84Amount to be paid to non‑member spouse—optional lump sum relating to part of the adjusted base amount

84 Amount to be paid to non‑member spouse—optional lump sum relating to part of the adjusted base amount

(1) This section applies for the superannuation interest if: (a) benefits in respect of the interest are not payable as an allocated pension or a market linked pension; and (b) the member spouse or other person may, under the governing rules of the relevant eligible superannuation plan, choose (by way of a commutation of a pension or otherwise) to take a lump sum: (i) of an amount that is at least the adjusted base amount applicable to the non‑member spouse for the interest at the date the splittable payment becomes payable; and (ii) without losing the right to take the remaining part of the benefits in respect of the interest as a pension; and (c) the non‑member spouse has served a request, in accordance with Form 3 in Schedule 1, on the trustee of the plan requesting that the non‑member spouse be paid, as a lump sum, a proportion of that adjusted base amount. (2) The member spouse must choose to be paid, as a lump sum, an amount (the member’s lump sum) that is at least the following amount (the minimum lump sum): Start formula start fraction open bracket Adjusted base amount times Proportion close bracket times Commutation factor for the interest times Transition factor over Pension valuation factor for the interest end fraction end formula where:

adjusted base amount means the amount of the adjusted base amount applicable to the non‑member spouse for the interest at the date the first splittable payment became payable in respect of the superannuation interest.

proportion means the proportion of the adjusted base amount that the non‑member spouse has requested under paragraph (1)(c) to be paid, as a lump sum, to the non‑member spouse.

transition factor means:

(a) if under section 62 or 70 the Minister has approved one or more methods or factors to be used to determine the gross value of the superannuation interest—the factor approved under, or determined using a method approved under, section 79 for the superannuation interest and this subsection; or
(b) if paragraph (a) does not apply and one or more benefits in respect of the superannuation interest are payable:
(i) as a pension for the life of the member spouse; but
(ii) not due to the member spouse’s invalidity;
the factor determined using the method set out in Schedule 11 for the superannuation interest; or
(c) if neither paragraph (a) nor (b) applies—1.

Note: For the meanings of commutation factor and pension valuation factor, see section 72.

(3) The amount that the non‑member spouse is entitled to be paid in respect of the superannuation interest is: (a) an amount equal to the minimum lump sum; and (b) an amount, calculated under subsection (4), from: (i) if the member’s lump sum exceeds the minimum lump sum—the amount of the excess; and (ii) each other splittable payment that becomes payable in respect of the superannuation interest. (4) For the purposes of paragraph (3)(b), the amount is equal to: where: