him or her, he or she shall be deemed, for the purposes of this Act, to have been in receipt of salary at an annual rate of such amount as, in the opinion of CSC, would have been his or her annual rate of salary at that time if he or she had not so terminated his or her employment.
In this Part, unless the contrary intention appears:
life policy has the same meaning as in the Life Insurance Act 1995.
owner of a life policy has the same meaning as in the Life Insurance Act 1995.
rules means the rules governing the operation of the scheme, whether contained in a law or in a trust deed or other instrument.
superannuation scheme means a superannuation or retirement scheme, however established, and includes the CSS and the superannuation scheme constituted by the superseded Act.
For the purposes of this Part, the membership by a person of a House of the Parliament of the Commonwealth or of a State shall be treated as if it were employment of the person by the Commonwealth or by that State, as the case may be.
For the purposes of this Part, membership by a person of the Legislative Assembly for the Australian Capital Territory or the Legislative Assembly of the Northern Territory or a legislative or advisory body for another Territory prescribed for the purposes of this section shall be treated as if it were employment of the person by the Commonwealth.
For the purposes of this Part, a benefit payable under a superannuation scheme to or in respect of a member of the scheme shall not be taken to have been based partly on contributions by the employer by reason only that the benefit included interest upon contributions made under the scheme by the member.
A person in respect of whom benefits are applicable under a superannuation scheme by reason of his or her being employed in any employment, whether or not he or she has made contributions under the scheme, shall be deemed to be a member of the superannuation scheme.
Where, in pursuance of this Part, CSC has power to make a determination in relation to a matter, the power shall be construed as including a power, exercisable in the like manner and subject to the like conditions (if any), to vary a determination so made.
This section applies to a person who is or has ceased to be an eligible employee, being a person who, at any time before he or she became an eligible employee, was a member of a superannuation scheme.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of persons to whom this section applies.
The modifications that may be made by regulations in pursuance of subsection (2) include, but are not limited to, modifications providing for the payment of contributions in addition to, or in substitution for, contributions that would otherwise be payable under this Act and for benefits in addition to, or in substitution for, benefits provided for by this Act.
(1) This section applies to a person who has ceased or is to cease to be an eligible employee, being a person who, immediately after the person so ceased or will so cease to be an eligible employee, became or will become a member of a superannuation scheme (in this section referred to as the relevant superannuation scheme in relation to the person) other than the CSS.
The regulations may make provision for modifying this Act, or a specified provision of this Act, in the application of this Act or that provision to or in respect of a person to whom this section applies, or to or in respect of persons included in a specified class of persons to whom this section applies.
The modifications that may be made by regulations pursuant to subsection (2) in relation to the application of the Act or a provision of the Act to or in respect of a person, or persons included in a class of persons, include, but are not limited to, modifications providing for:
benefits to or in respect of that person or each of those persons in substitution for benefits under this Act to or in respect of that person or each of those persons, whether or not superannuation benefits are also provided to or in respect of that person or each of those persons under the superannuation scheme that is the relevant superannuation scheme in relation to that person or each of those persons;
where superannuation benefits are provided to or in respect of that person or each of those persons under the superannuation scheme that is the relevant superannuation scheme in relation to that person or each of those persons—the exclusion of benefits to or in respect of that person or each of those persons under this Act;
the payment, at such times, in such manner and in such instalments as may be specified, out of the Fund of an amount in respect of the whole or a part of the accumulated contributions, or the Fund accumulated employer contributions, of that person or each or all of those persons, or the whole or a part of the benefit (if any) payable under Part VIAB or Subdivision B of Division 2 of Part IX in respect of the person or each or all of those persons, to the person administering the superannuation scheme that is the relevant superannuation scheme in relation to that person or each of those persons;
in lieu of the payment of the whole or a part of the amount referred to in paragraph (c), the assignment of an asset of the Fund consisting of an investment from CSC to the person administering the superannuation scheme that is the relevant superannuation scheme in relation to that person or each or all of those persons; and
the exemption of an instrument or document made, executed or given by reason of, or for a purpose connected with or arising out of, the operation of regulations made by virtue of paragraph (d) from stamp duty or other tax under a law of the Commonwealth or of a State or Territory.
Regulations made by virtue of paragraph (3)(e) have effect notwithstanding any law of the Commonwealth or of a State or Territory that is inconsistent with those regulations.
Subdivision A—Transfer values
Subject to subsection (1AAA), a reference in this Division to a transfer value in relation to an eligible employee is a reference to:
(a) a lump sum benefit (a paragraph (a) benefit):
payable in relation to an eligible employee under a superannuation scheme on the termination of employment or cessation of membership otherwise than on the ground of physical or mental incapacity to perform that employment; and
based wholly on contributions by the employer under the scheme or partly on such contributions and partly on contributions by the eligible employee under the scheme;
unless that benefit has been applied for the purchase of a deferred annuity or paid into a preservation fund; or
an amount payable to or in relation to the eligible employee on surrender of a deferred annuity if a paragraph (a) benefit had been applied for the purchase of that annuity; or
an amount payable to or in relation to the eligible employee if that amount is payable from a preservation fund in relation to a paragraph (a) benefit paid to the fund for the benefit of the eligible employee; or
(d) an amount payable to, or in relation to, the eligible employee in accordance with Part 8 of the Superannuation Guarantee (Administration) Act 1992.
(1AAA) In this Division, a reference to a transfer value in relation to an eligible employee does not include a reference to any part of a lump sum benefit payable under a superannuation scheme that is based on contributions by the employee under the scheme that are of a similar nature to supplementary contributions under this Act or to contributions under the superseded Act for reserve units of pension.
(1AA) For the purposes of subsection (1), an amount that is a productivity related benefit within the meaning of Part VIA is not to be treated as a transfer value if the productivity related benefit would be the whole of the transfer value.
If, after a transfer value became payable to or in respect of a person under a superannuation scheme, an amount equal to the whole or any part of that transfer value was paid to a person administering another superannuation scheme (not being the scheme constituted by the provisions of this Act):
where the whole of the transfer value was so paid—that transfer value shall be disregarded for the purposes of this Division; or
where part of the transfer value was so paid—the amount of that transfer value shall be deemed for the purposes of this Division, to be reduced by the amount so paid.
Subject to subsection (4), a transfer value shall be deemed, for the purposes of this Division, to have become payable in respect of a person under a superannuation scheme upon the termination of any employment if, upon the termination of that employment, the person was the owner of a life policy, or was entitled to have the rights of the owner of a life policy assigned to him or her, being a policy the premiums for which were, while the person was employed in that employment, paid in whole or in part by the person’s employer, and, in that case, the surrender value of the policy as at the date of the termination of the employment shall be taken to be the amount of the transfer value.
Where a transfer value is, by virtue of subsection (3), to be deemed, for the purposes of this Division, to have become payable in respect of a person upon the termination of any employment by reason that, upon the termination of that employment, the person was the owner of a life policy, or was entitled to have the rights of the owner of a life policy assigned to him or her, a transfer value shall not be deemed, for those purposes, to have become payable in respect of the person upon the termination of any previous employment by reason that, upon the termination of that previous employment, the person was the owner of that policy, or was entitled to have the rights of the owner of that policy assigned to him or her.
(1) If an eligible employee has been in employment (the previous employment), within or outside Australia, on the termination of which a transfer value or transfer values became payable to or in relation to him or her under a superannuation scheme applicable in relation to that employment and:
the transfer value or transfer values, as the case may be, became payable on or after 25 May 1971; and
(b) the eligible employee elects by written notice given to CSC to pay CSC an amount (the election amount) equal to the amount of the transfer value or, if 2 or more transfer values became payable, the total of the amounts of those transfer values:
before the transfer value or transfer values, as the case may be, are paid; or
not later than 3 months after the day on which:
(A) the person becomes an eligible employee; or
(B) the transfer value or transfer values, as the case may be, became payable;
whichever is the later; or
within such further period as CSC, in special circumstances allows; and
the election amount is, before the expiration of the period referred to in subparagraph (b)(ii) or (iii), as the case may be, paid to CSC;
then the succeeding provisions of this section have effect.
(2) Where an amount (in this section referred to as the transferred amount) has been paid by a person to CSC under subsection (1):
so much of the transferred amount as is equal to the employee component of the transfer value, or the sum of the employee components of the transfer values, as the case may be, shall be paid by CSC into the Superannuation Fund, and, for the purposes of this Act, the amount so paid by CSC into the Superannuation Fund shall, subject to subsection (3), be deemed to be basic contributions paid by the person to CSC under this Act; and
so much of the transferred amount as is equal to the employer component of the transfer value or the sum of the employer components of the transfer values, as the case may be, shall be paid by CSC to the Commonwealth; and
so much of the transferred amount as is equal to the sum of:
the amount of any productivity related benefit within the meaning of Part VIA and interest on that amount or, if the transferred amount does not include an amount of productivity related benefit, the notional productivity amount; and
the amount of the person’s accumulated employer contributions (if any) included in a transfer value (if any) that was payable to the person under Division 3 of Part IX and interest on that amount; and
the amount of any part of the benefit payable in respect of the person under Part VIAB included in a transfer value (if any) that was payable to the person under Division 3 of Part IX and interest on that amount;
must be paid by CSC into the Superannuation Fund, and, for the purposes of this Act, the amount so paid is taken to be productivity contributions within the meaning of Part VIA.
If, upon the person ceasing to be an eligible employee, a lump sum benefit becomes payable to or in respect of him or her under or in accordance with subsection 62(2) or (2A), 69(2), 72(2), 73(2), 84(2), 87(2), 88(1), 99(2) or 101(2), then, for the purpose of calculating the amount of that benefit, the amount of his or her accumulated basic contributions shall be deemed to be the amount that would have been the amount of his or her accumulated basic contributions if the amount paid into the Superannuation Fund in respect of him or her under paragraph (2)(a) of this section had been an amount equal to two-sevenths of the transferred amount (other than so much of that transferred amount as is worked out under paragraph (2)(c)).
If, upon the person ceasing to be an eligible employee, a lump sum benefit becomes payable to or in respect of him or her under section 80 or 111 and the amount, or a part of the amount, paid to the Commonwealth in respect of him or her under paragraph (2)(b) of this section is an amount that, whether or not he or she engaged in further employment, was payable to or in respect of him or her on the termination of the previous employment, there is payable to or in respect of the person an additional lump sum benefit of an amount equal to the total of:
the available part of the amount paid to the Commonwealth in respect of the person under paragraph (2)(b); and
the amount that would have accrued by way of interest on that amount if it had been paid into the Superannuation Fund on the day on which the amount referred to in paragraph (a) was paid to the Commonwealth.
(4AA) The reference in paragraph (4)(a) to the available part of an amount paid to the Commonwealth in respect of the person under paragraph (2)(b) is a reference to so much of that amount as exceeds any part of that amount that:
would not have been available for payment to, or preservation in the name of, the person on the termination of the previous employment out of the superannuation scheme applicable to that employment; or
would not have been retained in that scheme for payment to or in respect of the person at a later date under the rules of that scheme;
unless the person engaged in further employment.
Subject to subsection (4B) and (4C), any benefit payable to or in respect of a person under subsection (4) must be:
paid, for the benefit of the person, to a preservation fund nominated by the person; or
applied, on behalf of the person, for the purchase of a deferred annuity nominated by the person; or
if the person does not make a nomination within 90 days after the benefit becomes payable—paid, for the benefit of the person, to an eligible roll-over fund nominated by CSC.
Subsection (4A) does not apply to a benefit payable to or in respect of a person if:
the person is 55 or over and has given CSC a written statement to the effect that he or she has retired from the workforce; or
the benefit becomes payable on the person’s death; or
the total of:
the amount of the person’s accumulated employer contributions under section 110Q; and
the amount that would be preserved or applied under subsection (4A) in relation to the person but for the operation of this subsection; and
the amount of superannuation guarantee top-up benefit paid to the person; and
if a benefit is payable in respect of the person under Part VIAB—the employer component of that benefit;
is less than $500; or
CSC is satisfied that the person is departing permanently from Australia.
Subsection (4A) does not apply to a benefit, or a part of a benefit, payable to or in respect of a person if the person establishes, to the satisfaction of CSC, that the benefit or the part of the benefit, as the case may be, need not be preserved or applied under subsection (4A) in order to satisfy whichever of the following (if any) is applicable to the benefit:
(a) the superannuation fund conditions applicable under the provisions of the Occupational Superannuation Standards Act 1987, as those provisions:
apply to a year of income of a fund earlier than the 1994-95 year of income; or
(ii) continue to apply, despite their repeal, because of the Occupational Superannuation Standards Amendment Act 1993;
the SIS Act.
There shall be added to the period that, but for this subsection, would be his or her period of contributory service, such period as CSC determines as being appropriate, having regard to:
the employer component of the transfer value; and
such other matters as CSC considers relevant and such matters (if any) as are prescribed.
For the purposes of this section:
the employee component of a transfer value payable to or in respect of a person is the part (if any) of that transfer value that was based upon contributions made by the person; and
the employer component of a transfer value payable to or in respect of a person is the part of that transfer value that was based upon contributions by an employer or employers of the person other than:
an amount that was a productivity related benefit within the meaning of Part VIA or, if the transfer value payable to or in respect of the person does not include such an amount, an amount equal to the notional productivity amount; or
an amount that was the person’s accumulated employer contributions included in a transfer value that was payable under Division 3 of Part IX to the person; or
(iii) if a benefit is payable in respect of the person under .Part VIAB—an amount equal to the employer component of that benefit
If CSC gives under subsection 157(3) a direction to cancel an election made by an eligible employee under subsection (1) of this section, CSC must make such arrangements as it considers appropriate, taking into account the requirements of the SIS Act, for making payments out of the Superannuation Fund and the Consolidated Revenue Fund by way of dealing with the transferred amount (including the payment of interest on any part of that amount that was paid into the Superannuation Fund).
If, under an arrangement made by CSC under subsection (7), an amount has to be paid out of the Consolidated Revenue Fund, the Consolidated Revenue Fund is appropriated for the purpose of the payment.
(8) For the purposes of subparagraphs (2)(c)(i) and (6)(b)(i), the notional productivity amount, in relation to a transferred amount or a transfer value, is the amount equal to 3% of so much of a person’s earnings as were relevant for the purpose of establishing whether, in relation to the period, or periods, of employment in respect of which the transferred amount or the transfer value, as the case may be, was payable, the employee was an employee in respect of whom one or more employers incurred an individual superannuation guarantee shortfall within the meaning of the Superannuation Guarantee (Administration) Act 1992.
Where:
(a) a person becomes an eligible employee by making an election under Superannuation Act 1990; andsection 6A of the
the person’s accumulated funded contributions are paid to CSC under subsection 6A(4) of that Act;
CSC must pay an amount equal to the person’s accumulated funded contributions into the Superannuation Fund.
There is to be added to the period that, apart from this subsection, would be the person’s period of contributory service, a period equal to:
the period during which the person was a member of the Public Sector Superannuation Scheme; or
such lesser period as is determined by CSC, in writing, having regard to any time during which the person was engaged in part-time employment or was on leave of absence without pay.
CSC is to determine those parts of the amount so paid into the Superannuation Fund that, for the purposes of this Act, are to be regarded as:
the person’s accumulated basic contributions; and
the person’s accumulated supplementary contributions; and
the person’s productivity contributions.
Where:
a person who becomes an eligible employee has, at any time before becoming an eligible employee, been in employment within or outside Australia;
upon the termination of that employment a lump sum became payable to or in respect of him or her on or after 25 May 1971 under a superannuation scheme applicable in relation to that employment; and
that lump sum, or a part of that lump sum, is an amount that is based upon contributions by the member and, if subsection 128(1) applies to the person, does not form part of the transfer value referred to in that subsection;
he or she may, within a period of 3 months after the date on which he or she becomes an eligible employee, or within such further period as CSC, in special circumstances, allows, pay to CSC the whole or a part of the amount of that lump sum or that part of that lump sum, as the case may be, and request CSC, in writing, to treat the amount so paid by him or her to CSC as an amount of supplementary contributions paid by him or her under this Act.
CSC shall pay the amount so paid to him or her into the Fund, and the amount shall, for the purposes of this Act, be deemed to be an amount of supplementary contributions paid by the person under this Act.
Subject to subsection (2), this section applies in relation to an eligible employee if:
by reason of the termination of the employment in which he or she was last employed before he or she became an eligible employee:
a transfer value within the meaning of 25 May 1971 under a superannuation scheme applicable in relation to that employment and an amount equal to that transfer value has been paid to CSC in accordance with subsection 128(1);Division 2 of Part IX became payable to or in respect of him or her after
a pension that was based, or included an amount based, wholly upon contributions by his or her employer under a superannuation scheme applicable in relation to that employment or partly upon such contributions and partly upon contributions under the scheme by the person became payable to him or her; or
benefits whether by way of a lump sum or of a pension, that were payable at a future time and were based, or included an amount or amounts based, wholly upon contributions by his or her employer under a superannuation scheme applicable in relation to that employment or partly upon such contributions and partly upon contributions under the scheme by him or her became applicable in respect of him or her; and
the eligible employee:
underwent a medical examination required under the rules of the superannuation scheme referred to in paragraph (a) for the purpose of determining whether his or her health and physical fitness were of such a standard as would justify his or her being admitted as a member of that scheme;
underwent a medical examination required by the person by whom he or she was employed in the employment referred to in paragraph (a) for the purpose of determining whether his or her health and physical fitness were of such a standard as would justify his or her being employed in that employment; or
was admitted as a member of the superannuation scheme referred to in paragraph (a) under provisions of the rules of that scheme corresponding to the provisions of this section.
This section does not apply in relation to an eligible employee if:
a period of more than 3 months elapsed between the termination of the employment referred to in paragraph (1) (a) and the day on which he or she became an eligible employee; or
in the case of a person to whom subparagraph (1)(a)(i) or (ii) applies—the employment referred to in that paragraph terminated by reason of his or her invalidity or his or her physical or mental incapacity to perform his or her duties.
Where, under the superannuation scheme applicable in respect of the employment in which an eligible employee in relation to whom this section applies was last employed before he or she became an eligible employee:
the benefits that would have been applicable in respect of him or her if the termination of that employment had been caused by his or her death, or had been caused by invalidity or physical or mental incapacity, would have been, or would have included, benefits by way of a pension;
those benefits would have been the maximum benefits available under the scheme; and
the applicability of those maximum benefits would not have been attributable to his or her having paid contributions at a higher rate than the ordinary rate of contributions;
sections 16 to 16AE, inclusive, do not apply in relation to him or her.
If CSC is satisfied that, at the time when an eligible employee in relation to whom this section applies commenced to be employed in the employment in which he or she was last employed before he or she became an eligible employee, his or her physical or mental condition was such that, if he or she had then become an eligible employee, grounds would not have existed for the issue of a benefit classification certificate in respect of him or her by CSC, CSC may direct that sections 16 to 16AE, inclusive, do not apply in relation to him or her.
If neither subsection (3) nor subsection (4) of this section is applicable in respect of an eligible employee in relation to whom this section applies, sections 16 to 16AE, inclusive, apply in relation to the eligible employee to the same extent (if any) as they would apart from this section, but, for the purposes of those sections as so applying, regard shall not be had to any physical or mental condition of the person that did not exist at the time when he or she commenced to be employed in the employment in which he or she was last employed before he or she became an eligible employee.
Subdivision B—Transferred amounts
In this Subdivision:
transferred amount, in relation to a person, means an amount, other than an amount that is elected to be paid to CSC as mentioned in paragraph 128(1)(b), that is:
(a) an amount that would, if paid into the Fund in respect of the person, be a roll-over superannuation benefit within the meaning of the Income Tax Assessment Act 1997; or
(b) an amount paid to or in respect of the person in accordance with the Superannuation Guarantee (Administration) Act 1992 on the cessation of his or her employment; or
(c) an amount payable in respect of the person under the Superannuation (Government Co-contribution for Low Income Earners) Act 2003; or
(d) an amount that would, if paid into the Fund in respect of the person, be a directed termination payment Income Tax (Transitional Provisions) Act 1997.within the meaning of section 82-10F of the
An eligible employee who, whether before or after becoming an eligible employee, receives a transferred amount may pay an amount equal to the transferred amount to CSC.
(1A) The Commissioner of Taxation may pay to CSC an amount payable in respect of a person under the Superannuation (Government Co-contribution for Low Income Earners) Act 2003.
CSC is to pay into the Fund any transferred amounts received by it.
If an amount has been paid into the Fund under section 130B in respect of a person, the person is entitled to a benefit under this Subdivision if another benefit to which the person is entitled under this Act becomes payable.
Subject to subsections (2) and (3), the amount of the benefit payable in respect of a person under this Subdivision is the sum of:
an amount equal to the difference between:
the total amount that was paid into the Fund in respect of the person under section 130B; and
the sum of any amounts in the nature of income tax relevant to that amount; and
interest on the amount mentioned in paragraph (a).
If the person’s surcharge debt account is in debit when the benefit becomes payable to the person, the benefit to which the person is entitled is equal to the difference between:
the benefit to which the person would be entitled if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
The amount of the benefit payable in respect of a person under this Subdivision is reduced by the sum of the following amounts:
any amount paid out of the Fund in accordance with:
(i) a release authority given to CSC under former Income Tax Assessment Act 1997 that relates to the superannuation interest (within the meaning of that Act) constituted by the amount paid into the Fund in respect of the person under section 130B of this Act; orsection 292-410 of the
(ii) a transitional release authority given to the Board under Income Tax (Transitional Provisions) Act 1997 that relates to that superannuation interest; orsection 292-80B of the
(iii) a release authority issued under former item 1 or 2 of the table in subsection 135-10(1) in Schedule 1 to the Taxation Administration Act 1953;
the amount of any interest that would have been earned on an amount mentioned in paragraph (a), in respect of the period since the amount was paid out of the Fund, if it had not been paid out of the Fund.
Note: Payments made out of the Fund that are required to be made under a release authority mentioned in subparagraph (3)(a)(i) or (iii) or a transitional release authority are not benefits: see the definition of benefit in subsection 3(1).
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Subdivision; and
Part VI applies;
then:
if the person is survived by a spouse—the benefit is payable to the spouse; or
if orphan benefit is payable to an eligible child or eligible children—the benefit is payable to:
the eligible child or eligible children; or
if the orphan benefit is payable under section 115 to another person or other persons—that person or those persons.
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Subdivision; and
a deferred benefit by way of spouse’s benefit is payable in respect of the person;
the benefit under this Subdivision is payable to the spouse.
If, because of a person’s death:
a benefit becomes payable in respect of the person under this Subdivision; and
a deferred benefit by way of orphan benefit is payable in respect of the person;
the benefit under this Subdivision is payable to:
the eligible child or eligible children entitled to the deferred benefit; or
if the deferred benefit is payable under section 115 to another person or other persons—that person or those persons.
If:
because of a person’s death, a benefit is payable in respect of a person under this Subdivision; and
the person is not survived by any spouse; and
there is no surviving child of the person or no surviving child of the person who could be at any time an eligible child of the person;
the benefit is payable to the person’s legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
In this Division:
former eligible employee with benefits from previous employment means:
a person:
who has ceased to be an eligible employee; and
(ii) who was immediately before so ceasing, a person referred to in paragraph (a) of the definition of eligible employee in subsection 3(1); and
in relation to whom sections 119H and 119J of the superseded Act applied on or after his or her becoming an employee for the purposes of that Act or, if the person became such an employee on more than one occasion, on or after his or her last becoming such an employee; or
a person:
who has ceased to be an eligible employee; and
(ii) who was immediately before so ceasing, a person referred to in paragraph (a) of the definition of eligible employee in subsection 3(1); and
in relation to whom a non-contributory unit of pension was applicable on 30 June 1976; or
a person:
who has ceased to be an eligible employee; and
to whom, immediately before becoming an eligible employee, a pension of a kind mentioned in section 64A or 65 of the superseded Act as in force immediately before the repeal of that section was, or but for a suspension of payment would have been, payable to him or her; and
in relation to whom a non-contributory unit of pension was applicable immediately before that pension became payable; or
a person:
who has ceased to be an eligible employee; and
in relation to whom section 128 has effect.
The Minister and CSC may agree that employment, whether within or outside Australia, by a person, or by persons included in a class of persons, is public employment for the purposes of this Division.
The Minister and CSC may at any time vary or terminate an agreement made under subsection (1).
If:
employment by a person has been agreed (whether or not by reference to a class of persons) under subsection (1) to be public employment for the purposes of this Division; and
apart from this subsection, employment of persons generally, or of a class of persons, by that person would cease at a particular time to be public employment for the purposes of this Division;
the Minister and CSC may agree that a person, or a person included in a class of persons, who was employed in public employment for the purposes of this Division immediately before that time because of that employment continues to be so employed.
An agreement made under this section may be expressed to have taken effect on a day earlier than the day on which the agreement is made but not earlier than 1 July 1976.
An agreement made under this section or a variation of such an agreement:
may be expressed to apply only in relation to employment of a person included in a class of persons referred to in the agreement; and
may be expressed to apply only until a time stated in the agreement.
(2B) CSC must cause notice of the making of an agreement under this section, or of the variation or termination of such an agreement, to be published in the Gazette.
A person is taken, for the purposes of this Division, to have been employed in public employment at a particular time before 1 July 1994 if, and (except as otherwise provided by an Act other than this Act) only if:
(a) the employer by whom the person was employed at that time was a person, or was included in a class of persons, referred to in a declaration by CSC under subsection 133(1) of the Superannuation Act 1976 as in force at that time and, if the declaration was expressed to apply only in relation to the employment of a person included in a class of persons, the person was included in that class; or
(b) a declaration by CSC under subsection 133(1D) of the Superannuation Act 1976 as in force at that time was, or is taken to have been, in force at that time in relation to the person.
A person is taken, for the purposes of this Division, to have been employed in public employment at a particular time on or after 1 July 1994 if, and (except as otherwise provided by an Act other than this Act) only if:
the employer by whom the person was employed at that time was a person, or was included in a class of persons, referred to in an agreement under subsection (1) that was in force at that time and, if the agreement was expressed to apply only in relation to the employment of a person included in a class of persons, the person was included in the class; or
an agreement made between the Minister and CSC under subsection (1D) was, or is taken to have been, in force at that time in relation to the person.
An agreement may be made under subsection (1) specifying employment by the Government of the United Kingdom of Great Britain and Northern Ireland or by a body corporate established for a public purpose by a law in force in the United Kingdom of Great Britain and Northern Ireland to be public employment for the purposes of this Division, but a person shall not be taken, for the purposes of this Division, to have been employed in public employment by reason of his or her having been employed in employment by that Government or by such a body unless his or her salary, immediately before his or her last day of service, was fixed and payable in sterling.
Where any public employment in which a person is employed terminates and, within 3 months after the date of the termination, he or she again becomes employed in public employment, he or she shall, for the purposes of this Division, be deemed not to have ceased, by reason of the termination, to be employed in public employment but, in ascertaining the period in which he or she has been employed in public employment, any period between the termination of a period in which he or she was employed in public employment and the commencement of a further period in which he or she was employed in public employment shall not be treated as itself being a period in which he or she was employed in public employment.
Subject to subsections (4A) and (5), the Minister and CSC may agree that a superannuation scheme is an eligible superannuation scheme for the purposes of this Division.
The Minister and CSC may at any time terminate an agreement made under subsection (1).
An agreement made under subsection (1) may be expressed to have taken effect on a day earlier than the day on which the agreement is made but not earlier than 1 July 1976.
(4) CSC must cause notice of the making of an agreement under subsection (1), or of the termination of such an agreement, to be published in the Gazette.
An agreement may not be made under subsection (1) after 30 June 2003.
(5) An agreement may not be made under subsection (1) in relation to a superannuation scheme (the relevant scheme) unless:
the relevant scheme is a public sector superannuation scheme that is:
a regulated superannuation fund; or
an exempt public sector superannuation scheme;
the trustee of the relevant scheme has given a written undertaking to CSC stating that:
(i) the relevant scheme will accept transfer values paid from, and pay transfer values to, the scheme provided for under this Act (the Commonwealth scheme) or any other eligible superannuation scheme; and
the relevant scheme will provide equitable benefits in return for a transfer value so accepted; and
the trustee of the relevant scheme has given a written undertaking to CSC stating that, except as provided by subsection (7), the scheme will not pay out:
the whole or any part of the employer component of a transfer value paid to the relevant scheme from the Commonwealth scheme; or
any part of any other transfer value paid to the relevant scheme that represents the whole or a part of the employer component of a transfer value paid from the Commonwealth scheme; and
the trustee of the relevant scheme has given a written confirmation to CSC stating that the undertaking does not conflict with the trust instrument, other document or legislation, or combination of them, governing the establishment and operation of the relevant scheme;
or the Minister and CSC are satisfied that there are special circumstances that make it desirable for the relevant scheme to be treated as an eligible superannuation scheme for the purposes of this Division even though one or more of the paragraphs of this subsection are not complied with.
In subsection (5):
public sector superannuation scheme means a scheme for the payment of superannuation, retirement or death benefits that is established:
by or under a law of the Commonwealth, of a State or of a Territory; or
under the authority of:
the Commonwealth, a State or a Territory; or
a municipal corporation, another local governing body, or a public authority constituted by or under a law of the Commonwealth, of a State or of a Territory; or
a company or other body corporate in which the Commonwealth, a State, a Territory, a municipal corporation, another local governing body or a public authority referred to in subparagraph (ii) has, or any 2 or more of them together have, a controlling interest.
trustee, in relation to a superannuation scheme of which there is no trustee (within the ordinary meaning of that expression), means the person who manages the scheme.
The whole or a part of an employer component, or the part of a transfer value that represents the whole or a part of an employer component, referred to in subparagraph (5)(c)(i) or (ii), as the case may be, may only be paid out as follows:
except where the amount proposed to be paid is the whole or a part of a lump sum retrenchment benefit to which paragraph (b) applies, payment may be made:
to an eligible superannuation scheme; or
in the same circumstances, and to the same extent, as benefits that are required to be compulsorily preserved under the SIS Act may be paid;
if the amount proposed to be paid is the whole or a part of a lump sum retrenchment benefit that has become payable before 1 July 2000:
(i) payment may be made of any part of the amount other than the amount (the preserved part of the amount) required to be compulsorily preserved under the SIS Act; and
payment may be made of the preserved part of the amount in the circumstances provided for under that Act and those regulations.
A superannuation scheme to which an agreement made under subsection (1) relates is not an eligible superannuation scheme in relation to a person if Part XIII or XIIIA applies in respect of the person because of his or her having become a member of the superannuation scheme.
A person is taken, for the purposes of this Division, to have been a member of an eligible superannuation scheme at a particular time if, and only if, the person was at that time a member of a superannuation scheme in respect of which:
(a) if that time was before 1 July 1994—a declaration by CSC under subsection 134(1) of the Superannuation Act 1976 as in force at that time was, or is taken to have been, in force; or
if that time was on or after that date—an agreement under this section was in force.
If CSC is satisfied that an eligible superannuation scheme that has ceased to exist was, upon so ceasing to exist, replaced by another superannuation scheme, CSC may determine that the other scheme is an eligible superannuation scheme for the purposes of this Division.
Subject to subsections (1AA) and (1A), the amount of any transfer value payable under this Division to or in respect of a person who has ceased to be an eligible employee is an amount equal to the sum of:
3½ times the amount of the person’s accumulated basic contributions; and
the amount of the person’s accumulated employer contributions (if any); and
the amount of the person’s accumulated supplementary contributions (if any); and
the amount of benefit (if any) payable in respect of the person under Part VIAB; and
the amount of benefit (if any) payable in respect of the person under Subdivision B of Division 2 of Part IX.
(1AA) If, when a transfer value becomes payable under this Division to or in respect of a person who has ceased to be an eligible employee, the person’s surcharge debt account is in debit, the amount of the transfer value is an amount equal to the difference between:
the amount that would be payable to or in respect of the person under subsection (1) if this subsection did not apply to the person; and
the person’s surcharge deduction amount.
The amount of any transfer value payable under this Division to, or in respect of, a person who is a former eligible employee with benefits from previous employment is such amount as is determined by CSC having regard to:
the amount that would be payable to the person under subsection (1) or (1AA) (as the case may be) if this subsection did not apply to the person; and
the amount of any transfer value paid by, or in respect of, the person to the Superannuation Board or the Commissioner for Superannuation under the superseded Act; and
the number of non-contributory units (if any) that were, under the superseded Act, applicable in relation to the person on 30 June 1976 or immediately before the person became entitled to invalidity pension (as the case may be) and the contributions that would have been paid by the person in respect of those units if they had been contributory units of pension in respect of which the person had contributed at rates based on a retiring age of 65; and
the amount of any transfer value paid by, or in respect of, the person to CSC under this Act.
Where a transfer value becomes payable in accordance with this Division to or in respect of a person who has ceased to be an eligible employee and to whom section 54 applied and:
at the time when he or she ceased to be an eligible employee, he or she had not ceased to be an eligible member of the Defence Force as defined by subsection 3(1) of the Defence Force Retirement and Death Benefits Act; or
at the time when the transfer value becomes payable, a transfer value also becomes payable in respect of him or her under Division 3 of Part IX of that Act;
then, any period during which his or her liability to make contributions under this Act was deferred under section 54 of this Act shall be disregarded in determining the first-mentioned transfer value and he or she is not required or permitted to pay the amount of those deferred contributions.
The deferred benefits applicable under this Division in respect of a person who has ceased to be an eligible employee shall, subject to this Division, be such benefits payable under this Act as CSC considers to be benefits of the same nature, and payable in the same circumstances and on the same conditions and, upon his or her death to the same persons (if any), as the benefits that would have been payable to or in respect of the person under this Act if he or she had not ceased to be an eligible employee and had not made the election by virtue of which the deferred benefits became applicable.
Where a deferred benefit by way of age retirement benefit, early retirement benefit or invalidity benefit is payable to a person other than a former eligible employee with benefits from previous employment, the amount of the benefit is calculated in accordance with the following provisions:
if:
a deferred benefit by way of standard age retirement pension is payable to the person in accordance with subsection 56(1), (2), (3) or (4); or
a deferred benefit by way of standard early retirement pension is payable to the person in accordance with section 60;
the annual rate of that pension is:
if subparagraph (iv) does not apply—an amount per annum equal to the amount worked out by using the formula:
if the person’s surcharge debt account is in debit when the benefit becomes payable to the person and the person does not make an election under subsection (3A) or (3B)—an amount per annum equal to the amount worked out by using the formula:
if:
a deferred benefit by way of additional age retirement pension is payable to the person in accordance with subsection 57(1); or
a deferred benefit by way of additional early retirement pension is payable to the person in accordance with subsection 61(1);
the annual rate of that pension is, if the person does not make an election under subsection (3A), an amount per annum equal to:
if, under the SIS Act, the benefit referred to in section 139AA is not to be paid in cash to the person—the amount calculated in accordance with the formula:
if, under the SIS Act, that benefit is to be paid in cash to the person—the amount calculated in accordance with the formula:
but, if the person makes an election under subsection (3A), the annual rate of that pension is an amount per annum equal to the amount worked out by using the formula:
if a deferred benefit by way of a lump sum benefit is payable to the person in accordance with section 65, the lump sum benefit is an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if a deferred benefit by way of invalidity pension is payable to the person in accordance with section 67 or 70, the annual rate of that pension is:
if subparagraph (ii) does not apply—an amount per annum equal to the amount worked out by using the formula:
if the person’s surcharge debt account is in debit when the benefit becomes payable to the person—an amount per annum equal to the amount worked out by using the formula:
if a deferred benefit by way of a lump sum benefit is payable to the person in accordance with section 67 or 70, the lump sum benefit is an amount equal to the sum of the person’s accumulated employer contributions (if any) and the person’s accumulated supplementary contributions;
if:
a deferred benefit by way of invalidity pension is payable to the person under section 67 or 70 but a deferred benefit by way of a lump sum benefit is not so payable; and
productivity benefit became payable in respect of the person when he or she ceased to be an eligible employee;
the deferred benefit is to include a lump sum benefit equal to the person’s accumulated employer contributions;
if a deferred benefit by way of invalidity pension is payable to the person in accordance with section 68 or 71, the annual rate of that pension is:
if subparagraph (ii) does not apply—an amount per annum equal to the amount worked out by using the formula:
if the person’s surcharge debt account is in debit when the benefit becomes payable to the person and the person does not make an election under subsection (3B)—an amount per annum equal to the amount worked out by using the formula:
if a deferred benefit by way of a lump sum benefit is payable to the person in accordance with section 68 or 71, the lump sum benefit is an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if a deferred benefit of a lump sum benefit is payable to the person in accordance with section 69, 72 or 73, then, subject to paragraph (i), the lump sum benefit is an amount equal to the sum of:
3½ times the person’s accumulated basic contributions; and
the person’s accumulated employer contributions (if any); and
the person’s accumulated supplementary contributions (if any);
if:
a deferred benefit by way of a lump sum benefit is payable to the person in accordance with section 69, 72 or 73; and
the person’s surcharge debt account is in debit when the benefit becomes payable to the person;
the lump sum benefit is an amount equal to the difference between:
the amount that would be payable to the person under paragraph (h) if this paragraph did not apply to the person; and
the person’s surcharge deduction amount.
where:
F1 is such factor as, having regard to:
the age of the person on the day on which the deferred benefits become payable; and
whether or not the person has elected under section 137A that deferred benefits be paid to him or her at a reduced rate;
is applicable in accordance with Table 1 in Schedule 11; and
F2 is such factor as, having regard to the age of the person on the day on which the deferred benefits become payable, is applicable in accordance with Table 2 in Schedule 11; and
ABC is the amount of the person’s accumulated basic contributions; and
AC is the amount of the person’s accumulated contributions; and
AEC is the amount of the person’s accumulated employer contributions.
BR (basic rate) means the annual rate of pension that would be payable to the person under subparagraph (2)(b)(iii) or (iv) if the person did not make an election under subsection (3A).
CF1 means the conversion factor that is applicable to the person under the determination made by CSC under subsection 154AB(1).
CF2 means the conversion factor that is applicable to the person under the determination made by CSC under subsection 154AB(2).
SDA means the person’s surcharge deduction amount.
Where a deferred benefit by way of age retirement benefit, early retirement benefit or invalidity benefit is payable to a person who is a former eligible employee with benefits from previous employment, the amount of any pension or lump sum benefit constituting that benefit is determined by CSC having regard to:
the amount of any pension or lump sum benefit that would be payable to the person under subsection (2) if the person was not a former eligible employee with benefits from previous employment; and
the amount of any transfer value paid by, or in respect of, the person to the Superannuation Board or the Commissioner for Superannuation under the superseded Act; and
the number of non-contributory units (if any) that were, under the superseded Act, applicable in relation to the person on 30 June 1976 or immediately before the person became entitled to invalidity pension (as the case may be) and the contributions that would have been paid by the person in respect of those units if they had been contributory units of pension in respect of which the person had contributed at rates based on a retiring age of 65; and
the amount of any transfer value paid by, or in respect of, the person to CSC under this Act.
Where a deferred benefit by way of spouse’s benefit or orphan benefit is payable in respect of a person other than a former eligible employee with benefits from previous employment and no child of the person is a partially dependent child, the amount of the benefit is calculated in accordance with the following provisions:
if a deferred benefit by way of spouse’s pension is payable in respect of the person in accordance with section 82 or 85, the annual rate of that pension is the applicable percentage of the annual rate of the pension to which the person would have been entitled under paragraph (2)(d) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of a lump sum benefit is payable in respect of the person in accordance with section 82 or 85, the lump sum benefit is an amount equal to the sum of the person’s accumulated employer contributions (if any) and the person’s accumulated supplementary contributions;
if:
a deferred benefit by way of spouse’s pension is payable in respect of the person under section 82 or 85 but a deferred benefit by way of a lump sum benefit is not so payable; and
productivity benefit became payable in respect of the person when he or she ceased to be an eligible employee;
the deferred benefit is to include a lump sum benefit equal to the person’s accumulated employer contributions;
if a deferred benefit by way of spouse’s pension is payable in respect of the person in accordance with section 83 or 86, the annual rate of that pension is the applicable percentage of the annual rate of the pension that would be payable to the person under paragraph (2)(f) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of a lump sum benefit is payable in respect of the person in accordance with section 83 or 86, the lump sum benefit is an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if a deferred benefit by way of a lump sum benefit is payable in respect of the person in accordance with section 84, 87 or 88, the lump sum benefit is an amount equal to the sum of:
3½ times the person’s accumulated basic contributions; and
the person’s accumulated employer contributions (if any); and
the person’s accumulated supplementary contributions (if any);
if a deferred benefit by way of spouse’s standard pension is payable in respect of the person in accordance with section 90, the annual rate of that pension is the applicable percentage of the annual rate of the pension that would be payable to the person under paragraph (2)(a) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of spouse’s additional pension is payable in respect of the person in accordance with subsection 91(1), the annual rate of that pension is, at the election of the person’s spouse:
an amount per annum equal to the amount calculated in accordance with the formula:
an amount per annum equal to the amount calculated in accordance with the formula:
where:
F3 is such factor as, having regard to the age of the person’s spouse at the time of the person’s death, is applicable in accordance with Table 3 in Schedule 11; and
AC is the amount of the person’s accumulated contributions; and
AEC is the amount of the person’s accumulated employer contributions;
if a deferred benefit by way of a lump sum benefit is payable in respect of the person in accordance with section 92, the lump sum benefit is an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if a deferred benefit by way of spouse’s standard pension is payable in respect of the person in accordance with section 94, then, except if paragraph (ma) applies, the annual rate of that pension is the applicable percentage of the annual rate of the pension that was payable to the person in accordance with paragraph (2)(a) immediately before his or her death;
if a deferred benefit by way of spouse’s additional pension is payable in respect of the person in accordance with section 95, then, except if paragraph (ma) applies, the annual rate of that pension is:
except if subparagraph (ii) applies—67% of the annual rate of the pension that was payable to the person in accordance with paragraph (2)(b) immediately before his or her death; or
if the person elected under section 137A that deferred benefits be paid to him or her at a reduced rate—85% of the annual rate of that pension;
if a deferred benefit by way of spouse’s pension is payable in respect of the person in accordance with section 96, then, except if paragraph (ma) applies, the annual rate of that pension is the applicable percentage of the annual rate of the pension that was payable to the person in accordance with paragraph (2)(d) or (f) (as the case may be) immediately before his or her death;
if:
a deferred benefit by way of spouse’s standard pension, spouse’s additional pension or spouse’s pension is payable in respect of the person in accordance with section 94, 95 or 96 (as the case may be); and
the person had had a late short-term marital or couple relationship with his or her spouse;
the annual rate of that pension is:
if subparagraph (iv) does not apply—the rate worked out by using the formula:
if there is one or more than one eligible child who did not become a child of the person because of that late short-term marital or couple relationship—such rate, being a rate higher than the rate worked out under subparagraph (iii) but less than the basic rate of pension, as CSC determines to be fair and equitable in all the circumstances of the case;
where:
basic rate of pension means the annual rate at which, apart from this paragraph, the deferred benefit would be payable in respect of the person under paragraph (j), (k) or (m) (whichever would be applicable).
relevant period means the period:
beginning on the day on which the marital or couple relationship between the person and his or her spouse began; and
ending on the day on which the person died.
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 97, the annual rate of that pension is the applicable percentage of the annual rate of the pension that would be payable to the person in accordance with paragraph (2)(a) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of a lump sum benefit is payable in respect of the person in accordance with section 97, the lump sum benefit is an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 98 or 100, the annual rate of that pension is:
where a lump sum benefit of an amount equal to the person’s accumulated contributions has been paid out of the Fund under subsection 111(1) or where, if the person had not died, he or she would have been entitled to invalidity benefit as provided by subsection 66(3) or (3A)—the applicable percentage of the annual rate of the pension that would be payable to the person in accordance with paragraph (2)(f) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph; or
where subparagraph (i) does not apply—the applicable percentage of the annual rate of the pension that would be payable to the person in accordance with paragraph (2)(d) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of lump sum benefit is payable in respect of the person in accordance with section 98 or 100, the lump sum benefit is:
except where subparagraph (ii) applies—an amount equal to the sum of the person’s accumulated employer contributions (if any) and the person’s accumulated supplementary contributions; or
where, if the person had not died, he or she would have been entitled to invalidity benefit as provided by subsection 66(3) or (3A)—an amount equal to the sum of the person’s accumulated contributions and the person’s accumulated employer contributions (if any);
if:
a deferred benefit by way of orphan pension is payable in respect of the person under section 98 or 100 but a deferred benefit by way of a lump sum benefit is not so payable; and
productivity benefit became payable in respect of the person when he or she ceased to be an eligible employee;
the deferred benefit is to include a lump sum benefit equal to the person’s accumulated employer contributions;
if a deferred benefit by way of lump sum benefit is payable in respect of the person in accordance with section 99 or 101, the lump sum benefit is an amount equal to the sum of:
3½ times the person’s accumulated basic contributions; and
the person’s accumulated employer contributions (if any); and
the person’s accumulated supplementary contributions (if any);
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 102, the annual rate of that pension is the applicable percentage of the annual rate of the pension that would be payable to the person in accordance with paragraph (2)(a) on the day on which deferred benefits by way of spouse’s benefits ceased to be payable in respect of the person if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 103 or 104, the annual rate of that pension is:
except where subparagraph (ii) applies—the applicable percentage of the annual rate of pension that would be payable to the person in accordance with paragraph (2)(d) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph; or
where the spouse of a person had made an election under section 83 or 86 (whichever was applicable in relation to the spouse)—the applicable percentage of the annual rate of pension that would be payable to the person in accordance with paragraph (2)(f) if he or she had not died but had, on the day immediately following his or her death, become entitled to the deferred benefit referred to in that paragraph;
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 105, the annual rate of that pension is the applicable percentage of the annual rate of the pension that was payable in accordance with paragraph (2)(a) to the person immediately before his or her death;
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 106, the annual rate of that pension is the applicable percentage of the annual rate of a pension that was payable to the person in accordance with paragraph (2)(d) or (f) (whichever was applicable) immediately before his or her death;
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 107, the annual rate of that pension is the applicable percentage of the annual rate of the pension that would be payable to the person in accordance with paragraph (2)(a) if he or she had not died but had continued to receive, and were receiving on the day on which his or her spouse died, the deferred benefit referred to in that paragraph;
if a deferred benefit by way of orphan pension is payable in respect of the person in accordance with section 108, the annual rate of that pension is the applicable percentage of the annual rate of pension that would be payable to the person in accordance with paragraph (2)(d) or (f) (whichever is applicable) if he or she had not died but had continued to receive, and were receiving on the day on which his or her spouse died, the deferred benefit referred to in that paragraph;
if a deferred benefit by way of orphan’s pension is payable in respect of the person in accordance with section 108A, the annual rate of that pension is:
if subparagraph (ii) does not apply—the rate worked out by using the formula:
if at any time there is one or more than one eligible child who is not a child referred to in subsection 108A(1) or (2)—such rate, being a rate higher than the rate worked out under subparagraph (i) but less than the basic rate of pension, as CSC determines to be fair and equitable in all the circumstances of the case;
where:
basic rate of pension means the annual rate at which the deferred benefit by way of orphan pension would be payable in respect of the person under paragraph (w), (y) or (za) (whichever would be applicable) if the deferred benefit was not payable in respect of the person in accordance with section 108A but was payable in respect of the person in accordance with section 105, 106, 107 or 108 (as the case may be).
relevant period has the same meaning as in section 108A.
(2BA) In spite of subsection (2B), on each of the 7 pension paydays immediately following the death of a person in respect of whom an amount of benefit is calculated in accordance with paragraph (2B)(j), (k) or (m), pension mentioned in that paragraph is payable at the rate at which pension would have been payable to that person on that day if the person had not died.
(2BB) Where pension is payable as mentioned in subsection (2BA), section 96A applies as if the pension were payable in accordance with subsection 94(3), 95(2) or 96(3).
Where:
a deferred benefit by way of spouse’s additional pension is payable in respect of a person other than a former eligible employee with benefits from previous employment in accordance with subsection 91(1); and
the amount of that pension is an amount calculated in accordance with subparagraph (2B)(g)(i);
there is also payable in respect of the person a deferred benefit by way of a lump sum benefit equal to the person’s accumulated employer contributions.
Where:
at any time a deferred benefit by way of spouse’s benefit is payable in respect of a person other than a former eligible employee with benefits from previous employment; and
at that time there is one, or more than one, child of the person who is a partially dependent child;
the amount of any pension or lump sum benefit constituting that benefit is determined by CSC having regard to:
the amount of pension or lump sum benefit that would be payable to the person under subsection (2B) if that subsection applied at that time to the person; and
the amount of extra spouse’s pension that would be payable to the spouse of the person under section 96B or 96BA if deferred benefits had not become applicable in respect of the person and the spouse were, at that time, entitled to extra spouse’s pension under that section.
Where:
at any time a deferred benefit by way of orphan benefit is payable in respect of a person other than a former eligible employee with benefits from previous employment; and
at that time, there is one, or more than one, child of the person who is a partially dependent child;
the amount of any pension or lump sum benefit constituting that benefit is such amount as is determined by CSC having regard to:
if a deferred benefit by way of a lump sum benefit is payable in accordance with section 99 or 101—the amount of the lump sum benefit that would be payable in respect of the eligible child or eligible children of the person under that section if deferred benefits had not become applicable in respect of the person and the eligible child or eligible children were entitled to lump sum benefit under that section; or
if a deferred benefit by way of orphan pension is payable in accordance with a provision of Division 4 of Part VI—the amount of orphan pension that would be payable in respect of the person under subsection (2B) if:
at that time that subsection applied to the person; and
that subsection so applied subject to section 109A; and
in its application in relation to that deferred benefit for the purposes of subparagraph (ii), section 109A had effect as if any reference in that section to orphan pension were a reference to that deferred benefit.
Where a deferred benefit by way of spouse’s benefit or orphan benefit is payable in respect of a former eligible employee with benefits from previous employment, the amount of any pension or lump sum benefit constituting that benefit is determined by CSC having regard to:
the amount of any pension or lump sum benefit that would be payable to the person under this section if the person was not a former eligible employee with benefits from previous employment; and
the amount of any transfer value paid by, or in respect of, the person to the Superannuation Board or the Commissioner for Superannuation under the superseded Act; and
the number of non-contributory units (if any) that were, under the superseded Act, applicable in relation to the person on 30 June 1976 or immediately before the person became entitled to invalidity pension (as the case may be) and the contributions that would have been paid by the person in respect of those units if they had been contributory units of pension in respect of which the person had contributed at rates based on a retiring age of 65; and
the amount of any transfer value paid by, or in respect of, the person to CSC under this Act.
Where, at any time, a deferred benefit by way of spouse’s pension or spouse’s additional pension is payable in respect of a person, then, for the purposes of paragraph (2B)(a), (c), (f) or (m), as the case requires, the applicable percentage is:
if paragraphs (b), (c) and (d) do not apply—67 per centum; or
if at that time one child of the person is an eligible child—78 per centum; or
if at that time 2 children of the person are eligible children—89 per centum; or
if at that time more than 2 children of the person are eligible children—100 per centum.
(2GA) If, at any time, a deferred benefit by way of spouse’s pension is payable in respect of a person in accordance with section 94, then, for the purposes of paragraph (2B)(j), the applicable percentage is the percentage worked out in accordance with the following table:
Where, at any time, a deferred benefit by way of orphan’s pension is payable in respect of a person, then, for the purposes of paragraph (2B)(n), (q), (t), (u), (y) or (za), as the case requires, the applicable percentage is:
if at that time one child of the person is an eligible child—45 per centum; or
if at that time 2 children of the person are eligible children—80 per centum; or
if at that time 3 children of the person are eligible children—90 per centum; or
if at that time more than 3 children of the person are eligible children—100 per centum.
(2HA) If, at any time, a deferred benefit by way of orphan pension is payable in respect of a person in accordance with section 105 or 107, then, for the purposes of paragraph (2B)(w) or (2B)(z) (as the case requires), the applicable percentage is the percentage worked out in accordance with the following table:
Where a deferred benefit becomes applicable in accordance with this Division in respect of a person who has ceased to be an eligible employee and to whom section 54 applied, and:
at the time when he or she ceased to be an eligible employee he or she had not ceased to be an eligible member of the Defence Force as defined by subsection 3(1) of the Defence Force Retirement and Death Benefits Act; or
at the time when the deferred benefit became applicable, a deferred benefit or retirement pay also became applicable in respect of him or her under that Act;
then, any period during which his or her liability to make contributions under this Act was deferred under section 54 of this Act shall be disregarded in determining the amount of the first-mentioned deferred benefit and he or she is not required or permitted to pay the amount of those deferred contributions.
A person:
who is entitled to a deferred benefit referred to in paragraph (2)(b); and
whose surcharge debt account is in debit when the benefit becomes payable to him or her;
may, not later than 3 months after, but not earlier than 3 months before, the benefit becomes payable, by notice in writing given to CSC, elect that the benefit be adjusted to take the person’s surcharge deduction amount into account.
A person:
(a) who, by virtue of an election (first election) under this Act, is entitled to a deferred benefit referred to in paragraph (2)(c) or (g); and
whose surcharge debt account is in debit when the benefit becomes payable to him or her;
may, within the period during which the first election may be made, elect in writing that the surcharge deduction amount in relation to him or her not be deducted from any deferred benefit payable by way of pension to the person.
Where:
a person ceases to be an eligible employee and, upon his or her so ceasing, deferred benefits become applicable in relation to him or her under this Division;
those deferred benefits cease to be applicable in relation to the person upon a deferred benefit by way of invalidity benefit becoming payable to him or her in accordance with section 67, 68, 70 or 71; and
his or her entitlement to the deferred benefit is cancelled under subsection 143(2) and deferred benefits again become applicable in relation to him or her;
this subsection applies to the person.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom subsection (4) applies, or to and in relation to a prescribed class of persons to whom that subsection applies.
The modifications that may be made by regulations in pursuance of subsection (5) include, but are not limited to, modifications providing for the payment of benefits in substitution for benefits provided for by this Act.
A person who:
ceases to be an eligible employee in circumstances to which paragraph (b) does not apply and, upon so ceasing, is not entitled to pension under this Act or invalidity benefit in accordance with section 69, 72 or 73; or
ceases to be an eligible employee in circumstances by virtue of which the person is to be deemed, under subsection 58(3), or under section 58A or 58B, to have retired involuntarily;
may, not later than 21 days after the person so ceases to be an eligible employee, elect, by notice in writing to CSC, that this Division apply in relation to the person.
If a person makes an election for the purposes of this section within 1 month before he or she ceases to be an eligible employee, the election has effect as if it had been made on the day after he or she ceased to be an eligible employee.
A person who has made an election under within 3 months after deferred benefits become payable to him or her under section 138, elect that those deferred benefits are to be paid to him or her at a reduced rate.section 137 may,
Subject to this Division, if a person makes an election under section 137, deferred benefits are applicable in respect of the person.
Deferred benefits that are applicable in respect of a person become payable on the day immediately after the earliest of the following dates:
if CSC is satisfied that the person has, because of invalidity or physical or mental incapacity, become totally and permanently incapacitated within the meaning of Part IVA—the date that CSC considers to have been the date on which the person became so incapacitated;
the date of the person’s death;
subject to subsection (3), if the person, by written notice given to CSC, selects a date (not earlier than the date on which the notice is given) for the start of the payment of the deferred benefits—the date so selected;
the 65th anniversary of the person’s birth.
Paragraph (2)(c) does not apply unless the person will have, by the date selected, reached the age that would have been his or her minimum retiring age for the purposes of this Act if he or she had not ceased to be an eligible employee and had continued to occupy the position held by him or her immediately before so ceasing.
Deferred benefits are not payable unless:
a written application has been made to CSC requesting payment of the benefits; and
the applicant has given CSC any information that is necessary to enable CSC to determine whether the benefits are payable.
Subject to this Division, if:
a person makes an election under section 137; and
the person becomes employed in public employment; and
the person becomes a member of an eligible superannuation scheme that is applicable in relation to people employed in that employment;
the person may, by written notice given to CSC, within 3 months after the person became a member of that scheme, elect that, in lieu of deferred benefits, a transfer value in respect of the person be paid to the person administering the scheme.
An election under subsection (1) does not have any effect unless:
the person administering the eligible superannuation scheme agrees to accept the transfer value; and
under the rules of the scheme, the first-mentioned person will become entitled to retirement benefits under the scheme based upon the transfer value.
If an election is duly made under subsection (1):
a transfer value in respect of the person is payable to the person administering the eligible superannuation scheme; and
deferred benefits cease to be applicable in respect of the person on the day on which the person administering the scheme accepts payment of the transfer value.
Subject to subsection (1A), where a person in relation to whom deferred benefits are applicable under subsection 138(1):
is employed in public employment; and
becomes a member of an eligible superannuation scheme that is applicable to people employed in that employment;
the person may elect, by notice in writing given to CSC, that, in lieu of those deferred benefits, a transfer value in respect of the person be paid to the person administering that scheme.
Unless the Minister and CSC otherwise agree, a person:
to whom deferred benefits are applicable under subsection 138(1); and
who is a member of an eligible superannuation scheme that is applicable to persons employed in the public employment in which he or she is employed;
may not make an election under subsection (1) if the person ceased to be an eligible employee on his or her becoming a member of that superannuation scheme.
The Minister and CSC may terminate an agreement made under subsection (1A).
An agreement may not be made under subsection (1A) in relation to a person in respect of whom Part XIIIA applies.
Where a person to whom deferred benefits are applicable and who is or becomes a member of an eligible superannuation scheme makes an election under subsection (1) for the payment of a transfer value in respect of the person in lieu of those deferred benefits, a transfer value in respect of the person is payable to the person administering that scheme.
Where a transfer value in respect of a person in lieu of deferred benefits applicable in relation to that person is paid under subsection (2), those deferred benefits cease to be applicable in relation to that person.
Notwithstanding subsection (2), a transfer value is not payable under that subsection in respect of a person in lieu of deferred benefits that are applicable in relation to that person if at any time after those deferred benefits first became so applicable they have been payable to the person.
Notwithstanding subsection (2), a transfer value in respect of a person is not payable under that subsection to the person administering an eligible superannuation scheme unless the person administering the superannuation scheme agrees to accept the transfer value and, under the rules of the scheme, the first-mentioned person will become entitled to retirement benefits under the scheme based upon the transfer value.
If, under subsection 138(2), deferred benefits applicable in respect of a person become payable on the day immediately following a date selected under paragraph (c) of that subsection, that part of the deferred benefits that consists of an amount equal to the person’s accumulated employer contributions is to be treated as a preserved benefit under the SIS Act and dealt with accordingly.
If section 138 or 139 applies in relation to a person, any benefit that, but for this Division, would be payable to or in respect of the person under this Act upon his or her ceasing to be an eligible employee is not payable except where that benefit is payable by virtue of the operation of this Division.
If:
a person referred to in subsection 137(1) is:
if paragraph 137(1)(a) applies—a person who has been paid an amount by way of lump sum benefit to which the person became entitled under section 80, Part VIA, VIAA, VIAB or VID or Subdivision B of Division 2 of Part IX; or
if paragraph 137(1)(b) applies—a person who has been paid:
(A) an amount or amounts by way of pension or by way of pension and lump sum benefit to which the person became entitled under section 55 or 59, Part VIA or VIAB or Subdivision B of Division 2 of Part IX; or
(B) an amount by way of lump sum benefit to which the person became entitled under section 62, Part VIA, VIAB or VID or Subdivision B of Division 2 of Part IX; and
after the payment, preservation or application, as the case may be, of the amount, or those amounts, the person makes an election under section 137;
the election does not have effect unless an amount equal to that amount or the aggregate of those amounts, as the case requires, is paid to CSC within 7 days after the date of the election or within such further period as CSC, in special circumstances, allows.
Where an amount is paid to CSC by a person under subsection (2), CSC shall pay that amount to the Commonwealth and there shall thereupon be paid out of the Consolidated Revenue Fund (which is appropriated accordingly) into the Superannuation Fund:
if the person is a person to whom paragraph 137(1)(a) applies—an amount equal to the amount paid to CSC less any part of that amount that is:
an amount of a kind referred to in paragraph 110Q(1)(c) or (d); or
an amount of superannuation guarantee top-up benefit; or
if the person is a person to whom paragraph 137(1)(b) applies—the portion of the amount paid to CSC that was paid to the Commonwealth under section 112 at the time that the person last ceased to be an eligible employee.
Where:
a person who ceases to be an eligible employee is, at the end of 3 months after so ceasing, employed in public employment in respect of which a superannuation scheme (other than an eligible superannuation scheme) is applicable and is, at the expiration of that period, a member of that scheme;
the person has made an election under section 137; and
if lump sum benefit was paid to him or her under section 80, he or she would, under the rules of the superannuation scheme applicable in respect of that employment, be entitled to pay an amount equal to the lump sum benefit or, in a case approved by CSC, a lesser amount to the person administering that scheme in exchange for benefits under that scheme;
this Act has effect as if the election had not been made.
Where a person who has made an election under section 137 is, by virtue of section 121, 122 or 123, to be deemed not to have ceased to be an eligible employee this Act has effect as if the election had not been made.
Where a deferred benefit by way of a pension is payable to a person by reason of CSC being satisfied as to the matters referred to in paragraph 138(2)(a):
if the pension is suspended under subsection 74(3)—deferred benefits do not again become applicable in relation to the person because only of the suspension of the pension;
if the person’s entitlement to the pension is cancelled under section 74A—deferred benefits again become applicable in relation to the person; and
section 75 does not apply in relation to the person but subsection (2) of this section has effect in relation to him or her.
Subject to subsection (3), if CSC is satisfied that the health of the person has become so restored as to enable him or her to perform duties of a kind that are, in the opinion of CSC, suitable to be performed by him or her (having regard to the duties performed by him or her immediately before he or she ceased to be an eligible employee, the duties performed by him or her in employment (if any) in which he or she was employed after he or she ceased to be such an employee and such other matters (if any) as CSC considers relevant), CSC may cancel the person’s entitlement to pension but, upon the cancellation, the deferred benefits again become applicable in respect of the person.
CSC shall not, under subsection (2) of this section, cancel a person’s entitlement to pension at a time when pension would have become payable, apart from the operation of paragraph 138(2)(a).
Deferred benefits cease to be applicable in respect of a person:
subject to subsection 143(2), upon the deferred benefits becoming payable; or
upon the person again becoming an eligible employee before attaining the age of 65 years.
Where:
a deferred benefit by way of invalidity pension becomes payable to a person;
his or her entitlement to the deferred benefit is cancelled under subsection 76(1) upon his or her again becoming an eligible employee or is cancelled under subsection 143(2) and he or she again becomes an eligible employee; and
he or she again ceases to be an eligible employee before attaining his or her maximum retiring age by reason of death or retirement on the ground of invalidity;
the annual rate of any pension that becomes payable under this Act to or in respect of him or her upon or after his or her again ceasing to be an eligible employee as referred to in paragraph (c) shall not be less than:
in the case of pension payable to the person:
the rate at which the deferred benefit referred to in paragraph (a) would have been payable to him or her if it had not been cancelled; or
if a lesser rate is applicable in relation to him or her under the regulations—that lesser rate; and
in the case of pension payable in respect of the person:
the rate at which that pension would have been payable in respect of him or her if the deferred benefit referred to in paragraph (a) had not been cancelled; or
if a lesser rate is applicable in relation to him or her under the regulations—that lesser rate.
Where:
a person who becomes an eligible employee was, at any time before becoming an eligible employee, a member of:
a superannuation scheme conducted in accordance with the system established in the United Kingdom of Great Britain and Northern Ireland and known as the Federated Superannuation System for Universities; or
a superannuation scheme that was an approved superannuation scheme for the purposes of this section at the time when the person became an eligible employee;
by virtue of subsection 127(3) a transfer value is to be deemed for the purposes of 25 May 1971 under that superannuation scheme because the person was the owner of a life policy or policies of a kind referred to in that subsection, or because the person was entitled to have the rights of the owner of such a policy or policies assigned to him or her; andDivision 2 to have become payable in respect of the person after
the person has elected in accordance with paragraph 128(1)(a) to pay to CSC an amount equal to the amount of that transfer value;
the succeeding provisions of this section have effect.
The person may, within the period within which he or she was entitled to make an election under paragraph 128(1)(a), elect that this section shall have effect in relation to him or her and, where an election is so made, section 128 has effect as if the amount referred to in paragraph 128(1)(b), or, if part only of that amount relates to the transfer value referred to in subsection (1) of this section that part of that amount, had been paid to CSC in accordance with that paragraph and CSC had made the payments referred to in paragraphs 128(2)(a) and 128(2)(b) in relation to that amount or that part of that amount, as the case may be.
An election under subsection (2) does not have effect unless the person who made the election, within the period referred to in that subsection, causes the life policy or life policies referred to in paragraph (1)(b) to be assigned to CSC, free from any mortgages, charges or other encumbrances.
If:
the annual rate of salary of the person upon his or her becoming an eligible employee was greater than the annual remuneration that was payable to him or her in respect of the last employment in which he or she was employed and to which a superannuation scheme referred to in subsection (1) related; or
after the person became an eligible employee his or her salary is increased;
CSC shall so far as is practicable arrange for the amount or amounts of any life policy or life policies assigned to CSC by the person to be increased by the amount or amounts by which the life policy or life policies would have been increased under that scheme, or for the issue of such additional life policy or life policies in relation to the person as would have been issued under that scheme, if he or she had remained a member of the scheme and had been in receipt of an annual remuneration equal to that salary or that increased salary, as the case may be.
So much of any premium payable in respect of any life policy assigned to CSC in accordance with subsection (3) or issued in accordance with subsection (4) as relates to a period during which the person is an eligible employee shall be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.
Where the person is an eligible employee and the amount of the basic contributions payable by him or her at any time is less than the amount that is the prescribed amount in relation to him or her at that time, he or she is liable to pay to CSC an amount equal to the difference and any amount so paid to CSC shall be paid by CSC to the Commonwealth.
(7) Where a person (in this subsection referred to as the former contributor) makes an election under subsection 137(1) and, within 3 months, he or she becomes employed in employment in respect of which a superannuation scheme referred to in paragraph (1)(a) of this section is applicable and becomes a member of that scheme, then:
subject to paragraph (c) of this subsection, Division 3 has effect in relation to him or her as if that employment were public employment and that superannuation scheme were an eligible superannuation scheme;
CSC shall assign to the person administering that superannuation scheme the life policies assigned by the former contributor to CSC in accordance with subsection (3) of this section or issued in relation to the former contributor in accordance with subsection (4) of this section;
the assignment of those life policies in accordance with paragraph (b) of this subsection shall be deemed to constitute the payment of a transfer value in respect of the former contributor in accordance with section 139 to the person administering that scheme;
CSC shall:
if the amount of any basic contribution paid by the former contributor to CSC exceeded the amount that was the prescribed amount in relation to him or her at the time of the payment—pay to him or her out of the Superannuation Fund an amount equal to the amount of the excess and the amount of any interest on that excess;
pay to him or her out of the Superannuation Fund an amount equal to his or her accumulated supplementary contributions; and
pay out of the Superannuation Fund and to the Commonwealth an amount equal to the amount that, but for this Part, would have been payable to the former contributor under section 80 less any amounts paid to him or her under subparagraphs (i) and (ii) of this paragraph; and
section 112 does not apply in relation to the former contributor.
An amount paid under subparagraph (7)(d)(i) in respect of a particular excess must not be less than the amount of the excess.
If the life policy or life policies assigned by the person to CSC in accordance with subsection (3) or issued in relation to him or her in accordance with subsection (4) becomes or become payable at or before the time when he or she ceases to be an eligible employee:
CSC shall, out of the amount paid to him or her under the policy or policies:
(i) pay into the Superannuation Fund an amount equal to the amount (the principal amount) that, but for subsection (2), would have been paid by CSC into the Superannuation Fund and the amount of any interest on the principal amount;
in the case of a policy or policies assigned by the person to CSC in accordance with subsection (3) of this section—pay to the person, or, if he or she is dead, to his or her legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines, an amount equal to so much of any premiums paid by the person in respect of the policy or policies as related to, or to any part of, the period that commenced on the date on which the transfer value referred to in paragraph (1)(b) of this section is to be deemed for the purposes of Division 2 to have become payable in respect of him or her and ended on the date on which he or she became an eligible employee; and
pay the balance to the Commonwealth; and
a lump sum benefit of an amount equal to the sum of any amounts paid by the person to CSC under subsection (6) is payable to the person, or, if he or she is dead, to his or her legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
An amount paid into the Superannuation Fund under subparagraph (8)(a)(i) in respect of a particular principal amount must not be less than the principal amount.
Where the person attains his or her minimum retiring age while he or she is an eligible employee or ceases to be such an eligible employee before he or she attains that age, and neither subsection (7) nor subsection (8) applies in relation to him or her, then, if the election made by the person under subsection (2) has not been revoked in accordance with subsection (10):
CSC shall surrender the life policy or life policies assigned by him or her to CSC in accordance with subsection (3) or issued in relation to him or her in accordance with subsection (4) and, out of the proceeds of the surrender, shall:
(i) pay into the Superannuation Fund an amount equal to the amount (the principal amount) that, but for subsection (2), would have been paid by CSC into the Superannuation Fund and the amount of any interest on the principal amount;
in the case of a policy or policies assigned by the person to CSC in accordance with subsection (3) of this section pay to the person an amount equal to so much of any premiums paid by the person in respect of the policy or policies as related to, or to any part of, the period that commenced on the date on which the transfer value referred to in paragraph (1)(b) of this section is to be deemed for the purposes of Division 2 to have become payable in respect of him or her and ended on the date on which he or she became an eligible employee; and
pay the balance to the Commonwealth; and
a lump sum benefit of an amount equal to the sum of any amounts paid to CSC under subsection (6) shall be paid to the person out of the Consolidated Revenue Fund, which is appropriated accordingly.
An amount paid into the Superannuation Fund under subparagraph (9)(a)(i) in respect of a particular principal amount must not be less than the principal amount.
A person who has made an election under subsection (2) may, if:
he or she has not attained his or her minimum retiring age;
he or she has not ceased to be an eligible employee; and
the life policy or life policies assigned by him or her to CSC in accordance with subsection (3) or issued in relation to him or her in accordance with subsection (4) has not or have not become payable;
by notice in writing to CSC revoke the election and, in that case, paragraphs (9)(a) and (b) have effect in relation to him or her.
The Minister and CSC may agree that a particular superannuation scheme that:
provides for benefits by means of life policies; and
is an eligible superannuation scheme for the purposes of Division 3;
is an approved superannuation scheme for the purposes of this section.
The Minister and CSC may at any time terminate an agreement made under subsection (11).
An agreement made under subsection (11) may be expressed to have taken effect on a day earlier than the day on which the agreement is made but not earlier than 1 July 1976.
(12) CSC must cause notice of the making of an agreement under subsection (11), or of the termination of such an agreement, to be published in the Gazette.
A superannuation scheme is taken, for the purposes of this section, to have been an approved superannuation scheme at a particular time if:
(a) in respect of a time before 1 July 1994—a declaration in respect of the scheme made by CSC under subsection 145(11) of the Superannuation Act 1976 was, or is taken to have been, in force at that time; or
in respect of a time on or after that date—an agreement under subsection (11) in respect of the scheme was in force at that time.
(15) In this section, the prescribed amount, in relation to a person at any time, is an amount ascertained in accordance with the formula:
where:
A is the amount of the annual premium, or the sum of the amounts of the annual premiums, applicable at that time under the life policy or life policies assigned by him or her to CSC in accordance with subsection (3) or issued in relation to him or her in accordance with subsection (4).
B is the amount, or the sum of the amounts, payable by him or her under the superannuation scheme referred to in subsection (4) immediately before he or she ceased to be a member of that scheme in respect of the annual premium or the annual premiums under the life policy or life policies assigned by him or her to CSC in accordance with subsection (3); and
C is the amount of the annual premium, or the sum of the amounts of the annual premiums, applicable under the life policy or life policies assigned by him or her to CSC in accordance with subsection (3) immediately before he or she ceased to be a member of the superannuation scheme referred to in subsection (4).
Section 112 applies in relation to a payment of a transfer value under section 139 as if that payment were a payment of benefit under this Act.
The following is a simplified outline of this Part:
• If a person is receiving a pension and becomes liable to pay surcharge under an assessment, the person may elect to commute the whole or a part of the pension.
• If an election is made, the person will be entitled to a lump sum benefit.
