Document ID: chunk:federal_register_of_legislation:F2024C00321:reg:55:p51
Version: federal_register_of_legislation:F2024C00321
Segment Type: reg
Provision Reference: reg 55 (pt 51/83)
Character Range: 531305–534121

benefits become payable to or in respect of a person who has ceased to be a member; and
         (b) the surcharge debt account kept for the person by CSC under section 16 of the Superannuation Contributions Tax (Assessment and Collection) Act 1997 (in this Part called the "Surcharge Debt Account") is in debit when those benefits become so payable;
the amount of those benefits shall be reduced by an amount (in this Part called the "Surcharge Deduction Amount") determined by CSC in writing that, in its opinion, it would be fair and reasonable to take into account in working out the amount of those benefits.
12.2.8 In making the determination of the Surcharge Deduction Amount, CSC must have regard to the following:
         (a) the amount by which the person's Surcharge Debt Account is in debit when those benefits become payable;
         (b) the value of the employer‑financed component of those benefits;
         (c) the value of the benefits that, for the purpose of working out (under the Superannuation Contributions Tax (Assessment and Collection) Act 1997) the notional surchargeable contributions factors applicable to the person, were assumed to be likely to be payable to the person on his/her ceasing to be a member;
         (d) whether the person is a maximum benefits member;
         (e) any other matter that CSC considers relevant.
12.2.9 Subject to Rule 12.2.9A, the Surcharge Deduction Amount may not be more than the total of the following amounts:
         (a) 15% of the employer‑financed component of any part of the benefits payable to the person that accrued between 20 August 1996 and 1 July 2003;
         (b) 14.5% of the employer‑financed component of any part of the benefits payable to the person that accrued in the 2003‑2004 financial year;
         (c) 12.5% of the employer‑financed component of any part of the benefits payable to the person that accrued in the 2004‑2005 financial year.
12.2.9A Reductions under Rule 16.4.3 are to be disregarded in applying Rule 12.2.9.
12.2.10 CSC must, in accordance with advice received from an actuary, determine in writing, in relation to persons to whom a pension has become payable, the conversion factor that, having regard to:
         (a) the person's age when a benefit becomes payable to the person; and
         (b) other relevant factors (if any);
is applicable for the purpose of working out, in relation to the person, the yearly amount that would have to be paid to discharge a liability equal to the person's Surcharge Deduction Amount.

Division 3

Additional interest for late payment
12.3.1 CSC may add an amount of interest to the benefit payment if:
         (a) payment of a lump sum benefit; and/or
         (b) commencement of pension instalments;

payable under these Rules is, or is expected to be, delayed