it arises under a contract that:

meets the standards of subregulation (11A) or 1.06A(2); and

does not permit the capital supporting the annuity to be added to by way of contribution or rollover after the annuity has commenced; and

for a benefit purchased on or after 3 August 1993 and before 1 July 2007—it is purchased with the whole or part of a rolled over amount within the meaning given to that term by section 27A of the Tax Act; and

for a benefit purchased on or after 1 July 2007—it is purchased with the whole or part of:

a roll-over superannuation benefit within the meaning of the 1997 Tax Act; or

(ii) a directed termination payment within the meaning of the Income Tax (Transitional Provisions) Act 1997; and

in the case of a contract to which paragraph (11A)(a) applies and that meets the standards of subregulation (11A)—the contract also meets the standards of regulation 1.07D; and

in the case of a contract to which paragraph (11A)(b) applies and that meets the standards of subregulation (11A)—the contract also meets the standards of regulation 1.07B.

it arises under a contract that meets the standards of subregulation (2), (4), (6), (7), (8), (9) or (10); and

for a benefit purchased on or after 3 August 1993 and before 1 July 2007—it is purchased with the whole or part of a rolled over amount within the meaning given to that term by section 27A of the Tax Act; and

for a benefit purchased on or after 1 July 2007 and before 20 September 2007—it is purchased with the whole or part of:

a roll-over superannuation benefit within the meaning of the 1997 Tax Act; or

(ii) a directed termination payment within the meaning of the Income Tax (Transitional Provisions) Act 1997; and

for a benefit that arises under a contract that meets the standards of subregulation (9) and is purchased by the primary beneficiary on or after 20 September 1998—the commencement day under the contract is the day when the benefit was purchased; and

for a benefit that arises under a contract that meets the standards of subregulation (4)—the contract also meets the standards of regulation 1.07A; and

for a benefit that arises under a contract that meets the standards of subregulation (2), (6), (7) or (9)—the contract also meets the standards of regulation 1.07B; and

for a benefit that arises under a contract that meets the standards of subregulation (8):

the benefit can be taken to consist of two benefits:

(A) an annuity that arises from that part of the contract that provides for payments whose size is not fixed; and

(B) an annuity that arises from that part of the contract that provides for payments whose size in a year is fixed; and

the contract meets the standards of regulation 1.07A in relation to the annuity mentioned in sub-subparagraph (i)(A); and

the contract meets the standards of regulation 1.07B in relation to the annuity mentioned in sub-subparagraph (i)(B); and

for a benefit that arises under a contract that meets the standards of subregulation (10), and has a commencement day on or after 20 September 2004—the contract also meets the standards of regulation 1.07C.

the benefit arises under a contract that meets the standards of:

subregulation 1.05(9) or (10); and

subregulation 1.05(11A); and

the benefit was purchased with a rollover superannuation benefit that resulted from the commutation of:

an annuity provided under a contract that meets the standards of subregulation 1.05(2), (9) or (10); or

a pension provided under rules that meet the standards of subregulation 1.06(2), (7) or (8); or

a pension provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations; and

for a benefit that arises under a contract that meets the standards of subregulation (9)—the contract also meets the standards of regulation 1.07B; and

for a benefit that arises under a contract that meets the standards of subregulation (10)—the contract also meets the standards of regulation 1.07C.

the annuity is paid at least annually throughout the life of the primary beneficiary in accordance with paragraphs (b) and (c) and, if there is a reversionary beneficiary:

throughout the reversionary beneficiary’s life; or

if he or she is a child of the primary beneficiary or of a former reversionary beneficiary under the annuity—at least until his or her 16th birthday; or

if the person referred to in subparagraph (ii) is a full-time student at age 16—at least until the end of his or her full-time studies or until his or her 25th birthday (whichever occurs sooner); and

the size of payments of benefit in a year is fixed, allowing for variation only:

as specified in the contract; or

to allow commutation to pay a superannuation contributions surcharge; or

to allow an amount to be paid under a payment split and reasonable fees in respect of the payment split to be charged; and

unless APRA otherwise approves, the sum payable as benefit in each year to the primary beneficiary or to the reversionary beneficiary, as the case may be, is:

(i) if CPI_c is not less than CPI_p—not less than SP_p; or

(ii) if CPI_c is less than CPI_p—not less than:

where:

CPIc means the quarterly CPI first published by the Australian Statistician for the second-last quarter before the day on which payment is to be made.

CPIp means the quarterly CPI first published by the Australian Statistician for the same quarter in the immediately preceding year.

SPp means the sum payable in the immediately preceding year;

and

the amount paid as the purchase price is wholly converted into annuity income; and

the annuity does not have a residual capital value; and

the annuity cannot be commuted except in any of the following circumstances:

the annuity is not funded from the commutation of:

(A) an annuity that meets the standards of this subregulation or subregulation (3), (9) or (10); or

(B) a pension that meets the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) a pension that meets the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the annuity;

the commutation is made to the benefit of a reversionary beneficiary on the death of the primary beneficiary and within one of the following periods after the commencement day of the annuity:

(A) if the primary beneficiary’s life expectancy on the commencement day, rounded up to the next whole number, is a period less than 20 years—that period;

(B) in any other case—20 years;

the superannuation lump sum resulting from the commutation is transferred directly for the purpose of purchasing another benefit provided under:

(A) a contract that meets the standards of this subregulation or subregulation (3), (9) or (10); or

(B) rules that meet the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulations 1.05AA(1) and (2) apply to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(vi) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(vii) the annuity was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999; and

if the annuity reverts or is commuted, it does not have a reversionary component greater than 100% of the benefit that was payable before the reversion or the commutation; and

the annuity cannot be transferred to a person other than a reversionary beneficiary on the death of the primary beneficiary or of another reversionary beneficiary; and

the capital value of the annuity, and the income from it, cannot be used as security for a borrowing.

if the primary beneficiary dies within the period used for subparagraph (2)(f)(ii), a surviving reversionary beneficiary may obtain a payment equal to the total payments that the primary beneficiary would have received, if the primary beneficiary had not died, from the day of the death until the end of the period; and

if the primary beneficiary dies within the period used for subparagraph (2)(f)(ii) and there is no surviving reversionary beneficiary, an amount, not exceeding the difference between the sum of the amounts paid to the primary beneficiary and the sum of the amounts that would have been so payable in the period, is payable to the primary beneficiary’s estate; and

if the primary beneficiary dies within the period used for subparagraph (2)(f)(ii) and there is a surviving reversionary beneficiary who also dies within that period, there is payable to the reversionary beneficiary’s estate an amount determined as described in paragraph (b) as if that paragraph applied to the reversionary beneficiary.

that does not meet the standards in subregulation (2); and

that does not fix the size of payments of benefit in a year; and

under which the commencement day is on or after 22 December 1992;

meets the standards of this subregulation if the contract at least ensures that:

the standards in paragraphs (2)(h) and (i) are met; and

payments are made at least annually; and

for an annuity that has a commencement day on or after 22 December 1992 and before 1 January 2006—the payments in a year (excluding payments by way of commutation but including payments made under a payment split) are not larger or smaller in total than, respectively, the maximum and minimum limits calculated in accordance with Schedule 1A; and

for an annuity that has a commencement day on or after 1 January 2006—the payments in a year (excluding payments by way of commutation but including payments made under a payment split) are not larger or smaller in total than the following:

for payments made during the period starting on 1 January 2006 and ending on 30 June 2006—the respective maximum and minimum limits for the year calculated in accordance with 1 of the following Schedules:

(A) Schedule 1A;

(B) Schedule 1AAB;

for payments made on or after 1 July 2006—the respective maximum and minimum limits for the year calculated in accordance with Schedule 1AAB.

that:

the commencement day of the annuity occurs on or after 1 June in a financial year; and

the contract does not ensure that payments in that financial year meet the standard in that subregulation for the minimum amount; or

that the contract does not ensure that the payments in the year in which the annuity is to end meet the standard in that subregulation for the minimum amount.

that does not meet the standards of subregulation (2); and

that fixes the size of the payments of benefit in a year, allowing for variation only as specified in the contract or to allow payments to be made under a payment split; and

under which the commencement day is on or after 1 July 1994;

meets the standards of this subregulation if the contract at least ensures that:

the standards in paragraphs (2)(g), (h) and (i) are met; and

except in relation to payments, by way of commutation, for superannuation contributions surcharge, variation in payments from year to year does not exceed, in any year, the average rate of increase of the CPI in the preceding 3 years; and

payments in accordance with paragraph (b) are made at least annually; and

the amount paid as the purchase price is wholly converted into annuity income.

does not meet the standards of subregulation (2); and

provides for payments whose size in a year is fixed, allowing for variation only as specified in the contract; and