• The lump sum benefit must be used to pay the surcharge.
• If an election is made, the pension will be reduced.
In this Part:
assessment has the same meaning as in the Superannuation Contributions Tax (Assessment and Collection) Act 1997.
surcharge has the same meaning as in the Superannuation Contributions Tax (Assessment and Collection) Act 1997.
surchargeable contributions means surchargeable contributions (within the meaning of the Superannuation Contributions Tax (Assessment and Collection) Act 1997) that are attributable to the operation of this Act.
Election
If:
a person is receiving (whether or not by virtue of section 136):
a standard age retirement pension; or
a standard early retirement pension; or
an invalidity pension; or
an additional age retirement pension; or
an additional early retirement pension; and
an assessment is made of the surcharge on the person’s surchargeable contributions for a financial year; and
(c) the person becomes liable to pay the surcharge under the assessment in accordance with paragraph 10(4)(c) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997;
the person may, within 3 months after the assessment was made, give CSC:
if the person is receiving only one such pension—a written notice electing to commute the whole or a part of that pension to a lump sum benefit equal to the amount specified in the election in relation to the pension; or
if the person is receiving 2 such pensions and wishes to make an election under this subsection in relation to only one of those pensions—a written notice:
identifying that pension; and
electing to commute the whole or a part of that pension to a lump sum benefit equal to the amount specified in the election in relation to the pension; or
if the person is receiving 2 such pensions and wishes to make an election under this subsection in relation to both of those pensions—a written notice:
identifying one of these pensions as the first pension to be commuted; and
electing to commute all of the first pension to a lump sum benefit equal to the amount specified in the election in relation to the first pension; and
electing to commute the whole or a part of the other pension to a lump sum benefit equal to the amount specified in the election in relation to the other pension.
An election must be accompanied by:
a written notice requesting that the amount of the lump sum benefit be:
paid to the Commissioner of Taxation; and
wholly applied in payment of surcharge under the assessment; and
a copy of the notice of assessment.
Surcharge commutation amount
The amount specified in an election in relation to a particular pension:
must be equal to or less than the amount of the surcharge under the assessment; and
must not have the effect of reducing the pension below zero; and
(c) is to be known as the surcharge commutation amount in relation to the pension for the purposes of this section.
The sum of the amounts specified in the elections set out in a notice under paragraph (1)(f) must be equal to or less than the amount of the surcharge under the assessment.
Entitlement to lump sum benefit
If a person makes an election under subsection (1) in relation to a pension, the person is entitled to a lump sum benefit equal to the surcharge commutation amount.
If a person is entitled to a lump sum benefit under subsection (5), the liability to pay that benefit must be discharged by:
paying the amount of that benefit to the Commissioner of Taxation in accordance with the person’s request; and
informing the Commissioner of Taxation of the person’s request that the amount be wholly applied in payment of surcharge under the assessment concerned.
Reduction of pension
If a person makes an election under subsection (1) in relation to a pension, the annual rate of the pension is to be reduced, with effect from the beginning of the day of the election, so that it equals the amount worked out using the following formula:
where:
conversion factor means the factor that is applicable to the person under the determination made by CSC under section 146D.
pre-commutation election pension rate means the annual rate at which the pension was payable to the person immediately before the election was made.
One election per assessment
A person is not entitled to make more than one election under subsection (1) in relation to a particular assessment unless the elections:
relate to different pensions; and
are made on a single occasion; and
are set out in the same notice under paragraph (1)(f).
Elections made before the first pension pay day
If an election under subsection (1) is made during the period:
beginning on 1 January or 1 July in a year; and
ending at the end of the first pension pay day after that 1 January or 1 July;
this section has effect as if the election had been made on the first day after that pension pay day.
Standard age retirement pension, standard early retirement pension or invalidity pension
CSC must, in accordance with advice received from an actuary, determine in writing, in relation to persons to whom standard age retirement pension, standard early retirement pension, invalidity pension or a deferred benefit by way of any such pension has become payable, the conversion factor that, having regard to:
a person’s age when he or she makes an election under section 146C; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge commutation amount (within the meaning of section 146C).
Additional age retirement pension or additional early retirement pension
CSC must, in accordance with advice received from an actuary, determine in writing, in relation to persons to whom an additional age retirement pension, an additional early retirement pension or a deferred benefit by way of any such pension has become payable, the conversion factor that, having regard to:
a person’s age when he or she makes an election under section 146C; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge commutation amount (within the meaning of section 146C).
Gazette notice
(3) A determination under this section must be published in the Gazette.
Election
If:
(a) a person (the deceased person) dies and:
the deceased person was an eligible employee; or
the deceased person was a pensioner to whom age retirement pension, early retirement pension or invalidity pension was payable; and
the deceased person is survived by a spouse; and
the spouse is receiving one or more spouse’s pensions (whether or not by virtue of section 136); and
an assessment is made of the surcharge on the deceased person’s surchargeable contributions for a financial year; and
(e) the spouse becomes liable to pay the surcharge under the assessment in accordance with paragraph 10(4)(ca) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997;
the spouse may, within 3 months after the assessment was made, give CSC:
if the spouse is receiving only one spouse’s pension—a written notice electing to commute the whole or a part of that pension to a lump sum benefit equal to the amount specified in the election in relation to the pension; or
if the spouse is receiving 2 spouse’s pensions and wishes to make an election under this subsection in relation to only one of these pensions—a written notice:
identifying that pension; and
electing to commute the whole or a part of that pension to a lump sum benefit equal to the amount specified in the election in relation to the pension; or
if the spouse is receiving 2 spouse’s pensions and wishes to make an election under this subsection in relation to both of those pensions—a written notice:
identifying one of those pensions as the first pension to be commuted; and
electing to commute all of the first pension to a lump sum benefit equal to the amount specified in the election in relation to the first pension; and
electing to commute the whole or a part of the other pension to a lump sum benefit equal to the amount specified in the election in relation to the other pension.
An election must be accompanied by:
a written notice requesting that the amount of the lump sum benefit be:
paid to the Commissioner of Taxation; and
wholly applied in payment of surcharge under the assessment; and
a copy of the notice of assessment.
Surcharge commutation amount
The amount specified in an election in relation to a particular pension:
must be equal to or less than the amount of the surcharge under the assessment; and
must not have the effect of reducing the pension below zero; and
(c) is to be known as the surcharge commutation amount in relation to the pension for the purposes of this section.
The sum of the amounts specified in the elections set out in a notice under paragraph (1)(h) must be equal to or less than the amount of the surcharge under the assessment.
Entitlement to lump sum benefit
If a spouse makes an election under subsection (1) in relation to a pension, the spouse is entitled to a lump sum benefit equal to the surcharge commutation amount.
If a spouse is entitled to a lump sum benefit under subsection (5), the liability to pay that benefit must be discharged by:
paying the amount of that benefit to the Commissioner of Taxation in accordance with the spouse’s request; and
informing the Commissioner of Taxation of the spouse’s request that the amount be wholly applied in payment of surcharge under the assessment concerned.
Reduction of pension
If a spouse makes an election under subsection (1) in relation to a pension, the annual rate of the pension is to be reduced in accordance with the method determined by CSC under section 146F. The reduction takes effect from the beginning of the day of the election.
One election per assessment
A spouse is not entitled to make more than one election under subsection (1) in relation to a particular assessment unless the elections:
relate to different pensions; and
are made on a single occasion; and
are set out in the same notice under paragraph (1)(h).
Elections made before the first pension pay day
If an election under subsection (1) is made during the period:
beginning on 1 January or 1 July in a year; and
ending at the end of the first pension pay day after that 1 January or 1 July;
this section has effect as if the election had been made on the first day after that pension pay day.
Part of spouse’s pension
To avoid doubt, if subsection 109AB(9) or 110(12) applies to an election under subsection (1) of this section, this section has effect, in relation to the election, as if a reference to the spouse’s pension were a reference to the part of the spouse’s pension concerned.
CSC must, following consultation with an actuary, determine in writing, in relation to persons who are receiving a spouse’s pension, the method that, having regard to:
a person’s age when he or she makes an election under section 146E; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge commutation amount (within the meaning of section 146E).
(2) A determination under this section is to be published in the Gazette.
Election
If:
(a) a person (the deceased person) dies; and
either:
the deceased person is not survived by a spouse but is survived by a child or children of the deceased person; or
the deceased person is survived by a spouse, the spouse dies, and the spouse is survived by a child or children of the deceased person; and
an orphan pension is payable in respect of the child or children (whether or not by virtue of section 136); and
an assessment is made of the surcharge on the deceased person’s surchargeable contributions for a financial year; and
(e) the person to whom the pension is payable (the eligible person) (who may be the child or one of the children) becomes liable to pay the surcharge under the assessment in accordance with paragraph 10(4)(ca) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997;
the eligible person may, within 3 months after the assessment was made, give CSC a written notice electing to commute the whole or a part of the orphan pension to a lump sum benefit equal to the amount specified in the election.
The election must be accompanied by:
a written notice requesting that the amount of the lump sum benefit be:
paid to the Commissioner of Taxation; and
wholly applied in payment of surcharge under the assessment; and
a copy of the notice of assessment.
Surcharge commutation amount
The amount specified in the election:
must be equal to or less than the amount of the surcharge under the assessment; and
must not have the effect of reducing the pension below zero; and
(c) is to be known as the surcharge commutation amount for the purposes of this section.
Entitlement to lump sum benefit
If an eligible person makes an election under subsection (1) in relation to a pension, the eligible person is entitled to a lump sum benefit equal to the surcharge commutation amount.
If an eligible person is entitled to a lump sum benefit under subsection (4), the liability to pay that benefit must be discharged by:
paying the amount of that benefit to the Commissioner of Taxation in accordance with the eligible person’s request; and
informing the Commissioner of Taxation of the eligible person’s request that the amount be wholly applied in payment of surcharge under the assessment concerned.
Reduction of pension
If an eligible person makes an election under subsection (1) in relation to a pension, the annual rate of the pension is to be reduced in accordance with the method determined by CSC under section 146H. The reduction takes effect from the beginning of the day of the election.
One election per assessment
An eligible person is not entitled to make more than one election under subsection (1) in relation to a particular assessment.
Elections made before the first pension pay day
If an election under subsection (1) is made during the period:
beginning on 1 January or 1 July in a year; and
ending at the end of the first pension pay day after that 1 January or 1 July;
this section has effect as if the election had been made on the first day after that pension pay day.
Part of orphan pension
To avoid doubt, if an orphan pension is apportioned under subsection 115(2), this section has effect, in relation to the portion applicable to a particular child or to particular children, as if a reference to the orphan pension were a reference to that portion.
CSC must, following consultation with an actuary, determine in writing, in relation to persons to whom orphan pension is payable in respect of a child or children, the method that, having regard to:
the age of the child, or the ages of the children, when the person makes an election under section 146G; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge commutation amount (within the meaning of section 146G).
(2) A determination under this section is to be published in the Gazette.
In this Part, unless the contrary intention appears:
additional pension means any of the following: additional age retirement pension referred to in section 55 or 136; additional early retirement pension referred to in section 59 or 136; spouse’s additional pension referred to in section 89, 93 or 136; associate additional pension.
additional age retirement pension referred to in section 55 or 136;
additional early retirement pension referred to in section 59 or 136;
spouse’s additional pension referred to in section 89, 93 or 136;
associate additional pension.
associate additional pension means associate additional pension under section 146MB.
associate deferred benefits means associate deferred benefits under section 146MC.
associate deferred pension means associate deferred pension under section 146MC.
associate standard pension means associate standard pension under section 146MB.
base amount means:
for a splitting agreement—the base amount specified in, or calculated under, the agreement; or
(b) for a splitting order—the amount allocated under subsection 90XT(4) or 90YY(5) (as the case may be) of the Family Law Act 1975.
basic contributions amount means the amount determined under the Orders.
basic contributions component means the amount calculated by multiplying the basic contributions amount by the transfer factor.
employer contributions amount means the amount determined under the Orders.
employer contributions component means the amount calculated by multiplying the employer contributions amount by the transfer factor.
family law value means:
(a) in relation to a superannuation interest within the meaning of Family Law Act 1975—the amount determined in accordance with regulations under that Act that apply for the purposes of paragraph 90XT(2)(a) of that Act; orPart VIIIB of the
(b) in relation to a superannuation interest within the meaning of Family Law Act 1975—the amount determined in accordance with regulations under that Act that apply for the purposes of paragraph 90YY(2)(a) of that Act.Part VIIIC of the
In applying regulations referred to in paragraph (a) or (b), the relevant date is taken to be the date on which the operative time occurs.
funded component means the sum of the following amounts: the basic contributions component; the supplementary contributions component; the employer contributions component; the section 110SL component; the section 130B component.
Note: This amount is determined by applying those regulations, whether or not an order has been made under subsection 90XT(1) or 90YY(1) (as the case may be) of the Family Law Act 1975.
the basic contributions component;
the supplementary contributions component;
the employer contributions component;
the section 110SL component;
the section 130B component.
member spouse means a member spouse within the meaning of Part VIIIB or VIIIC of the Family Law Act 1975.
non-member spouse means a non-member spouse within the meaning of Part VIIIB or VIIIC of the Family Law Act 1975.
non-standard pension means pension under this Act other than: standard pension; or additional pension.
standard pension; or
additional pension.
operative time means:
(a) for a splitting agreement that is a superannuation agreement or a flag lifting agreement within the meaning of Family Law Act 1975 or for a splitting order within the meaning of that Part—the time that is the operative time for the purposes of that Part in relation to a payment split under the agreement or order; orPart VIIIB of the
(b) for a splitting agreement that is a superannuation agreement or a flag lifting agreement within the meaning of Family Law Act 1975 or for a splitting order within the meaning of that Part—the time that is the operative time for the purposes of that Part in relation to a payment split under the agreement or order.Part VIIIC of the
Orders means Orders under section 146MH.
original interest means a superannuation interest to which section 146MB applies.
payment split means a payment split within the meaning of Part VIIIB or VIIIC of the Family Law Act 1975.
scheme value means the amount determined under the Orders.
section 110SL amount means the amount determined under the Orders.
section 110SL component means the amount calculated by multiplying the section 110SL amount by the transfer factor.
section 130B amount means the amount determined under the Orders.
section 130B component means the amount calculated by multiplying the section 130B amount by the transfer factor.
splitting agreement means:
(a) a superannuation agreement (within the meaning of Family Law Act 1975); orPart VIIIB or VIIIC of the
(b) a flag lifting agreement (within the meaning of Family Law Act 1975) that provides for a payment split.Part VIIIB or VIIIC of the
splitting order means a splitting order within the meaning of Part VIIIB or VIIIC of the Family Law Act 1975.
splitting percentage means:
(a) for a splitting agreement—the percentage specified in the agreement under subparagraph 90XJ(1)(c)(iii) or 90YN(1)(c)(iii) (as the case may be) of the Family Law Act 1975; or
(b) for a splitting order—the percentage specified in the order under subparagraph 90XT(1)(b)(i) or 90YY(1)(b)(i) (as the case may be) of the Family Law Act 1975.
standard pension means any of the following: standard age retirement pension referred to in section 55 or 136; standard early retirement pension referred to in section 59 or 136; invalidity pension; spouse’s pension, other than spouse’s additional pension referred to in section 89, 93 or 136; extra spouse’s pension; associate standard pension; associate deferred pension.
standard age retirement pension referred to in section 55 or 136;
standard early retirement pension referred to in section 59 or 136;
invalidity pension;
spouse’s pension, other than spouse’s additional pension referred to in section 89, 93 or 136;
extra spouse’s pension;
associate standard pension;
associate deferred pension.
superannuation interest means a superannuation interest within the meaning of Part VIIIB or VIIIC of the Family Law Act 1975.
supplementary contributions amount means the amount determined under the Orders.
supplementary contributions component means the amount calculated by multiplying the supplementary contributions amount by the transfer factor.
transfer amount means:
if a splitting percentage applies—the amount calculated by multiplying the splitting percentage by the greater of:
the family law value; and
the scheme value; or
if a base amount applies and the scheme value is not more than the family law value—the base amount; or
if a base amount applies and the scheme value is more than the family law value—the amount calculated using the formula:
transfer factor means the number calculated by dividing the number of whole dollars in the transfer amount by the number of whole dollars in the scheme value.
unfunded component means the transfer amount reduced by the funded component.
(1) This section applies to a superannuation interest under this Act (the original interest) if:
CSC receives a splitting agreement or splitting order in respect of the original interest; and
the original interest is not an entitlement to an orphan pension; and
the member spouse and the non-member spouse are both alive at the operative time; and
if a base amount applies—the base amount at the operative time is not more than the family law value or the scheme value.
Pension if operative time in payment phase
If, at the operative time, standard pension is payable in respect of the original interest, then the non-member spouse is entitled to associate standard pension from the operative time, at the rate calculated under the Orders by reference to the transfer amount.
If, at the operative time, additional pension is payable in respect of the original interest, then the non-member spouse is entitled to associate additional pension from the operative time, at the rate calculated under the Orders by reference to the transfer amount.
Deferred benefits if operative time in growth phase
If, at the operative time, standard pension is not payable in respect of the original interest, then the non-member spouse is entitled to associate deferred benefits in accordance with section 146MC.
Associate deferred benefits consist of:
a lump sum equal to the funded component of the transfer amount, plus interest determined under section 154A; and
an associate deferred pension at an annual rate calculated under the Orders by reference to the unfunded component.
The benefits become payable at the later of:
the operative time; and
the earliest of the following dates:
if CSC is satisfied that the non-member spouse has, because of invalidity or physical or mental incapacity, become totally and permanently incapacitated within the meaning of Part IVA—the date that CSC considers to have been the date on which the person became so incapacitated;
a date notified to CSC under subsection (3);
the 65th anniversary of the non-member spouse’s birth.
The non-member spouse may give a written notice to CSC specifying a date that is not earlier than the 55th anniversary of the non-member spouse’s birth. However, the notice has no effect if, under the SIS Act, the associate deferred pension is not permitted to be paid in cash to the non-member spouse from the specified date.
The benefits are not payable unless:
a written application has been made to CSC requesting payment of the benefits; and
the applicant has given CSC any information that is necessary to enable CSC to determine whether the benefits are payable.
If the non-member spouse dies before the benefits become payable, CSC must pay the following amounts to the legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines:
the amount referred to in paragraph (1)(a);
an amount calculated under the Orders in respect of the associate deferred pension.
When the amount referred to in paragraph (1)(a) becomes payable, or is paid under paragraph (5)(a), an equal amount must be paid out of the Superannuation Fund to the Commonwealth.
If:
the total annual rate of associate standard pension and associate additional pension (if any) to which the non-member spouse becomes entitled; or
the annual rate of associate deferred pension to which the non-member spouse becomes entitled;
is less than the amount determined under the Orders, then the non-member spouse may elect to commute those pensions or that pension.
The election must be made in writing to CSC not later than 3 months after the non-member spouse becomes entitled to the pensions or pension.
If the non-member spouse makes the election, then the non-member spouse is entitled instead to:
if paragraph (1)(a) applies—a lump sum equal to the transfer amount; or
if paragraph (1)(b) applies—a lump sum calculated under the Orders.
This section applies if:
at the operative time, standard pension is not payable in respect of the original interest; and
the original interest is not an entitlement to associate deferred benefits.
Reduction of accumulated contributions etc.
The following amounts are reduced in respect of the original interest:
the accumulated basic contributions are reduced by the sum of:
the basic contributions component; and
the interest accruing on that component after the operative time;
the accumulated supplementary contributions are reduced by the sum of:
the supplementary contributions component; and
the interest accruing on that component after the operative time;
the accumulated employer contributions are reduced by the sum of:
the employer contributions component; and
the interest accruing on that component after the operative time;
any benefit under section 110SN is reduced by the sum of:
the section 110SL component; and
the interest accruing on that component after the operative time;
any benefit under section 130D is reduced by the sum of:
the section 130B component; and
the interest accruing on that component after the operative time.
Reduction of later salary-based pension
(3) If, after the operative time, salary-based pension (the original pension) becomes payable to the member spouse in respect of the original interest, then the annual rate of the original pension is reduced to the amount worked out using the formula:
Note: If the member spouse dies without becoming entitled to salary-based pension, then subsection (3) will nevertheless result in an indirect reduction of any spouse’s pension that becomes payable to a surviving spouse. This happens because the amount of the spouse’s pension is based on the amount of invalidity pension (salary-based pension) that would have become payable to the member spouse at the time of death.
Multiple interest splits for same original interest
If, before the original pension becomes payable, the original interest has been split more than once (that is to say, section 146MB has applied more than once), then, in applying the formula in subsection (3), the reduction factor is to be replaced by the number calculated using the following steps, based on the chronological order of the operative times (starting with the earliest):
(a) calculate a factor (the interim factor) using the steps in paragraphs (a) to (c) of the definition of reduction factor in subsection (6);
(b) calculate a factor (the interim factor) for the next split (the current split), using the formula:
where:
unreduced current factor means the number calculated using the steps in paragraphs (a) and (b) of the definition of reduction factor in subsection (6);
calculate a factor for each remaining split (if any), using the formula in paragraph (b);
add together the factors calculated under paragraphs (a) to (c).
Reduction not to affect later non-standard pension
A reduction under subsection (3) is to be disregarded in calculating the amount of any non-standard pension that later becomes payable.
Note: For example, the reduction will be disregarded in calculating the amount of orphan pension payable in respect of a child of the member spouse after the member spouse’s death.
In this section:
age factor means:
if the age in full years is 65 or more—1; or
if the age in full years is less than 65—1 reduced by 0.02 per year from 64 years to 60 years, and then by 0.03 per year from 59 years to 31 years.
final salary amount means the number of whole dollars in the member spouse’s final annual rate of salary.
original pension amount means the number of whole dollars in the original pension.
reduction factor means the number worked out as follows:
(a) calculate a number (the service factor), by reference to the member spouse’s period of contributory service before the operative time, by adding:
for service that occurred within the first 20 years:
(A) 0.02 for each full year; and
(B) 0.02/365 for each left-over day; and
for service that occurred within the next 10 years:
(A) 0.01 for each full year; and
(B) 0.01/365 for each left-over day; and
for service that occurred within the next 10 years:
(A) 0.0025 for each full year; and
(B) 0.0025/365 for each left-over day;
if the original pension is age retirement pension or early retirement pension, multiply the service factor by the age factor (based on the member spouse’s age in full years at the time when the original pension became payable);
multiply the number worked out under paragraphs (a) and (b) by the transfer factor.
salary-based pension means a pension that is calculated by reference to the member spouse’s final annual rate of salary.
This section applies if:
at the operative time, standard pension is not payable in respect of the original interest; and
the original interest is an entitlement to associate deferred benefits.
The deferred benefits, when they become payable, are reduced in accordance with the Orders.
If, at the operative time, standard pension is payable in respect of the original interest, then the annual rate of that pension is reduced to the amount calculated under the Orders.
If, at the operative time, additional pension is payable in respect of the original interest, then the annual rate of that pension is reduced to the amount calculated under the Orders.
A reduction under this section is to be disregarded in calculating the amount of any non-standard pension that later becomes payable.
Note: For example, the reduction will be disregarded in calculating the amount of orphan pension payable in respect of the child of the member spouse after the member spouse’s death.
The Minister may, by legislative instrument, make Orders prescribing matters required or permitted by this Part to be prescribed.
(2) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to an Order made under subsection (1) of this section.
In this Part:
release authority lump sum has the meaning given by section 146RB.
(1) A lump sum (the release authority lump sum) may be paid at a time in compliance with a release authority issued to a person under item 3 or 4 of the table in subsection 135-10(1) in Schedule 1 to the Taxation Administration Act 1953 and given to CSC in accordance with Subdivision 135-B in that Schedule if:
at or before that time, the person gives CSC written notice of the person’s election under section 146RC of this Act (which deals with the reduction of benefits to reflect the release authority lump sum); and
at that time, either:
there is no surcharge deduction amount in relation to the person; or
subsection (2) applies.
Note: The purpose of the release authority is to allow a lump sum to be paid to the Commissioner to meet a debt the person has under Subdivision 133-C or 134-C in Schedule 1 to the Taxation Administration Act 1953.
