Commonwealth Numbered Acts

SUPERANNUATION LEGISLATION AMENDMENT ACT 1992 No. 187, 1992 - SECT 31

31. Section 127 of the Principal Act is amended:

   (a)  by omitting subsection (1) and substituting the following subsections:

"(1) Subject to subsection (1AAA), a reference in this Division to a transfer
value in relation to an eligible employee is a reference to:

   (a)  a lump sum benefit ('a paragraph (a) benefit'):

        (i)    payable in relation to an eligible employee under a
               superannuation scheme on the termination of employment or
               cessation of membership otherwise than on the ground of
               physical or mental incapacity to perform that employment; and

        (ii)   based wholly on contributions by the employer under the scheme
               or partly on such contributions and partly on contributions by
               the eligible employee under the scheme;
unless that benefit has been applied for the purchase of a deferred annuity or
paid into a preservation fund; or

   (b)  an amount payable to or in relation to the eligible employee on
        surrender of a deferred annuity if a paragraph (a) benefit had been
        applied for the purchase of that annuity; or

   (c)  an amount payable to or in relation to the eligible employee if that
        amount is payable from a preservation fund in relation to a paragraph
        (a) benefit paid to the fund for the benefit of the eligible employee;
        or

   (d)  an amount payable to, or in relation to, the eligible employee in
        accordance with Part 8 of the
        Superannuation Guarantee (Administration) Act 1992.

"(1AAA) In this Division, a reference to a transfer value in relation to an
eligible employee does not include a reference to any part of a lump sum
benefit payable under a superannuation scheme that is based on contributions
by the employee under the scheme that are of a similar nature to supplementary
contributions under this Act or to contributions under the superseded Act for
reserve units of pension.";

   (b)  by omitting subsection (1AB).