South Australian Numbered Acts

SOUTHERN STATE SUPERANNUATION (INSURANCE, SPOUSE ACCOUNTS AND OTHER MEASURES) AMENDMENT ACT 2006 (NO 40 OF 2006) - SECT 23

23—Amendment of section 35AA—Commutation to pay deferred superannuation contributions surcharge—member

Section 35AA—after subsection (3) insert:

        (3a)         If a member who has become entitled to a benefit but has not yet received a surcharge notice provides the Board with satisfactory evidence of the amount of the surcharge he or she will become liable to pay (the "surcharge amount ) and requests the Board, in the approved form, to apply, or facilitate the application of, an amount of the member's benefit in payment of the surcharge, the Board must, within 7 days of the request—

            (a)         convert into a pension an amount of the member's benefit that is equal to the surcharge amount; and

            (b)         immediately after converting the amount into a pension under paragraph (a)—commute the pension; and

            (c)         pay the lump sum resulting from the commutation to the member or the Commissioner of Taxation (at the option of the member); and

            (d)         following payment under paragraph (c)—reduce the member's remaining benefits by an amount equal to the surcharge amount.