Document ID: chunk:federal_register_of_legislation:C2025C00029:section:7:p8
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 7 (pt 8/12)
Character Range: 4597577–4600442

(b) the amount of any *superannuation lump sum paid to you, because of the death of the person from a superannuation interest of the deceased that was in the retirement phase.

When cap increment arises
 (6) The cap increment arises:
 (a) on the starting day, unless paragraph (b) applies; or
 (b) if you are a reversionary beneficiary—at the end of the period of 12 months beginning on the starting day.

Treatment of investment earnings after death
 (7) For the purposes of working out under this section the extent to which a *superannuation interest is attributable to another superannuation interest, if:
 (a) a superannuation interest of the deceased was in the *retirement phase; and
 (b) on or after the death of the deceased, an amount of investment earnings is added to the superannuation interest;
the superannuation interest is taken to include that amount of investment earnings, except to the extent that the amount of investment earnings includes an amount paid under a policy of insurance on the life of the deceased or an amount arising from self‑insurance.

Subdivision 294‑F—Excess transfer balance tax

Guide to Subdivision 294‑F

294‑225  What this Subdivision is about
      This Subdivision neutralises the earnings tax exemption on retirement phase income streams that result in excess transfer balance.

Table of sections

Operative provisions
294‑230 Excess transfer balance tax
294‑235 Your excess transfer balance earnings
294‑240 When tax is payable—original assessments
294‑245 When tax is payable—amended assessments
294‑250 General interest charge

Operative provisions

294‑230  Excess transfer balance tax
 (1) If there is an *excess transfer balance period for your *transfer balance account, you are liable to pay *excess transfer balance tax imposed by the Superannuation (Excess Transfer Balance Tax) Imposition Act 2016 for the period.
Note: The amount of the tax is set out in the Superannuation (Excess Transfer Balance Tax) Imposition Act 2016.
 (2) An excess transfer balance period for a *transfer balance account is a continuous period of one or more days during which, at the end of each day, there is *excess transfer balance in the account.
 (3) Your *excess transfer balance tax is worked out by reference to the sum of:
 (a) your *excess transfer balance earnings for each day in the *excess transfer balance period; and
 (b) for each day in the excess transfer balance period that is also a day in the period mentioned in subsection 294‑25(2) (the determination period)—the amount worked out by multiplying the rate mentioned in subsection 294‑235(2) for the day by the sum of your excess transfer balance earnings for each previous day in the determination period.

294‑235  Your excess transfer balance earnings
 (1) Your excess transfer balance earnings for a day is worked out by multiplying the rate mentioned