Superannuation amendments in Tax Bill (No 9) 2011
Tax Laws Amendment (2011 Measures No 9) Bill 2011 has introduced amendments concerning a portability scheme re superannuation.
The Bill will establish a portability scheme to enable superannuation fund members to electronically request the roll-over or transfer of their superannuation benefits via a scheme administered by the Tax Office.
Tax Office super portability scheme
The Bill will amend the SIS Act to permit regulations to prescribe the details for a portability scheme to allow the Commissioner to receive requests from fund members for the roll-over or transfer of their superannuation benefits. The Commissioner will then forward those requests to the trustee of the transferring fund. The regulations may require such requests to be made in an approved portability form, including electronically. The regulations may also limit access to the portability scheme to individuals who have a superannuation interest that is recorded on the lost members register and able to be located through SuperSeeker (administered by the Tax Office).
Tax Office administration of scheme
This Bill will grant the Commissioner general administration of the portability form and insert new provisions relating to the use of TFNs. However, these changes will not affect APRA’s general administration of the current portability arrangements under Div 6.5 of the SIS Regs.
The provisions relating to the portability form and TFNs will be “taxation laws” subject to the provisions of Sch 1 to the TAA relating to taxation laws, including:
- confidentiality of taxpayer information under Div 355 of the TAA;
- penalties relating to false or misleading statements; and
- offences relating to TFNs.
Portability form and TFNs
The Bill will amend the TFN provisions in Pt 25A of the SIS Act to permit the Commissioner to request a member’s TFN and disclose it to the trustee of a regulated superannuation fund or ADF for the purposes of the portability scheme: proposed s 299NA. The Commissioner will also be able to require the quotation of the member’s TFN on the portability form.
If the Commissioner discloses the member’s TFN to the transferring fund’s trustee, the member is taken to have quoted their TFN to the trustee for superannuation purposes at the time the Commissioner discloses the TFN to the trustee.
While it will not be compulsory for a member to quote their TFN on the transfer request, a failure to quote the TFN may affect whether the Commissioner can pass on the member’s request to the transferring fund’s trustee. Members who do not wish to disclose their TFN on the transfer request may apply directly to their fund in writing to roll-over or transfer their benefits using the existing portability form under the SIS Regs.
The Bill will also make corresponding amendments to the RSA Act to enable RSA holders to request the transfer of benefits held in RSA accounts.
Date of effect
The amendments will commence from the day after Royal Assent, applicable to benefits rolled over or