Document ID: chunk:federal_register_of_legislation:C2010C00603:clause:12_5:p2
Version: federal_register_of_legislation:C2010C00603
Segment Type: clause
Provision Reference: sch 12 cl 5 (pt 2/4)
Character Range: 160605–163504

assets of the originating company just before the transfer took place and that are transferred to the recipient company become segregated exempt assets of the recipient company.

320‑320  Certain amounts treated as life insurance premiums

 (1) This Division applies to the recipient company as if the amount or value of any consideration received by the recipient company in respect of liabilities under *life insurance policies transferred to the company were *life insurance premiums paid to the company at the time the transfer took place.

 (2) However, subsection (1) does not apply to consideration:
 (a) that relates to liabilities that, just before the transfer took place, were discharged out of the originating company's *virtual PST assets or *segregated exempt assets; or
 (b) that relates to the part of a *life insurance policy that has been reinsured under a *contract of reinsurance (except consideration that relates to a risk, or part of a risk, in relation to which subsection 148(1) of the Income Tax Assessment Act 1936 applies).

320‑325  Friendly societies

 (1) This section has effect if the originating company and the recipient company were *friendly societies just before the transfer took place.

 (2) For the purposes of paragraph 320‑37(1)(d), an *income bond, *funeral policy, *sickness policy or *scholarship plan issued by the recipient company in substitution for an income bond, funeral policy, sickness policy or scholarship plan (the original policy) transferred from the originating company is taken to have been issued at the time the original policy was issued if the terms of the substituted policy are not materially different from those of the original policy.

320‑330  Immediate annuities

  For the purposes of section 320‑246, a *life insurance policy that provides for an *immediate annuity issued by the recipient company in substitution for a policy (also the original policy) transferred from the originating company is taken to have been issued at the time the original policy was issued if the terms of the substituted policy are not materially different from those of the original policy.

320‑335  Parts of assets treated as separate assets

  If:
 (a) an asset is transferred to the recipient company from the originating company; and
 (b) parts of that asset were, under section 320‑170 or 320‑225 of the Income Tax (Transitional Provisions) Act 1997, treated as separate assets of the originating company just before the transfer took place;
those parts of that asset are also treated as separate assets of the recipient company.

320‑340  Continuous disability policies

 (1) This section has effect if:
 (a) the originating company and the recipient company were members of the same *wholly‑owned group just before the transfer took place; and
 (b) all of the liabilities under the *continuous disability policies of the originating