Commonwealth Consolidated Regulations

SUPERANNUATION (INTEREST) REGULATIONS - REG 7

(1)

For the purposes of subparagraphs 145 (8) (a) (i) and 9 (a) (i) of the Act, where:

(a)

the Commissioner is required, upon a life policy or life policies assigned by a person to the Commissioner in accordance with subsection 145 (3) of the Act becoming payable at or before the time when the person ceases to be an eligible employee, as referred to in subsection 145 (8) of the Act, to pay into the Superannuation Fund, in accordance with subparagraph 145 (8) (a) (i) of the Act, an amount equal to the amount that, but for subsection 145 (2) of the Act, would have been paid by the Commissioner into the Superannuation Fund under paragraph 128 (2) (a) of the Act; or

(b)

the Commissioner is required, upon the Commissioner surrendering the life policy or life policies assigned by a person to the Commissioner in accordance with subsection 145 (3) of the Act where the person attains his minimum retiring age while he is an eligible employee or ceases to be such an eligible employee before he attains that age, as referred to in subsection 145 (9) of the Act, to pay into the Superannuation Fund, in accordance with subparagraph 145 (9) (a) (i) of the Act, the amount referred to in paragraph (a);

interest, calculated in accordance with subregulation (2), shall be payable in respect of that amount in respect of the period commencing on the day on which the person referred to in paragraph (a) or (b), as the case may be, made an election in accordance with paragraph 128 (1) (a) of the Act and ending on the day on which the life policy or life policies becomes or become payable or the day as at which the surrender value or surrender values of the life policy or life policies was or were calculated, as the case requires.

(2)

For the purposes of calculating the amount of interest payable in respect of an amount referred to in subregulation (1), the provisions of regulation 6 and the Schedule shall apply as if:

(a)

the reference to a prescribed amount in relation to a person who has ceased to be an eligible employee were a reference to an amount referred to in subregulation (1);

(b)

the reference to the period of interest in respect of a prescribed amount were a reference to the period in respect of which interest is, by virtue of subregulation (1), payable in respect of an amount referred to in that subregulation; and

(c)

subregulation (5) of that regulation were omitted.