Surcharge election must be made or forgone
This subsection applies if any of the following are satisfied:
the person has made an election under section 80B or 80C (which deal with the adjustment of benefits to take account of the surcharge deduction amount);
the person has not made an election under either of those sections and the periods within which such elections may be made have expired;
the person gives CSC written notice that the person forgoes making an election under both of those sections.
(1) A person who gives CSC a release authority in accordance with Taxation Administration Act 1953 may make an election specifying which of the following is to be reduced to reflect the release authority lump sum:Division 135 in Schedule 1 to the
a lump sum benefit to which the person is (or is about to become) entitled under this Act (unless the lump sum benefit has already been paid);
a pension to which the person is (or is about to become) entitled under this Act (whether or not the pension has started to be paid).
However, a person cannot specify that 2 or more benefits are to be reduced to reflect a release authority lump sum, unless the person elects to reduce all, or all but one, of the specified benefits to zero.
(1) In addition to any requirements in Taxation Administration Act 1953, the amount of a release authority lump sum must not have the effect that a benefit specified in an election under section 146RC is reduced below zero.Division 135 in Schedule 1 to the
For the purpose of subsection (1), the effect of a release authority lump sum on the amount of a benefit specified in an election under section 146RC is to be worked out after taking account of:
the person’s surcharge deduction amount (if any); and
any reduction under section 79D (which deals with reductions for early release lump sums); and
any reductions under Division 3 of Part IXB (which deals with family law splitting).
Apart from subsection (2), the amount of a release authority lump sum is not to be reduced under any provision of this Act.
If a release authority lump sum is paid in relation to a release authority issued to a person, the benefits to which the person is entitled under this Act must be reduced to reflect the release authority lump sum, in accordance with the person’s election under section 146RC.
If the election specifies that a pension is to be reduced (but not to zero), the annual rate of the pension is to be reduced so that it equals the amount worked out using this formula:
where:
conversion factor means the factor that is applicable to the person under the determination made by CSC under subsection (4).
pre-reduction rate means the annual rate of the pension that would, apart from this section (but having regard to any other provisions of this Act that affect that rate), be payable to the person on the pension reduction day mentioned in subsection (3).
reduced release authority lump sum means:
the amount of the release authority lump sum, reduced by the sum of each reduction made under a previous application of this section to a lump sum benefit to which the person is entitled; or
if more than one release authority lump sum is paid in relation to release authorities issued to the person—the total amount of those release authority lump sums, reduced by the sum of each reduction made under an application of this section, before the last of those release authority lump sums is paid, to a lump sum benefit to which the person is entitled.
(3) The reduction mentioned in subsection (2) takes effect from the day (the pension reduction day) that is:
if the pension has not started to be paid—the first pension pay day; or
if the pension has started to be paid—the first pension pay day that occurs 14 days after the release authority was given to CSC.
CSC may, by legislative instrument, determine the conversion factor, or the method for working out the conversion factor, for the purposes of subsection (2).
In this Part, unless the contrary intention appears:
first quarter means:
for a half-year beginning on 1 January in a year—the March quarter of the year; and
for a half-year beginning on 1 July in a year—the September quarter of the year.
half-year means a period of 6 months beginning on 1 January or 1 July in any year.
pension to which this Part applies means a pension payable under this Act other than: additional age retirement pension payable by virtue of paragraph 55(1)(b) or 55(2)(b); additional early retirement pension payable by virtue of paragraph 59(b); spouse’s additional pension payable by virtue of paragraph 89(1)(b); spouse’s additional pension payable by virtue of paragraph 93(1)(b); partial invalidity pension; or associate additional pension under Part IXB; or deferred benefit by way of pension of a kind referred to in paragraph (a), (b), (c) or (d).
additional age retirement pension payable by virtue of paragraph 55(1)(b) or 55(2)(b);
additional early retirement pension payable by virtue of paragraph 59(b);
spouse’s additional pension payable by virtue of paragraph 89(1)(b);
spouse’s additional pension payable by virtue of paragraph 93(1)(b);
partial invalidity pension; or
associate additional pension under Part IXB; or
deferred benefit by way of pension of a kind referred to in paragraph (a), (b), (c) or (d).
prescribed half-year means the half-year commencing on 1 January 2002 or a subsequent half-year.
Statistician means the Australian Statistician.
Subject to subsection (3), if at any time, whether before or after the commencement of this Act, the Statistician has published or publishes in respect of a particular first quarter in a half-year an all groups consumer price index number for the weighted average of the 8 capital cities in substitution for an index number previously published by him or her in respect of that quarter, the publication of the later index number shall be disregarded for the purposes of this Part.
If at any time, whether before or after the commencement of this Act, the Statistician has changed or changes the index reference period for the Consumer Price Index, then, for the purposes of the application of this Part after the change took place or takes place, regard shall be had only to index numbers published in terms of the new index reference period.
If the prescribed percentage for the purposes of section 148 is or includes a fraction of one-tenth of 1 per centum:
where that fraction is less than one-half of one-tenth—that fraction shall be disregarded; and
where that fraction is not less than one-half of one-tenth—that fraction shall be treated as one-tenth.
Subject to this Part, if the all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter of the half-year immediately preceding a prescribed half-year exceeds the highest all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter in any earlier half-year, not being a half-year earlier than the half-year that commenced on 1 July 1985, a person who was in receipt of a pension to which this Part applies immediately before the commencement of that prescribed half-year is entitled to an increase, as ascertained in accordance with this section, in the rate at which the pension was payable immediately before the commencement of that prescribed half-year.
The increase provided for by subsection (1) in the rate at which a pension was payable to a person immediately before the commencement of a prescribed half-year is the prescribed percentage of that rate or, in the case of a pension in respect of which provision is made by section 149, the prescribed percentage of such rate as is applicable under that section to the pension for the purposes of this subsection.
(3) For the purposes of this section, the prescribed percentage, in relation to a prescribed half-year, is the percentage that represents A – B expressed as a percentage of B, where:
A is the all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter of the half-year immediately preceding the prescribed half-year; and
B is the highest all groups consumer price index number for the weighted average of the 8 capital cities published by the Statistician in respect of the first quarter of any half-year earlier than the half-year immediately preceding the prescribed half-year but not being earlier than the half-year that commenced on 1 July 1985.
Where, by reason of the death on 30 June or 31 December (as the case requires) in the half-year immediately preceding a prescribed half-year of a person in receipt of a pension under this Act, a pension to which this Part applies becomes payable on the following day to another person, that other person shall be entitled to such an increase in the rate of that pension as the person would have been entitled to had the pension become payable to the person on that 30 June or 31 December (as the case requires).
For the purposes of subsection 148(2), the rate applicable to a pension is:
in the case of invalidity pension payable to a person in accordance with section 67—an amount per annum equal to the annual rate at which invalidity pension would, immediately before the commencement of the relevant prescribed half-year, have been payable to the person in accordance with section 68 if the person had made an election under subsection 68(1);
in the case of invalidity pension payable to a person in accordance with section 70—an amount per annum equal to the annual rate at which invalidity pension would, immediately before the commencement of the relevant prescribed half-year, have been payable to the person in accordance with section 71 if the person had made an election under subsection 71(1);
in the case of spouse’s pension payable to a person in accordance with section 82—an amount per annum equal to the annual rate at which spouse’s pension would, immediately before the commencement of the relevant prescribed half-year, have been payable to the person in accordance with section 83 if the person had made an election under subsection 83(1);
in the case of spouse’s pension payable to a person in accordance with section 85—an amount per annum equal to the annual rate at which spouse’s pension would, immediately before the commencement of the relevant prescribed half-year, have been payable to the person in accordance with section 86 if the person had made an election under subsection 86(1);
in the case of spouse’s pension payable to the spouse of a deceased invalidity pensioner in accordance with section 96, being an invalidity pensioner to whom invalidity pension was payable in accordance with section 67 or 70—an amount per annum equal to the annual rate at which spouse’s pension would, immediately before the commencement of the relevant prescribed half-year, have been payable to the spouse in accordance with section 96 if the deceased invalidity pensioner had made an election under subsection 68(1) or 71(1), as the case may be, and invalidity pension had been payable to him or her in accordance with section 68 or 71, as the case may be;
in the case of orphan pension payable in respect of the eligible child or eligible children of a deceased eligible employee in accordance with section 98, being a case where an amount equal to the deceased eligible employee’s accumulated contributions has not been paid out of the Fund under section 111—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 98 if an amount equal to the deceased eligible employee’s accumulated contributions had been paid out of the Fund under section 111;
in the case of orphan pension payable in respect of the eligible child or children of a deceased eligible employee in accordance with section 100, being a case where an amount equal to the deceased eligible employee’s accumulated contributions has not been paid out of the Fund under section 111—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 100 if an amount equal to the deceased eligible employee’s accumulated contributions had been paid out of the Fund under section 111;
in the case of orphan pension payable in respect of the eligible child or eligible children of a deceased eligible employee in accordance with section 103 after the death of the spouse of the deceased eligible employee, being a spouse who had not made an election under section 83—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 103 if the spouse had made an election under subsection 83(1);
in the case of orphan pension payable in respect of the eligible child or eligible children of a deceased eligible employee in accordance with section 104 after the death of the spouse of the deceased eligible employee, being a spouse who had not made an election under section 86—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 104 if the spouse had made an election under subsection 86(1);
in the case of orphan pension payable in respect of the eligible child or eligible children of a deceased invalidity pensioner in accordance with section 106, being an invalidity pensioner to whom invalidity pension was payable in accordance with section 67 or 70—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 106 if the deceased invalidity pensioner had made an election under subsection 68(1) or 71(1), as the case may be, and invalidity pension had been payable to him or her in accordance with section 68 or 71, as the case may be; and
in the case of orphan pension payable in respect of the eligible child or eligible children of a deceased invalidity pensioner in accordance with section 108 after the death of the spouse of the deceased invalidity pensioner, being an invalidity pensioner to whom invalidity pension was payable in accordance with section 67 or 70—an amount per annum equal to the annual rate at which orphan pension would, immediately before the commencement of the relevant prescribed half-year, have been payable in respect of the eligible child or eligible children in accordance with section 108 if the deceased invalidity pensioner had made an election under subsection 68(1) or 71(1), as the case may be, and invalidity pension had been payable to him or her in accordance with section 68 or 71, as the case may be.
Where a person to whom pension has become payable (whether or not it has become payable to the person by virtue of section 136) would, but for this section, be entitled to an increase in the rate at which the pension was payable to or in respect of the person immediately before the commencement of a prescribed half-year and:
(a) in a case where the pension is age retirement pension, early retirement pension or invalidity pension—it became payable to the person during the half-year (in this section referred to as the preceding half-year) immediately preceding the prescribed half-year;
in a case where the pension is spouse’s pension:
if, immediately before the death of the person by reason of whose death the spouse’s pension became payable, a pension (other than a partial invalidity pension) was not payable to the deceased person—the spouse’s pension became payable during the preceding half-year; or
if, immediately before the death of the person by reason of whose death the spouse’s pension became payable, a pension (other than a partial invalidity pension) was payable to the deceased person—the pension that was payable to the deceased person became payable during the preceding half-year; or
in a case where the pension is orphan pension:
if, immediately before the death of the person by reason of whose death the orphan pension became payable, a pension (other than a partial invalidity pension) was not payable to the deceased person—the orphan pension became payable during the preceding half-year;
if, immediately before the death of the person by reason of whose death the orphan pension became payable, spouse’s pension was payable to the deceased person—the spouse’s pension became payable during the preceding half-year and pension (other than partial invalidity pension) was not payable to the person in relation to whom the deceased person was a spouse or was not payable for the part of the half-year that spouse’s pension was not payable to the deceased person; or
if, immediately before the death of the person by reason of whose death the orphan pension became payable, a pension (other than a partial invalidity pension or a spouse’s pension) was payable to the deceased person—the pension that was payable to the deceased person became payable during the preceding half-year;
the following provisions of this section have effect in relation to that first-mentioned pension.
If:
the pension;
where clause (1)(b)(ii) or (1)(c)(iii) applies—the pension that was payable to the deceased person;
where clause (1)(c)(ii) applies and pension was not payable to the person in relation to whom the deceased person was a spouse—the pension that was payable to the deceased person; or
where clause (1)(c)(ii) applies and pension was payable to the person in relation to whom the deceased person was a spouse—that last-mentioned pension;
became payable after 16 June or 16 December (as the case requires) in the preceding half-year, the person is not entitled to the increase.
If:
the pension;
where clause (1)(b)(ii) or (1)(c)(iii) applies—the pension that was payable to the deceased person;
where clause (1)(c)(ii) applies and pension was not payable to the person in relation to whom the deceased person was a spouse—the pension that was payable to the deceased person; or
where clause (1)(c)(ii) applies and pension was payable to the person in relation to whom the deceased person was a spouse—that last-mentioned pension;
became payable on or before 16 June or 16 December (as the case requires) in the preceding half-year, the amount of the increase is so much only of the amount that but for this section would have been the amount of the increase as bears to that last-mentioned amount the same proportion as the number of months in the period that commenced on the day on which the pension referred to in whichever of paragraphs (a), (b), (c) and (d) is applicable became payable and ended on 30 June or 31 December (as the case requires) in the preceding half-year bears to 6.
If the period referred to in subsection (3) is less than 1 month, that period shall be treated as 1 month.
If the period referred to in subsection (3) consists of a number of whole months and a part of a month:
where the number of days in that part of a month is less than one-half of the number of days in that month—that part of a month shall be disregarded; and
where the number of days in that part of a month is not less than one-half of the number of days in that month—that part of a month shall be treated as a whole month.
Where a person who, immediately before he or she ceased to be an eligible employee:
(a) was a temporary employee by reason that he or she was included in a class of persons approved by the Minister, under paragraph (d) of the definition of temporary employee in subsection 3(1), for the purposes of that definition; or
was an eligible employee whose remuneration was fixed and payable in sterling;
this Part applies to a pension payable to or in respect of him or her with such modifications (if any) as CSC determines in relation to him or her or a class of persons in which he or she is included.
Where a person has, before the 21st anniversary of his or her birth, ceased to be an eligible employee by reason of retirement on the ground of invalidity or by reason of death, CSC shall, in writing, in respect of each anniversary of his or her birth up to and including the 21st anniversary that will occur after he or she so ceased, determine the rate that, in the opinion of CSC, would have been his or her final annual rate of salary if his or her age when he or she so ceased had been the age that would have been his or her age at that time if the anniversary of his or her birth that last occurred before he or she so ceased had been the anniversary in respect of which the determination is made, and, on and after that anniversary, this Act shall apply to and in relation to any pension payable to or in respect of the person as if that rate had been his or her final annual rate of salary.
An increase payable by virtue of a provision of this Part, other than section 152, in the rate of a pension that was, or is, under subsection 148(4), to be treated as having been, payable to a person on 30 June or 31 December (as the case requires) in a half-year applies in relation to the instalment of pension falling due on the first pension pay day occurring after that day and in relation to all subsequent instalments.
An increase payable by virtue of section 152 in the rate of a pension that was payable to or in respect of a person immediately before an anniversary of the person’s birthday applies in relation to the instalment of pension falling due on the first pension pay day occurring after that anniversary and in relation to all subsequent instalments.
In this Part, unless the contrary intention appears:
Committee means a Reconsideration Advisory Committee established under section 153AB.
decision means a decision of CSC under this Act or the regulations other than: a decision in respect of the investment of the Fund; or a determination under subsection 110Q(1A); or a determination under subsection 110SC(2); or a determination under section 110SD; or a determination under section 154A; or a decision: to make, or to refuse to make, an agreement with the Minister under section 51, 133, 134, 139A or 145; or to agree, or to refuse to agree, to vary or terminate such an agreement; or a decision to consent, or not to consent, to: a proposed declaration or determination by the Minister referred to in section 167AB; or the making of regulations.
a decision in respect of the investment of the Fund; or
a determination under subsection 110Q(1A); or
a determination under subsection 110SC(2); or
a determination under section 110SD; or
a determination under section 154A; or
a decision:
to make, or to refuse to make, an agreement with the Minister under section 51, 133, 134, 139A or 145; or
to agree, or to refuse to agree, to vary or terminate such an agreement; or
a decision to consent, or not to consent, to:
a proposed declaration or determination by the Minister referred to in section 167AB; or
the making of regulations.
(2) Despite subsection 16(2), 46(2), 47(2), 50(2) or 53(2) of the Superannuation Legislation Amendment Act 1991, the doing of anything, or the refusal to do anything, by the Minister under a provision of the Superannuation Act 1976 referred to in the subsection concerned is not a decision for the purposes of this Part.
CSC must establish such number of Reconsideration Advisory Committees as CSC considers necessary.
A Committee comprises such number of persons as CSC determines.
The qualifications of each member are such as CSC determines.
The functions of a Committee are to review any decision referred to it under this Part and:
if CSC has delegated to the Committee any of CSC’s powers in relation to the decision—to exercise those powers; or
otherwise—to make recommendations to CSC in relation to the decision.
When reviewing a decision, a Committee:
must take into account any evidence relevant to the decision that is submitted to it; and
may also take steps to obtain any other evidence that it considers necessary for a proper review of the decision.
Subject to any directions given by CSC, a Committee may regulate its proceedings as the Committee thinks fit.
Any matter or thing done, or omitted to be done, in good faith by a member of a Committee in the performance of functions under this Part does not subject him or her to any action, liability, claim or demand.
A member of a Committee is to be paid such remuneration as is determined by the Remuneration Tribunal, but if no determination of that remuneration by the Tribunal is in operation, is to be paid such remuneration as is prescribed.
A member of a Committee is to be paid such allowances (if any) as are prescribed.
(3) This section has effect subject to the Remuneration Tribunal Act 1973.
A person affected by a decision made by a delegate of CSC may apply to CSC for reconsideration of the decision.
An application may be:
in writing addressed to CSC and setting out the particulars of the decision that the person wishes to be reconsidered; or
in any other form that is acceptable to CSC.
An application made to CSC before the commencement of this section for the reconsideration of a decision made by a delegate of CSC under subsection 7(2) is taken to have been duly made under this section.
Subject to section 153ALA, where the decision of the delegate was made after taking into consideration recommendations made by the members of a panel under subsection 54F(4), CSC must refer the decision to a panel consisting of such number of persons as CSC appoints to assist it in its reconsideration of the decision of the delegate.
The members of the panel must be persons of a kind mentioned in subsection 54F(2).
Subsections 54F(3) and (4) apply where CSC refers a decision under subsection (1) as if:
the application for a reconsideration were a request for the approval of the retirement of the person to whom the delegate’s decision relates; and
the period within which the members of the panel are required to make recommendations in writing to CSC under subsection 54F(4) were such period as is specified by CSC.
Subject to subsection (2) and section 153ALA, CSC must refer the decision to which an application relates to a Committee.
Where, under subsection 153AJ(1), CSC is required to refer the decision to a panel of persons, CSC, after receiving the recommendations of the members of the panel, must refer the decision to a Committee together with a copy of those recommendations.
CSC may also, on its own motion, refer a decision of a delegate to a Committee.
If a Committee makes recommendations to CSC in relation to a decision referred to the Committee, then, after CSC takes into account:
the recommendations of the Committee; and
any other matter that CSC considers relevant;
CSC must, by instrument setting out the reasons for so doing, affirm or vary the decision or set it aside and substitute another decision for it.
CSC must make available a copy of an instrument mentioned in subsection (1) to the applicant.
If CSC, in relation to an application for reconsideration of a decision by a delegate not to approve the retirement of an eligible employee as provided by Part IVA, is satisfied that the eligible employee is totally and permanently incapacitated within the meaning of that Part, CSC may, without proceeding under section 153AJ to refer the decision to a panel or under section 153AK to refer the decision to a Committee, by instrument set aside the decision and substitute another decision approving the retirement of the eligible employee on the ground of invalidity.
CSC must:
set out in the instrument the reasons for setting aside the decision and substituting the other decision; and
make available a copy of the instrument to the applicant.
A person affected by a decision made by CSC may apply to CSC for a reconsideration of that decision.
An application must:
be in writing addressed to CSC; and
set out the particulars of the decision that the person wishes to be reconsidered; and
specify the grounds for reconsideration of those particulars.
An application made to CSC before the commencement of this section for the reconsideration of a decision made by CSC under subsection 7(2) is taken to have been duly made under this section.
Such fees as are prescribed are payable to CSC by a person who makes an application under section 153AM.
Any fees received by CSC under subsection (1) are to be paid to the Commonwealth.
The regulations may make provision in relation to the refund of any fees paid under subsection (1).
A decision is to be reconsidered only if there is evidence relevant to the decision that was not previously taken into account by CSC in making the decision.
If an application is not supported by evidence in accordance with subsection (1), CSC must dismiss the application.
The dismissal of an application in respect of a decision does not preclude the applicant from subsequently submitting another application in respect of the decision.
Subject to section 153AT, where a decision of CSC that is to be reconsidered was made after taking into consideration recommendations made by the members of a panel under subsection 54F(4), CSC must refer the decision to a panel consisting of such number of persons as CSC appoints to assist it in its reconsideration of the decision.
The members of the panel must be persons of a kind mentioned in subsection 54F(2).
Subsections 54F(3) and (4) apply where CSC refers a decision under subsection (1) as if:
the application for a reconsideration were a request for the approval of the retirement of the person to whom the decision relates; and
the period within which the members of the panel are required to make recommendations in writing to CSC under subsection 54F(4) were such period as is specified by CSC.
Subject to subsection (2) and section 153AT, if CSC does not under section 153AP dismiss an application made under section 153AM, CSC must refer the decision to which the application relates to a Committee.
Where, under subsection 153AQ(1), CSC is required to refer the decision to a panel of persons, CSC, after receiving the recommendations of the members of the panel, must refer the decision to a Committee together with a copy of those recommendations.
CSC may also, on its own motion, refer any of its decisions to a Committee.
If a Committee makes recommendations to CSC in relation to a decision referred to the Committee, then, after CSC takes into account:
the recommendations of the Committee; and
any other matter that CSC considers relevant;
CSC must, by instrument setting out the reasons for so doing, affirm or vary the decision or set it aside and substitute another decision for it.
CSC must make available a copy of an instrument mentioned in subsection (1) to the applicant.
If CSC, in relation to an application for reconsideration of a decision by CSC not to approve the retirement of an eligible employee as provided by Part IVA, is satisfied that the eligible employee is totally and permanently incapacitated within the meaning of that Part, CSC may, without proceeding under section 153AQ to refer the decision to a panel or under section 153AR to refer the decision to a Committee, by instrument set aside the decision and substitute another decision approving the retirement of the eligible employee on the ground of invalidity.
CSC must:
set out in the instrument the reasons for setting aside the decision and substituting the other decision; and
make available a copy of the instrument to the applicant.
For the purposes of the application of this Act to or in respect of a person who is or was an eligible employee, CSC may, but is not required to, presume that any information provided to CSC by an employer or former employer of the person is correct.
If a tribunal, authority or person is empowered to review a decision of CSC and vary, or make a decision in substitution for, CSC’s decision, the tribunal, authority or person is not bound by any presumption made by CSC under subsection (1).
Where, under any provision of this Act, interest is to be calculated on an amount, that interest must be calculated in accordance with a determination made by CSC for the purposes of that provision.
If, under a provision of this Act, notional interest is to be calculated on an amount, that interest must be calculated in accordance with a determination made by CSC for the purposes of that provision.
A determination by CSC under subsection (1) or (1A) takes effect from:
a specified day; or
if no day is specified in the determination—the day of the making of the determination.
Subsection (4) applies in relation to the following provisions of this Act as in force before 1 July 1990:
(a) the definitions of accumulated basic contributions and accumulated supplementary contributions in subsection 3(1);
subsections 7A(1), (2), (3) and (4);
subparagraphs 145(7)(d)(i), (8)(a)(i) and (9)(a)(i).
Regulations in force immediately before 1 July 1990 and making provision in relation to interest for the purposes of any of the provisions in relation to which this subsection applies:
remain in force on and after that date; and
are taken, for the purposes of those provisions as in force on and after that date, to be determinations made by CSC; and
may be amended or repealed by such determinations.
CSC must, in accordance with advice received from an actuary, determine in writing, in relation to persons to whom standard age retirement pension, standard early retirement pension, invalidity pension or a deferred benefit by way of any such pension has become payable, the conversion factor that, having regard to:
a person’s age when a benefit becomes payable to the person; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge deduction amount.
