INCOME TAX ASSESSMENT ACT 1997 - SECT 320.250 Transfer of assets and payment of amounts from segregated exempt assets otherwise than as a result of a valuation under section 320 - 230

INCOME TAX ASSESSMENT ACT 1997 - SECT 320.250

  (1A)   If:

  (a)   a * life insurance policy issued by a * life insurance company becomes a policy referred to in subsection   320 - 190(1); and

  (b)   immediately before the policy became a policy referred to in subsection   320 - 190(1), the policy was an * exempt life insurance policy;

the company can transfer from its * segregated exempt assets, to a * complying superannuation asset pool, assets of any kind whose total * transfer value does not exceed the company's liabilities in respect of the policy.

  (1)   A * life insurance company can at any time transfer an asset from its * segregated exempt assets in exchange for an amount of money equal to the * transfer value of the asset at the time of the transfer.

  (2)   If a * life insurance company:

  (a)   imposes any fees or charges in respect of * segregated exempt assets; or

  (b)   imposes any fees or charges in respect of * exempt life insurance policies where the liabilities under the policies are to be discharged out of the company's segregated exempt assets; or

  (c)   determines, at a time other than a * valuation time, that the total * transfer value of the company's segregated exempt assets as at that time exceeds the amount of the company's * exempt life insurance policy liabilities as at that time;

the company must, when the fees or charges are imposed or the excess is determined, as the case may be, transfer from the segregated exempt assets, assets having a total transfer value equal to the fees, charges or excess, as the case may be.

  (3)   If:

  (a)   any liabilities arise for the discharge of which a * life insurance company has * segregated exempt assets; or

  (b)   any expenses are incurred by a life insurance company directly in respect of segregated exempt assets in relation to a period during which the assets are segregated exempt assets;

the life insurance company must pay from the segregated exempt assets any amounts required to discharge the liabilities or amounts equal to the expenses, as the case may be.