2008 The Parliament of the Commonwealth of Australia HOUSE OF REPRESENTATIVES Presented and read a first time First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 (Treasury) A Bill for an Act to amend the law relating to first home saver accounts, and for other purposes [Page Break] 1 Short title ........................................................................................... 1 2 Commencement ................................................................................. 1 3 Schedule(s) ........................................................................................ 2 Schedule 1--Amendments applying from 1 October 2008 3 Anti-Money Laundering and Counter-Terrorism Financing Act 2006 3 First Home Saver Accounts Act 2008 3 Fringe Benefits Tax Assessment Act 1986 3 Income Tax Assessment Act 1936 4 Income Tax Assessment Act 1997 4 Superannuation (Government Co-contribution for Low Income Earners) Act 2003 7 Taxation Administration Act 1953 7 Schedule 2--Amendments commencing the day after Royal Assent 8 Australian Securities and Investments Commission Act 2001 8 Banking Act 1959 8 First Home Saver Accounts Act 2008 8 Income Tax Assessment Act 1936 19 Life Insurance Act 1995 19 Taxation Administration Act 1953 19 Schedule 3--Amendments commencing 1 July 2009 20 Authorised Deposit-taking Institutions Supervisory Levy Imposition Act 1998 20 Financial Institutions Supervisory Levies Collection Act 1998 20 Life Insurance Supervisory Levy Imposition Act 1998 21 Schedule 4--Amendment contingent on the Family Law Amendment (De Facto Financial Matters and Other Measures) Act 2008 22 First Home Saver Accounts Act 2008 22 i First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 2 home saver accounts, and for other purposes 3 The Parliament of Australia enacts: 4 1 Short title 5 This Act may be cited as the First Home Saver Accounts (Further 6 Provisions) Amendment Act 2008. 7 2 Commencement 8 (1) Each provision of this Act specified in column 1 of the table 9 commences, or is taken to have commenced, in accordance with 10 column 2 of the table. Any other statement in column 2 has effect 11 according to its terms. 12 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 1 [Page Break] Column 1 Column 2 Column 3 Provision(s) Commencement Date/Details 1. Sections 1 to 3 The day on which this Act receives the and anything in Royal Assent. this Act not elsewhere covered by this table 2. Schedules 1 The day after this Act receives the Royal and 2 Assent. 3. Schedule 3 1 July 2009. 1 July 2009 4. Schedule 4 The later of: (a) immediately after the commencement of the provision(s) covered by table item 2; and (b) the commencement of Schedule 1 to the Family Law Amendment (De Facto Financial Matters and Other Measures) Act 2008. However, the provision(s) do not commence at all if the event mentioned in paragraph (b) does not occur. 1 Note: This table relates only to the provisions of this Act as originally 2 passed by both Houses of the Parliament and assented to. It will not be 3 expanded to deal with provisions inserted in this Act after assent. 4 (2) Column 3 of the table contains additional information that is not 5 part of this Act. Information in this column may be added to or 6 edited in any published version of this Act. 7 3 Schedule(s) 8 Each Act that is specified in a Schedule to this Act is amended or 9 repealed as set out in the applicable items in the Schedule 10 concerned, and any other item in a Schedule to this Act has effect 11 according to its terms. 2 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 2 Schedule 1--Amendments applying from 3 1 October 2008 4 5 Anti-Money Laundering and Counter-Terrorism Financing 6 Act 2006 7 1 Section 5 (definition of contribution) 8 Repeal the definition, substitute: 9 contribution: 10 (a) in relation to an FHSA--has the same meaning as in the First 11 Home Saver Accounts Act 2008; or 12 (b) in relation to an RSA--has the same meaning as in the 13 Retirement Savings Accounts Act 1997. 14 First Home Saver Accounts Act 2008 15 2 At the end of subsection 31(1) 16 Add: 17 ; or (h) the payment is to enable the provider to make a payment of 18 an amount of tax. 19 3 Before section 127 20 Insert: 21 126C Protection for FHSA provider 22 An FHSA provider is not liable for loss or damage suffered by any 23 person because of things done (or not done) by the provider in 24 good faith in reliance on: 25 (a) an application made to the provider in accordance with 26 section 126A; or 27 (b) a family law obligation. 28 Fringe Benefits Tax Assessment Act 1986 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 3 [Page Break] 1 4 Subsection 136(1) (after paragraph (hc) of the definition of 2 fringe benefit) 3 Insert: 4 (hd) a benefit: 5 (i) constituted by the making of a contribution to an FHSA 6 (within the meaning of the First Home Saver Accounts 7 Act 2008); or 8 (ii) that is an expense payment benefit in relation to a 9 contribution to an FHSA (within the meaning of the 10 First Home Saver Accounts Act 2008); or 11 Income Tax Assessment Act 1936 12 5 Subsection 6(1) 13 Insert: 14 FHSA has the meaning given by the First Home Saver Accounts 15 Act 2008. 16 6 Subsection 159J(6) (after paragraph (aad) of the definition 17 of separate net income) 18 Insert: 19 (aae) does not include an amount of earnings or other return 20 credited to an FHSA; and 21 (aaf) does not include a Government FHSA contribution (within 22 the meaning of the First Home Saver Accounts Act 2008); 23 and 24 7 Section 202A (definition of interest-bearing account) 25 After "an RSA", insert "or FHSA". 26 8 Section 202A (definition of interest-bearing deposit) 27 After "an RSA", insert "or FHSA". 28 9 Section 202A (definition of unit trust) 29 After "but does not include", insert "an FHSA trust or". 30 Income Tax Assessment Act 1997 4 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 10 Section 10-5 (after table item headed "films") 2 Insert: first home saver accounts employer FHSA contributions etc....................................... 15-80 3 11 Section 10-5 (table item headed "reimbursements") 4 After "elections,", insert "first home saver accounts,". 5 12 Section 11-55 (table item headed "first home saver 6 accounts") 7 After: credits to and payments from............................................... 345-50 8 insert: tax paid by providers ........................................................... 345-30 9 13 At the end of Division 15 of Part 2-1 of Chapter 2 10 Add: 11 15-80 Employer FHSA contributions etc. 12 Your assessable income includes a contribution or expense 13 payment benefit of a kind mentioned in paragraph (hd) of the 14 definition of fringe benefit in subsection 136(1) of the Fringe 15 Benefits Tax Assessment Act 1986 that, but for that paragraph, 16 would be a *fringe benefit *provided to you. 17 14 At the end of section 205-15 18 Add: 19 (3) Despite item 1 or 2 of the table in subsection (1), no credit arises 20 on that part of the payment that is attributable to a payment of 21 income tax in relation to either or both of the following: 22 (a) an *FHSA component; 23 (b) an *RSA component. 24 15 Section 205-30 25 Before "The following", insert "(1)". 26 16 At the end of section 205-30 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 5 [Page Break] 1 Add: 2 (2) Despite item 2 of the table in subsection (1), no debit arises on that 3 part of the refund that is attributable to a payment of income tax in 4 relation to either or both of the following: 5 (a) an *FHSA component; 6 (b) an *RSA component. 7 17 Paragraph 290-5(d) 8 Omit "section 22 or 34 of". 9 18 Paragraph 295-171(a) 10 Omit "section 22 or 34 of". 11 19 Section 295-495 (after table item 4) 12 Insert: 4A *RSA provider Amounts credited to *FHSAs that is also an *FHSA provider 13 20 Paragraph 295-615(1)(b) 14 After "Act 1997", insert ", the First Home Saver Accounts Act 2008". 15 21 At the end of subsection 295-615(1) 16 Add: 17 ; (e) the First Home Saver Accounts Act 2008. 18 22 At the end of Subdivision 345-A of Division 345 of 19 Part 3-45 20 Add: 21 345-25 FHSA provider that is an ADI (other than an RSA 22 provider)--amounts that cannot be deducted 23 An *FHSA provider that is an *ADI (other than an *RSA provider) 24 cannot deduct anything for amounts credited to *FHSAs. 