Document ID: chunk:federal_register_of_legislation:C2017C00177:clause:1_7:p1
Version: federal_register_of_legislation:C2017C00177
Segment Type: clause
Provision Reference: sch 1 cl 7 (pt 1/8)
Character Range: 33394–36240

7                                      Market linked pension (RSA)  it is a pension for the purposes of the Retirement Savings Accounts Act 1997 that is provided under terms and conditions that meet the standards of subregulation 1.07(3A) of the Retirement Savings Accounts Regulations 1997

 (2) A *superannuation income stream is also a capped defined benefit income stream if the income stream is prescribed by the regulations for the purposes of this subsection.

294‑135  Transfer balance credit—special rule for capped defined benefit income streams
 (1) Section 294‑25 applies in relation to a *capped defined benefit income stream as if a reference in that section to the *value of a *superannuation interest were a reference to the *special value of the superannuation interest.

Meaning of special value—lifetime products
 (2) The special value, at a particular time, of a *superannuation interest that supports an income stream that is, or was at any time, a *capped defined benefit income stream covered by item 1 or 2 of the table in subsection 294‑130(1), is the amount worked out using the formula:
where:
annual entitlement is worked out by:
 (a) dividing the amount of the first *superannuation income stream benefit you are entitled to receive from the income stream just after that time by the number of whole days to which that benefit relates; and
 (b) multiplying the result by 365.

Meaning of special value—life expectancy and market linked products
 (3) The special value, at a particular time, of a *superannuation interest that supports an income stream that is, or was at any time, a *capped defined benefit income stream covered by any of items 3 to 7 of the table in subsection 294‑130(1), is the amount worked out using the formula:
where:
annual entitlement has the same meaning as in subsection (2) of this section.
remaining term means the number of years remaining at that time in the period throughout which *superannuation income stream benefits are payable under the income stream, rounded up to the next whole number.

Regulations
 (4) The regulations may specify a method for determining the special value of a *superannuation interest that supports a *superannuation income stream prescribed by regulations made for the purposes of subsection 294‑130(2).

294‑140  Excess transfer balance—special rule for capped defined benefit income streams
 (1) Despite section 294‑30, you have excess transfer balance at a particular time if, at that time, the *transfer balance in your *transfer balance account:
 (a) exceeds your *transfer balance cap at that time; and
 (b) exceeds your capped defined benefit balance from subsection (3) of this section at that time.
 (2) The amount of the excess transfer balance is the lesser of the 2 excesses.
Note: For modifications of the tax treatment of benefits paid from