(c) provides for additional payments (in this subregulation called bonus payments);

the commencement day of which is on or after 1 July 1994;

meets the standards of this subregulation if it at least ensures that:

in respect of the fixed-size payments—the standards in subregulation (6) are met; and

the fixed-size payments amount to at least 50% of:

if the provider provides annuities of the kind specified in subregulation (6)—the amount that would be payable if the annuity were wholly of that kind; or

if the provider does not provide annuities of the kind specified in subregulation (6)—the fixed-size payments are at least equal in amount to 50% of the interest payable on Commonwealth bonds that have the same value as the purchase price of the annuity and that most closely correspond in term to the term of the annuity; and

the amounts of the bonus payments (if any) are reasonably proportional to the investment income from which the payments purport to be derived; and

the amount of a bonus payment (if any) is notified in writing by the provider each year and is paid to the beneficiary in the year next following (except when deferral of the payment would not result, in any future year, in the rate of increase in size of the total payments for the year exceeding the average rate of increase of the CPI in the preceding 3 years).

that does not meet all the standards in any other provision of this regulation; and

under which the commencement day is on or after 22 December 1992; and

that provides for:

payments whose size in a year is fixed, allowing for variation only as specified in the contract; and

additional payments whose size is not fixed, derived from the application of part of the purchase price to investments by allocation of the annuity provider;

meets the standards of this subregulation if it at least ensures that:

in respect of fixed-size payments—if the commencement day is on or after 1 July 1994, the standards in subregulation (6) are met; and

in respect of payments whose size is not fixed—the standards in subregulation (4) are met.

for an annuity that has a commencement day before 20 September 2004:

if the life expectancy of the primary beneficiary on the commencement day is less than 15 years—the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day, rounded up, at the primary beneficiary’s option, to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

if the life expectancy of the primary beneficiary on the commencement day is 15 years or more—the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period that is not less than 15 years but not more than the primary beneficiary’s life expectancy on the commencement day, rounded up, at the primary beneficiary’s option, to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; and

for an annuity that has a commencement day on or after 20 September 2004:

the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day, rounded up to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy mentioned in subparagraph (i) calculated, at the option of the primary beneficiary, as if the primary beneficiary were up to 5 years younger on the commencement day; or

if the annuity has a commencement day on or after 1 January 2006—the annuity is paid at least annually to the primary beneficiary or reversionary beneficiary throughout a period that is not less than the period available under subparagraph 1.05(9)(b)(i), and not more than the greater of the following periods:

(A) the maximum period available under subparagraph 1.05(9)(b)(ii);

(B) the period of years equal to the number that is the difference between the age attained by the primary beneficiary at his or her most recent birthday before the commencement day, and 100; or

if:

(A) the annuity is an annuity that reverts to a surviving spouse on the death of the primary beneficiary; and

(B) the life expectancy of the primary beneficiary’s spouse is greater than the life expectancy of the primary beneficiary; and

(C) the primary beneficiary has not chosen to make an arrangement mentioned in subparagraph (i), (ii) or (iia) for the annuity;

the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to:

(D) the life expectancy of the spouse on the commencement day; or

(E) the life expectancy of the spouse calculated, at the option of the primary beneficiary, as if the spouse were up to 5 years younger on the commencement day; or

(F) if the annuity has a commencement day on or after 1 January 2006—a period that is not less than the period available under sub-subparagraph 1.05(9)(b)(iii)(D), and not more than the greater of the following periods:

(I) the maximum period available under sub-subparagraph 1.05(9)(b)(iii)(E);

(II) the period of years equal to the number that is the difference between the age attained by the spouse at his or her most recent birthday before the commencement day, and 100;

at the option of the primary beneficiary, and rounded up to the next whole number if the life expectancy of the spouse, or the period, does not consist of a whole number of years; and

the total amount of the payment, or payments, to be made in the first year after the commencement day (not taking commuted amounts into account) is fixed and that payment, or the first of those payments, relates to the period commencing on the day the benefit was purchased; and

(d) the total amount of the payments to be made in a year other than the first year after the commencement day (not taking commuted amounts into account) does not fall below the total amount of the payments made in the immediately preceding year (the previous total), and does not exceed the previous total:

(i) if CPI_c is less than or equal to 4%—by more than 5% of the previous total; or

(ii) if CPI_c is more than 4%—by more than CPI_c + 1%;

where:

CPIc is the change (if any), expressed as a percentage, determined by comparing the quarterly CPI first published by the Australian Statistician for the second-last quarter before the day on which the first of those payments is to be made and the quarterly CPI first published by the Australian Statistician for the same quarter in the immediately preceding year;

and

the total amount of the payments to be made in a year in accordance with paragraph (c) or (d) may be varied only:

to allow commutation to pay a superannuation contributions surcharge; or

to allow an amount to be paid under a payment split and reasonable fees to be charged in respect of the payment split; or

(iii) to allow commutation in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

the amount paid as the purchase price is wholly converted into annuity income; and

the annuity does not have a residual capital value; and

the annuity cannot be commuted except in any of the following circumstances:

the annuity is not funded from the commutation of:

(A) an annuity that meets the standards of this subregulation or subregulation (2), (3) or (10); or

(B) a pension that meets the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) a pension that meets the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the annuity;

subject to subparagraph (iv), by payment, on the death of the primary beneficiary, to the benefit of a reversionary beneficiary or, if there is no reversionary beneficiary, to the estate of the primary beneficiary;

subject to subparagraph (iv), by payment, on the death of a reversionary beneficiary, to the benefit of another reversionary beneficiary or, if there is no other reversionary beneficiary, to the estate of the reversionary beneficiary;

for subparagraphs (ii) and (iii), if the primary beneficiary has opted, under subparagraph (b)(iii), for a period worked out in relation to the life expectancy or age of the primary beneficiary’s spouse—the annuity cannot be commuted until the death of both the primary beneficiary and the spouse;

the superannuation lump sum resulting from the commutation is transferred directly to the purchase of another benefit that is:

(A) an annuity provided under a contract that meets the standards of subregulation (2), (3) or (10) or this subregulation; or

(B) a pension that is provided under rules that meet the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) a pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulation 1.05AA(1) applies to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(viii) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(ix) the annuity was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999;

(x) in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

if the annuity reverts, it does not have a reversionary component greater than 100% of the benefit that was payable before the reversion; and

if the annuity is commuted, the commuted amount cannot exceed the benefit that was payable immediately before the commutation; and

the annuity cannot be transferred to a person except:

on the death of the primary beneficiary, to a reversionary beneficiary or, if there is no reversionary beneficiary, to the estate of the primary beneficiary; or

on the death of a reversionary beneficiary, to another reversionary beneficiary or, if there is no other reversionary beneficiary, to the estate of the reversionary beneficiary; and

the capital value of the annuity, and the income from it, cannot be used as security for a borrowing.

the market linked annuity:

is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day of the annuity, rounded up to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy mentioned in subparagraph (i) calculated, at the option of the primary beneficiary, as if the primary beneficiary were up to 5 years younger on the commencement day; or

if the annuity has a commencement day on or after 1 January 2006—the annuity is paid at least annually to the primary beneficiary or reversionary beneficiary throughout a period that is not less than the period available under subparagraph 1.05(10)(a)(i), and not more than the greater of the following periods:

(A) the maximum period available under subparagraph 1.05(10)(a)(ii);

(B) the period of years equal to the number that is the difference between the age attained by the primary beneficiary at his or her most recent birthday before the commencement day, and 100; or

if:

(A) the annuity is an annuity that reverts to a surviving spouse on the death of the primary beneficiary; and

(B) the life expectancy of the primary beneficiary’s spouse is greater than the life expectancy of the primary beneficiary; and

(C) the primary beneficiary has not chosen to make an arrangement mentioned in subparagraph (i), (ii) or (iia) for the annuity;

the annuity is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to:

(D) the life expectancy of the spouse on the commencement day; or

(E) the life expectancy of the spouse calculated, at the option of the primary beneficiary, as if the spouse were up to 5 years younger on the commencement day; or

(F) if the annuity has a commencement day on or after 1 January 2006—a period that is not less than the period available under sub-subparagraph 1.05(10)(a)(iii)(D), and not more than the greater of the following periods:

(A) the maximum period available under sub-subparagraph 1.05(10)(a)(iii)(E);

(B) the period of years equal to the number that is the difference between the age attained by the spouse at his or her most recent birthday before the commencement day, and 100;

at the option of the primary beneficiary, and rounded up to the next whole number if the life expectancy of the spouse, or the period, does not consist of a whole number of years; and

the total amount of the payments to be made in a year (excluding payments by way of commutation but including payments made under a payment split) is determined in accordance with Schedule 6; and

the market linked annuity does not have a residual capital value; and

the market linked annuity cannot be commuted except in any of the following circumstances:

the annuity is not funded from the commutation of:

(A) another annuity that is provided under a contract that meets the standards of subregulation (2), (3) or (9) or this subregulation; or

(B) a pension that is provided under rules that meet the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) a pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the annuity;

subject to subparagraph (iii), on the death of the primary beneficiary or reversionary beneficiary, by payment of:

(A) a lump sum or a new annuity to one or more dependants of either the primary beneficiary or reversionary beneficiary; or

(B) a lump sum to the legal personal representative of either the primary beneficiary or reversionary beneficiary; or

(C) if, after making reasonable enquiries, the provider of the annuity is unable to find a person mentioned in sub-subparagraph (A) or (B)—a lump sum to another individual;

for subparagraph (ii), if the primary beneficiary has opted, under subparagraph (a)(iii), for a period worked out in relation to the life expectancy or age of the primary beneficiary’s spouse—the market linked annuity cannot be commuted until the death of both the primary beneficiary and the spouse;

the superannuation lump sum resulting from the commutation is transferred directly to the purchase of another benefit that is:

(A) an annuity provided under a contract that meets the standards of subregulation 1.05(2), (3) or (9) or this subregulation; or

(B) a pension that is provided under rules that meet the standards of subregulation 1.06(2), (3), (7) or (8); or

(C) a pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulation 1.05AA(1) applies to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(vii) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(viii) the annuity was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999;

(ix) in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

if the market linked annuity reverts, it does not have a reversionary component greater than 100% of the account balance immediately before the reversion; and

if the market linked annuity is commuted, the commutation amount cannot exceed the account balance immediately before the commutation; and

the market linked annuity can be transferred only:

on the death of the primary beneficiary:

(A) to 1 of the dependants of the primary beneficiary; or

(B) to the legal personal representative of the primary beneficiary; or

on the death of the reversionary beneficiary:

(A) to 1 of the dependants of the reversionary beneficiary; or

(B) to the legal personal representative of the reversionary beneficiary; and

the capital value of the market linked annuity, and the income from it, cannot be used as security for a borrowing.

for an annuity in relation to which there is an account balance attributable to the annuitant—the total of payments in any year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 1 of Schedule 7; and

for an annuity that is not described in paragraph (a):

both of the following apply:

(A) the contract does not provide for a residual capital value, commutation value or withdrawal benefit greater than 100% of the purchase price of the annuity;

(B) the total of payments in any year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 2 of Schedule 7; or

each of the following applies:

(A) the annuity is payable throughout the life of the beneficiary (primary or reversionary), or for a fixed term of years that is no greater than the difference between the primary beneficiary’s age on the commencement day and age 100;

(B) the amount paid as the purchase price is wholly converted into annuity payments;

(C) there is no arrangement for an amount (or a percentage of the purchase price) prescribed by the contract to be returned to the recipient when the annuity ends;

(D) the total of payments from the annuity in the first year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 2 of Schedule 7;

(E) the total of payments from the annuity in a subsequent year cannot vary from the total of payments in the previous year unless the variation is as a result of an indexation arrangement or the transfer of the annuity to another person;

(F) if the annuity is commuted, the commutation amount cannot exceed the benefit that was payable immediately before the commutation; or

the standards of subregulation (2) are met; and

the annuity is transferable to another person only on the death of the beneficiary (primary or reversionary, as the case may be); and

the capital value of the annuity and the income from it cannot be used as a security for a borrowing.

the most recently published Australian Life Tables;

(b) the 1995-97 Australian Life Tables.

results in the total amount of annuity payments in each year:

increasing by the same percentage factor; or

being adjusted in line with movements in the Consumer Price Index; or

being adjusted in line with movements in an index of average weekly earnings published by the Australian Statistician; or

being adjusted in accordance with subparagraph (ii) or (iii) but with an increase capped at a maximum level; and

ensures that, unless APRA otherwise approves, an adjustment is made at least annually to the amount of the annuity payments.

the commutation occurs during the 5 years beginning on the day this regulation commences; and

the whole of the benefit is commuted.

is not a defined benefit fund; or

is a self managed superannuation fund; or

(c) was, when the benefit commenced to be paid and at all earlier times, a small APRA fund (within the meaning of the Corporations Act 2001).

it is provided under rules of a superannuation fund that:

meet the standards of subregulation (9A) or 1.06A(2); and

do not permit the capital supporting the pension to be added to by way of contribution or rollover after the pension has commenced; and

in the case of rules to which paragraph (9A)(a) applies and that meet the standards of subregulation (9A)—the rules also meet the standards of regulation 1.07D; and

in the case of rules to which paragraph (9A)(b) applies and that meet the standards of subregulation (9A)—the rules also meet the standards of regulation 1.07B.

it is provided under rules of a superannuation fund that meet the standards of subregulation (2), (4), (6), (7) or (8); and

where the primary beneficiary became entitled to the benefit on or after 20 September 1998 under rules of a superannuation fund that meet the standards of subregulation (7)—those rules provide that the commencement day is the day when the primary beneficiary became entitled to the pension; and

for a benefit that is provided under rules of a superannuation fund that meet the standards of subregulation (4)—the rules also meet the standards of regulation 1.07A; and

for a benefit that is provided under rules of a superannuation fund that meet the standards of subregulation (2), (6) or (7)—the rules also meet the standards of regulation 1.07B; and

for a benefit that is provided under rules of a superannuation fund that meet the standards of subregulation (8), and has a commencement day on or after 20 September 2004—the rules also meet the standards of regulation 1.07C.

the benefit arises under rules of a superannuation fund that meet the standards of:

subregulation 1.06(7) or (8); and

subregulation 1.06(9A); and

the benefit was purchased with a rollover superannuation benefit that resulted from the commutation of:

an annuity provided under a contract that meets the standards of subregulation 1.05(2), (9) or (10); or

a pension provided under rules that meet the standards of subregulation 1.06(2), (7) or (8); or

a pension provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations; and

for a benefit that arises under rules that meet the standards of subregulation (7)—the rules also meet the standards of regulation 1.07B; and

for a benefit that arises under rules that meet the standards of subregulation (8)—the rules also meet the standards of regulation 1.07C.

the pension is paid at least annually throughout the life of the primary beneficiary in accordance with paragraphs (b) and (c) and, if there is a reversionary beneficiary:

throughout the reversionary beneficiary’s life; or

if he or she is a child of the primary beneficiary or of a former reversionary beneficiary under the pension—at least until his or her 16th birthday; or

if the person referred to in subparagraph (ii) is a full-time student at age 16—at least until the end of his or her full-time studies or until his or her 25th birthday (whichever occurs sooner); and

the size of payments of benefit in a year is fixed, allowing for variation only:

as specified in the governing rules; or

to allow commutation to pay a superannuation contributions surcharge; or

to allow an amount to be paid under a payment split and reasonable fees in respect of the payment split to be charged; and

unless the Regulator otherwise approves, the sum payable as benefit in each year to the primary beneficiary or to the reversionary beneficiary, as the case may be, is:

(i) if CPI_c is not less than CPI_p—not less than SP_p; or

(ii) if CPI_c is less than CPI_p—not less than:

where:

CPIc means the quarterly CPI first published by the Australian Statistician for the second-last quarter before the day on which payment is to be made.

CPIp means the quarterly CPI first published by the Australian Statistician for the same quarter in the immediately preceding year.

SPp means the sum payable in the immediately preceding year;

and

the pension does not have a residual capital value; and

the pension cannot be commuted except in any of the following circumstances:

the pension is not funded from the commutation of:

(A) an annuity that meets the standards of subregulation 1.05(2), (3), (9) or (10); or

(B) a pension that meets the standards of this subregulation or subregulation (3), (7) or (8); or

(C) a pension that meets the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the pension;

the commutation is made to the benefit of a reversionary beneficiary on the death of the primary beneficiary and within one of the following periods after the commencement day of the pension:

(A) if the primary beneficiary’s life expectancy on the commencement day, rounded up to the next whole number, is a period less than 20 years—that period;

(B) in any other case—20 years;

the superannuation lump sum resulting from the commutation is transferred directly for the purpose of purchasing another benefit provided under:

(A) rules that meet the standards of this subregulation or subregulation (3), (7) or (8); or

(B) a contract that meets the standards of subregulation 1.05(2), (3), (9) or (10); or

(C) terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulations 1.06C(1) and (2) apply to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(vi) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(vii) the pension was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999; and

if the pension reverts or is commuted, it does not have a reversionary component greater than 100% of the benefit that was payable before the reversion or the commutation; and

the pension is not able to be transferred to a person other than a reversionary beneficiary on the death of the primary beneficiary or of another reversionary beneficiary; and

the capital value of the pension and the income from it, cannot be used as security for a borrowing.

if the primary beneficiary dies within the period used for subparagraph (2)(e)(ii), a surviving reversionary beneficiary may obtain a payment equal to the total payments that the primary beneficiary would have received, if the primary beneficiary had not died, from the day of the death until the end of the period; and

if the primary beneficiary dies within the period used for subparagraph (2)(e)(ii) and there is no surviving reversionary beneficiary, an amount, not exceeding the difference between the sum of the amounts paid to the primary beneficiary and the sum of the amounts that would have been so payable in the period, is payable to the primary beneficiary’s estate; and

if the primary beneficiary dies within the period used for subparagraph (2)(e)(ii) and there is a surviving reversionary beneficiary who also dies within that period, there is payable to the reversionary beneficiary’s estate an amount determined as described in paragraph (b) as if that paragraph applied to the reversionary beneficiary.