CSC must, in accordance with advice received from an actuary, determine in writing, in relation to persons to whom an additional age retirement pension, an additional early retirement pension or a deferred benefit by way of any such pension has become payable, the conversion factor that, having regard to:
a person’s age when a benefit becomes payable to the person; and
other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person’s surcharge deduction amount.
A determination under this section must be published in the Gazette.
In this section:
AWOTE means full-time adult average weekly ordinary time earnings for all persons in Australia.
If:
(a) it is necessary for the purposes of a provision (the relevant provision) of this Act or of the regulations to determine the annual rate of salary as at a particular time (the later time) in respect of an office or position that had been held, or in respect of the duties that had been performed, by a person at a particular earlier time (the earlier time); and
it is not possible to make such a determination:
because at the later time the annual rate of salary was not publicly available or the office or position no longer existed, or the duties were no longer being performed, and there was no equivalent office or position or there were no equivalent duties; or
for any other reason that CSC thinks sufficient for this section to apply;
the annual rate of salary as at the later time in respect of the office or position, or in respect of the duties, is taken for the purposes of the relevant provision to be the amount worked out in accordance with this section.
If:
the Australian Statistician has published, at or before the later time, an estimate or successive estimates of the change or changes (expressed as a percentage or percentages) in AWOTE in respect of the period between the earlier time and the later time; and
the estimate or estimates show no overall change, or show an overall decrease, in those earnings over that period, or the part of that period in respect of which the estimate or estimates were published, as the case may be;
the annual rate of salary as at the later time in respect of the office or position, or in respect of the duties, is taken, for the purposes of the relevant provision, to be the same as the annual rate of salary in respect of the office or position, or in respect of the duties, as at the earlier time.
If:
the Australian Statistician has published, at or before the later time, an estimate or successive estimates of the change or changes (expressed as a percentage or percentages) in AWOTE in respect of the period between the earlier time and the later time; and
(b) the estimate or estimates show an overall increase (expressed as a percentage (the relevant percentage)) in those earnings over that period, or the part of that period in respect of which the estimate or estimates were published, as the case may be;
the annual rate of salary as at the later time in respect of the office or position, or in respect of the duties, is taken, for the purposes of the relevant provision, to be the annual rate of salary in respect of the office or position, or in respect of the duties, as at the earlier time increased by the relevant percentage.
If at any time, whether before or after the commencement of this section, the Australian Statistician has published or publishes for a particular period an estimate of a change (including an estimate that no change has occurred) in AWOTE in substitution for an estimate of such a change for that period previously published by the Australian Statistician, the publication of the later estimate is to be disregarded for the purposes of this section.
This section applies to a person who is or has ceased to be an eligible employee, being a person who is, or at any time has been, an approved part-time employee.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of persons to whom this section applies.
The modifications that may be made by regulations in pursuance of subsection (2) include, but are not limited to, modifications providing for the payment of contributions in addition to, or in substitution for, contributions that would otherwise be payable under this Act and for benefits in addition to, or in substitution for, benefits provided for by this Act.
This section applies to a person who is, or at any time has been, an eligible employee and who, while an eligible employee, has been in receipt of an age retirement pension, an early retirement pension or a deferred benefit by way of age retirement pension.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of persons to whom this section applies.
This section applies to a person who:
was the holder of a position or office, and an eligible employee, immediately before the position or office, as the case may be, ceased to exist as a result of the sale or transfer of an organisation, business, service or asset, or the transfer of a function; and
before the date of the sale or transfer received and accepted an offer of employment in connection with the organisation, business, service, asset or function; and
took up employment in accordance with that offer on or after the date of the sale or transfer, as the case may be; and
ceased to be an eligible employee upon the sale or transfer or upon taking up that employment.
This section applies to a person who:
immediately before the sale or transfer of an organisation, business, service or asset, or the transfer of a function, was an eligible employee because he or she was the holder of a particular position or office; and
as a result of the sale or transfer of the organisation, business, service or asset, or the transfer of a function, ceases to be an eligible employee even though he or she continues to be the holder of the position or office.
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to or in respect of a person to whom this section applies.
The modifications may include, for example, modifications providing for benefits in substitution for benefits provided for by this Act.
This section does not apply to a person who ceases to be an eligible employee after 26 June 1997.
The regulations may make such provision as is necessary for the purpose of:
enabling:
the Fund; and
any other scheme or arrangement established by or under this Act that provides for the payment of benefits;
to satisfy any condition or requirement specified in or under an eligible regulatory law that is capable of applying in relation to the Fund, or the scheme or arrangement, as the case may be; or
(b) ensuring that an employer does not have an individual superannuation guarantee shortfall (within the meaning of the Superannuation Guarantee (Administration) Act 1992) in relation to a person in respect of the period, or any part of the period, during which the person is an eligible employee.
If regulations made for the purposes of subsection (1) are inconsistent with a provision of this Act, the regulations prevail and that provision, to the extent of the inconsistency, is of no effect.
In this section:
eligible regulatory law means:
the SIS Act; or
(b) the Superannuation (Excluded Funds) Taxation Act 1987 (including a repealed provision of that Act which continues to apply because of the Taxation Laws Amendment (Superannuation) Act 1992 or the Occupational Superannuation Standards Amendment Act 1993); or
(ba) the Financial Institutions Supervisory Levies Collection Act 1998; or
(c) Corporations Act 2001; orDivision 3 of Part 7.10A of the
(ca) the Superannuation (Unclaimed Money and Lost Members) Act 1999; or
(cb) the Family Law Act 1975; or
(d) the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997.
If CSC, after consideration of all the circumstances, directs that the death of a person be presumed, this Act applies in relation to that person as if the person had died on such date as is determined by CSC.
An amount payable to CSC under this Act, including an amount of unpaid contributions, may be paid to CSC in a lump sum or in such instalments and at such times as CSC approves.
An amount payable to CSC under this Act, including an amount of unpaid contributions, may be recovered by CSC in a court of competent jurisdiction as a debt due and payable to CSC.
The amount of any unpaid contributions payable by a person to CSC may be deducted from any payment or payments of benefit payable under this Act to or in respect of the person.
Where, for any reason (including the making of, or cancellation of, an election under this Act), CSC has paid an amount of benefit that is not payable, or has become not payable, the amount so paid may be recovered by CSC in a court of competent jurisdiction as a debt due and payable to CSC.
Where, for any reason (including the making of, or cancellation of, an election under this Act), CSC has paid an amount of benefit that is not payable, or has become not payable, and the person to whom that amount was paid is receiving, or is entitled to receive, a benefit, that amount, or such part of that amount as CSC determines, may, if CSC in its discretion so directs, be recovered by deduction from that benefit.
(6) In subsections (4) and (5), benefit includes pension or other moneys payable under the superseded Act.
If:
an amount of money (other than a productivity contribution paid under Part VIA in respect of a person who is a productivity employee within the meaning of that Part) has been paid to CSC by, or on behalf of, a person who at the time was not an eligible employee; and
CSC has paid that amount into the Fund;
then, upon CSC becoming aware that the person was not an eligible employee, an amount equal to that amount is to be paid, together with interest on the amount, to the person or, if the person has died, to the person’s legal personal representative or, if no legal personal representative can be found, to any individual or individuals that CSC determines.
An amount paid under subsection (1) in respect of a particular paragraph (1)(a) amount must not be less than the paragraph (1)(a) amount.
(1) If, apart from this subsection, the Commonwealth does not have power, under this Act or the superseded Act, to pay an amount (the relevant amount) to a person (the recipient) purportedly as a benefit, then the Commonwealth may pay the relevant amount to the recipient.
Recovery
If a payment is made under subsection (1) to the recipient, the relevant amount:
is a debt due to the Commonwealth by the recipient; and
may be recovered by the CSC, on behalf of the Commonwealth, in a court of competent jurisdiction.
If:
a payment is made under subsection (1) to the recipient; and
the recipient is receiving, or is entitled to receive, a benefit;
then:
the relevant amount; or
such part of the relevant amount as the Board of CSC determines;
may, if the Board of CSC so directs, be recovered by deduction from that benefit.
Appropriation
For the purposes of subsection 112(2), if a payment under subsection (1) of this section relates to a benefit (within the meaning of this Act), the payment is taken to be a benefit.
For the purposes of section 134 of the superseded Act, if a payment under subsection (1) of this section relates to a pension or other money payable under the superseded Act, the payment is taken to be an amount of pension or other money payable under the superseded Act.
Benefit
(6) For the purposes of this section (other than subsection (4)), benefit includes pension or other money payable under the superseded Act.
(1) If, apart from this subsection, the Commonwealth does not have power, under this Act or the superseded Act, to pay an amount (the relevant amount) in any of the following circumstances:
the relevant amount is deposited to an account kept in the name of a deceased person;
the relevant amount is deposited to an account kept in the names of a deceased person and another person;
the relevant amount is paid by way of a cheque made out to a deceased person;
the Commonwealth may pay the relevant amount in the circumstances mentioned in paragraph (a), (b) or (c), so long as:
on the last day on which changes could reasonably be made to the payment of the relevant amount, the chief executive officer (however described) of CSC did not know that the deceased person had died; and
apart from this subsection, the relevant amount would have been payable as a benefit to the deceased person if the deceased person had not died.
If a payment is made under subsection (1), the relevant amount is taken to have been paid to the deceased person’s estate.
Recovery
The amount of a benefit under subsection (1):
is a debt due to the Commonwealth by the legal personal representative of the first person; and
may be recovered by CSC, on behalf of the Commonwealth, in a court of competent jurisdiction.
Appropriation
Subsection 112(2) does not apply to a payment under subsection (1) of this section if the payment relates to a pension or other money payable under the superseded Act.
For the purposes of section 134 of the superseded Act, if a payment under subsection (1) of this section relates to a pension or other money payable under the superseded Act, the payment is taken to be an amount of pension or other money payable under the superseded Act.
Benefit
(6) For the purposes of paragraph (1)(e), benefit includes pension or other money payable under the superseded Act.
(1) CSC must cause a report of the following information to be published, in such manner as the Board of CSC thinks fit:
the number of payments that any employee of CSC was aware of that were made under subsection 156B(1) or 156C(1) during the reporting period (see subsection (2) of this section);
the total amount of payments referred to in paragraph (a);
the number of payments made under subsection 156B(1) or 156C(1) that any employee of CSC became aware of during the reporting period that were made during an earlier reporting period;
the total amount of payments referred to in paragraph (c);
for each payment referred to in paragraph (c)—the reporting period in which the payment was made.
(2) The reporting period is:
a financial year; or
if a shorter recurring period is prescribed under paragraph (5)(a)—that period.
A report is not required if no employee of CSC is aware of any payments referred to in paragraph (1)(a) or (c).
When report must be provided
The report must be provided before the end of the following period:
4 months after the end of the reporting period;
if a lesser number of months has been prescribed for the reporting period under paragraph (5)(b)—that number of months after the end of the reporting period.
Power to make legislative instruments
(5) The Minister administering the Public Governance, Performance and Accountability Act 2013 may, by legislative instrument, prescribe:
a period for the purposes of paragraph (2)(b); or
a number of months for a reporting period for the purposes of paragraph (4)(b).
Notwithstanding anything contained in this Act, where an election under this Act is made by a person after the expiration of the period allowed by or under this Act for the making of the election, and CSC is satisfied that in all the circumstances of the case it is desirable that the election should be recognized, CSC may direct that the election be treated as if it had been made within the period allowed and the election shall have effect accordingly.
Where a person who is entitled to make an election under a provision of this Act is, by reason of physical or mental incapacity, unable to make that election, CSC may, if it thinks it proper to do so, allow such other person as CSC thinks appropriate to make the election within such period as CSC allows, and, where the election is made by that other person, the election shall, for the purposes of this Act, be deemed to have been made by the first-mentioned person, and has effect accordingly.
(2A) Subject to subsection (2B), where a person who is entitled to make an election under a provision of this Act, or a declaration under given period) within which the election could have been made:section 244, dies, without making such an election or declaration, before the end of the period (in this subsection called the
if the person is survived by a spouse—the spouse may make such an election within the given period or such longer period as CSC allows; or
if:
the person is not survived by a spouse; or
the person is survived by a spouse but the spouse dies without making such an election or declaration;
and the person is survived by an eligible child or eligible children—a person authorised by CSC for the purposes of this subsection may make such an election or declaration within the given period or such longer period as CSC allows;
and, in that case, this Act has effect as if the election or declaration had been made by the first-mentioned person.
Subsection (2A) does not apply in respect of an election under section 110T.
Where:
a person makes an election (whether before or after the commencement of this subsection) under section 62, 64, 68, 69, 71, 72, 76A, 83, 84, 86, 87, 92, 128, 137 or 139A;
the person who made the election, or another person (being a person who is prescribed or included in a prescribed class of persons), makes an application to CSC not later than 3 months after the day on which the election is made or the day on which this subsection comes into operation, whichever is the later, or within such further period as CSC, in special circumstances, allows, requesting that CSC cancel the election; and
CSC, having regard to such matters (if any) as are prescribed and such other matters as it considers relevant, is satisfied that the election should be cancelled;
CSC may direct that the election shall be cancelled and, if it so directs, this Act has effect as if the election had not been made.
If:
a person makes an election under section 146C, 146E or 146G; and
no payment has been made in accordance with the election; and
CSC, having regard to:
such matters (if any) as are prescribed; and
such other matters as it considers relevant;
is satisfied that the election should be cancelled;
CSC may direct that the election is to be cancelled and, if it so directs, this Act has effect as if the election had not been made.
Where a person has become entitled to a benefit under this Act, but the payment of the benefit cannot be made or commence to be made by reason that the rate or the amount of that benefit has not been ascertained, CSC may, upon application in writing being made to it, direct that an interim payment or interim payments be made to the person, at such rate or rates, or in such amount or amounts, as it determines, and any interim payment so made shall be deemed to be a payment made in respect of that benefit.
If:
a lump sum benefit is payable under this Act to a person; and
the person fails, within 90 days after the benefit becomes payable, to tell CSC in writing how the person wishes the benefit to be paid;
CSC may pay the amount of the benefit to an eligible roll-over fund.
If:
subsection (1) applies in relation to a benefit that is payable to a person; and
under the SIS Act the amount of the benefit is required to be paid to an eligible roll-over fund;
CSC must comply with the requirement.
If:
subsection (1) applies in relation to a benefit that is payable to a person; and
(b) the amount of the benefit is unclaimed money within the meaning of the Superannuation (Unclaimed Money and Lost Members) Act 1999 and is required to be paid to the Commissioner of Taxation under that Act;
CSC must comply with the requirement.
This section applies to:
an approved authority; and
any other authority or body:
whose staff consists of persons engaged under the Public Service Act; and
that has been declared by the Minister to be an authority or body to which this section applies; and
(c) an authority (other than an approved authority) or body whose staff include a person or persons mentioned in paragraph (ec) of the definition of eligible employee in subsection 3(1).
If the Minister so determines, an authority or body to which this section applies must make payments to the Commonwealth in respect of any person who:
is, or was at any time:
in the case of an approved authority—employed by that authority; or
in the case of an authority or body referred to in paragraph (1)(b)—a member of the staff of the authority or body; and
is an eligible employee, or was an eligible employee during the period when the person was employed by, or was a member of the staff of, the authority or body.
Payments that an authority or body is required to make in respect of a person under subsection (2) are to be made:
at such times as the Minister determines; and
in such amounts, or at such rates, as the Minister determines, having regard to the benefits that are or may become payable, or have been paid, to or in respect of the person.
An authority or body that is required to make a payment under subsection (2) may apply for that purpose any money under its control.
For the purposes of this section, the holder of a statutory office whose remuneration is paid by an authority or body is taken to be employed by that authority or body.
The costs of the administration of this Act and of the superseded Act, including the costs of and incidental to the management of the Fund by CSC (other than costs which the regulations provide shall be paid out of the Fund), shall be paid out of moneys appropriated from time to time by the Parliament for the purpose.
Moneys received and paid under this section, and the accounts in connexion therewith, shall be kept, as part of the Consolidated Revenue Fund, separately from the moneys and accounts of the Fund.
Subject to subsection (4), the cost of a medical examination carried out for the purposes of section 16 or 16AB is part of the cost of the administration of this Act.
Where a person who:
proposes to become, becomes or is employed by an approved authority or a declared authority; or
is the proposed appointee to, or the holder of, a statutory office whose remuneration is paid by an approved authority or declared authority;
is required to undergo a medical examination under section 16 or 16AB, the cost of the examination is to be paid by the approved authority or declared authority (as the case may be).
For the purposes of subsection (6), the Minister may prepare an estimate of the costs referred to in subsection (1) that are likely to be incurred in respect of a financial year.
The Minister may direct an authority or body that is or was, during the period specified in the direction, being a period that is included in, or is, a financial year in respect of which an estimate has been prepared under subsection (5):
an approved authority that employs or employed eligible employees; or
a declared authority whose staff includes or included eligible employees;
to pay to the Commonwealth such part of the costs estimated by the Minister in respect of that period as:
is determined by the Minister having regard to such matters (if any) as are prescribed; and
is specified in the direction.
An authority or body that is required to make a payment under subsection (4) or (6) may apply for that purpose any money under its control.
In this section:
declared authority means:
an authority (other than an approved authority) or a body:
whose staff consist of persons engaged under the Public Service Act; and
that has been declared by the Minister (whether before or after the commencement of this subparagraph) to be an authority or body to which this section applies; or
(b) an authority (other than an approved authority) or a body whose staff include a person or persons mentioned in paragraph (ec) of the definition of eligible employee in subsection 3(1).
To remove any doubt, it is stated that:
(a) for the purposes of the Superannuation Contributions Tax (Assessment and Collection) Act 1997, CSC in its capacity as a superannuation provider is an entity distinct from the Commonwealth; and
consequently, section 33 of that Act does not affect the liability of CSC under that Act to pay surcharge on the surchargeable contributions of eligible employees.
(2) Amounts payable by CSC under subsection 16(6) of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 are to be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.
CSC shall furnish to the Minister such information relating to the general administration and operation of this Act (including the investment of the Fund) as the Minister may from time to time require.
Where CSC has reason to believe that a person is capable of giving information or producing a document relating to a matter that is relevant to the operation of this Act, the superseded Act or regulations under either Act in relation to the person or to another person for whom the first-mentioned person is authorised to act in relation to this Act, CSC may, by notice in writing served on the first-mentioned person, require the first-mentioned person:
to give to CSC, by writing signed by the first-mentioned person or, in the case of a body corporate, by a competent officer of the body corporate, any such information; or
to produce to CSC or to a Secretary within the meaning of the Public Service Act, or other person engaged under that Act, specified in the notice acting on CSC’s behalf, any such document.
For the purposes of subsection (1), the information must be given, or the document must be produced:
within 14 days after the day the notice was served; and
in the manner specified in the notice.
(2) A notice under this section requiring a person to give information or produce a document shall set out the effects of subsections (3) and (5) of this section and Criminal Code.section 137.2 of the
A person shall not refuse or fail to comply with a notice under this section to the extent that the person is capable of complying with it.
Penalty: Imprisonment for 6 months, or 30 penalty units, or both.
Note: Crimes Act 1914 contains provisions dealing with penalties.Part IA of the
A person is not excused from giving information or producing a document in pursuance of this section on the ground that the information or the production of the document might tend to incriminate the person, but the information, the production of the document or any information, document or thing obtained as a direct or indirect consequence of the information or the production shall not be used in evidence against the person:
in the case of an individual—in any criminal proceedings other than:
proceedings under, or arising out of, this section; or
(ii) a prosecution for an offence against Criminal Code that relates to this section; orsection 137.1 of the
in the case of a body corporate—in any criminal proceedings other than:
proceedings under, or arising out of, this Act, the superseded Act or regulations under either Act; or
(ii) a prosecution for an offence against the Criminal Code that relates to this Act.
CSC may inspect a document produced in pursuance of a notice under subsection (1) and may make copies of, or take extracts from, the document.
CSC may, for the purposes of this Act, take, and retain for so long as is necessary for those purposes, possession of a document produced in pursuance of a notice under subsection (1) but the person otherwise entitled to possession of the document is entitled to be supplied, as soon as practicable, with a copy certified by CSC to be a true copy and the certified copy shall be received in all courts as evidence as if it were the original.
Until a certified copy of a document referred to in subsection (7) is supplied, CSC shall, at such times and place as CSC thinks appropriate, permit the person otherwise entitled to the document, or a person authorised by that person, to inspect and make copies of, or take extracts from, the document.
The powers conferred on CSC by a provision of this Act other than this section are in addition to, and not in derogation of, the powers conferred on CSC by this section.
CSC may:
send to the designated employer of an eligible employee any document or written information that, under this Act or any other Act, CSC is required to send to the employee; and
ask the designated employer to give the document or information to the eligible employee.
CSC must ensure that the confidentiality of any document or information sent to the designated employer for transmission to the employee is preserved.
(3) The designated employer of an eligible employee must comply with a request of CSC under subsection (1) unless doing so would breach Chapter 7 of the Corporations Act 2001.
A direction, determination or declaration by the Minister or CSC under this Act shall be in writing.
The Minister may, by signed instrument, delegate all or any of his or her powers under this Act or the regulations to:
CSC or an employee of CSC; or
(b) a director (within the meaning of the Governance of Australian Government Superannuation Schemes Act 2011); or
an officer of the Department.
(1) In this section, foreign currency means currency other than Australian currency.
Where the salary of an eligible employee is fixed and payable in foreign currency, this Act shall, for the purpose of calculating:
any contributions or other payments payable by him or her under this Act;
any benefit payable to or in respect of him or her under this Act; and
any payment which may become payable from the Consolidated Revenue Fund to the Superannuation Fund, or from the Superannuation Fund to the Commonwealth, in respect of him or her under this Act;
be read as if any reference to an amount of salary, contribution, benefit, or payment, or to any other amount, were a reference to the amount in that foreign currency that corresponds with that amount.
For the purposes of subsection (2):
the amount in sterling that corresponds with an amount referred to in this Act shall be calculated on the basis that 1 pound sterling is the equivalent of $2; and
the amount in any other foreign currency that corresponds to an amount referred to in this Act is to be calculated by using such rate of exchange as is agreed between the eligible employee and the designated employer.
Where a payment made to the Superannuation Fund exceeds, or a payment made from the Superannuation Fund is less than, the amount of the payment which would, but for this section, have been made, there shall be payable to the Commonwealth from the Superannuation Fund an amount equal to the difference, and, where a payment made to the Superannuation Fund is less than, or a payment made from the Superannuation Fund exceeds, the amount of the payment which would, but for this section, have been made, there shall be payable to the Superannuation Fund out of the Consolidated Revenue Fund, which is appropriated accordingly, an amount equal to that difference.
(3) If a person is convicted of an offence against Criminal Code that relates to this Act, the Court may, in addition to imposing a penalty in respect of the offence, order the person to pay CSC an amount equal to any amount of benefit paid to the person as a result of the act, failure or omission in respect of which the person was convicted.section 135.2, 136.1, 137.1 or 137.2 of the
For the purposes of subsection (3), a certificate by CSC stating that an amount specified in the certificate is the amount of benefit that has been paid to a person specified in the certificate in consequence of an act, failure or omission specified in the certificate is prima facie evidence of the matters specified in the certificate.
In any proceeding, a document purporting to be a certificate under subsection (4) is taken, unless the contrary is proved, to be such a certificate and to have been duly given.
Where, in proceedings for an offence against this Act in respect of any conduct engaged in by a body corporate, it is necessary to establish the state of mind of the body, it is sufficient to show that a director, employee or agent of the body, being a director, employee or agent by whom the conduct was engaged in within the scope of his or her actual or apparent authority, had that state of mind.
Any conduct engaged in on behalf of a body corporate:
by a director, employee or agent of the body within the scope of his or her actual or apparent authority; or
by any other person at the direction or with the consent or agreement (whether express or implied) of a director, employee or agent of the body, where the giving of such direction, consent or agreement is within the scope of the actual or apparent authority of the director, employee or agent;
shall be deemed, for the purposes of a provision of this Act that creates an offence, to have been engaged in by the body.
A reference in subsection (1) to the state of mind of a person includes a reference to the knowledge, intention, opinion, belief or purpose of the person and the person’s reasons for the intention, opinion, belief or purpose.
