Private ruling: Workers compensation
Published: September 2011
Ruling period: Year ended 30 June 2012
Date scheme commenced: 1 July 2011

Ruling: Questions and answers: | Will the lump sum redemption amounts or any portion thereof to be paid pursuant to sections 42 and 32 of the Workers Rehabilitation and Compensation Act 1986 (SA) (WRCA), be included in your assessable income? | No. | Will any capital gain arising from the lump sum redemption amounts be disregarded? | Yes.

Relevant facts and circumstances: This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling . You sustained compensable disabilities said to have arisen from your employment. As a result of these injuries, you are entitled to receive weekly income maintenance pursuant to Division 4 of the WRCA and medical and other expenses pursuant to section 32 of the WRCA. You have indicated a willingness to enter into an agreement to terminate your employment. One of the conditions of the agreement is that you will accept two 'once and for all' payments which would extinguish any future rights you have to weekly income maintenance and medical expenses payments.

Relevant legislative provisions: Income Tax Assessment Act 1997 Section 6-5. | Income Tax Assessment Act 1997 Section 15-30. | Income Tax Assessment Act 1997 Section 82-130. | Income Tax Assessment Act 1997 Section 82-135. | Income Tax Assessment Act 1997 Section 118-37.


Please check this edited version to be sure that there are no details remaining that you think may allow you to be identified. If you have any concerns about this ruling you wish to discuss, you will find our contact details in the fact sheet.