that do not meet the standards in subregulation (2); and

that do not fix the size of payments of benefit in a year; and

meet the standards of this subregulation if they at least ensure that:

the standards in paragraphs (2)(g) and (h) are met; and

payments are made at least annually; and

for a pension that has a commencement day on or after 22 December 1992 and before 1 January 2006—the payments in a year (excluding payments by way of commutation but including payments made under a payment split) are not larger or smaller in total than, respectively, the maximum and minimum limits calculated in accordance with Schedule 1A; and

for a pension that has a commencement day on or after 1 January 2006—the payments in a year (excluding payments by way of commutation but including payments made under a payment split) are not larger or smaller in total than the following:

for payments made during the period starting on 1 January 2006 and ending on 30 June 2006—the respective maximum and minimum limits for the year calculated in accordance with 1 of the following Schedules:

(A) Schedule 1A;

(B) Schedule 1AAB;

for payments made on or after 1 July 2006—the respective maximum and minimum limits for the year calculated in accordance with Schedule 1AAB.

that:

the commencement day of the pension occurs on or after 1 June in a financial year; and

the rules do not provide for the payment of an amount in that financial year that meets the standard for the minimum amount in that subregulation; or

that the rules do not ensure that the payments in the year in which the pension is to end meet the standard for the minimum amount in that subregulation.

that do not meet the standards in subregulation (2); and

that provide that the size of the payments of benefit in a year is fixed, allowing for variation only as specified in the rules or to allow payments to be made under a payment split; and

under which the commencement day is on or after 1 July 1994;

meet the standards in this subregulation if they at least ensure that:

the standards in paragraphs (2)(f), (g) and (h) are met; and

except in relation to payments, by way of commutation, for superannuation contributions surcharge, variation in payments from year to year does not exceed, in any year, the average rate of increase of the CPI in the preceding 3 years; and

payments in accordance with the contracted size are made at least annually; and

if, under the rules, the pension can be commuted—except if conversion is in relation to a commutation to pay a superannuation contributions surcharge, the conversion to a lump sum is limited to a sum that is not greater than the sum determined by applying the appropriate pension valuation factor under Schedule 1B to the pension as if the commencement day were the day on which the commutation occurs.

for a pension that has a commencement day before 20 September 2004:

if the life expectancy of the primary beneficiary on the commencement day is less than 15 years—the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day, rounded up, at the primary beneficiary’s option, to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

if the life expectancy of the primary beneficiary on the commencement day is 15 years or more—the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period that is not less than 15 years but not more than the primary beneficiary’s life expectancy on the commencement day, rounded up, at the primary beneficiary’s option, to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; and

for a pension that has a commencement day on or after 20 September 2004:

the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day, rounded up to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy mentioned in subparagraph (i) calculated, at the option of the primary beneficiary, as if the primary beneficiary were up to 5 years younger on the commencement day; or

if the pension has a commencement day on or after 1 January 2006—the pension is paid at least annually to the primary beneficiary or reversionary beneficiary throughout a period that is not less than the period available under subparagraph 1.06(7)(b)(i), and not more than the greater of the following periods:

(A) the maximum period available under subparagraph 1.06(7)(b)(ii);

(B) the period of years equal to the number that is the difference between the age attained by the primary beneficiary at his or her most recent birthday before the commencement day, and 100; or

if:

(A) the pension is a pension that reverts to a surviving spouse on the death of the primary beneficiary; and

(B) the life expectancy of the primary beneficiary’s spouse is greater than the life expectancy of the primary beneficiary; and

(C) the primary beneficiary has not chosen to make an arrangement mentioned in subparagraph (i), (ii) or (iia) for the pension;

the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to:

(D) the life expectancy of the spouse on the commencement day; or

(E) the life expectancy of the spouse calculated, at the option of the primary beneficiary, as if the spouse were up to 5 years younger on the commencement day; or

(F) if the pension has a commencement day on or after 1 January 2006—a period that is not less than the period available under sub-subparagraph 1.06(7)(b)(iii)(D), and not more than the greater of the following periods:

(I) the maximum period available under sub-subparagraph 1.06(7)(b)(iii)(E);

(II) the period of years equal to the number that is the difference between the age attained by the spouse at his or her most recent birthday before the commencement day, and 100;

at the option of the primary beneficiary, and rounded up to the next whole number if the life expectancy of the spouse, or the period, does not consist of a whole number of years; and

the total amount of the payment, or payments, to be made in the first year after the commencement day (not taking commuted amounts into account) is fixed and that payment, or the first of those payments, relates to the period commencing on the day the primary beneficiary became entitled to the pension; and

(d) the total amount of the payments to be made in a year other than the first year after the commencement day (not taking commuted amounts into account) does not fall below the total amount of the payments made in the immediately preceding year (the previous total), and does not exceed the previous total:

(i) if CPI_c is less than or equal to 4%—by more than 5% of the previous total; or

(ii) if CPI_c is more than 4%—by more than CPI_c + 1%;

where:

CPIc is the change (if any), expressed as a percentage, determined by comparing the quarterly CPI first published by the Australian Statistician for the second-last quarter before the day on which the first of those payments is to be made and the quarterly CPI first published by the Australian Statistician for the same quarter in the immediately preceding year;

and

the total amount of the payments to be made in a year in accordance with paragraph (c) or (d) may be varied only:

to allow commutation to pay a superannuation contributions surcharge; or

to allow an amount to be paid under a payment split and reasonable fees in respect of the payment split to be charged; or

(iii) to allow commutation in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

the pension does not have a residual capital value; and

the pension cannot be commuted except in any of the following circumstances:

the pension is not funded from the commutation of:

(A) an annuity that meets the standards of subregulation 1.05(2), (3), (9) or (10); or

(B) a pension that meets the standards of this subregulation or subregulation (2), (3) or (8); or

(C) a pension that meets the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the pension;

subject to subparagraph (iv), by payment, on the death of the primary beneficiary, to the benefit of a reversionary beneficiary or, if there is no reversionary beneficiary, to the estate of the primary beneficiary;

subject to subparagraph (iv), by payment, on the death of a reversionary beneficiary, to the benefit of another reversionary beneficiary, or, if there is no other reversionary beneficiary, to the estate of the reversionary beneficiary;

for subparagraphs (ii) and (iii), if the primary beneficiary has opted, under subparagraph (b)(iii), for a period worked out in relation to the life expectancy or age of the primary beneficiary’s spouse—the pension cannot be commuted until the death of both the primary beneficiary and the spouse;

the superannuation lump sum resulting from the commutation is transferred directly to the purchase of another benefit that is:

(A) an annuity provided under a contract that meets the standards of subregulation (2), (3), (9) or (10); or

(B) a pension that is provided under rules that meet the standards of subregulation 1.06(2), (3) or (8) or this subregulation; or

(C) a pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulation 1.06C(1) applies to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(viii) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(ix) the pension was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999;

(x) in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

if the pension reverts, it does not have a reversionary component greater than 100% of the benefit that was payable before the reversion; and

if the pension is commuted, the commuted amount cannot exceed the benefit that was payable immediately before the commutation; and

the pension cannot be transferred to a person except:

on the death of the primary beneficiary, to a reversionary beneficiary or, if there is no reversionary beneficiary, to the estate of the primary beneficiary; or

on the death of a reversionary beneficiary, to another reversionary beneficiary or, if there is no other reversionary beneficiary, to the estate of the reversionary beneficiary; and

the capital value of the pension, and the income from it, cannot be used as security for a borrowing.

the market linked pension:

is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy on the commencement day of the pension, rounded up to the next whole number if the primary beneficiary’s life expectancy does not consist of a whole number of years; or

is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to the primary beneficiary’s life expectancy mentioned in subparagraph (i) calculated, at the option of the primary beneficiary, as if the primary beneficiary were up to 5 years younger on the commencement day; or

if the pension has a commencement day on or after 1 January 2006—the pension is paid at least annually to the primary beneficiary or reversionary beneficiary throughout a period that is not less than the period available under subparagraph 1.06(8)(a)(i), and not more than the greater of the following periods:

(A) the maximum period available under subparagraph 1.06(8)(a)(ii);

(B) the period of years equal to the number that is the difference between the age attained by the primary beneficiary at his or her most recent birthday before the commencement day, and 100; or

if:

(A) the pension is a pension that reverts to a surviving spouse on the death of the primary beneficiary; and

(B) the life expectancy of the primary beneficiary’s spouse is greater than the life expectancy of the primary beneficiary; and

(C) the primary beneficiary has not chosen to make an arrangement mentioned in subparagraph (i), (ii) or (iia) for the pension;

the pension is paid at least annually to the primary beneficiary or to a reversionary beneficiary throughout a period equal to:

