SUPERANNUATION INDUSTRY (SUPERVISION) REGULATIONS 1994 - REG 5.02B Priority in deducting surcharge or instalment

SUPERANNUATION INDUSTRY (SUPERVISION) REGULATIONS 1994 - REG 5.02B

  (1)   This regulation applies if a trustee has decided to reduce a member's benefits in connection with payment of a superannuation contributions surcharge or an advance instalment of surcharge.

  (2)   In reducing the member's benefits, the trustee must:

  (a)   if possible--deduct an amount equal to the whole of the amount of the reduction from the preserved benefits; and

  (b)   if the required deduction cannot be met under paragraph   (a)--deduct the balance from the restricted non - preserved benefits; and

  (c)   if the required deduction cannot be met under paragraphs   (a) and (b)--deduct the balance from the unrestricted non - preserved benefits.