The Minister may not make an Order, declaration or determination (other than a determination under section 241) under this Act that is a legislative instrument unless:
CSC has consented to the making of the Order, declaration or determination; or
the Order, declaration or determination:
relates to a payment by an employer-sponsor within the meaning of the SIS Act that will, after the making of the Order, declaration or determination, be required or permitted to be made under this Act; or
relates solely to the termination of the Fund; or
is made or given in circumstances covered by regulations made for the purposes of subparagraph 60(1)(b)(iii) of the SIS Act.
The Governor-General may make regulations, not inconsistent with this Act, prescribing all matters which by this Act are required or permitted to be prescribed, or which are necessary or convenient to be prescribed for carrying out or giving effect to this Act, and, in particular:
for prescribing the manner in which notices and other documents under this Act may be given or served; and
for prescribing penalties not exceeding 20 penalty units for offences against the regulations.
Note: Crimes Act 1914 contains provisions dealing with penalties.Part IA of the
(1A) If a provision of this Act refers to a provision (the former provision) of the Rules for the administration of the Public Sector Superannuation Scheme, then:
(a) if a change is made to those Rules so that the former provision is replaced by another provision of those Rules (the new provision)—the regulations may amend this Act by omitting from that provision of this Act the reference to the former provision and substituting a reference to the new provision; or
if those Rules are replaced by new Rules—the regulations may amend this Act by omitting from that provision of this Act the reference to the former provision and substituting a reference to the corresponding provision of the new Rules.
Regulations made as mentioned in subsection (1A) may commence on a day earlier than the day on which they are made, but not earlier than the day on which the former provision was replaced by the new provision or by the corresponding provision of the new Rules, as the case may be.
Regulations made within a period of 30 months after the commencing day may be expressed to have taken effect from and including a day not earlier than the commencing day.
(3) Subject to subsection (5), regulations made after 31 December 1978 by virtue of subsection 11(4) or 126(2), or made for the purposes of the definition of approved authority in subsection 3(1), may be expressed to have taken effect from and including a day not earlier than 12 months before the making of the regulations.
Regulations made within the period of 12 months after the commencement of this subsection by virtue of section 14A in relation to:
persons who are deemed to have been re-appointed to the Australian Public Service in pursuance of section 87Q of the Public Service Act; or
persons who are, or are deemed to be, re-appointed (otherwise than to the Australian Public Service) or re-employed in circumstances similar to the circumstances in which a person could be re-appointed to the Australian Public Service under section 63F, 63G or 66B of the Public Service Act or could be deemed to be re-appointed to the Australian Public Service in accordance with section 87Q of that Act;
may be expressed to have effect from a day not earlier than 15 March 1981.
(5) Regulations made after the commencement of this subsection for the purposes of the definition of maximum retiring age or minimum retiring age in subsection 3(1) may be expressed to have taken effect from and including a day not earlier than 12 months before the making of the regulations.
(6) Regulations made within a period of 2 years after the commencement of this subsection by virtue of subsection 126(2) with respect to persons to whom paragraph (b) of the definition of prescribed teacher in section 43P of the Commonwealth Teaching Service Act 1972 applies may be expressed to have taken effect from and including a day not earlier than 31 March 1977.
Regulations made after the commencement of this subsection by virtue of subsection 159(3) may be expressed to have taken effect from and including a day not earlier than 12 months before the making of the regulations.
Regulations made within a period of 2 years after the commencement of this subsection by virtue of section 180 may be expressed to have taken effect from and including a day not earlier than the commencing day.
Regulations made within a period of 12 months after the commencement of this subsection by virtue of 1 July 1990.section 5, 14A, 76, 126, 136, 144, 155A, 180 or 183 may be expressed to have taken effect from and including a day not earlier than
Regulations made within a period of 12 months after the commencement of this subsection for the purposes of section 126, 180 or 183 may be expressed to have taken effect from and including a day not earlier than the day of that commencement.
Regulations made within 2 years after the commencement of this subsection for the purposes of section 6A may commence on a day earlier than the day on which they are made, but not earlier than the commencement of this subsection.
Regulations made within one year after the commencement of this subsection for the purposes of section 14A, 51, 126, 155, 180 or 183 may commence on a day earlier than the day on which they are made, but not earlier than the commencement of this subsection.
(12A) Regulations made within one year after the commencement of this subsection for the purposes of the amendments of this Act made by Schedule 2 to the Superannuation Legislation Amendment Act 1995 may commence on a day earlier than the day on which they are made, but not earlier than the commencement of this subsection.
Regulations may not be made after the commencement of this subsection unless:
CSC has consented to the making of the regulations; or
the regulations:
relate to a payment by an employer-sponsor within the meaning of the SIS Act that will, after the making of the regulations, be required or permitted to be made under this Act; or
relate solely to the termination of the Fund; or
are made in circumstances covered by regulations made for the purposes of subparagraph 60(1)(b)(iii) of the SIS Act.
If any regulations in force at the commencement of this subsection confer a power on the Commissioner:
that power is exercisable after that commencement by CSC and not by the Commissioner; and
any determination, approval or other thing that was made, given or done by the Commissioner under that power before that commencement is taken, after that commencement, for the purposes of this Act (other than section 154, as in force at the commencement of this subsection, and Part XA) to have been made, given or done by CSC.
Regulations made after the commencement of this subsection:
(a) for the purpose of the definition of statutory office in subsection 3(1); or
for the purposes of subsection 3(1AA);
may commence on a day not earlier than 12 months before the making of the regulations.
If regulations are made after the commencement of this subsection for a purpose referred to in subsection (15) and, before the start of the period of 12 months before the making of the regulations, contributions have been accepted from, or in respect of:
if the regulations are made for the purpose mentioned in paragraph (15)(a)—the holder of the statutory office concerned; or
if the regulations are made for the purpose mentioned in paragraph (15)(b)—a person to whom the regulations relate;
the regulations may commence on a day not earlier than the earliest day on which contributions were so accepted.
(17) Regulations made within one year after the commencement of this subsection for purposes arising from any amendment of this Act made by Schedule 1 to the Superannuation Legislation Amendment (Superannuation Contributions Tax) Act 1997 may commence on a day:
earlier than the day on which they are made; but
not earlier than the commencement of this subsection.
If:
a provision of the regulations is incorrect, inadequate or ineffective because of a provision of any Act (including an Act amending this Act) that was enacted after the provision of the regulations was made; and
the incorrectness, inadequacy or ineffectiveness could be remedied by an appropriate amendment of the regulations;
CSC may, for the purposes of the performance of its functions or the exercise of its powers under this Act or the regulations, treat the amendment as having been made.
(18) Regulations made within one year after the commencement of this subsection for purposes arising from any amendment of this Act made by the Superannuation Legislation Amendment (Post-retirement Commutations) Act 2001 may commence on a day:
earlier than the day on which they are made; but
not earlier than the commencement of this subsection.
(19) Regulations made within one year after the commencement of this subsection for purposes arising from any amendment of this Act made by the Superannuation Legislation Amendment (Indexation) Act 2001 may commence on a day:
earlier than the day on which they are made; but
not earlier than the commencement of this subsection.
(20) Regulations made within one year after the commencement of this subsection for purposes arising from any amendment of this Act made by the Superannuation Legislation Amendment (Family Law and Other Matters) Act 2004 may commence on a day:
earlier than the day on which they are made; but
not earlier than the commencement of this subsection.
In this Part, unless the contrary intention appears:
existing Fund means the Superannuation Fund established by the superseded Act.
former Board means the Superannuation Board established by the superseded Act.
new Fund means the Superannuation Fund established by this Act.
In this Division, unless the contrary intention appears:
assets means property of any kind and, without limiting the generality of the foregoing, includes: choses in action; and rights, interests and claims of every kind in or to property, whether arising under or by virtue of an instrument or otherwise, and whether liquidated or unliquidated, certain or contingent, accrued or accruing.
choses in action; and
rights, interests and claims of every kind in or to property, whether arising under or by virtue of an instrument or otherwise, and whether liquidated or unliquidated, certain or contingent, accrued or accruing.
authorized person means the Chair of the Trust or a person authorized in writing by the Chair of the Trust to give certificates under section 173.
Eligible pensioner means a person to whom, or in respect to whom, at the commencement of this Act, pension, other than a non-contributory pension, was payable or would, but for the pension having been suspended, have been payable under: the superseded Act; or (b) Superannuation (Pension Increases) Act 1971.section 10 of the
the superseded Act; or
(b) Superannuation (Pension Increases) Act 1971.section 10 of the
Instrument means an instrument of any kind and, without limiting the generality of the foregoing, includes a contract, guarantee or agreement (whether express or implied and whether made or given orally or in writing), bond, authority, order, power of attorney, mortgage, transfer, conveyance or other assurance, charge, lien, bill of exchange, letter of credit and security.
instrument to which this Division applies means an instrument arising out of, or otherwise connected with, the exercise or proposed exercise by the former Board of its investment power, being an instrument: to which the former Board is a party; which was given to or in favour of the former Board; in which a reference is made to the former Board; or under which any money is or may become payable, or any other property is to be, or may become liable to be, transferred, conveyed or assigned to or by the former Board; being an instrument subsisting immediately before the commencing day.
to which the former Board is a party;
which was given to or in favour of the former Board;
in which a reference is made to the former Board; or
under which any money is or may become payable, or any other property is to be, or may become liable to be, transferred, conveyed or assigned to or by the former Board;
being an instrument subsisting immediately before the commencing day.
investment assets of the existing Fund means the assets of the existing Fund or of the former Board arising out of, or otherwise connected with, the exercise or proposed exercise by the former Board of its investment power, being assets subsisting immediately before the commencing day.
investment liabilities of the existing Fund means liabilities of the existing Fund or of the former Board arising out of, or otherwise connected with, the exercise or proposed exercise by the former Board of its investment power, being liabilities subsisting immediately before the commencing day.
investment power means the power of the former Board under section 12 of the superseded Act to invest moneys of the existing Fund.
liabilities means liabilities of every kind and, without limiting the generality of the foregoing, includes obligations of every kind, whether arising under or by virtue of an instrument or otherwise, and whether liquidated or unliquidated, certain or contingent, accrued or accruing.
non-contributory pension means:
(a) a pension that became payable under Superannuation Act 1922 or of that Act as amended, not being a pension for which contributions were made to a State Fund as defined by section 101 of the superseded Act;section 57 of the
(b) a pension that became payable under Superannuation Act 1922 or of that Act as amended; orsection 58 of the
(c) a pension to which subsection 9(2), or subsection 14(2), of the Superannuation Act (No. 2) 1956 applies.
uninvested moneys of the existing Fund means moneys of the existing Fund that, immediately before the commencing day, are held uninvested by the former Board, including any moneys lodged on call or on fixed deposit under section 13 of the superseded Act.
unreceived amounts in respect of life assurance policies means:
amounts paid by the former Board under section 74 of the superseded Act in respect of life assurance policies (not being policies that matured, or were re-transferred under subsection 74(3) of that Act, before the commencing day) together with compound interest thereon, from the respective dates of payment until the commencing day, as provided for under that section; and
amounts that, but for subsection 119ZC(2) of the superseded Act, would have been paid by the former Board to the existing Fund under paragraph 119J(3)(a) of that Act, or to the Provident Account established by that Act under paragraph 119J(7)(a) of that Act, in respect of persons (not being persons whose life policy or life policies assigned to the former Board in accordance with subsection 119ZC(3) of that Act, or issued in relation to them in accordance with subsection 119ZC(4) of that Act, became payable, or were surrendered or assigned by the former Board, before the commencing day) together with compound interest thereon as would be provided for under subparagraph 119ZC(8)(a)(i) of that Act if the relevant policies became payable on the day immediately preceding the commencing day.
unreceived moneys of the existing Fund means moneys that a person (including the Commonwealth) has become liable to pay (whether or not payment has been deferred under the superseded Act or otherwise), or would, if a demand had been made, have become liable to pay, whether under the superseded Act or otherwise, to the existing Fund or the former Board (not being moneys that a person has become liable to pay, or would, if a demand had been made, have become liable to pay, to the Fund or the former Board by reason of, or for a reason connected with, the exercise by the former Board of its investment power), but which have not been paid before the commencing day.
Where deferred benefits were applicable in respect of a person under section 119W of the superseded Act on the day immediately preceding the commencing day but had not become payable to or in respect of the person on or before that day, the person shall be deemed to be an eligible pensioner for the purposes of this Division.
A reference in this Division to the value of the net assets of the existing Fund shall be read as a reference to the amount by which the value, as determined by the Minister, of the investment assets of the existing Fund subsisting immediately before the commencing day, the uninvested moneys of the existing Fund, the unreceived moneys of the existing Fund and the unreceived amounts in respect of life assurance policies exceeds the amount, as determined by the Minister, of the investment liabilities of the existing Fund subsisting immediately before the commencing day and moneys that persons paid, but were not liable to pay, under the superseded Act before the commencing day.
Upon the commencement of this Act:
the uninvested moneys of the existing Fund become, by force of this section, moneys of the new Fund;
the investment assets of the existing Fund become, by force of this section, assets of the new Fund and shall be deemed to be moneys of the new Fund invested by the Trust under section 42; and
the investment liabilities of the former Board become, by force of this section, liabilities of the Trust.
An instrument to which this Division applies continues, by force of this section, in full force and effect but, in its operation in relation to acts, transactions, matters or things done, entered into or occurring on or after the commencing day, has effect as if a reference in the instrument to the former Board were a reference to the Trust.
An authorized person may, by writing under his or her hand, certify that an asset, liability or instrument specified or described in the certificate is an investment asset of the existing Fund, an investment liability of the existing Fund or an instrument to which this Division applies, as the case may be, and the certificate is, in all courts and for all purposes, prima facie evidence of the matters stated in the certificate.
Where a document purports to be a certificate under subsection (1) signed by an authorized person, judicial notice shall be taken of the signature of that person and of the fact that that person is or was an authorized person.
An instrument or document that an authorized person certifies to have been made, executed or given by reason of, or for a purpose connected with or arising out of, the operation of this Division is not liable to stamp duty or other tax under a law of the Commonwealth or of a State or of a Territory.
Where, immediately before the commencing day, proceedings to which the former Board was a party (being proceedings with respect to any matter arising out of, or otherwise connected with, the exercise by the former Board of its investment power) were pending in any court, the Trust is, by force of this section, substituted for the former Board as a party to the proceedings.
For the purposes of this Division, part of the value of the net assets of the existing Fund, being a part the value of which is determined by the Minister, shall be deemed to relate to persons other than existing contributors.
In making the determination under subsection (1), the Minister shall have regard to such matters (if any) as are prescribed.
In this section:
amount available for distribution means the sum of:
(a) the amount (in paragraph (b) referred to as the surplus amount) equal to the amount by which the value of the part of the value of the net assets of the existing Fund that, by virtue of subsection 175 (1), is deemed to relate to persons other than existing contributors, exceeds the amount determined by the Minister under subsection (2) of this section; and
an amount determined by the Minister, after receiving advice from the Investment Trust, to be the amount that will accrue to the new Fund, in respect of the period commencing on the commencing day and ending on the distribution date, in relation to the surplus amount.
distribution date means such date as is fixed by the Minister, by notice published in the Gazette, as the distribution date for the purposes of this section.
The Minister shall, as soon as practicable after the commencing day, determine the amount necessary to provide for the benefits (other than benefits that might have become payable to or in respect of existing contributors) which were a charge upon the existing Fund immediately before the commencing day or are, under the regulations, to be treated as if they were such a charge.
The Minister shall, in making the determination for the purposes of subsection (2), have regard to such matters (if any) as are prescribed.
The Commissioner shall, as soon as practicable after the distribution date has been fixed by the Minister, allocate among eligible pensioners, in such manner as the Minister directs, the amount nearest to the amount available for distribution that it is practicable to allocate in that manner among eligible pensioners, and, in giving those directions, the Minister shall take into account all matters relevant to ensure that the amount to be distributed will be allocated among the persons concerned on a fair and reasonable basis.
Subject to subsection (6), as soon as practicable after the allocation in respect of eligible pensioners has been made under subsection (4), there shall be paid out of the new Fund to each eligible pensioner who is entitled to an amount under the allocation (not being an amount that is less than $2) an amount equal to that amount.
Where an eligible pensioner who is entitled to an amount under the allocation made under subsection (4) has died before payment of the amount, an amount equal to, or amounts aggregating, the amount to which the pensioner is so entitled shall be paid out of the new Fund to such person (if any), or to such persons (if any), as the Commissioner determines.
Sections 118, 119 and 156 apply in relation to any moneys payable under this section as if those moneys were a benefit payable under this Act.
Section 144 of the superseded Act applies in relation to any moneys payable under this section as if those moneys were an amount becoming payable under the superseded Act.
In this section:
amount available for allocation as basic contributions means the amount referred to in paragraph (2)(a).
amount available for allocation as supplementary contributions means the amount referred to in paragraph (2)(b).
amount available for distribution as supplementary contributions means the sum of:
(a) the amount (in paragraph (b) referred to as the surplus amount) equal to the amount available for allocation as supplementary contributions; and
an amount determined by the Minister, after receiving advice from the Investment Trust, to be the amount that will accrue to the new Fund, in respect of the period commencing on the commencing day and ending on the distribution date, in relation to the surplus amount.
distribution date means such date, being a date not earlier than the election date, as is fixed by the Minister, by notice published in the Gazette, as the distribution date for the purposes of this section.
election date means such date as is fixed by the Minister, by notice published in the Gazette, as the election date for the purposes of this section.
For the purposes of this section, the Minister shall, as soon as practicable after the commencing day, determine, in relation to the value of the net assets of the existing Fund:
the amount that is to be treated as basic contributions made by existing contributors on the commencing day; and
the amount that is to be treated as supplementary contributions made by existing contributors on the commencing day;
and, in making the determination, the Minister shall have regard to such matters (if any) as are prescribed.
The Commissioner shall, as soon as practicable after the commencing day:
allocate among existing contributors, in such manner as the Minister directs, the amount nearest to the amount available for allocation as basic contributions that it is practicable to allocate in that manner among existing contributors;
allocate among existing contributors, in such manner as the Minister directs, the amount nearest to the amount available for allocation as supplementary contributions that it is practicable to allocate in that manner among existing contributors;
allocate among existing contributors, in such manner as the Minister directs, the amount nearest to the amount available for distribution as supplementary contributions that it is practicable to allocate in that manner among existing contributors;
and, in giving those directions, the Minister shall take into account all matters relevant to ensure that the amounts to be allocated will be allocated among the persons concerned on a fair and reasonable basis.
As soon as practicable after the allocations in respect of existing contributors have been made under subsection (3), the Commissioner shall cause notice to be given to each existing contributor of the respective amounts that have been allocated to him or her under paragraphs (a), (b) and (c) of that subsection.
An existing contributor may, not later than the election date, or, if he or she ceases to be an eligible employee before the election date, not later than the date on which he or she so ceases, elect, by notice in writing to the Commissioner, that an amount specified in the election, being an amount not exceeding the amount allocated to him or her under paragraph (3)(c), be paid to him or her.
Where an existing contributor makes an election under subsection (5), then, subject to subsection (7), there shall be paid out of the new Fund to him or her an amount equal to the amount specified in the election.
Where an existing contributor who is entitled to an amount under subsection (6) has died before the payment of the amount, an amount equal to, or amounts aggregating, the amount to which he or she is so entitled shall be paid out of the new Fund to such person (if any), or to such persons (if any), as the Commissioner determines.
Sections 118, 119, 156 and 166 apply in relation to any moneys payable under this section as if those moneys were a benefit payable under this Act.
An amount equal to the amount allocated to an existing contributor under paragraph (3)(a) shall be deemed to be an amount of basic contributions paid by him or her under this Act on the commencing day.
Where an existing contributor does not make an election under subsection (5), an amount equal to the amount allocated to him or her under paragraph (3)(b) shall be deemed to be an amount of supplementary contributions paid by him or her under this Act on the commencing day.
Where an existing contributor makes an election under subsection (5) and specifies in the election an amount less than the amount allocated to him or her under paragraph (3)(c), an amount ascertained for the purposes of this subsection in accordance with subsection (12) shall be deemed to be an amount of supplementary contributions paid by him or her under this Act on the commencing day.
The amount to be ascertained for the purposes of subsection (11) in accordance with this subsection in respect of an existing contributor is an amount ascertained in accordance with the formula:
where:
A is an amount equal to the amount allocated to him or her under paragraph (3)(b).
B is the amount specified in the election; and
C is an amount equal to the amount allocated to him or her under paragraph (3)(c).
There shall be paid from the new Fund to the Commonwealth an amount equal to the amount by which the value of the net assets of the existing Fund exceeds the sum of:
(a) the amount referred to in the definition of amount available for distribution in subsection 176(1) as the surplus amount;
the amount defined in subsection 177(1) as the amount available for allocation as basic contributions; and
the amount defined in subsection 177(1) as the amount available for allocation as supplementary contributions.
The Minister may approve the transfer, subject to such conditions (if any) as he or she determines, of the excess established under subsection (1) from the new Fund to the Commonwealth in such manner, in such instalments, and at such times during the period of 10 years commencing on the commencing day, as he or she determines.
Any determination, direction or allocation by the Minister or the Commissioner for the purposes of this Division shall be in writing, and shall not be varied except for the purpose of correcting an error, whether in calculation or otherwise, or a mistake of fact, or for a purpose authorized by the regulations.
(1) In this section, existing invalidity pensioner means a person to whom a pension of a kind referred to in section 64A or section 65 of the superseded Act as in force immediately before the repeal of that section (other than a deferred benefit by way of a pension referred to in subsection (1) of section 64A of the superseded Act as so in force) is payable or would, but for the pension having been suspended, be payable.
Sections 15 and 73A, section 74 (other than subsections (6) and (7)), section 74A and section 75 apply to and in relation to an existing invalidity pensioner who has not become an eligible employee, with such modifications (if any) as are prescribed, as if his or her pension were an invalidity pension payable under this Act and as if, immediately before he or she became entitled to that pension, he or she had been an eligible employee.
The provisions of this Act apply to and in relation to an existing invalidity pensioner who becomes an eligible employee with such modifications (if any) as are prescribed and subject to subsection (4).
Where an existing invalidity pensioner becomes an eligible employee, there shall be paid into the new Fund out of the Consolidated Revenue Fund (which is appropriated accordingly) such amount as CSC determines having regard to the total amount of contributions paid by the pensioner under the superseded Act and such other matters as CSC considers relevant, and an amount equal to the amount so paid shall be deemed to be an amount paid to the new Fund under subsection 112(5) in respect of the person.
In this Division:
first contribution day means the contribution day that falls on 8 July 1976.
Initial basic contribution means the amount of the basic contribution made, or required to be made, by the contributor on the first contribution day.
previous contribution (excluding contribution for reserve units), in relation to an existing contributor, means the amount of the contribution made, or required to be made, by the contributor under the superseded Act in respect of units of pension, other than reserve units of pension, on the pay day last preceding the commencing day.
previous contribution (including contribution for reserve units), in relation to an existing contributor, means the amount of the contribution made, or required to be made, by the contributor under the superseded Act in respect of units of pension, including reserve units of pension, on the pay day last preceding the commencing day.
A person who is, or at any time has been, a person referred to in paragraph (a) of the definition of eligible employee in subsection 3(1) shall be deemed to have become an eligible employee on the commencing day.
(1) This section applies to a person who is or has ceased to be an eligible employee, being a person who is, or at any time has been, a person referred to in paragraph (a) of the definition of eligible employee in subsection 3(1).
The regulations may make provision for modifying this Act, or a provision of this Act specified in the regulations, in the application of this Act or that provision to and in relation to a person to whom this section applies, or to and in relation to a prescribed class of persons to whom this section applies.
The modifications that may be made by regulations in pursuance of subsection (2) include, but are not limited to, modifications providing for the payment of contributions in addition to, or in substitution for, contributions that would otherwise be payable under this Act and for benefits in addition to, or in substitution for, benefits provided for by this Act.
This section applies to a person who is, or at any time has been, an existing contributor other than:
an existing contributor who has previously ceased to be an eligible employee by reason of retirement on the ground of invalidity, being an existing contributor to whom, upon his or her so ceasing, invalidity benefit was payable in accordance with section 69, 72 or 73; or
an existing contributor who has previously ceased to be an eligible employee otherwise than by reason of retirement on the ground of invalidity.