6 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 345-30 Amounts of tax paid by FHSA providers that are ADIs 2 An amount is not assessable income and is not *exempt income of 3 an *FHSA provider if: 4 (a) the amount is paid from an *FHSA to the FHSA provider to 5 enable the provider to make a payment of a kind mentioned 6 in paragraph 31(1)(h) of the First Home Saver Accounts Act 7 2008; and 8 (b) the provider is an ADI. 9 Superannuation (Government Co-contribution for Low 10 Income Earners) Act 2003 11 23 Subparagraph 7(1)(c)(v) 12 Omit "section 22 or 34 of". 13 Taxation Administration Act 1953 14 24 Paragraph 12-1(3)(b) in Schedule 1 15 Repeal the paragraph, substitute: 16 (b) is not any of the following: 17 (i) an exempt benefit under section 22 of that Act (about 18 reimbursement of car expenses on the basis of distance 19 travelled); 20 (ii) an expense payment benefit in relation to a contribution 21 to an *FHSA. 22 25 Paragraph 391-5(1)(e) in Schedule 1 23 Omit "or (g)", substitute ", (g) or (h)". 24 26 Application 25 The amendments made by this Schedule apply from 1 October 2008. First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 7 [Page Break] 1 2 Schedule 2--Amendments commencing the 3 day after Royal Assent 4 5 Australian Securities and Investments Commission Act 2001 6 1 After subsection 127(1) 7 Insert: 8 (1AA) Subsection (1) does not apply to information given or produced in 9 accordance with section 70 of the First Home Saver Accounts Act 10 2008. 11 Note: Section 70 of the First Home Saver Accounts Act 2008 provides for 12 restrictions on the disclosure of this information. 13 Banking Act 1959 14 2 Subsection 69(3) 15 After "Retirement Savings Accounts Act 1997)", insert "or FHSAs 16 (within the meaning of the First Home Saver Accounts Act 2008)". 17 3 At the end of subsection 69(3) 18 Add: 19 Note: The First Home Saver Accounts Act 2008 deals with unclaimed 20 money held in FHSAs. 21 First Home Saver Accounts Act 2008 22 4 Subsection 3(3) 23 Repeal the subsection, substitute: 24 (3) ASIC has the general administration of the following provisions of 25 this Act: 26 (a) Division 2 of Part 7, to the extent that section 6 of the 27 Superannuation Industry (Supervision) Act 1993 (as that 28 section applies under subsection 114(2) of this Act) confers 29 powers and duties on ASIC; 30 (b) Part 4A. 8 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 5 Subparagraph 11(3)(c)(ii) 2 Omit "(recontribution of FHSA home acquisition payment after failure 3 to occupy a dwelling)". 4 6 Subparagraph 11(3)(c)(iii) 5 After "recontribution of", insert "all or part of". 6 7 At the end of subsection 11(3) 7 Add: 8 ; or (e) the contribution is of a kind mentioned in subparagraph 9 51C(2)(b)(i) (recontribution of unclaimed money). 10 8 Paragraph 15(2)(a) 11 Omit "(recontribution to an FHSA after failure to occupy a dwelling)". 12 9 At the end of subsection 15(2) 13 Add: 14 ; or (d) the FHSA was closed following a payment made in 15 accordance with subsection 51B(1) (unclaimed money). 16 10 Paragraph 17(3)(b) 17 Repeal the paragraph, substitute: 18 (b) that failure is reasonable in the circumstances; and 19 (c) if it is reasonable to require the person to do so, the person 20 has, as soon as is practicable, contributed to an FHSA held by 21 the person an amount equal to the payment or a lesser amount 22 that is reasonable in the circumstances. 23 11 Subsection 17(4) 24 Omit "subparagraph (3)(b)(ii), in determining whether it is reasonable 25 to pay a lesser amount in the circumstances,", substitute 26 "paragraph (3)(b), in determining whether a failure is reasonable,". 27 12 At the end of Division 1 of Part 2 28 Add: First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 9 [Page Break] 1 17A Meaning of unclaimed money 2 The balance of an FHSA held by a person is unclaimed money in 3 relation to the person if: 4 (a) no contributions have been made to, and no payments (other 5 than a payment of a kind mentioned in paragraph 31(1)(f), (g) 6 or (h)) have been made from, the FHSA for a period of at 7 least 7 years; and 8 (b) after the end of that period the FHSA provider has been 9 unable to contact the person after making reasonable efforts. 10 13 Section 18 (paragraph (b) of the definition of protected 11 information) 12 Repeal the paragraph, substitute: 13 (b) is disclosed to, or obtained by, a person to whom section 70 14 applies, under section 70 or in the course of, or because of, 15 the person's duties under or in relation to this Act or the 16 regulations; 17 but does not include a protected document or protected information 18 within the meaning of section 56 of the Australian Prudential 19 Regulation Authority Act 1998 or information that is protected 20 from unauthorised use or disclosure under section 127 of the 21 Australian Securities and Investments Commission Act 2001. 22 14 Section 18 23 Insert: 24 unclaimed money has the meaning given by section 17A. 25 15 Subparagraph 19(1)(b)(iii) 26 Omit "paragraph 17(3)(b)", substitute "paragraph 17(3)(c)". 27 16 At the end of paragraph 19(1)(b) 28 Add: 29 (iv) if the person held an FHSA that was closed, and 30 nevertheless meets the FHSA eligibility requirements 31 because of paragraph 15(2)(d)--the initial contribution 32 to the FHSA to be opened or issued will be made in 33 accordance with subparagraph 51C(2)(b)(i); and 10 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 17 Paragraph 22(1)(a) 2 Omit "subsection 23(1)", substitute "paragraph 23(1)(a) or (b)". 3 18 Paragraph 22(1)(a) 4 Omit "that subsection", substitute "that paragraph". 5 19 At the end of paragraph 27(1)(b) 6 Add: 7 ; or (iv) a contribution mentioned in subparagraph 51C(2)(b)(i) 8 (recontribution of unclaimed money). 9 20 Subsection 27(2) 10 Repeal the subsection, substitute: 11 (2) The FHSA provider (the first provider) does not contravene 12 subsection (1) if: 13 (a) in the case of a transfer made by another FHSA provider (the 14 second provider) in the circumstances mentioned in 15 subparagraph 31(1)(c)(ii) (transfer because of a family law 16 obligation)--the first provider repays the amount from the 17 FHSA to the second provider within 30 days after receiving 18 it; or 19 (b) in any other case--the first provider repays the amount from 20 the FHSA to the FHSA holder within 30 days after receiving 21 it. 22 21 Paragraph 28(2)(b) 23 Omit "paragraph 17(3)(b) (recontribution of FHSA home acquisition 24 payment after failure to occupy a dwelling)", substitute "paragraph 25 17(3)(c)". 26 22 At the end of paragraph 31(1)(b) 27 Add: 28 (iv) subsection 51B(1) (compulsory payment of unclaimed 29 money); or 30 23 Paragraph 31(1)(d) 31 Repeal the paragraph, substitute: First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 11 [Page Break] 1 (d) the payment is a repayment made in accordance with 2 subsection 25(2), 26(2) or 27(2); or 3 (da) the FHSA holder has given a declaration, in the approved 4 form, to the FHSA provider stating that he or she has never 5 held another FHSA and that the payment is a repayment 6 made in accordance with: 7 (i) subsection 992A(4) of the Corporations Act 2001 8 (unsolicited offer of financial product); or 9 (ii) section 1016F of that Act (defective product disclosure 10 document); or 11 (iii) section 1019B of that Act (cooling-off period); or 12 24 At the end of subsection 34(1) 13 Add: 14 ; and (c) either: 15 (i) the FHSA provider has not received a notice from the 16 Commissioner in accordance with subsection 67(2); or 17 (ii) if the FHSA provider has received such a notice--the 18 provider has received a revocation of that notice. 19 25 After Part 4 20 Insert: 21 Part 4A--Unclaimed money 22 23 51A Statement of unclaimed money etc. 24 (1) An FHSA provider commits an offence if: 25 (a) at the end of a calendar year, there is unclaimed money held 26 in FHSAs provided by it; and 27 (b) within 3 months after the end of the year, the provider has not 28 given ASIC a statement complying with subsections (2), (3) 29 and (4). 30 Penalty: 50 penalty units. 31 (2) The statement must be in the approved form. 12 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 (3) The approved form may require the statement to contain the 2 following information in relation to each FHSA mentioned in 3 paragraph (1)(a): 4 (a) the FHSA holder's name; 5 (b) the FHSA holder's address; 6 (c) the amount of unclaimed money; 7 (d) the FHSA provider; 8 (e) the FHSA account number, policy number or other 9 identifying number. 