73Meaning of adjusted base amount applicable to the non‑member spouse

73 Meaning of adjusted base amount applicable to the non‑member spouse

(1) Working out the adjusted base amount applicable to the non‑member spouse, for a superannuation interest at a date, first involves identifying the number of applicable adjustment periods (the relevant periods) for the interest that have ended before that date.

Note 1: This amount only needs to be calculated for Division 2 (that is, for a superannuation interest in the growth phase either at the date the agreement is served on the trustee under section 90XI or 90YM of the Act, or at the date of the splitting order (as applicable)).

Note 2: To calculate the applicable adjustment periods, see section 74 or 75.

(2) If there are no relevant periods, the adjusted base amount applicable to the non‑member spouse, for the superannuation interest at that date, is the base amount for the interest. (3) Otherwise, the adjusted base amount applicable to the non‑member spouse, for the superannuation interest at that date, is: (a) if there is 1 relevant period—the amount calculated by adjusting, under section 76 after that period, the base amount for the interest; and (b) if there are 2 or more relevant periods—the final amount calculated under this paragraph after: (i) adjusting, under section 76 after the second relevant period, the result of paragraph (a) of this subsection; and (ii) adjusting, under section 76 after each later relevant period (if any), the result of the previous application of this paragraph for the previous relevant period.

Note 1: Depending on the rate of interest that applies to the interest for a relevant period, the base amount (or result) may be adjusted by a positive amount or a negative amount or, if the rate was nil, not adjusted.

Note 2: These adjustments will need to be made by the trustee of the eligible superannuation plan in which the interest is held.