Subject to subsection (4), where:
a person to whom this section applies who, immediately before the commencing day, was (otherwise than because of an election made under section 81 of the superseded Act) a contributor to the Provident Account:
ceases to be an eligible employee because of death or retirement on the ground of invalidity; or
becomes entitled to partial invalidity pension under section 78 because of a decrease in the annual rate of the person’s salary that CSC is satisfied can properly be regarded as attributable to physical or mental incapacity;
at the time when the person so ceases to be an eligible employee or becomes entitled to partial invalidity pension, as the case requires, the person’s period of contributory service is less than 20 years and the person has not attained the person’s maximum retiring age; and
CSC is of the opinion that the death of the person, the incapacity which was the ground for the retirement of the person or the incapacity to which CSC was satisfied that the decrease in the annual rate of salary of the person could properly be regarded as attributable, as the case requires, was caused, or was substantially contributed to:
by the physical or mental condition of the person that was relevant for the purposes of the superseded Act or, if there was more than one such condition, by those conditions or one or more of those conditions; or
by a physical or mental condition or conditions of the person connected with the physical or mental condition of the person that was relevant for the purposes of the superseded Act or, if there was more than one such condition, with those conditions or one or more of those conditions;
CSC shall issue in respect of the person a benefit classification certificate in which there is or are specified the physical or mental condition or conditions of the person that was or were relevant for the purposes of the superseded Act and, for the purposes of this Act, the certificate shall be deemed to have been issued under subsection 16(4) and to have been in force in respect of the person immediately before his or her death or retirement or immediately before the person became entitled to partial invalidity pension under section 78, as the case requires.
Subsection (2) does not apply in relation to a person who, on 30 June 1990 was, and until the date the person ceased to be an eligible employee or became entitled to partial invalidity pension, as the case requires, being a date after 31 March 1991, continued to be, an eligible employee.
Subject to subsection (4), CSC may, if it thinks fit, and shall, upon application in writing being made to it by an eligible employee who is a person to whom this section applies and who, immediately before the commencing day, was (otherwise than by reason of an election made under section 81 of the superseded Act) a contributor to the Provident Account, issue in respect of the eligible employee a benefit classification certificate in which the physical or mental condition or conditions of the person that was or were relevant for the purposes of the superseded Act is or are specified and, for the purposes of this Act, the certificate shall be deemed to have been issued under subsection 16(4).
CSC shall not, under subsection (2) or (3), issue a benefit classification certificate in respect of a person if there is a benefit classification certificate in force in respect of the person at that time.
Where CSC is satisfied, in respect of a person who is a relevant person:
that, at or in connection with a medical examination that the person underwent for the purpose of the superseded Act, the person failed to answer properly a question asked of him or her or gave false or misleading information; and
(b) that a physical or mental condition of the person or physical or mental conditions of the person (in this subsection referred to as an unrecorded condition or as unrecorded conditions) that was not or were not relevant for the purposes of the superseded Act, would have been relevant for the purposes of that Act if the person had answered the question properly or had not given that false or misleading information;
CSC shall:
if there is a benefit classification certificate in force in respect of the relevant person—revoke that certificate and issue a new benefit classification certificate in respect of the person in which the unrecorded condition or the unrecorded conditions is or are specified either in addition to or in substitution for the physical or mental condition that was, or any or all of the physical or mental conditions that were, specified in the first-mentioned certificate;
if there is no benefit classification certificate in force in respect of the person but a physical or mental condition of the person or physical or mental conditions of the person was or were relevant for the purposes of the superseded Act—issue a benefit classification certificate in respect of the person in which the unrecorded condition or the unrecorded conditions is or are specified either in addition to or in substitution for the physical or mental condition that was, or any or all of the physical or mental conditions that were, relevant for the purposes of the superseded Act; or
if there is no benefit classification certificate in force in respect of the person and no physical or mental condition of the person was relevant for the purposes of the superseded Act—issue a benefit classification certificate in respect of the person in which the unrecorded condition is or the unrecorded conditions are specified.
In subsection (5), a reference to a relevant person shall be read as a reference to a person to whom this section applies (whether or not the person was, immediately before the commencing day, a contributor to the Provident Account):
who is an eligible employee, has a period of contributory service of less than 20 years and has not attained his or her maximum retiring age;
who is or was an eligible employee to whom partial invalidity pension is or was payable and who, at the time when partial invalidity pension became so payable, had a period of contributory service of less than 20 years; or
who has ceased (whether before or after the commencement of this subsection) to be an eligible employee because of invalidity or death and who, at the time when he or she so ceased, had a period of contributory service of less than 20 years and had not attained his or her maximum retiring age.
Where CSC, in pursuance of paragraph (5)(c), revokes a benefit classification certificate and issues a new benefit classification certificate in substitution for that certificate, the first-mentioned certificate shall be deemed never to have been issued and the certificate issued by CSC in substitution for the first-mentioned certificate shall be deemed to have been issued under subsection 16(4) on the commencing day.
Where CSC, in pursuance of paragraph (5)(d) or (e), issues a benefit classification certificate, the certificate shall be deemed to have been issued under subsection 16(4) on the commencing day.
CSC shall not, in a benefit classification certificate issued under subsection (5), include a physical or mental condition in respect of which CSC was of the opinion under subsection 16(8) that there was not a real risk that the person would, by reason of or for a reason connected with that condition, not continue to be an eligible employee until the person attained his or her maximum retiring age unless CSC is satisfied that CSC would not have been of that opinion but for the fact that:
at or in connection with a medical examination that the person was required to undergo under subsection 16(6) or 16AB(3); or
in connection with a request by the person under subsection 16(6);
the person failed to answer properly a question asked of the person or gave false or misleading information.
In this section:
a reference to a contributor to the Fund shall be read as a reference to a contributor to the existing Fund under Part III of the superseded Act;
a reference to a contributor to the Provident Account shall be read as a reference to a contributor to the Provident Account established under the superseded Act; and
a reference to the physical or mental condition or conditions of a person that was or were relevant for the purposes of the superseded Act shall be read as a reference to the physical or mental condition or conditions of the person that, in the opinion of CSC, was or were the physical or mental condition or conditions of the person by reason of which, at the time when the person became, or last became, a contributor to the Provident Account:
the former Board was not satisfied under subsection 5 (1) of the superseded Act that the health and physical fitness of the person were such as to justify his or her being accepted as a contributor to the Fund; or
the person was not, by virtue of a provision of the superseded Act (other than subsection 5(1) or 79(2) of the superseded Act), accepted as a contributor to the Fund;
other than a physical or mental condition that, in the opinion of CSC, the former Board was, as a result of a medical examination under subsection 79(2) of the superseded Act, satisfied no longer existed unless CSC is satisfied that the former Board would not have been so satisfied but for the fact that, at or in connection with that medical examination, the person failed to answer properly a question asked of the person or gave false or misleading information.
For the purposes of determining, for the purposes of this section, whether or not a person answered a question properly, subsections 16AC(9) and (10) apply as if:
the provisions of this section were provisions of section 16AC; and
(b) the following subparagraph were inserted before subparagraph (b)(i) of the definition of relevant matters in subsection 16AC(10):
“(ia) at or in connection with a medical examination that the person underwent for the purposes of the superseded Act; or”.
Where the amount of the previous contribution (including contribution for reserve units) of an existing contributor is in excess of the amount of the initial basic contribution of the contributor, the contributor shall, subject to subsection (2), pay to CSC on the first contribution day a supplementary contribution of an amount equal to the excess, and pay to CSC on each succeeding contribution day on which the amount of the previous contribution (including contribution for reserve units) exceeds the amount of the basic contribution required to be made by the contributor on that succeeding contribution day an amount equal to the amount of that excess.
An existing contributor referred to in subsection (1) may, by notice in writing to CSC, elect that, as from the contribution day next following the date of the election, subsection (1) shall cease to apply in relation to him or her.
An existing contributor to whom subsection 185(4) of this Act applied on 30 June 1995 may continue to pay supplementary contributions at the percentage rate at which he or she was entitled to pay supplementary contributions on that day.
A reference in subsection (3), (5), (6) or (9) to the notional basic contribution applicable to an existing contributor on a particular day shall be read as a reference to the amount that would, but for subsection (2) or (4), be the amount of his or her basic contribution on that day.
Where the amount of the previous contribution (excluding contribution for reserve units) of an existing contributor who has not attained the age of 40 years on the commencing day is less than four-fifths, but not less than three-fifths, of the amount that, but for this subsection, would be the amount of the basic contribution required to be made by him or her on the first contribution day, section 46 applies in relation to him or her in respect of each contribution day occurring before or on the anniversary of his or her birth next following the commencing day as if:
the reference in section 46 to 5 per centum were a reference to 4 per centum; and
the reference in that section to 10 cents were a reference to 8 cents.
Where an existing contributor referred to in subsection (2) makes an election under subsection 48(1) before the anniversary of his or her birth next following the commencing day, then, for the purpose of calculating the amount of the supplementary contribution payable by the contributor on a contribution day occurring before or on that anniversary:
section 49 has effect as if the reference in that section to the basic contribution payable by the contributor on a contribution day were a reference to the notional basic contribution applicable to him or her on that day; and
if the factor specified in the election is 5 and the contributor requests in the election that this paragraph apply in relation to the election—the election shall, for the purposes of section 49, be treated as if the factor specified in the election were 6.
Where the amount of the previous contribution (excluding contribution for reserve units) of an existing contributor who had not attained the age of 40 years on the commencing day is less than three-fifths of the amount that, but for this subsection, would be the amount of the basic contribution required to be made by him or her on the first contribution day:
section 46 applies in relation to him or her in respect of each contribution day occurring before or on the anniversary of the contributor’s birth next following the commencing day as if:
the reference in section 46 to 5 per centum were a reference to 3 per centum; and
the reference in that section to 10 cents were a reference to 6 cents; and
section 46 applies in relation to the contributor in respect of each contribution day occurring after that anniversary of the contributor’s birth and before or on the anniversary of the contributor’s birth next following that anniversary as if:
the reference in section 46 to 5 per centum were a reference to 4 per centum; and
the reference in that section to 10 cents were a reference to 8 cents.
Where an existing contributor referred to in subsection (4) makes an election under subsection 48(1) before the anniversary of his or her birth next following the commencing day, then, for the purpose of calculating the amount of supplementary contribution payable by him or her on a contribution day occurring before or on the anniversary of his or her birth next following that first-mentioned anniversary:
section 49 has effect as if the reference in that section to the basic contribution payable by the contributor on a contribution day were a reference to the notional basic contribution applicable to the contributor on that day; and
if the factor specified in the election is 5 and the contributor requests in the election that this paragraph apply in relation to him or her—the election shall, for the purposes of section 49, be treated:
if the contribution day occurs before that first-mentioned anniversary—as if the factor specified in the election were 7; and
if the contribution day occurs on or after that first-mentioned anniversary—as if the factor specified in the election were 6.
Where an existing contributor referred to in subsection (4) makes an election under subsection 48(1) on or after the anniversary of his or her birth next following the commencing day but before the anniversary of his or her birth next following that first-mentioned anniversary, then, for the purpose of calculating the amount of the supplementary contribution payable by the contributor on a contribution day occurring before or on that later anniversary:
section 49 has effect as if the reference in that section to the basic contribution payable by the contributor on a contribution day were a reference to the notional basic contribution applicable to him or her on that day; and
if the factor specified in the election is 5 and the contributor requests in the election that this paragraph apply in relation to him or her—the election shall, for the purposes of section 49, be treated as if the factor specified in the election were 6.
A contributor who has made a request referred to in paragraph (3)(b), (5)(b) or (6)(b) may, by notice in writing to CSC, revoke the request and, where a contributor revokes such a request, whichever of those paragraphs is relevant shall cease to apply to him or her as from the contribution day next following the date of the instrument of revocation.
Where the anniversary of the birth of an existing contributor falls on the commencing day or on any subsequent day before the first contribution day, the preceding provisions of this section shall apply in relation to him or her with such modifications (if any) as are prescribed.
Where the amount of the previous contribution (including contribution for reserve units) of an existing contributor who has not attained the age of 40 years on the commencing day is less than the amount of notional basic contribution applicable to him or her on that day, he or she shall, in addition to any supplementary contributions which he or she is required to pay to CSC by virtue of an election made by him or her under subsection 48(1), pay to CSC such additional contributions (if any) as are ascertained in accordance with the regulations and any contributions so paid shall, for the purposes of this Act, be deemed to be supplementary contributions paid under section 48.
Where a person has, by virtue of an application made by him or her under section 71 of the superseded Act, been granted rights of pension under that Act of the kind referred to in that section and the person has not, before the commencing day, ceased to be an employee for the purposes of the superseded Act, the provisions of this Act shall apply to and in relation to contributions payable by him or her under this Act, and to any benefits that may become payable to or in respect of him or her under this Act, with such modifications as are determined by CSC having regard to the contributions (if any) being made by him or her under the superseded Act immediately before the commencing day and the rights of pension granted under the superseded Act.
Where a person has, by virtue of an application made by him or her under section 72 of the superseded Act been granted rights of pension under that Act of the kind referred to in that section and the person has not, before the commencing day, ceased to be an employee for the purposes of the superseded Act, the provisions of this Act shall apply to and in relation to any benefits that may become payable to or in respect of him or her under this Act with such modifications as are determined by CSC having regard to the rights of pension granted under the superseded Act.
All payments which, by virtue of section 74 of the superseded Act, are required to be made by the former Board shall be paid out of the Fund and all payments that, by virtue of that section, are required to be made to the former Board shall be paid to the former Board and paid by the former Board into the Fund.
Sections 53 and 156 of this Act apply to and in relation to contributions that a person has become liable to pay under the superseded Act but which have not been paid before the commencing day as if those contributions were payable by the person under this Act.
If:
(a) a life policy that was assigned by a person to the former Board under Superannuation Amendment Act 1976; orsection 119ZC of the superseded Act was transferred to the Commissioner by subsection 76(2) of the
a life policy is assigned by a person to the Commissioner under section 119ZC of the superseded Act;
the following paragraphs apply:
the policy is, by this section, assigned to CSC;
section 145 of this Act applies, with such modifications as are determined by CSC, to and in relation to the person and the policy as if the policy had been assigned to CSC by the person under that section.
On and after the commencing day, the provisions of sections 7 and 119ZD of the superseded Act, and the provisions of this Act, have effect in relation to a person with whom an arrangement is in force under section 7 of the superseded Act immediately before the commencing day with such modifications as CSC determines.
In this Part, unless the contrary intention appears:
approved superannuation scheme means a superannuation scheme approved by the Minister under section 239.
Assets has the same meaning as it has in Division 2 of Part XII.
investment assets of the Fund means the assets of the Fund or of CSC arising out of, or otherwise connected with, the exercise or proposed exercise by CSC of its power to invest moneys of the Fund.
investment liabilities of the Fund means liabilities of the Fund or of CSC arising out of, or otherwise connected with, the exercise or proposed exercise by CSC of its power to invest moneys of the Fund.
liabilities has the same meaning as it has in Division 2 of Part XII.
For the purposes of this Part, the holder of a statutory office whose remuneration is paid by an authority or body is taken to be employed by that authority or body.
Where a person who:
is an eligible employee; and
is employed by, or is a member of the staff of, an authority or body;
ceases, within such period as is determined, by legislative instrument, by the Minister in relation to the person, to be an eligible employee because the person becomes a member of an approved superannuation scheme, the person is not entitled to be paid benefits under this Act other than benefits under Part VI, subsection 110S(2) or section 111.
(2) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a determination made under subsection (1) of this section.
The Minister may approve, in writing, for the purposes of this Part, a superannuation scheme that provides benefits for persons who are employed by, or are members of the staff of, an authority or body.
CSC must, at such times as CSC determines, transfer to the person or body administering an approved superannuation scheme:
such assets of the Fund (including investment assets of the Fund) as are determined by CSC to be assets that fairly and equitably represent the accumulated contributions and Fund accumulated employer contributions of those persons who:
have become members of the approved superannuation scheme; and
were, immediately before becoming such members, eligible employees who were employed by, or were members of the staff of, the authority or body that established the scheme and any benefits payable in respect of those persons under Part VIAB or Subdivision B of Division 2 of Part IX; and
such liabilities (if any) (including investment liabilities of the Fund) as are determined by CSC to be liabilities relating to those assets.
There must be paid to the person or body administering an approved superannuation scheme, at such times as the Minister, by legislative instrument, determines, such amounts (if any) as are determined, by legislative instrument, by the Minister having regard to:
the amount of the payments (if any) made under the authority or body that established the scheme in respect of the persons referred to in paragraph 240(a); andsection 159 by
the amount of the accumulated basic contributions of those persons; and
the method of calculating transfer values under Division 3 of Part IX; and
any relevant actuarial advice obtained by the Minister; and
any other matters that the Minister considers relevant.
Payments under subsection (1) are to be paid out of the Consolidated Revenue Fund, which is appropriated accordingly.
(3) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a determination made under subsection (1) of this section.
No tax or charge is payable under any law of the Commonwealth (other than the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997) or any law of a State or of a Territory in respect of a transfer of assets or liabilities under section 240.
For the purposes of this Part, the holder of a statutory office whose remuneration is paid by an authority or body is taken to be employed by that authority or body.
The Minister may, in writing, declare a superannuation scheme that provides benefits for persons who are employed by, or are members of the staff of, an authority or body to be an authorised superannuation scheme for the purposes of this Part.
Subject to subsection (2), where a person who:
is an eligible employee; and
is employed by, or is a member of the staff of, an authority or body;
ceases, within such period as is determined by the Minister, by legislative instrument, in relation to the person, to be an eligible employee because the person becomes a member of a superannuation scheme declared by the Minister under section 242B to be an authorised superannuation scheme for the purposes of this Part, deferred benefits are applicable in respect of the person.
Subsection (1) does not apply in relation to a person who, when ceasing to be an eligible employee, had completed a period of eligible employment as mentioned in subsection 132(1) of less than one year.
Where, under subsection (1), deferred benefits are applicable in relation to a person, the person is not entitled to be paid benefits under this Act other than benefits under Part VI, subsection 110S(2) or section 111.
(4) Despite anything in regulations made for the purposes of paragraph 44(2)(b) of the Legislation Act 2003, section 42 (disallowance) of that Act applies to a determination made under subsection (1) of this section.
The deferred benefits applicable in respect of a person under section 242C are deferred benefits of the kind mentioned in subsection 136(1) and, subject to section 242E, this Act (other than section 138) applies in respect of those benefits as if they had become applicable in relation to the person under Division 3 of Part IX.
This Act in its application in respect of deferred benefits applicable in respect of a person under section 242C has effect as if the reference in subsections 143(1) and (3) to paragraph 138(2)(a) were a reference to paragraph 242E(1)(c).
Subject to subsection (2), deferred benefits that are applicable in respect of a person under section 242C become payable on the day immediately after the earliest of the following dates:
if the person, by notice in writing given to CSC, selects a date for the commencement of the payment of the deferred benefits, being a date not earlier than:
the date on which the person attains the age that would have been the person’s minimum retiring age for the purposes of this Act if the person had not ceased to be an eligible employee and had continued to occupy the position held by the person immediately before so ceasing; and
the date on which the notice is given;
the date so selected;
the date on which the person attains the age of 65 years;
if CSC is satisfied that the person has, because of invalidity or physical or mental incapacity, become totally and permanently incapacitated within the meaning of Part IVA—the date that CSC considers to have been the date on which the person became so incapacitated;
the date of the person’s death.
If, on a date worked out under paragraph (1)(a) or (b), the person has not ceased to be employed by, or to be a member of the staff of, the authority or body, that paragraph applies as if the date mentioned in the paragraph were the date on which the person so ceased to be employed by, or to be a member of the staff of, the authority or body, as the case may be.
In this Part, unless the contrary intention appears:
assets, investment assets of the Fund, investment liabilities of the Fund and liabilities have the same meanings as in Part XIII.
(1) Subject to this section, an eligible employee who is not precluded by or under the Superannuation Act 1990 (other than by paragraph 6(2)(a) of that Act) from being a member of the Public Sector Superannuation Scheme may, in writing addressed to CSC:
declare that he or she wishes to become a member of that scheme; and
elect to cease to be an eligible employee.
An eligible employee may not make an election and declaration under subsection (1) during any period when the eligible employee is absent from duty on leave of absence without pay.
An eligible employee, after the termination of a period mentioned in subsection (2), may only make an election and declaration under subsection (1) if that period commenced before 1 July 1991.
An eligible employee may not make an election and declaration under subsection (1) during any period when the eligible employee:
(a) is a person to whom Public Service Act 1922, or the Officers’ Rights Declaration Act 1928, applies other than such a person who during that period is:Part IV of the
(i) employed by the Commonwealth otherwise than under the Public Service Act 1922; or
(ii) employed by an approved authority for the purposes of the Superannuation Act 1990; or
the holder of a statutory office; or
(b) is an approved person for the purposes of Commonwealth Legal Aid Act 1977.Part IV of the
Subject to subsection (2D), an eligible employee:
(a) mentioned in paragraph (2B)(a) who ceases to be a person to whom Public Service Act 1922 applies; orPart IV of the
(b) who ceases to be an approved person for the purposes of Commonwealth Legal Aid Act 1977;Part IV of the
may only make an election and declaration under subsection (1) after so ceasing if the eligible employee became before 1 July 1991:
(c) a person to whom Public Service Act 1922 applies; orPart IV of the
(d) an approved person for the purposes of Commonwealth Legal Aid Act 1977;Part IV of the
as the case may be.
(2D) Subsection (2C) does not apply to a person to whom Public Service Act 1922 applies if the person immediately before becoming such a person was a person to whom the Officers’ Rights Declaration Act 1928 applied.Part IV of the
(2E) A person who, immediately before becoming an eligible employee, was a person to whom invalidity pension was, or but for a suspension of payment would have been, payable under the Superannuation Act 1976 may only make an election and declaration under subsection (1) if the person became entitled to that pension before 1 July 1991.
An eligible employee may not make an election and declaration under subsection (1):
(a) if the eligible employee was, on 31 March 1991 or any later day, precluded by or under the Superannuation Act 1990 (other than by paragraph 6(2)(a) of that Act) from being a member of the Public Sector Superannuation Scheme—after the period of 3 months commencing on the day on which the eligible employee ceased to be so precluded; or
if the person becomes an eligible employee after 1 April 1991 and paragraph (a) does not apply—after the period of 3 months commencing on the day on which the person becomes an eligible employee; or
if the eligible employee is precluded under subsection (2) from making the election and declaration during a period that ends after 31 March 1991—after the period of 3 months commencing immediately after the termination of that period; or
if the eligible employee is precluded under subsection (2B) from making the election and declaration during a period that ends after 31 March 1991—after the period of 3 months commencing immediately after the termination of that period; or
in any other case—after 30 June 1991.
A person who makes a declaration and election under section 244 is taken to have ceased to be an eligible employee at the end of the day on which the declaration and election are made.
A person who ceases to be an eligible employee under section 245 is not entitled to be paid benefits under this Act other than:
benefits under Part VI, subsection 110S(2) or section 111; or
if, on the death of another person, a benefit is payable to the person under section 110SQ or 130E—that benefit.
Where, for the purposes of rule 1.3.30 of the Rules for the administration of the Public Sector Superannuation Scheme in its application to a person who has ceased to be an eligible employee under CSS average salary in that rule:section 245, the CSS average salary of the person has been ascertained by reference to an amount other than the amount referred to in paragraph (a) or (b) of the definition of
the person may, within 3 months after the person has been informed that his or her CSS average salary has been so ascertained, by writing addressed to CSC, revoke the declaration and election by virtue of which the person had so ceased to be an eligible employee; and
on the making of the revocation, this Act has effect as if the declaration and election had not been made.
CSC may transfer to the PSS Fund:
such assets of the CSS Fund (including investment assets of the CSS Fund) as are determined by CSC to be assets that fairly and equitably represent the accumulated contributions and Fund accumulated employer contributions of those people who have ceased to be eligible employees under section 245 and any benefits payable in respect of those persons under Part VIAB; and
such liabilities (if any) (including investment liabilities of the CSS Fund) as are determined by CSC to be liabilities relating to those assets.
CSC may make to the PSS Fund advances in respect of assets that are to be transferred to the PSS Fund under section 248.
No tax or charge is payable under any law of the Commonwealth (other than the Income Tax Assessment Act 1936 or the Income Tax Assessment Act 1997) or any law of a State or of a Territory in respect of a transfer of assets or liabilities under section 248.