(1) Subsection (2) applies if the total of the following (the
"pre-agreement contributions" ) would, but for subsection (2) , be more than
an employee’s concessional contributions cap for a financial year—
(a) the
yearly contribution by the employee’s employer made under section 220(2) to
the relevant fund for the employee;
(b) the yearly contribution by the
employee made under section 220A(2) to the relevant fund for the employee.
(2) The employer and employee may agree in writing—
(b) if a yearly
contribution made under section 220A(3) is part of the
pre-agreement contributions—on the extent, if any, to which a contribution
mentioned in subsection (1) (a) or (b) will be reduced to achieve the
reduction.
(a) the amount of the reduction must be paid by the
employer to the employee as salary; and
(b) no contribution is payable under
section 220(2) by the employer because of salary paid under paragraph (a) ;
and
(c) no contribution is payable under section 220A(2) by the employee
because of salary paid under paragraph (a) other than to the extent, if any,
to which the salary amount relates to a reduction of a yearly contribution
under section 220A(3) .