(D) the life expectancy of the spouse on the commencement day; or

(E) the life expectancy of the spouse calculated, at the option of the primary beneficiary, as if the spouse were up to 5 years younger on the commencement day; or

(F) if the pension has a commencement day on or after 1 January 2006—a period that is not less than the period available under sub-subparagraph 1.06(8)(a)(iii)(D), and not more than the greater of the following periods:

(I) the maximum period available under sub-subparagraph 1.06(8)(a)(iii)(E);

(II) the period of years equal to the number that is the difference between the age attained by the spouse at his or her most recent birthday before the commencement day, and 100;

at the option of the primary beneficiary, and rounded up to the next whole number if the life expectancy of the spouse, or the period, does not consist of a whole number of years; and

the total amount of the payments to be made in a year (excluding payments by way of commutation but including payments made under a payment split) is determined in accordance with Schedule 6; and

the market linked pension does not have a residual capital value; and

the market linked pension cannot be commuted except in any of the following circumstances:

the pension is not funded from the commutation of:

(A) an annuity that is provided under a contract that meets the standards of subregulation 1.05(2), (3), (9) or (10); or

(B) another pension that is provided under rules that meet the standards of subregulation (2), (3) or (7) or this subregulation; or

(C) another pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

and the commutation is made within 6 months after the commencement day of the pension;

subject to subparagraph (iii), on the death of the primary beneficiary or reversionary beneficiary, by payment of:

(A) a lump sum or a new pension to one or more dependants of either the primary beneficiary or reversionary beneficiary; or

(B) a lump sum to the legal personal representative of either the primary beneficiary or reversionary beneficiary; or

(C) if, after making reasonable enquiries, the provider of the pension is unable to find a person mentioned in sub-subparagraph (A) or (B)—a lump sum to another individual;

for subparagraph (ii), if the primary beneficiary has opted, under subparagraph (a)(iii), for a period worked out in relation to the life expectancy or age of the primary beneficiary’s spouse—the market linked pension cannot be commuted until the death of both the primary beneficiary and the spouse;

the superannuation lump sum resulting from the commutation is transferred directly to the purchase of another benefit that is:

(A) an annuity provided under a contract that meets the standards of subregulation 1.05(2), (3), (9) or (10); or

(B) a pension that is provided under rules that meet the standards of this subregulation, or subregulation 1.06(2), (3) or (7); or

(C) a pension that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the RSA Regulations;

subregulation 1.06C(1) applies to the commutation;

to pay a superannuation contributions surcharge;

to give effect to an entitlement of a non-member spouse under a payment split;

(vii) for the purpose of paying an amount under Division 131 or 135 in Schedule 1 to the Taxation Administration Act 1953, or section 292-80C of the Income Tax (Transitional Provisions) Act 1997, to give effect to a release authority in respect of the primary beneficiary;

(viii) the pension was commenced in contravention of Part 6 and the commutation would result in an obligation to pay an amount to the Commissioner of Taxation under subsection 20F(1) of the Superannuation (Unclaimed Money and Lost Members) Act 1999;

(ix) in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; and

if the market linked pension reverts—it does not have a reversionary component greater than 100% of the account balance immediately before the reversion; and

if the market linked pension is commuted—the commutation amount cannot exceed the account balance immediately before the commutation; and

the market linked pension can be transferred only:

on the death of the primary beneficiary:

(A) to 1 of the dependants of the primary beneficiary; or

(B) to the legal personal representative of the primary beneficiary; or

on the death of the reversionary beneficiary:

(A) to 1 of the dependants of the reversionary beneficiary; or

(B) to the legal personal representative of the reversionary beneficiary; and

the capital value of the market linked pension, and the income from it, cannot be used as security for a borrowing.

for a pension in relation to which there is an account balance attributable to the beneficiary—the total of payments in any year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 1 of Schedule 7; and

for a pension that is not described in paragraph (a):

both of the following apply:

(A) the rules do not provide for a residual capital value, commutation value or withdrawal benefit greater than 100% of the purchase price of the pension;

(B) the total of payments in any year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 2 of Schedule 7; or

each of the following applies:

(A) the pension is payable throughout the life of the beneficiary (primary or reversionary), or for a fixed term of years that is no greater than the difference between the primary beneficiary’s age on the commencement day and age 100;

(B) there is no arrangement for an amount (or a percentage of the purchase price) prescribed by the rules to be returned to the recipient when the pension ends;

(C) the total of payments from the pension in the first year (excluding payments by way of commutation but including payments under a payment split) is at least the amount calculated under clause 2 of Schedule 7;

(D) the total of payments from the pension in a subsequent year cannot vary from the total of payments in the previous year unless the variation is as a result of an indexation arrangement or the transfer of the pension to another person;

(E) if the pension is commuted, the commutation amount cannot exceed the benefit that was payable immediately before the commutation; or

the standards of subregulation (2) are met; or

(iv) for rules in existence at the date of registration of the Superannuation Industry (Supervision) Amendment Regulations 2007 (No. 3), the standards of subregulation (2) would be met, except for the circumstances in which those rules allow for either or both of the following:

(A) the pension to be commuted;

(B) the variation or cessation of pension payments in respect of a child of the deceased; and

the pension is transferable to another person only on the death of the beneficiary (primary or reversionary, as the case may be); and

the capital value of the pension and the income from it cannot be used as a security for a borrowing.

the most recently published Australian Life Tables;

(b) the 1995-97 Australian Life Tables.

results in the total amount of pension payments in each year:

increasing by the same percentage factor; or

being adjusted in line with movements in the Consumer Price Index; or

being adjusted in line with movements in an index of average weekly earnings published by the Australian Statistician; or

being adjusted in accordance with subparagraph (ii) or (iii) but with an increase capped at a maximum level; and

ensures that, unless APRA otherwise approves, an adjustment is made at least annually to the amount of the pension payments.

a contract for the provision of a benefit supported by a superannuation interest (within the meaning of the 1997 Tax Act);

the rules for the provision of a benefit supported by a superannuation interest (within the meaning of that Act).

they neither meet the standards in subregulation 1.05(11A) nor the standards in subregulation 1.06(9A) (as applicable); and

they comply with subregulation (3) of this regulation; and

either:

they ensure that payment of the benefit is made at least annually; or

the benefit is a deferred superannuation income stream.

no payment of the benefit is made before the primary beneficiary satisfies a condition of release mentioned in item 101, 102, 102A, 103 or 106 of Schedule 1; and

after payments of the benefit start, the benefit is payable throughout the life of the beneficiary (primary or reversionary); and

the amount of benefit payments is determined using a method that ensures that those payments are not unreasonably deferred after they start, having regard to the following:

to the extent that the payments depend on the returns on investment of the assets supporting the benefit—when the payments are made and when the returns are derived;

to the extent that the payments depend on the ages, life expectancies or other factors relevant to the mortality of other individuals who are beneficiaries of that kind of benefit—the age, life expectancy or other factors relevant to the mortality of each of those other individuals;

to the extent that the payments do not depend on the returns mentioned in subparagraph (i) or the ages, life expectancies or other factors relevant to mortality mentioned in subparagraph (ii)—the relative sizes of the annual totals of the payments from year to year;

any other relevant factors; and

if the benefit is commuted on or after the retirement phase start day for the benefit—the commutation amount does not exceed the amount worked out for the benefit under regulation 1.06B; and

if the benefit is commuted before the retirement phase start day for the benefit—the commutation happens only in accordance with the rules set out in regulations 6.16, 6.18, 6.19 and 6.22A, if those rules applied in relation to the benefit as if:

the benefit were in a regulated superannuation fund; and

the beneficiary were a member of the fund; and

the provider of the benefit were a trustee of the fund; and

the benefit is transferable to another person only on the death of the beneficiary (primary or reversionary, as applicable); and

the capital value of the benefit and the income from it cannot be used as a security for a borrowing.

if the income stream is commuted during the 14 day period starting on the retirement phase start day for the income stream—the access amount for the income stream at the time of the commutation; or

if the income stream is commuted on the death of the beneficiary within the first half of the life expectancy period for the income stream and paragraph (a) does not apply—the access amount for the income stream at the time of the death; or

otherwise:

the amount worked out for the income stream under subregulation (2); or

if the amount worked out for the income stream under subregulation (2) is less than or equal to zero—nil.

starting on the retirement phase start day for the income stream; and

ending on the day of the commutation.

the benefit is commuted during the 5 years beginning on the day this regulation commences; and

the whole of the benefit is commuted.

is not a defined benefit fund; or

is a self managed superannuation fund; or

(c) was, when the benefit commenced to be paid and at all earlier times, a small APRA fund (within the meaning of the Corporations Act 2001).

