Document ID: chunk:federal_register_of_legislation:C2020A00064:clause:3_327
Version: federal_register_of_legislation:C2020A00064
Segment Type: clause
Provision Reference: sch 3 cl 327
Character Range: 89260–91067

327  Subsection 294‑145(1)
Repeal the subsection, substitute:

Debit for commutation
 (1) Item 1 of the table in subsection 294‑80(1) applies in relation to a *capped defined benefit income stream as if the reference in column 2 of that item to the amount of the *superannuation lump sum were a reference to:
 (a) in a case where the commutation mentioned in column 1 of that item is a commutation in full—the *debit value, just before the commutation takes place, of the *superannuation interest that supports the capped defined benefit income stream; or
 (b) in a case where that commutation is a commutation in part:
 (i) if the capped defined benefit income stream is, or was at any time, covered by item 1 or 2 of the table in subsection 294‑130(1)—the debit value mentioned in paragraph (a), multiplied by the fraction mentioned in subsection (1A); or
 (ii) if the capped defined benefit income stream is, or was at any time, covered by any of items 3 to 7 of the table in subsection 294‑130(1)—the amount mentioned in subsection (1B).
 (1A) For the purposes of subparagraph (1)(b)(i), the fraction is:
where:
SV just after commutation means the *special value, just after the commutation takes place, of the *superannuation interest that supports the *capped defined benefit income stream.
SV just before commutation means the *special value, just before the commutation takes place, of the *superannuation interest that supports the *capped defined benefit income stream.
 (1B) For the purposes of subparagraph (1)(b)(ii), the amount is the lesser of the following:
 (a) the *debit value mentioned in paragraph (1)(a);
 (b) the amount (disregarding this section) of the *superannuation lump sum you received because of the commutation (as mentioned in item 1 of the table in subsection 294‑80(1)).