72Definitions

72 Definitions

In this Part:

base amount allocated to the non‑member spouse, for a superannuation interest, means the base amount for the interest.

commutation factor, for a superannuation interest, means the commutation factor for converting to a lump sum, under the governing rules of the relevant eligible superannuation plan in respect of the superannuation interest, a pension payable to the member spouse or other person, if the pension were to be converted to a lump sum at:

(a) if the relevant splittable payment in respect of the superannuation interest is payable to the member spouse—the date of the first splittable payment to the member spouse in respect of the superannuation interest after the operative time; or
(b) if the relevant splittable payment in respect of the superannuation interest is payable to another person for the benefit of the member spouse—the earliest date when the pension could be commuted to a lump sum; or
(c) if the relevant splittable payment in respect of the superannuation interest is payable to a reversionary beneficiary after the death of the member spouse—the date of the member spouse’s death; or
(d) if the relevant splittable payment in respect of the superannuation interest is payable to:
(i) the legal personal representative of the member spouse after the death of the member spouse; or
(ii) the legal personal representative of a reversionary beneficiary covered by paragraph 90XE(1)(d) or 90YD(1)(d) of the Act after the death of the reversionary beneficiary;
the earliest date at which the legal personal representative could choose to take the remaining benefits in respect of the interest as a lump sum.

Note: For a superannuation interest covered by Subdivision B or F of Division 3 of Part 9, the commutation factor must be provided by the trustee of the plan in response to an application covered by subsection 90XZB(3) or 90YZR(3) of the Act.

lump sum means any amount (other than an amount of a pension payment) that is paid to a member in respect of a superannuation interest.

Note: Examples are a transfer of money, or a rollover of benefits under the SIS Act.

pension valuation factor, for a superannuation interest, means the pension valuation factor that applies to the particular pension payable to the member spouse or other person at the date that applies for the commutation factor for the superannuation interest, being:

(a) if, under section 70, the Minister has approved a method or factors to be used to determine the gross value of a superannuation interest the benefits in respect of which are being paid as a pension that is payable for the life of the member spouse—the approved factor or the factor that applies under the approved method; or
(b) otherwise—the pension valuation factor under Schedule 5, 7 or 8.