(a) a contract mentioned in paragraph 1.05(1A)(e) for a benefit (in this regulation called the annuity);

(b) a contract mentioned in paragraph 1.05(1A)(g) for a benefit that is an annuity under sub-subparagraph 1.05(1A)(g)(i)(A) (in this regulation called the annuity);

(c) rules of a superannuation fund mentioned in paragraph 1.06(1A)(c) for a benefit (in this regulation called the pension).

the commutation results from the death of an annuitant or pensioner or a reversionary annuitant or reversionary pensioner; or

the sole purpose of the commutation is:

to pay a superannuation contributions surcharge; or

to give effect to an entitlement of a non-member spouse under a payment split; or

(iii) to meet the rights of a client to return a financial product under Division 5 of Part 7.9 of the Corporations Act 2001; or

for a commutation in part—the account balance of the annuity or pension, immediately after the commutation in part, would be equal to or would exceed the minimum limit under Schedule 1A or Schedule 1AAB, whichever is applicable to the annuity or pension under subregulation 1.05(4) or 1.06(4) as the case may be, as reduced by the amount of payments (excluding amounts paid by way of commutation) to the annuitant or pensioner already made in the financial year in which the commutation in part would occur; or

the annuity or pension has paid, in the financial year in which the commutation is to take place, at least the minimum amount under subregulation (3).

begins on:

if the annuity or pension commenced in the financial year in which the commutation is to take place—the commencement day; or

otherwise—1 July in that financial year; and

ends on the day on which the commutation is to take place.

Days in financial year means the number of days in the financial year in which the commutation is to take place (365 or 366).

Minimum annual amount for the financial year means:

for an annuity mentioned in paragraph (1)(b)—the minimum limit worked out in accordance with clause 2 of Schedule 1A or 1AAB as the case may be, as if the annuity account balance was the amount of the annuity account that is allocated by the annuity provider to make payments whose size is not fixed, in accordance with subparagraph 1.05(8)(c)(ii); and

otherwise—the minimum limit worked out in accordance with clause 2 of Schedule 1A or 1AAB as the case may be;

rounded to the nearest 10 whole dollars.

(a) a contract mentioned in paragraph 1.05(1)(e), (1A)(f) or (1B)(c) for a benefit (the annuity);

(b) a contract mentioned in paragraph 1.05(1A)(g) for a benefit that is an annuity under sub-subparagraph 1.05(1A)(g)(i)(B) (the annuity);

(c) rules of a superannuation fund mentioned in paragraph 1.06(1)(c), (1A)(d) or (1B)(c) for a benefit (the pension).

the commencement day; or

the anniversary of the commencement day.

the commutation results from the death of an annuitant or pensioner or a reversionary annuitant or reversionary pensioner; or

the sole purpose of the commutation is:

to pay a superannuation contributions surcharge; or

to give effect to an entitlement of a non-member spouse under a payment split; or

(iii) to meet the rights of a client to return a financial product under Division 5 of Part 7.9 of the Corporations Act 2001; or

(iv) to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; or

the annuity or pension has paid, in the payment year in which the commutation is to take place, at least the minimum amount under subregulation (4).

the number of days in the period that:

begins on:

(A) the day after the anniversary of the commencement day that occurs before the day on which the commutation is to take place; or

(B) if the annuity or pension commenced on the day before the start of the payment year in which the commutation is to take place—the day after the commencement day; and

ends on the day on which the commutation is to take place; or

if subregulation (5) applies—1 day.

Days in payment year means the number of days in the payment year in which the commutation is to take place (365 or 366).

Minimum annual amount means:

for an annuity mentioned in paragraph (1)(b)—the minimum amount that the annuity would pay as fixed-size payments in the payment year if the annuity were not commuted; and

otherwise—the minimum amount that the annuity or pension would pay in the payment year if the annuity or pension were not commuted.

the payment year is taken to commence on the commencement day and end on the day before the anniversary of the commencement day; and

there is taken to be 1 day in the payment period.

a contract mentioned in paragraph 1.05(1A)(h) or (1B)(d) for a market linked annuity;

rules of a superannuation fund mentioned in paragraph 1.06(1A)(e) or (1B)(d) for a market linked pension.

the commutation results from the death of an annuitant or pensioner or a reversionary annuitant or reversionary pensioner; or

the sole purpose of the commutation is:

to pay a superannuation contributions surcharge; or

to give effect to an entitlement of a non-member spouse under a payment split; or

(iii) to meet the rights of a client to return a financial product under Division 5 of Part 7.9 of the Corporations Act 2001; or

(iv) to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953; or

for a commutation in part—the account balance of the annuity or pension, immediately after the commutation in part, would be equal to or would exceed the total payment amount calculated in accordance with Schedule 6, as reduced by the amount of payments (excluding amounts paid by way of commutation) to the annuitant or pensioner already made in the financial year in which the commutation in part would occur; or

the annuity or pension has paid, in the financial year in which the commutation is to take place, at least the minimum amount under subregulation (3).

starts on:

if the annuity or pension commenced in the financial year in which the commutation is to take place—the commencement day; or

in any other case—1 July in that financial year; and

ends at the end of the day on which the commutation is to take place.

days in financial year means the number of days in the financial year in which the commutation is to take place.

the commutation results from the death of the annuitant or pensioner or a reversionary annuitant or reversionary pensioner; or

the sole purpose of the commutation is:

to pay a superannuation contributions surcharge; or

to give effect to an entitlement of a non-member spouse under a payment split; or

(iii) to meet the rights of a client to return a financial product under Division 5 of Part 7.9 of the Corporations Act 2001; or

for a commutation in part—the account balance of the annuity or pension, immediately after the commutation, is equal to or greater than the minimum payment amount calculated in accordance with Schedule 7, as reduced by the amount of payments (excluding amounts paid by way of commutation) to the annuitant or pensioner already made in the financial year in which the commutation occurs; or

the annuity or pension has paid, in the financial year in which the commutation takes place, at least the minimum amount prescribed by subregulation (2).

begins on:

if the annuity or pension commenced in the financial year in which the commutation is to take place—the commencement day; or

otherwise—1 July in that financial year; and

ends on the day on which the commutation is to take place.

minimum annual amount means the minimum amount payable under the annuity or pension, in the financial year, calculated in accordance with Schedule 7.

the Regulator has approved in writing; or

is for conversion in relation to a commutation to pay a superannuation contributions surcharge; or

is for conversion in relation to a commutation to give effect to an entitlement of a non-member spouse under a payment split; or

(d) is for conversion in relation to a commutation in order to comply with section 136-80 in Schedule 1 to the Taxation Administration Act 1953.

means a pension (including a benefit that is taken, under these regulations, to be a pension for the purposes of the Act), other than a benefit that is taken, under subregulation 1.06(1), to be a pension by reason only that it is provided under rules of a superannuation fund that meet the standards of subregulation 1.06(2); but

does not include any of the following:

an account-based pension;

an allocated pension;

a market linked pension.

in relation to a superannuation entity—a person who:

is a member of the entity; or

receives a pension from the entity; or

has deferred his or her entitlement to receive a benefit from the entity; and

in relation to an approved deposit fund—a depositor in the fund; and

in relation to a PST—a unit-holder.

stating the types of entity to which the Division applies; and

referring to any particular provisions of the Division, or a Subdivision of the Division, that limit or restrict the application of the Division or Subdivision.

be in writing; and

be worded and presented in a clear and effective manner.

a superannuation fund with fewer than 7 members;

an excluded approved deposit fund;

a pooled superannuation trust;

an eligible rollover fund.

a short-form summary containing the information set out in subregulation (2), which must:

fit on a single page and be the only information on that page; and

be the first page of the pages of information referred to in this regulation;

a copy of both of the following:

(i) a summary of each significant event or material change notice (if any) given under section 1017B of the Corporations Act 2001 by a trustee of the entity to a member of the entity during the 2 year period finishing at the end of the year of income;

(ii) the details of remuneration that, at the time the notice is given, are required under subregulation 7.9.07ZC(3) or (5) of the Corporations Regulations 2001 to be made publicly available on the entity’s website or are required under section 300C of the Corporations Act 2001 to be included in the director’s report for the entity;

if a determination made under paragraph 52(9)(a) of the Act in relation to the entity is publicly available at the time the notice is given, or must be made publicly available before the meeting is held—a copy of the determination;

a copy of each of the following:

(i) the most recent periodic statement (if any) given to the member under section 1017D of the Corporations Act 2001;

(ii) the most recent fund information provided under regulation 7.9.32 of the Corporations Regulations 2001 to holders of interests in the entity;

for each contract (if any) under which one or more payments were made, by or on behalf of the entity during the year of income, where a purpose of each payment was promoting the entity, promoting a particular view on behalf of the entity or sponsorship on behalf of the entity:

the sum of all such payments that have been or are to be made under the contract during any year of income;

the name of each entity to whom such payments have been or are to be made under the contract during any year of income and, for each such entity, the sum of all such payments that have been or are to be made to the entity under the contract during any year of income;

the term of the contract;