10 (4) If, between the end of the calendar year and the day on which the 11 statement is given to ASIC, the provider has made any payments 12 (other than a payment of a kind mentioned in paragraph 31(1)(f), 13 (g) or (h)) from any FHSA mentioned in paragraph (1)(a) of this 14 section, the statement must contain information relating to the 15 amounts so paid. 16 (5) Subsections (3) and (4) do not limit the information the approved 17 form may require the statement to contain. 18 51B Payment of unclaimed money to ASIC on behalf of the 19 Commonwealth 20 (1) An FHSA provider commits an offence if: 21 (a) it gives a statement to ASIC under section 51A at a time; and 22 (b) at the same time, it does not pay to ASIC on behalf of the 23 Commonwealth an amount equal to the amount of unclaimed 24 money worked out under subsection (2). 25 Penalty: 50 penalty units. 26 (2) Work out the amount in accordance with the following formula: 27 Statement amount - Money paid - Remaining partial balances 28 where: 29 money paid means the total of any amounts paid as mentioned in 30 subsection 51A(4). 31 remaining partial balances means the total of the balances (if any) 32 of any FHSAs from which amounts have been paid as mentioned 33 in subsection 51A(4). First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 13 [Page Break] 1 statement amount means the total of unclaimed money shown in 2 the statement mentioned in subsection 51A(1). 3 (3) Subject to section 51C, an FHSA provider is, upon payment to 4 ASIC of an amount as required by this section, discharged from 5 further liability in respect of that amount. 6 51C Payment where money later claimed etc. 7 (1) ASIC must pay to an FHSA provider an amount equal to an 8 amount of unclaimed money in relation to a person if: 9 (a) unclaimed money in relation to the person has been paid to 10 ASIC on behalf of the Commonwealth under section 51B by 11 the FHSA provider (or another FHSA provider that no longer 12 offers to provide FHSAs); and 13 (b) the person, or the person's legal personal representative, has 14 made an application to the provider in the approved form; 15 and 16 (c) the provider has made an application to ASIC stating that: 17 (i) it has approved the application mentioned in 18 paragraph (b); and 19 (ii) it will contribute or pay the amount in accordance with 20 subsection (2). 21 (2) An FHSA provider commits an offence if: 22 (a) it receives an amount under subsection (1); and 23 (b) within 30 days after receiving the amount, it does not 24 contribute or pay the amount: 25 (i) if the application states that the person meets the FHSA 26 eligibility requirements and that he or she wants the 27 amount to be contributed to an FHSA--to an FHSA 28 opened or issued for the person; or 29 (ii) if the application states that the person wants the 30 amount to be paid to a particular superannuation interest 31 of the person in a complying superannuation plan--to 32 that plan; or 33 (iii) if the application states that the person is aged 60 or 34 over and that he or she wants the amount to be paid to 35 him or her--to the person; or 36 (iv) if none of subparagraphs (i), (ii) and (iii) apply--to a 37 superannuation interest for the benefit of the person in 14 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 the provider's default superannuation plan (see 2 section 24); or 3 (v) if the person is deceased--to the person's legal personal 4 representative. 5 Penalty: 50 penalty units. 6 (3) If an FHSA provider satisfies ASIC that an amount paid to ASIC 7 under section 51B exceeds the amount that should have been paid 8 under that section, ASIC must refund to the FHSA provider the 9 amount of the excess. 10 (4) The Consolidated Revenue Fund is appropriated for the purposes 11 of this section. 12 (5) For the purposes of this Act and any other taxation law, treat an 13 amount paid in accordance with subsection (2) as having been paid 14 from an FHSA. 15 51D ASIC may publish information relating to unclaimed money 16 statements 17 ASIC may publish any information of a kind mentioned in 18 subsection 51A(3) that is given to ASIC in an unclaimed money 19 statement. 20 51E Operation of State and Territory laws in relation to unclaimed 21 money 22 Sections 51A, 51B, 51C and 51D are intended to apply to the 23 exclusion of all laws of a State or Territory which require an FHSA 24 provider to: 25 (a) pay unclaimed money to, or to an authority of, a State or 26 Territory; or 27 (b) lodge a return relating to unclaimed money with, or with an 28 authority of, a State or Territory. 29 26 Subparagraph 67(2)(c)(i) 30 Repeal the subparagraph. 31 27 Subparagraph 67(2)(c)(iii) 32 After "32", insert ", 34". First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 15 [Page Break] 1 28 Paragraph 70(1)(c) 2 Repeal the paragraph, substitute: 3 (c) a person who, because of his or her employment, or in the 4 course of that employment, has acquired protected 5 information, other than an employee of the body to which the 6 information relates. 7 29 Paragraph 70(2)(b) 8 After "communicated", insert "in any of the following ways". 9 30 Subparagraph 70(2)(b)(i) 10 Omit "; or", substitute ";". 11 31 Subparagraph 70(2)(b)(ii) 12 Omit ", under or in relation to this Act or the regulations". 13 32 Subsection 70(5) 14 Repeal the subsection, substitute: 15 (5) A person to whom this section applies is not required to divulge or 16 communicate protected information to a court except where it is 17 necessary to do so for the purpose of carrying into effect the 18 provisions of this Act or the regulations. 19 33 After subsection 70(7) 20 Insert: 21 Information may be divulged for purposes of certain other Acts 22 (7A) Nothing in this section prohibits the Commissioner, a Second 23 Commissioner or a Deputy Commissioner, or a person authorised 24 by any of them, from divulging or communicating any protected 25 information: 26 (a) to APRA for the purpose of APRA performing its functions 27 in relation to FHSAs; or 28 (b) to ASIC for the purpose of ASIC performing its functions in 29 relation to FHSAs. 30 34 After subsection 114(2) 31 Insert: 16 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 (2A) Subsection (2) also applies for the purposes of section 315 of the 2 Superannuation Industry (Supervision) Act 1993 as if: 3 (a) a reference in that subsection to an FHSA provider included a 4 reference to a trustee who purports to provide an FHSA trust; 5 and 6 (b) a reference in that subsection to an FHSA trust included a 7 reference to a trust purported to be an FHSA trust; and 8 (c) a reference in that subsection to a holder of an FHSA 9 included a reference to a beneficiary of a trust purported to be 10 an FHSA trust. 11 35 Paragraph 123(1)(b) 12 Omit "informed", substitute "notified". 13 36 After section 123 14 Insert: 15 123A Life insurance companies and ADIs may revoke notice of 16 intention to provide FHSAs 17 A life insurance company or ADI may, in writing given to APRA, 18 revoke a notice given in accordance with section 123 if the life 19 insurance company or ADI: 20 (a) does not provide FHSAs; and 21 (b) does not offer to provide FHSAs. 22 37 After section 126 23 Insert: 24 126A FHSA provider to provide information 25 (1) A spouse of an FHSA holder, or the spouse's legal personal 26 representative, may make an application to the FHSA provider for 27 information about the balance of the FHSA. 28 (2) An application must be in the approved form, and must be 29 accompanied by a declaration stating that the applicant requires the 30 information for either or both of the following purposes: 31 (a) to assist the applicant in entering into a financial agreement 32 under Part VIIIA of the Family Law Act 1975; First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 17 [Page Break] 1 (b) to assist the applicant in connection with obtaining a court 2 order under that Act. 3 (3) An FHSA provider commits an offence if: 4 (a) it receives an application under this section by a spouse of an 5 FHSA holder; and 6 (b) it does not comply with the application. 7 Penalty: 50 penalty units. 8 (4) An FHSA provider commits an offence if: 9 (a) it receives an application under this section by a spouse of an 10 FHSA holder; and 11 (b) in response to an application, it provides the spouse with any 12 address (including a postal address) of the FHSA holder. 13 Penalty: 50 penalty units. 14 (5) An FHSA provider commits an offence if: 15 (a) it receives an application under this section by a spouse of an 16 FHSA holder; and 17 (b) it informs the FHSA holder that the application has been 18 made. 19 Penalty: 50 penalty units. 20 126B Certain uses of FHSAs prohibited 21 (1) A term of a contract or other agreement providing for a charge 22 (including a mortgage, lien or other encumbrance) over an FHSA 23 has no effect. 24 (2) Rights to payments from an FHSA cannot be assigned. 25 (3) An FHSA provider must not recognise, or in any way encourage or 26 sanction, a charge over an FHSA or an assignment of rights to 27 payments from an FHSA. 28 (4) A person commits an offence if: 29 (a) the person does an act; and 30 (b) the doing of the act results in a contravention of 31 subsection (3). 32 Penalty: 50 penalty units. 18 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 Income Tax Assessment Act 1936 2 38 After paragraph 16(4)(hca) 3 Insert: 4 (hcaa) the Australian Prudential Regulation Authority, or the 5 Australian Securities and Investments Commission, for the 6 purpose of that body performing its functions in relation to 7 FHSAs; 8 Life Insurance Act 1995 9 39 Subsection 216(1) 10 After "Retirement Savings Accounts Act 1997)", insert "or FHSAs 11 (within the meaning of the First Home Saver Accounts Act 2008)". 12 40 At the end of subsection 216(1) 13 Add: 14 Note: The First Home Saver Accounts Act 2008 deals with unclaimed 15 money held in FHSAs. 16 Taxation Administration Act 1953 17 41 Subsection 13J(1) 18 Omit "similar information", substitute "information obtained under the 19 State tax law". 20 42 At the end of section 13J 21 Add: 22 (9) This section applies in relation to the First Home Saver Accounts 23 Act 2008 as if references in this section to a State tax law included 24 references to the First Home Owner Grant Act 2000 of New South 25 Wales, and a similar law of a State or Territory. First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 19 [Page Break] 1 2 Schedule 3--Amendments commencing 1 July 3 2009 4 5 Authorised Deposit-taking Institutions Supervisory Levy 6 Imposition Act 1998 7 1 After subsection 7(4) 8 Insert: 9 (4A) An amount determined under paragraph (3)(d) as an ADI's asset 10 value must exclude an amount equal to the total balances of all 11 FHSAs (within the meaning of the First Home Saver Accounts Act 12 2008) provided by the ADI. 13 Financial Institutions Supervisory Levies Collection Act 14 1998 15 2 Section 7 (at the end of the definition of leviable body) 16 Add: 17 ; (g) a leviable FHSA entity. 18 3 Section 7 19 Insert: 20 leviable FHSA entity has the same meaning as in the First Home 21 Saver Account Providers Supervisory Levy Imposition Act 2008. 22 4 Section 7 (at the end of the definition of levy) 23 Add: 24 ; or (g) in respect of a leviable body that is a leviable FHSA entity-- 25 levy imposed by the First Home Saver Account Providers 26 Supervisory Levy Imposition Act 2008. 27 5 At the end of section 8 28 Add: 20 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 [Page Break] 1 Leviable FHSA entities 2 (7) A body corporate or trustee that is a leviable FHSA entity at any 3 time during a financial year that ends after the commencement of 4 the First Home Saver Account Providers Supervisory Levy 5 Imposition Act 2008 is liable to pay a levy imposed in respect of 6 that financial year. 7 Life Insurance Supervisory Levy Imposition Act 1998 8 6 After subsection 7(4) 9 Insert: 10 (4A) An amount determined under paragraph (3)(d) as a life insurance 11 company's asset value must exclude an amount equal to the total 12 balances of all FHSAs (within the meaning of the First Home 13 Saver Accounts Act 2008) provided by the life insurance company. First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008 21 [Page Break] Financial Matters and Other Measures) Act 2008 1 2 Schedule 4--Amendment contingent on the 3 Family Law Amendment (De Facto 4 Financial Matters and Other Measures) 5 Act 2008 6 7 First Home Saver Accounts Act 2008 8 1 Paragraph 126A(2)(a) 9 After "Part VIIIA", insert "or Part VIIIAB". 22 First Home Saver Accounts (Further Provisions) Amendment Bill 2008 No. , 2008