(b) is not a self managed superannuation fund and becomes such a superannuation fund.
(3) Within 28 days after the trustee first has knowledge of such a change, the trustee must tell the Commissioner of Taxation in writing:
(a) the fund’s name; and
(b) its ABN; and
(c) the name of an individual who is able to act as a contact person, and his or her telephone and facsimile numbers; and
(d) the date on which the change occurred; and
(e) if the fund has not ceased to exist—whether it has become a self managed superannuation fund; and
(f) if the fund has become a self managed superannuation fund:
(i) for any trustee of the fund that is an individual—his or her name, date of birth and sex; or
(ii) for any trustee that is a corporation—its name and its ABN; and
(g) if the fund has not ceased to exist, but is not a self managed superannuation fund after the change—the trustee’s name and its ABN.
(4) In subregulation (3):
ABN, for an entity, means the Australian Business Number given to the entity under the A New Tax System (Australian Business Number) Act 1999.
11.08 Operating standard—disclosure of successor fund transfer
(1) For subsections 31(1) and 32(1) of the Act, it is a standard applicable to the operation of a superannuation entity, other than a pooled superannuation trust or a self managed superannuation fund, that the trustee must give notice in writing to the Regulator, in accordance with subregulation (2), of a decision to transfer a member’s benefits from the fund, without the member’s consent.
(2) Notice under subregulation (1) must be given:
(a) as soon as practicable after the making of the decision to transfer the member’s benefits from the fund; or
(b) if the fund is being wound up—before the winding up is commenced.
Part 11A—Register to be kept by APRA
11A.01 Source of power for this Part
This Part is made for subsection 353(1) of the Act.
Note: See subsection 353(2) of the Act.
11A.02 Definition
In this Part:
Register means the register kept by APRA under this Part.
11A.03 APRA must keep register
(1) APRA must keep a register of:
(a) registrable superannuation entities that have been registered under Part 2B of the Act; and
(b) the RSE licensees of those entities.
(2) APRA may determine the form and manner in which the Register is kept.
Note: The form of register determined by APRA must be a form that would allow the register to be inspected and copied under subregulation (3).
(3) A person may:
(a) inspect the Register; and
(b) make a copy of, or take extracts from, the Register.
11A.04 Regulated superannuation funds
The Register must contain the following information for each registrable superannuation entity that is a regulated superannuation fund:
(a) the name of the entity;
(b) the postal address of the entity;
(c) the registered address of, or an address for service of notices on, the entity;
(d) a contact person and contact telephone and facsimile numbers for the entity;
(e) the status of the entity under section 42 of the Act;
(f) the Australian Business Number (the ABN) of the entity;
(g) the class of RSE licence held by the RSE licensee;
(h) for each MySuper product of the entity:
(i) the name of the MySuper product; and
(ii) the unique identifier of the MySuper product; and
(iii) whether the type of MySuper authorisation held by the entity is generic, large employer or goodwill; and
(iv) for an entity that has a large employer authorisation, for each MySuper product authorised—the name and ABN of each associated large employer;
(i) whether the entity is an eligible rollover fund;
(j) for an RSE licensee that is a body corporate—the RSE licensee’s:
(i) name; and
(ii) registered address; and
(iii) telephone number; and
(iv) ABN;
(k) for an RSE licensee that is a group of individual trustees:
(i) the ABN of the RSE licensee; and
(ii) the name of each individual trustee who is a member of the group.
11A.05 Approved deposit funds
The Register must contain the following information for each registrable superannuation entity that is an approved deposit fund:
(a) the name of the entity;
(b) the postal address of the entity;
(c) the registered address of, or an address for service of notices on, the entity;
(d) a contact person and contact telephone and facsimile numbers for the entity;
(e) the status of the entity under section 43 of the Act;
(f) the ABN of the entity;
(g) the class of RSE licence held by the RSE licensee;
(h) the RSE licensee’s:
(i) name; and
(ii) registered address; and
(iii) telephone number; and
(iv) ABN.
11A.06 PSTs
The Register must contain the following information for each registrable superannuation entity that is a PST:
(a) the name of the entity;
(b) the postal address of the entity;
(c) the registered address of, or an address for service of notices on, the entity;
(d) a contact person and contact telephone and facsimile numbers for the entity;
(e) the status of the entity under section 44 of the Act;
(f) the ABN of the entity;
(g) the class of RSE licence held by the RSE licensee;
(h) the RSE licensee’s:
(i) name; and
(ii) registered address; and
(iii) telephone number; and
(iv) ABN.
Part 12—Pre‑1 July 1988 funding credits and debits
12.01 Definitions
In this Part, unless the contrary intention appears:
defined benefit fund has the meaning that would be given by regulation 1.03 if regulated were omitted from the definition of defined benefit fund in that regulation.
PJFC, in relation to a superannuation fund, means an amount specified in a notice by APRA under subsection 342(2) of the Act.
pre‑1 July 88 funding amount has the meaning given by regulation 12.02.
pre‑1 July 88 funding credits available has the meaning given by subsection 295‑265(2) of the 1997 Tax Act.
prescribed event has the meaning given by regulation 12.10.
shortfall‑in‑assets amount means an amount determined by an actuary in accordance with regulation 12.03.
12.02 Pre‑1 July 88 funding amounts
(1) In this regulation:
late payment amount, in relation to a superannuation fund, means an amount (other than an amount representing a contribution that was payable or not payable at the discretion of an employer‑contributor in respect of the fund) representing contributions to the fund that were unpaid as at 30 June 1988, being contributions that an employer‑contributor in respect of the fund was obliged as at 30 June 1988 to pay in accordance with:
(a) except if paragraph (b) applies, the governing rules of the fund then in force; or
(b) in the case of an amount representing contributions in respect of a member of a defined benefit fund who is an associate of an employer‑contributor—the determination of an actuary; or
(c) an agreement certified, or an award made, by an industrial authority.
(2) Subject to subregulation (3), the following amounts are to be treated as pre‑1 July 88 funding amounts for the purposes of paragraph 342(2)(a) of the Act:
(a) a late payment amount;
(b) a shortfall‑in‑assets amount.
(3) If:
(a) the pre‑1 July 88 funding amount of a defined benefit fund includes a late payment amount; and
(b) that late payment amount is sufficient to fund the liabilities of the fund in relation to accrued benefits of the members of the fund;
the pre‑1 July 88 funding amount must not include a shortfall‑in‑assets amount.
12.03 Shortfall‑in‑assets amount—calculation
(1) The shortfall‑in‑assets amount in respect of a superannuation fund is the amount determined by an actuary as the lesser of the amounts calculated in accordance with the following formulas:
(a) Start formula open curly bracket open square bracket value A of accrued benefits minus actuarially determined value of fund assets close square bracket times start fraction net market value of assets over actuarially determined value of fund assets end fraction close curly bracket end formula;
(b) Start formula open bracket value B of accrued benefits minus net market value of assets close bracket end formula.
Note: A shortfall‑in‑assets amount is the amount of any deficiency in a superannuation fund as at 30 June 1988, other than a deficiency that is the result of contributions that are due, but have not been paid, to the fund.
(2) In subregulation (1), in relation to a superannuation fund:
actuarially determined value of fund assets means the value of the assets of the fund as at 30 June 1988, including any late payment amount, that is determined by an actuary using a method that the actuary certifies:
(a) is consistent with the method used in the last actuarial investigation of the fund that was completed before 25 May 1988; and
(b) as determining a value that is comparable to the value of the assets determined in that actuarial investigation.
net market value of fund assets means the amount that, having regard to matters specified in regulation 12.04, could reasonably be estimated to be obtained from disposal of the assets of the fund, and includes any late payment amount.
value A of accrued benefits has the meaning given by regulation 12.05.
value B of accrued benefits has the meaning given by regulation 12.06.
(3) For the purposes of this regulation:
(a) an alteration made after 25 May 1988 to the governing rules of a superannuation fund that relates to benefits payable to members of the fund is to be disregarded unless the alteration is a prescribed event; and
(b) in the case of the calculation of a shortfall‑in‑assets amount in respect of a member of a superannuation fund who is an associate of an employer, any amount of benefits in respect of the member that is attributable to the exercise of discretion by, or on behalf of, the trustee of the fund is to be disregarded.
12.04 Estimation of net market value of fund assets
For the purposes of the definition of net market value of fund assets in subregulation 12.03(2), the following matters are specified:
(a) the assumptions that, when the assets are sold:
(i) the buyer and seller of the assets are willing, but not anxious, to buy and sell the assets; and
(ii) there is a period in which to negotiate the sale that is reasonable, having regard to the nature and situation of the assets and the state of the market for assets of the same kind; and
(iii) the assets will be reasonably exposed to the market; and
(iv) no account is taken of the value or other advantage or benefit, additional to market value, to the buyer incidental to ownership of the assets;
(b) the value of any estate in the property comprising the assets that is not held by the trustee in the capacity of trustee;
(c) deduction of the costs of disposing of the assets from the proceeds of the disposal.
12.05 Value A of accrued benefits
(1) Value A of accrued benefits in relation to a superannuation fund is the total value of accrued benefits in respect of all members of the fund as at 30 June 1988 that is calculated in accordance with regulation 12.07.
(2) For the purposes of calculating value A of accrued benefits, the following assumptions apply:
(a) that a member of the superannuation fund will not die or become disabled before the member’s normal retirement from the work force;
(b) that the governing rules of the fund providing for benefits and the amounts of the benefits vested in members of the fund are those rules and amounts as at 25 May 1988;
(c) that the value of the accrued benefits in the fund in respect of a member of the fund is not less than the amount of benefits vested in the member on 30 June 1988;
(d) if the governing rules of the fund provide for adjustment of pension benefits to compensate for changes in the cost of living at the discretion of the trustees of the fund, that the rules providing for adjustment are disregarded, unless:
(i) all pension benefits have been increased under that rule on at least 3 occasions before 30 June 1988; and
(ii) at least 1 of those increases occurred in the period from the beginning of 1 July 1985 to the end of 30 June 1988.