(f) if any gifts (within the meaning of Part XX of the Commonwealth Electoral Act 1918) were made, by or on behalf of the entity during the year of income, to another entity who, at the time of receiving the gift:

was a political entity (within the meaning of that Act); or

was, or was required by that Part of that Act to be, a political campaigner (within the meaning of that Part); or

was, or was required by that Part of that Act to be, an associated entity (within the meaning of that Part);

an itemised list showing each such gift and the name of the entity to whom each gift was made;

(g) if any payments were made, by or on behalf of the entity during the year of income, to another entity who, at the time of receiving the payment, was an organisation (within the meaning of the Fair Work (Registered Organisations) Act 2009)—an itemised list showing each such payment and the name of the entity to whom each payment was made;

(h) if any payments were made, by the entity (the main entity) during the year of income, to any of the following:

a connected entity of the RSE licensee of the main entity;

(ii) an associated entity of another entity (the third party) if the third party is a connected entity of the RSE licensee of the main entity;

an entity over whom the RSE licensee of the main entity has significant influence;

an entity who has significant influence over the RSE licensee of the main entity;

an entity whose key management personnel include the RSE licensee, or an executive officer of the RSE licensee, of the main entity;

(vi) an associated entity of another entity (the third party), if the RSE licensee, or an executive officer of the RSE licensee, of the main entity is a member of the key management personnel of the third party;

an itemised list showing each such payment and the name of the entity to whom each payment was made.

the sum of the remuneration referred to in subparagraph (1)(b)(ii), which is to be described as the aggregate remuneration expenditure relating to the entity for the year of income;

the sum of the payments referred to in paragraph (1)(e) that were made during the year of income (under all contracts referred to in that paragraph), which is to be described as the aggregate promotion, marketing or sponsorship expenditure relating to the entity for the year of income;

the sum of the payments referred to in paragraph (1)(f), which is to be described as the aggregate political donations relating to the entity for the year of income;

the sum of the payments referred to in paragraph (1)(g), which is to be described as the aggregate industrial body payments relating to the entity for the year of income;

the sum of the payments referred to in paragraph (1)(h), which is to be described as the aggregate related party payments relating to the entity for the year of income.

is accessible by the member (including by being publicly available) at the time the notice of the annual members’ meeting is given; or

must be made so accessible before the meeting is held;

it is sufficient for the purposes of that paragraph if the information included with the notice includes details of how to access that extra information.

(a) make the notice of the meeting publicly available on the entity’s website; and

ensure that the notice is readily accessible from the website.

Notice, and information included with notice, also to be given in other ways

(a) if the RSE licensee is required under paragraph 1017DA(1)(a) of the Corporations Act 2001 to give the person information in relation to a fund reporting period that ends during the year of income, and the RSE licensee can satisfy that requirement by giving the person that information in a particular way or in any one of several ways—in that way or in one of those ways;

otherwise—in writing.

(a) fund reporting period has the same meaning as in Part 7.9 of the Corporations Regulations 2001; and

a fund reporting period that ends at the same time that the year of income ends is a period that ends during that year.

(a) the most recent fund information provided under regulation 7.9.32 of the Corporations Regulations 2001 to holders of interests in the entity;

(b) the reports (if any) the entity is required to provide to members under subsection 314AA(1) of the Corporations Act 2001 at the time of the request.

a regulated superannuation fund; and

an approved deposit fund.

the contact details for the fund;

if the interest is not a percentage-only interest and the payment split is a base amount split:

the base amount allocated to the non-member spouse under the relevant superannuation agreement, flag lifting agreement or splitting order; and

the method by which the base amount will be adjusted on an ongoing basis; and

whether the governing rules of the fund would allow the non-member spouse to become a member of the fund, and information about the options available to the non-member spouse in relation to the interest under Part 7A;

if the interest is not a percentage-only interest and the payment split is a percentage payment split:

the percentage that is to apply to all splittable payments in respect of the interest; and

whether the governing rules of the fund would allow the non-member spouse to become a member of the fund, and information about the options available to the non-member spouse in relation to the interest under Part 7A;

if the interest is a percentage-only interest:

the percentage specified in the relevant superannuation agreement, flag lifting agreement or splitting order; and

(ii) if the payment split is under a superannuation agreement or flag lifting agreement, whether the percentage is to apply for the purposes of subparagraph 90XJ(1)(b)(i) or 90YN(b)(i) (as the case may be) of the Family Law Act 1975; and

(iii) if the payment split is under a splitting order, whether the order is made under paragraph 90XT(1)(c) or 90YY(1)(c) (as the case may be) of the Family Law Act 1975;

the circumstances in which the entitlement of the non-member spouse will become payable;

if the governing rules of the fund would allow the non-member spouse to become a member of the fund, information that the non-member spouse would reasonably need to understand the management and financial condition of the fund and of any relevant sub-plan (for example, the fund’s product disclosure statement);

details of the AFCA scheme;

details (in summary form) of the fund’s internal dispute resolution procedures;

details of any fee payable by the non-member spouse in respect of the payment split, and arrangements for the payment of any such fee.

an interest in a fund is subject to a base amount payment split or a percentage payment split; and

the interest is not a percentage-only interest; and

the interest is in the growth phase; and

none of the following has occurred in respect of a payment split:

a new interest was created for the non-member spouse;

the transferable benefits of the non-member spouse were transferred or rolled out of the fund;

the amount to which the non-member spouse is entitled under the payment split was paid, as a lump sum, to the non-member spouse.

the event is likely to have a material effect on the interest in the fund; and

the effect may be adverse (whether the adverse effect would occur at the time of the event or a later time).

the member spouse lodges a notice, or makes a request of a trustee, which would bind the trustee to pay death benefits to a particular beneficiary or beneficiaries; and

a payment made in accordance with the notice or request would not be a splittable payment because of the identity or characteristics of that beneficiary or those beneficiaries;

the trustee must inform the non-member spouse that the member spouse has lodged the notice or made the request.

public offer entities;

superannuation entities that are superannuation funds with no more than 6 members (other than self managed superannuation funds);

excluded approved deposit funds.

a trustee that holds an acting trustee licence; or

a trustee who is a member of a group of individual trustees that holds an acting trustee licence;

to be a trustee of a registrable superannuation entity or entities to which the trustee is appointed to act as trustee under section 134 of the Act by APRA.

the trustee:

gives the beneficiary or class a choice of 2 or more strategies for investing the interest of the beneficiary or class in the fund; and

informs the beneficiary or class that the beneficiary or class may choose a strategy or combination of strategies;

the beneficiary or class is fully informed of:

the investment objectives of each strategy; and

anything else the trustee reasonably believes a person would need to know to understand the effect of, and any risk involved in, each strategy;

the direction specifies:

which strategy or combination of strategies the beneficiary or class has chosen; and

where applicable, matters related to the choice mentioned in subparagraph (i);

the beneficiary or class is fully informed of the range of directions that can be given and the circumstances in which they can be changed.

the beneficiary or class is given all the information the trustee believes a person would need to understand the effect of, and any risk involved in, giving the subsequent direction;

the subsequent direction relates to the strategy for investing the beneficiary or class’s interest in the fund.

the trustee:

gives the beneficiary a choice of 2 or more strategies for investing the interest of the beneficiary in the fund; and

informs the beneficiary that the beneficiary may choose a strategy or combination of strategies;

the beneficiary is fully informed of:

the investment objectives of each strategy; and

anything else the trustee reasonably believes a person would need to know to understand the effect of, and any risk involved in, each strategy;

the direction specifies:

which strategy or combination of strategies the beneficiary has chosen; and

where applicable, matters related to the choice mentioned in subparagraph (i).

the beneficiary is fully informed of the range of directions that can be given and the circumstances in which they can be changed;

the trustee, when presenting a choice of 2 or more investment strategies to the beneficiary, informs the beneficiary which strategy the trustee will adopt if no direction is given.

the beneficiary is given all the information the trustee believes a person would need to understand the effect of, and any risk involved in, giving the subsequent direction;

the subsequent direction relates to the strategy for investing the beneficiary’s interest in the fund.

is made for subsection 31(1) of the Act; and

applies to a regulated superannuation fund (other than a self managed superannuation fund) with no more than 6 members.

the trustee:

gives the beneficiary a choice of 2 or more strategies for investing the interest of the beneficiary in the fund; and

informs the beneficiary that the beneficiary may choose a strategy or combination of strategies;

the beneficiary is fully informed of:

the investment objectives of each strategy; and

anything else the trustee reasonably believes a person would need to know to understand the effect of, and any risk involved in, each strategy;

the direction specifies:

which strategy or combination of strategies the beneficiary has chosen; and

where applicable, matters related to the choice mentioned in subparagraph (i);

the beneficiary is fully informed of the range of directions that can be given and the circumstances in which they can be changed;

the trustee, when presenting a choice of 2 or more investment strategies to the beneficiary, informs the beneficiary which strategy the trustee will adopt if no direction is given.

the beneficiary is given all the information the trustee believes a person would need to understand the effect of, and any risk involved in, giving the subsequent direction;

the subsequent direction relates to the strategy for investing the beneficiary’s interest in the fund.

