Commonwealth Numbered Acts

SMALL SUPERANNUATION ACCOUNTS ACT 1995 No. 52, 1995 - SECT 50

When section applies
50.(1) This section applies to interest that accrues under section 49.

Allocation day event, withdrawal event and inactive account transfer event

(2) Both:

   (a)  the rate of accrual of interest to an account in respect of a
        particular
day (the "accrual day") in a particular quarter; and

   (b)  the time at which accrued interest in respect of the accrual day is to
        be credited to the account; depends on whichever of the following
        events first happens after the accrual day:

   (c)  the occurrence of the allocation day for the quarter (this event is to
be known as the "allocation day event");

   (d)  the withdrawal under Part 7 of the balance of the account (this event
        is
to be known as the "withdrawal event");

   (e)  the transfer of the balance of the account to the Consolidated Revenue
Fund under Part 9 (this event is to be known as the "inactive account transfer
event").

Allocation day event

(3) If the allocation day event comes first:

   (a)  the rate of accrual is the percentage worked out (to 6 decimal places)
        using the formula:
Allocation rate
Total number of days in the quarter where:

"Allocation rate" means the allocation rate for the quarter; and

   (b)  the accrued interest is to be credited to the account on the
        allocation day.

Withdrawal event

(4) If the withdrawal event comes first:

   (a)  the rate of accrual is the percentage worked out (to 6 decimal places)
        using the formula:
Adjusted allocation rate
Total number of days in the quarter where:

"Adjusted allocation rate" means the last allocation rate that was published
in the Gazette before the accrual day; and

   (b)  the accrued interest is to be credited to the account on the day
        before the day of the withdrawal.

Inactive account transfer event

(5) If the inactive account transfer event comes first:

   (a)  the rate of accrual is the percentage worked out (to 6 decimal places)
        using the formula:
Adjusted allocation rate
Total number of days in the quarter where:

"Adjusted allocation rate" means the last allocation rate that was published
in the Gazette before the accrual day; and

   (b)  the accrued interest is to be credited to the account on the day of
        the transfer.

Transitional-withdrawal event before first allocation day

(6) Despite paragraph (4)(a), if the withdrawal event occurs before the
allocation day for the quarter beginning on 1 July 1995, that paragraph has
effect, in relation to that event, as if the adjusted allocation rate were
0.4% or such higher rate as the Minister for Finance determines.