(3) Subject to this regulation, the elements of the actuarial basis for the calculation of value A of accrued benefits in respect of a superannuation fund are taken to be those used in the last actuarial investigation of the fund that was completed before 25 May 1988.
(4) If an actuarial investigation of a superannuation fund was not completed before 25 May 1988, a superannuation actuary must submit to APRA in writing the elements that the superannuation actuary proposes to use in respect of the fund:
(a) for the purposes of regulation 12.07; and
(b) in substitution for the elements referred to in that subregulation.
(5) APRA must approve a proposed element of the actuarial basis for the calculation of value A of accrued benefits in respect of a superannuation fund if APRA is satisfied that the proposed element corresponds reasonably closely to the element that would have been used if an actuarial investigation had been made into the fund.
(6) In special circumstances, APRA may approve a proposed element of the actuarial basis for the calculation of value A of accrued benefits in respect of a superannuation fund if APRA is satisfied that application of the proposed element is reasonable in those circumstances.
(7) Liability to pay tax on income of the fund is not a special circumstance for the purposes of subregulation (6) if the liability results directly from an amendment of the Tax Act made by the Taxation Laws Amendment (Superannuation) Act 1989.
12.06 Value B of accrued benefits
(1) Value B of accrued benefits in relation to a superannuation fund is the total value of accrued benefits in respect of all members of the fund as at 30 June 1988 that is calculated in accordance with regulation 12.07.
(2) For the purposes of calculating value B of accrued benefits, the following assumptions apply:
(a) that a member of the superannuation fund will not:
(i) die, or become disabled, before the member’s normal retirement from the work force; or
(ii) withdraw from the fund, or retire from the work force, before the age of the member’s normal retirement;
(b) that the governing rules of the fund providing for benefits and the amounts of the benefits vested in the member are those rules and amounts as at 25 May 1988;
(c) that the value of the accrued benefits in the fund in respect of the member is not less than the amount of benefits vested in the member on 30 June 1988;
(d) that the annual earning rate of the fund, net of administrative or other costs, is 10%;
(e) that if the governing rules of the fund provide for adjustment of pension benefits to compensate for changes in the cost of living at the discretion of the trustees of the fund—the adjustment factor is the lesser of:
(i) the average annual percentage increase in pension benefits (if any) in the period from the beginning of 1 July 1985 to the end of 30 June 1988; and
(ii) 7% annually;
(f) if the governing rules of the fund provide for adjustment of benefits to compensate for changes in the cost of living, other than at the discretion of the trustee of the fund, that the adjustment factor is 7% annually;
(g) if the governing rules of the fund provide for adjustment of benefits in accordance with the amount or rate of salary of members of the fund, that the amount or rate increases by 8.5% annually;
(h) that the probability of survival of the member after the member’s retirement from the work force is ascertained in accordance with the Australian Life Tables 1985‑1987 prepared by the Australian Government Actuary.
(3) Subject to this regulation, the elements of the actuarial basis for the calculation of value B of accrued benefits in respect of a superannuation fund are taken to be those used in the last actuarial investigation of the fund that was completed before 25 May 1988.
(4) In special circumstances, a superannuation actuary may submit to APRA in writing a proposal to substitute:
(a) an assumption stated in paragraph (2)(d), (e), (f), (g) or (h) in respect of a superannuation fund with another assumption; or
(b) an element referred to in subregulation (3) in respect of a superannuation fund with another element.
(5) APRA may approve a proposed assumption or element mentioned in subregulation (4) if APRA is satisfied that application of that assumption or element would be reasonable in the circumstances.
(6) Liability to pay tax on income of the fund is not a special circumstance for the purposes of subregulation (4) if the liability results directly from an amendment of the Tax Act made by the Taxation Laws Amendment (Superannuation) Act 1989.
12.07 Calculation of value A or B of accrued benefits
For the purposes of regulations 12.05 and 12.06, the value of the benefits payable to a member in respect of a period after 30 June 1988 is the total of the amounts in respect of each financial year, or part of a financial year, in the period that are determined by a superannuation actuary:
(a) in respect of each kind of benefit that the member is, or may be, entitled to receive from the superannuation fund; and
(b) by using the following formula:
Start formula P start subscript 1 end subscript times Net present value times P start subscript 2 end subscript end formula
where:
P1 is the probability, determined by the superannuation actuary, of the member being paid a benefit in each financial year, or part of a financial year; and
Net present value is the value of each benefit to the fund, being an amount that is determined by the superannuation actuary as at 30 June 1988:
(i) in the case of the calculation of value A of accrued benefits—using the earning rate of the fund used in the actuarial investigation of the fund mentioned in subregulation 12.05(3); and