SUPERANNUATION LAWS AMENDMENT (CAPITAL GAINS TAX RELIEF AND OTHER EFFICIENCY MEASURES) BILL 2012

i Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures)

Bill 2012 No. , 2012

Contents

1 Short

title

...........................................................................................

2 Commencement

.................................................................................

3 Schedule(s)

........................................................................................

Schedule 1--Merging superannuation funds

Part 1--Extending the application of Division 310

Income Tax Assessment Act 1997

Tax Laws Amendment (2009 Measures No. 6) Act 2010

Part 2--Further amendments of Division 310

Income Tax Assessment Act 1997

Part 3--Application provision

Schedule 2--Approved SMSF auditors

Part 1--Main amendments

Superannuation Industry (Supervision) Act 1993

Part 2--Other amendments

Superannuation Industry (Supervision) Act 1993

Taxation Administration Act 1953

Part 3--Application and transitional provisions

Schedule 3--Expanded superannuation reporting

Taxation Administration Act 1953

Schedule 4--Improving efficiency and data quality in the

superannuation system

Part 1--Superannuation Industry (Supervision) Act 1993

Division 1--Information register for data and payment standards

Superannuation Industry (Supervision) Act 1993

Division 2--Monitoring

Superannuation Industry (Supervision) Act 1993

Division 3--Tax file numbers

Superannuation Industry (Supervision) Act 1993

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 ii

Part 2--Retirement Savings Accounts Act 1997

Division 1--Information register for data and payment standards

Retirement Savings Accounts Act 1997

Division 2--Monitoring

Retirement Savings Accounts Act 1997

Division 3--Tax file numbers

Retirement Savings Accounts Act 1997

Part 3--Minor amendments relating to eligible superannuation

entities

Income Tax Assessment Act 1936

Retirement Savings Accounts Act 1997

Superannuation Industry (Supervision) Act 1993

Superannuation Legislation Amendment (Stronger Super) Act 2012

Taxation Administration Act 1953

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 1

A Bill for an Act to amend the law relating to

superannuation and taxation, and for other

purposes

The Parliament of Australia enacts:

1 Short title

This Act may be cited as the Superannuation Laws Amendment

(Capital Gains Tax Relief and Other Efficiency Measures) Act

2012.

2 Commencement

(1) Each provision of this Act specified in column 1 of the table

commences, or is taken to have commenced, in accordance with

column 2 of the table. Any other statement in column 2 has effect

according to its terms.

2 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Commencement information

Column 1

Column 2

Column 3

Provision(s)

Commencement

Date/Details

1. Sections 1 to 3

and anything in

this Act not

elsewhere covered

by this table

The day this Act receives the Royal Assent.

2. Schedule 1,

Part 1

The day this Act receives the Royal Assent.

3. Schedule 1,

Part 2

1 October 2011.

1 October 2011

4. Schedule 1,

Part 3

The day this Act receives the Royal Assent.

5. Schedule 2

31 January 2013.

31 January 2013

6. Schedule 3

The day this Act receives the Royal Assent.

7. Schedule 4,

Part 1, Division 1

The day after this Act receives the Royal

Assent.

8. Schedule 4,

Part 1, Division 2

Immediately after the commencement of the

provision(s) covered by table item 5.

31 January 2013

9. Schedule 4,

Part 1, Division 3

The day after this Act receives the Royal

Assent.

10. Schedule 4,

Parts 2 and 3

The day after this Act receives the Royal

Assent.

Note:

This table relates only to the provisions of this Act as originally

enacted. It will not be amended to deal with any later amendments of

this Act.

(2) Any information in column 3 of the table is not part of this Act.

Information may be inserted in this column, or information in it

may be edited, in any published version of this Act.

3 Schedule(s)

Each Act that is specified in a Schedule to this Act is amended or

repealed as set out in the applicable items in the Schedule

concerned, and any other item in a Schedule to this Act has effect

according to its terms.

Merging superannuation funds Schedule 1

Extending the application of Division 310 Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 3

Schedule 1--Merging superannuation funds

Part 1--Extending the application of Division 310

Income Tax Assessment Act 1997

1 Section 310-1 (note 1)

Repeal the note, substitute:

Note 1: This Division applies to mergers happening between 24 December 2008 and 30 June

2011 (or, in certain cases, 30 September 2011), or between 1 October 2011 and 1 July

2017 (see Part 3 of Schedule 2 to the Tax Laws Amendment (2009 Measures No. 6) Act

2010).

2 Section 310-1 (note 2)

Omit "1 July 2013", substitute "1 July 2019".

Tax Laws Amendment (2009 Measures No. 6) Act 2010

3 Subsection 2(1) (table item 4)

Repeal the item, substitute:

4. Schedule 2,

Parts 4 and 5

1 July 2019.

1 July 2019

4 Subitem 11(1) of Schedule 2

After "30 June 2011", insert ", or during the period starting on

1 October 2011 and ending at the end of 1 July 2017".

Schedule 1 Merging superannuation funds

Part 2 Further amendments of Division 310

4 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Part 2--Further amendments of Division 310

Income Tax Assessment Act 1997

5 Subsection 310-10(1)

Omit "

complying superannuation fund", substitute "

complying

superannuation fund (other than a

self managed superannuation fund)".

6 Subparagraphs 310-35(1)(b)(i) and (ii)

Omit "for that earlier year", substitute "for the transfer year".

7 Paragraph 310-40(1)(b)

Omit "an amount", substitute "for the purposes of section 36-15, an

amount".

8 Subparagraphs 310-40(1)(b)(i) and (ii)

Omit "for that earlier year", substitute "for the income year immediately

prior to the transfer year".

9 At the end of subsection 310-40(1)

Add:

; and (c) for all other purposes of this Act, an amount equal to the

transferred amount is taken to be:

(i) if the receiving entity is a life insurance company--a tax

loss of the complying superannuation/FHSA class

incurred by the receiving entity for the transfer year; and

(ii) otherwise--a tax loss incurred by the receiving entity

for the transfer year.

10 Section 310-50

Repeal the section, substitute:

310-50 Choosing the form of the assets roll-over

(1) An entity that chooses a roll-over under this Subdivision must

choose the form of the roll-over that applies to each of the

following:

(a) the original assets that are not

revenue assets;

Merging superannuation funds Schedule 1

Further amendments of Division 310 Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 5

(b) the original assets that are revenue assets.

(2) In respect of original assets that are not

revenue assets, the entity

choosing the roll-over must choose either section 310-55 (global

asset approach) or 310-60 (individual asset approach) to apply to

the original assets and the corresponding received assets.

(3) In respect of original assets that are

revenue assets, the entity

choosing the roll-over must choose either section 310-65 (global

asset approach) or 310-70 (individual asset approach) to apply to

the original assets and the corresponding received assets.

Note:

The entity choosing the form of the roll-over may choose different

forms of roll-over for its CGT assets and revenue assets.

11 Subsection 310-55(1) (note)

Omit "subsection 310-50(1)", substitute "subsection 310-50(2)".

12 Subsection 310-60(1)

Omit "

capital loss", substitute "

capital gain or

capital loss".

13 Subsection 310-60(1) (note)

Repeal the note, substitute:

Note:

This section only applies if it is chosen to apply under subsection

310-50(2).

14 Subsection 310-60(2)

Omit "

capital loss", substitute "

capital gain or

capital loss".

15 Subsection 310-60(3)

Repeal the subsection, substitute:

(3) The transferring entity's

capital proceeds from the transfer event

are taken to be an amount equal to:

(a) if, apart from this subsection, the event would result in a

capital gain--the asset's

cost base just before the event; or

(b) if, apart from this subsection, the event would result in a

capital loss--the asset's

reduced cost base just before the

event.

16 Subsection 310-65(1) (note)

Schedule 1 Merging superannuation funds

Part 2 Further amendments of Division 310

6 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Omit "subsection 310-50(2)", substitute "subsection 310-50(3)".

17 Subsection 310-70(1)

Omit "incurs a

tax loss", substitute "derives assessable income (other

than a

capital gain) or incurs a

tax loss".

18 Subsection 310-70(1) (note)

Repeal the note, substitute:

Note:

This section only applies if it is chosen to apply under subsection

310-50(3).

Merging superannuation funds Schedule 1

Application provision Part 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 7

Part 3--Application provision

19 Application provision

The amendments made by this Schedule apply in relation to a

transferring entity and a receiving entity if:

(a) the condition in subsection 310-10(3), 310-15(3) or

310-20(3) of the Income Tax Assessment Act 1997 for those

entities is satisfied; and

(b) all the transfer events (if any) referred to in subsection

310-45(2) of that Act for those entities happen;

during the period starting on 1 October 2011 and ending at the end of

1 July 2017.

Note 1: The effect of paragraph (a) is that all of the members of the original fund will need to

become members of a continuing fund during this period.

Note 2: The effect of paragraph (b) is that the transferring fund needs to cease to hold all

relevant assets during this period.

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

8 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Schedule 2--Approved SMSF auditors

Part 1--Main amendments

Superannuation Industry (Supervision) Act 1993

1 Paragraph 6(1)(a)

Omit "the Commissioner of Taxation by paragraph (e) or (g)",

substitute "ASIC by paragraph (da) or the Commissioner of Taxation by

paragraph (e), (ea) or (g)".

2 After paragraph 6(1)(d)

Insert:

(da) ASIC also has the general administration of Part 16 (other

than Division 2 and section 128P) to the extent that it relates

to auditors of self managed superannuation funds; and

3 Subparagraph 6(1)(e)(v)

Repeal the subparagraph, substitute:

(v) Division 2 of Part 16 and section 128P;

(vi) Part 17 (other than section 140);

(vii) Parts 21 and 24;

(viii) Divisions 2, 3, 4 and 5 of Part 25A; and

4 After paragraph 6(1)(e)

Insert:

(ea) the Commissioner of Taxation also has the general

administration of Part 16 (other than section 128N) to the

extent that:

(i) it relates to self managed superannuation funds; and

(ii) that administration is not conferred on ASIC by

paragraph (da); and

5 Subsection 10(1) (definition of approved auditor)

Repeal the definition, substitute:

approved auditor:

Approved SMSF auditors Schedule 2

Main amendments Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 9

(a) in relation to a superannuation entity that is a self managed

superannuation fund--means an approved SMSF auditor; or

(b) in relation to any other superannuation entity--means a

person included in a class of persons specified in regulations

made for the purposes of this definition, but does not include

a person who is disqualified from being or acting as an

auditor of all superannuation entities under section 130D; or

paragraph (a) or (b).

6 Subsection 10(1)

Insert:

approved SMSF auditor means a person who is registered under

section 128B, but does not include:

(a) a person for whom an order disqualifying a person from

being an approved SMSF auditor, or suspending a person's

registration as an approved SMSF auditor, is in force under

section 130F; or

(b) a person who is disqualified from being or acting as an

auditor of all superannuation entities under section 130D.

7 Subsection 10(1)

Insert:

SMSF auditor number, of an approved SMSF auditor, means the

number stated under paragraph 128B(6)(b) in a certificate under

subsection 128B(6) relating to the auditor's registration under

section 128B.

8 Subsection 10(1)

Insert:

suspended SMSF auditor means a person for whom an order

suspending a person's registration as an approved SMSF auditor is

in force under section 130F.

9 After Division 1 of Part 16

Insert:

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

10 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Division 1A--Approved SMSF auditors

Subdivision A--Registration of approved SMSF auditors

128A Application for registration as an approved SMSF auditor

(1) A natural person who is an Australian resident may apply to the

Regulator for registration as an approved SMSF auditor.

(2) The application must be in the approved form.

Note:

The approved form may require electronic lodgement of the

application: see sections 11A and 11B.

(3) The Regulator may request the applicant to give to the Regulator

further information relating to the application within a specified

time.

(4) The applicant is taken to have withdrawn the application if he or

she does not give the further information within that time.

128B Registration as an approved SMSF auditor

Obligation to register

(1) The Regulator must grant an application under section 128A and

(a)

the

applicant:

(i) has the qualifications prescribed by the regulations; and

(ii) has the practical experience prescribed by the

regulations; and

(iii) has passed a competency examination in accordance

with section 128C; and

(b) the Regulator is satisfied that the applicant:

(i) is capable of performing the duties of an approved

SMSF auditor; and

(ii) is unlikely to contravene the obligations of an approved

SMSF auditor under Subdivision B; and

(iii) is otherwise a fit and proper person to be an approved

SMSF auditor.

Approved SMSF auditors Schedule 2

Main amendments Part 1

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2012 No. , 2012 11

Discretion to register

(2) If the applicant does not meet one or more of the requirements of

paragraph (1)(a), the Regulator may grant the application if the

applicant meets the requirements of paragraph (1)(b).

Refusal of applications

(3) If the applicant does not meet the requirements of paragraph (1)(b),

the Regulator must refuse the application.

(4) Despite subsections (1) and (2), the Regulator must refuse the

application if the applicant is:

(a) a person for whom a disqualification order or a suspension

order is in force under section 130F; or

(b) a person who is disqualified from being or acting as an

auditor of all superannuation entities under section 130D.

(5) If the Regulator refuses the application, the Regulator must, not

later than 14 days after the decision, give to the applicant a notice

in writing setting out the decision and the reasons for it.

Certificate of registration

(6) If the Regulator grants the application, the Regulator must, not

later than 14 days after granting the application, issue to the

applicant a certificate:

(a) stating that the applicant has been registered as an approved

SMSF auditor; and

(b) stating the applicant's SMSF auditor number; and

(7) A failure to comply with subsection (6) does not affect the validity

of the decision.

Duration of registration

(8) A registration under this section takes effect at the beginning of the

day specified in the certificate as the day the application is granted

and remains in force (except while the registration is suspended)

until:

(a) the Regulator cancels the registration under section 128E; or

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

12 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

(b) an order disqualifying the person who is registered from

being an approved SMSF auditor comes into force under

section 130F; or

being or acting as an auditor of all superannuation entities

comes into force under section 130D; or

(d) the person who is registered dies.

128C Competency examinations

The applicant is taken to pass a competency examination in

accordance with this section if:

(a) in the 12 month period prior to his or her application under

section 128A, the applicant passes an examination conducted

by or on behalf of the Regulator for the purposes of this

section; and

(b) the applicant has not, during that period, undertaken and

failed to pass such an examination on 2 previous occasions.

128D Conditions on registration

(1) The Regulator may, at any time, by giving written notice to a

person:

(a) impose conditions, or additional conditions, on the person's

registration as an approved SMSF auditor; or

(b) vary or revoke conditions imposed on the registration.

(2) The Regulator may do so:

(a) on its own initiative; or

(b) on application by the person if:

(i) the person is an approved SMSF auditor; and

(ii) the application is accompanied by any documents

prescribed by the regulations.

(3) Without limiting the conditions that the Regulator may impose

under this section, those conditions, or those conditions as varied,

may require one or more of the following:

(a) that the person complete a course of education or training

specified in the notice;

Approved SMSF auditors Schedule 2

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2012 No. , 2012 13

(b) that the person undertake and pass a competency examination

within a period specified by the Regulator.

128E Cancelling registration

(1) The Regulator may cancel a person's registration as an approved

SMSF auditor if the person requests the Regulator to do so. The

request must be in writing.

(2) The Regulator may cancel a person's registration as an approved

SMSF auditor if the Regulator is satisfied that the person:

(a) has failed to comply with a condition imposed under

section 128D on the person's registration; or

(b) has not performed any significant audit work during a

continuous period of 5 years, and, as a result, has ceased to

have the practical experience necessary for carrying out

audits of self managed superannuation funds under this Act;

Regulator a statement under section 128G; or

(d) has ceased to be an Australian resident.

(3) The Regulator must, not later than 14 days after deciding to cancel

the registration, give the person a written notice setting out the

decision and the reasons for it.

(4) The decision takes effect at the end of the day the notice is given to

the person.

(5) A failure to comply with subsection (3) does not affect the validity

of the decision.

Subdivision B--Obligations of approved SMSF auditors

128F Professional obligations of approved SMSF auditors

An approved SMSF auditor must:

(a) complete the continuing professional development

requirements prescribed by the regulations; and

(b) hold a current policy of professional indemnity insurance, of

a level prescribed by the regulations, for claims that may be

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

14 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

made against the auditor in connection with audits of self

managed superannuation funds; and

(c)

comply

with:

(i) any competency standards that the Regulator determines

under section 128Q; and

(ii) any auditing standards, made by the Auditing and

Assurance Standards Board under section 336 of the

Corporations Act 2001, that are applicable to the duties

of an approved SMSF auditor under this Act; and

(iii) any auditing and assurance standards, formulated by the

Auditing and Assurance Standards Board under

section 227B of the Australian Securities and

Investments Commission Act 2001, that are applicable to

those duties; and

(d) comply with the auditor independence requirements

prescribed by the regulations.

128G Annual statements

(1) An approved SMSF auditor or suspended SMSF auditor must,

within 30 days after the end of:

(a) the 12 month period beginning on the day the auditor's

registration as an approved SMSF auditor took effect; and

(b) each subsequent 12 month period;

give to the Regulator a statement relating to that period.

(2) The statement must be in the approved form.

(3) The Regulator may, at any time before the statement is due, extend

(or further extend) the period for giving the statement.

Note:

The approved form may require electronic lodgement of the statement:

see sections 11A and 11B.

128H Notification of certain matters

If:

(a) an approved SMSF auditor ceases:

(i) to practise as an auditor of self managed superannuation

funds; or

(ii) to be an Australian resident; or

Approved SMSF auditors Schedule 2

Main amendments Part 1

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2012 No. , 2012 15

(b) a suspended SMSF auditor ceases to be an Australian

resident; or

required by paragraph 128J(2)(a), (c) or (d) to be entered in

the Register of Approved SMSF Auditors in relation to an

approved SMSF auditor or suspended SMSF auditor; or

(d) a change occurs in any contact details that were included:

(i) in the application of an approved SMSF auditor or

suspended SMSF auditor, under section 128A, for

registration as an approved SMSF auditor; or

(ii) in particulars previously given under this paragraph in

relation to an approved SMSF auditor or suspended

SMSF auditor;

the approved SMSF auditor or suspended SMSF auditor must, not

later than 21 days after the occurrence of the event concerned, give

to the Regulator, in the approved form, particulars of that event.

Note:

The approved form may require electronic lodgement of the

particulars: see sections 11A and 11B.

Subdivision C--Registers

128J Register of Approved SMSF Auditors

(1) The Regulator must cause a Register of Approved SMSF Auditors

to be kept for the purposes of this Act.

(2) The Regulator must cause the entry in the Register of the following

particulars relating to each person who is an approved SMSF

auditor or suspended SMSF auditor:

(a) the person's name;

(b) the day the person's registration took effect;

as an auditor of self managed superannuation funds;

(d) if the person practises as an auditor or a member of a firm, or

under a name or style other than the person's own name--the

name of the firm, or the name or style under which he or she

so practises;

(e) particulars of any suspension of the person's registration.