where, after the implementation of the direction:

the fund (if a defined benefit fund) would not become technically insolvent within the meaning of subregulation 9.06(3); or

the fund (if an accumulation fund) would not become technically insolvent within the meaning of subregulation 9.35(3); and

where the direction would not require the trustee to contravene the Act (other than section 55) or these regulations; and

where the direction qualifies under subregulation (2).

the contributions of the employer-sponsor to the fund include contributions that are not mandated employer contributions (within the meaning of Part 5) and the direction relates solely to either or both of the following:

those non-mandated employer contributions; or

benefits related to those non-mandated employer contributions; or

whether or not paragraph (a) applies—the direction relates solely to one or more of the following:

the admission of new members to the fund; or

the category of members into which a new member or existing member is to be placed; or

allowing a person to become an employer-sponsor of the fund; or

the termination of the fund; or

the appointment of a trustee to an entity that does not have a trustee.

where, after the exercise of the discretion:

the fund (if a defined benefit fund) would not become technically insolvent within the meaning of subregulation 9.06(3); or

the fund (if an accumulation fund) would not become technically insolvent within the meaning of subregulation 9.35(3); and

where the discretion could have been exercised by the trustee without contravening the Act (other than section 55) or these regulations; and

where the discretion qualifies under subregulation (2).

the contributions of the employer-sponsor to the fund include contributions that are not mandated employer contributions (within the meaning of Part 5) and the discretion relates solely to either or both of the following:

those non-mandated employer contributions; or

benefits related to those non-mandated employer contributions; or

whether or not paragraph (a) applies—the discretion relates solely to one or more of the following:

the admission of new members to the fund; or

the category of members into which a new member or existing member is to be placed; or

allowing a person to become an employer-sponsor of the fund; or

the termination of the fund; or

the appointment of a trustee to an entity that does not have a trustee.

where, after the making of the amendment:

the fund (if a defined benefit fund) would not become technically insolvent within the meaning of subregulation 9.06(3); or

the fund (if an accumulation fund) would not become technically insolvent within the meaning of subregulation 9.35(3); and

where the amendment could have been made by the trustee without contravening the Act (other than section 55) or these regulations; and

where the amendment qualifies under subregulation (2).

the contributions of the employer-sponsor to the fund include contributions that are not mandated employer contributions (within the meaning of Part 5) and the amendment relates solely to either or both of the following:

those non-mandated employer contributions; or

benefits related to those non-mandated employer contributions; or

whether or not paragraph (a) applies—the amendment relates solely to one or more of the following:

the admission of new members to the fund; or

the category of members into which a new member or existing member is to be placed; or

allowing a person to become an employer-sponsor of the fund; or

the termination of the fund; or

the appointment of a trustee to an entity that does not have a trustee.

if the member representative resigns from the position of trustee, director of the trustee or representative on a policy committee; or

if the member representative’s tenure of that position expires; or

if the member representative ceases to be a member of the fund; or

if the member representative ceases to satisfy a condition that the member representative was required to satisfy to be eligible for appointment.

if the office-holder resigns from office; or

if the office-holder’s tenure of office expires; or

if the office-holder ceases to be:

in the case of an additional independent trustee—an independent trustee; or

in the case of an additional independent director—an independent director; or

if the office-holder ceases to satisfy a condition that the office-holder was required to satisfy to be eligible for appointment.

the continued provision of benefits to members who joined a fund before 1 July 2014; or

the provision of benefits under an approval granted before 1 July 2014 under subparagraph 62(1)(b)(v) of the Act.

the rules that do not comply with subregulation (2) are taken to have been omitted from the governing rules; and

the rules omitted under paragraph (a) are taken to have been replaced by rules that allow the provision of benefits that are permitted under subregulation (2).

a successor fund that, immediately before the transfer, did not self-insure in relation to the risk; or

under Part 33 of the Act—a fund that, immediately before the transfer, did not self-insure in relation to the risk.

provides an insured benefit to members of the fund; or

guarantees the provision of an insured benefit to members of the fund.

on or before 1 July 2013, APRA has not imposed, under subsection 29EA(1) of the Act, a condition on the licence of the RSE licensee of the fund that prohibits self-insurance in relation to defined benefit members; and

on 1 July 2013, the fund self-insures in relation to the members.

under subsection 91(4) or 93(4) of the Act—with the basic equal representation rules; or

under subsection 90(3) of the Act—with either:

the basic equal representation rules; or

the alternative agreed representation rule set out in subsection 90(4) of the Act; or

under subsection 92(4) of the Act—with either:

the basic equal representation rules; or

the alternative agreed representation rule set out in subsection 92(5) of the Act.

to the operation of standard employer-sponsored funds that comply with the alternative agreed representation rule set out in subsection 90(4) or 92(5) of the Act; or

to a decision of a delegate of the individual trustees or of the board of directors of the corporate trustee of the fund if the delegation was approved by at least two-thirds of the total number of the trustees or directors.

the individual trustees of a fund; or

the board of directors of the corporate trustee of a fund;

must be taken not to have been made, or to be of no effect, if fewer than two-thirds of the total number of the trustees or directors, as the case requires, voted for it.

that is not a standard employer-sponsored fund; and

that has more than 6 members; and

in relation to which a declaration under subsection 18(7) of the Act is in force;

must have in place an arrangement in relation to the management and control of the fund that:

has been agreed to by a majority of the members of the fund; and

is approved by APRA in writing.

is subject to any conditions specified in the instrument of approval; and

may be revoked by APRA by written notice given to the holder of the approval.

was granted by the Commissioner or APRA under the regulation 4.08A that, under section 2 of Modification Declaration 10, had effect as if it had been inserted into these regulations; and

was in force immediately before 1 March 2001;

continues in force as if granted by APRA for this regulation after that commencement.

is made for subsection 31(1) of the Act; and

applies to a superannuation entity that is a self managed superannuation fund.

the risk involved in making, holding and realising, and the likely return from, the entity’s investments, having regard to its objectives and expected cash flow requirements;

the composition of the entity’s investments as a whole, including the extent to which they are diverse or involve exposure of the entity to risks from inadequate diversification;

the liquidity of the entity’s investments, having regard to its expected cash flow requirements;

the ability of the entity to discharge its existing and prospective liabilities;

whether the trustees of the fund should hold a contract of insurance that provides insurance cover for one or more members of the fund.

relate to the strategy to be followed by the trustee in relation to the investment of a particular asset or assets of the entity; and

are given in the circumstances covered by regulation 4.02.

that are held by the trustee personally; or

that are money or assets, as the case may be, of a standard employer-sponsor, or an associate of a standard employer-sponsor, of the fund.

the receiving trustee has reasonable grounds to believe that the benefit being rolled over or transferred is being rolled over or transferred on the basis of a belief held by the trustee or RSA provider of the transferring entity (as the case requires) that the receiving trustee has received the member’s or RSA holder’s consent to the rollover or transfer; and

the receiving trustee has not received that consent.

written consent; or

any other form of consent determined by the Regulator as sufficient in the circumstances.

lend money of the fund to:

a member of the fund; or

a relative of a member of the fund; or

give any other financial assistance using the resources of the fund to:

a member of the fund; or

a relative of a member of the fund.

lend money of the fund to:

a member of the fund; or

a relative of a member of the fund; or

give any other financial assistance using the resources of the fund to:

a member of the fund; or

a relative of a member of the fund.

amounts deposited in the fund for the member down to that time; and

investment earnings on those amounts down to that time; less:

the costs applicable to those amounts down to that time.

administration costs includes all fees and charges charged against a member’s benefits (whether or not charged against the contributions by or in respect of the member), other than: in the case of a member who was a member of the fund on 30 June 1995, the exit fee (if any) applicable to the member’s benefits at that date; and the cost (if any) of providing to the member: an insured death benefit; or an insured permanent or temporary incapacity benefit; and taxation costs.

in the case of a member who was a member of the fund on 30 June 1995, the exit fee (if any) applicable to the member’s benefits at that date; and

the cost (if any) of providing to the member:

an insured death benefit; or

an insured permanent or temporary incapacity benefit; and

taxation costs.

cashed means cashed in accordance with Division 6.3.

costs, in relation to a member’s benefits in a regulated superannuation fund or an approved deposit fund as at any time, means the total costs determined under regulation 5.02 in relation to those benefits and charged to those benefits in accordance with that regulation down to that time.

deferred annuity means an annuity that is not payable on purchase, and the terms of which ensure: that payment of benefits under the annuity: is not commenced earlier than the time at which Part 6 permits or requires the benefits to be paid from an approved deposit fund; and is to commence as soon as practicable after the annuitant: (A) dies; or (B) if the annuitant dies before attaining the age of 65—would have attained that age; and that, except as permitted in relation to approved deposit funds by the Act or these Regulations, the provider of the annuity is not taken to recognise, or in any way encourage or sanction: an assignment of an interest under the annuity; or the giving of a charge over, or in relation to, the annuity.

that payment of benefits under the annuity: