Document ID: chunk:federal_register_of_legislation:C2025C00162:section:9a:p4
Version: federal_register_of_legislation:C2025C00162
Segment Type: section
Provision Reference: s 9A (pt 4/6)
Character Range: 139937–142694

of an income stream that meets all of the requirements of subsection (2), except the requirement of paragraph (2)(c), are taken to meet the requirements of subsection (2) if the contract or governing rules specify that any provision included in the contract or governing rules in accordance with paragraph (2)(c) does not apply in any year in which:
 (a) the person ceases to receive income under an income stream jointly and begins to receive income under a single income stream; and
 (b) the total amount received in the year under the single income stream is less than the total amount received by the person in the previous year but is not nil.

Matters not required of income stream
 (3) For the purpose of determining whether an income stream meets the requirements of subsection (2), it is immaterial that:
 (a) if the primary beneficiary dies within the life expectancy period for the income stream, a surviving reversionary beneficiary may be paid an amount equal to the total of the payments that the primary beneficiary would (if he or she had not died) have received from the day of the death until the end of that period; and
 (b) if:
 (i) the primary beneficiary dies within the life expectancy period for the income stream; and
 (ii) there is no surviving reversionary beneficiary;
  an amount, not exceeding the difference between:
 (iii) the sum of the amounts that would have been so payable to the primary beneficiary in that period; and
 (iv) the sum of the amounts paid to the primary beneficiary;
  is payable to the primary beneficiary's estate, and
 (c) if:
 (i) the primary beneficiary dies within the life expectancy period for the income stream; and
 (ii) there is a surviving reversionary beneficiary who also dies within that period;
  there is payable to the reversionary beneficiary's estate an amount determined as described in paragraph (b) as if that paragraph applied to the reversionary beneficiary.

Determination that income stream not asset‑test exempt
 (4) The Secretary may determine that an income stream that meets the requirements of subsection (2) is not an asset‑test exempt income stream if the Secretary is satisfied that the person who has purchased the income stream has commuted an asset‑test exempt income stream within 6 months after its commencement day on at least 3 occasions since the person first received a social security payment.

Determination that income stream is asset‑test exempt
 (5) The Secretary may determine, in writing, that an income stream is an asset‑test exempt income stream for the purposes of this Act. In making the determination, the Secretary is to have regard to the guidelines (if any) determined under subsection (6).
 (5A) To avoid doubt, a determination under subsection