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

16 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

The Regulator may cause the entry in the Register of such other

particulars relating to the person as the Regulator considers

appropriate.

(3) If the person ceases to be an approved SMSF auditor (for a reason

other than the person becoming a suspended SMSF auditor), the

Regulator must cause to be removed from the Register the person's

name and any other particulars relating to the person that are

entered in the Register.

(4) A person may inspect and make copies of, or take extracts from,

the Register.

128K Register of Disqualified SMSF Auditors

(1) The Regulator must cause a Register of Disqualified SMSF

Auditors to be kept for the purposes of this Act.

(2) The Regulator must cause the entry in the Register of the name,

and the contact details last known to the Regulator, of each person

for whom an order disqualifying the person from being an

approved SMSF auditor is in force under section 130F.

(3) If the order is revoked, the Regulator must cause to be removed

from the Register the person's name and any other particulars

relating to the person that are entered in the Register.

(4) A person may inspect and make copies of, or take extracts from,

the Register.

Subdivision D--Fees

128L Fees imposed under the Superannuation Auditor Registration

Imposition Act 2012

(1) A fee imposed under the Superannuation Auditor Registration

Imposition Act 2012 is payable for the matters mentioned in an

item in column 1 of the table. The fee is payable by the person

referred to in the corresponding item in column 2 of the table.

Approved SMSF auditors Schedule 2

Main amendments Part 1

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2012 No. , 2012 17

Fees imposed under the Superannuation Auditor Registration Imposition Act

2012

Item Column

A fee payable for ...

Column 2

Is payable by ...

Applying for registration as an approved

SMSF auditor

The applicant

Undertaking a competency examination

in accordance with section 128C

The person undertaking the

examination

Giving to the Regulator a statement

under section 128G

The person giving the

statement

Giving to the Regulator a statement

under section 128G within 1 month after

it fell due (in addition to the fee payable

because of item 3)

The person giving the

statement

Giving to the Regulator a statement

under section 128G more than 1 month

after it fell due (in addition to the fee

payable because of item 3)

The person giving the

statement

Giving to the Regulator particulars under

section 128H within 1 month after they

fell due

The person giving the

particulars

Giving to the Regulator particulars under

section 128H more than 1 month after

they fell due

The person giving the

particulars

Inspecting or searching a register that the

Regulator keeps under this Division

The person who makes a

request to inspect or search

the register

(2) The fee is payable to the Regulator on behalf of the

Commonwealth.

(3) The fee is due and payable on the day prescribed by the regulations

for the purposes of this subsection.

(4) The Regulator may, on behalf of the Commonwealth, waive the

payment of the whole or a part of the fee, on the Regulator's own

initiative or on written application by a person.

(5) If a fee is payable under this section for a matter (other than a

matter referred to in item 8 of the table in subsection (1)), the

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

18 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

matter is taken, for the purposes of this Act (other than

section 128J), not to have occurred until the fee is paid.

(6) The Regulator may, on behalf of the Commonwealth, recover a

debt due under this section.

(7) Nothing in a law passed before the commencement of this section

exempts a person from liability to pay a fee under this section.

(8) A law, or a provision of a law, passed after the commencement of

this section that purports to exempt a person from liability:

(a) to pay taxes under laws of the Commonwealth; or

(b) to pay certain taxes under those laws that include fees

payable under this section;

is not to be construed as exempting the person from liability to pay

fees payable under this section, unless the law or provision

expressly exempts a person from liability to pay such fees.

128M Fees for inspection or search

(1) If a fee is payable under section 128L for a matter referred to in

item 8 of the table in subsection 128L(1) that involves the

Regulator doing an act, the Regulator may refuse to do the act until

the fee is paid.

(2) To avoid doubt, nothing in this Division, and nothing done under

this Division:

(a) imposes on the Regulator a duty to allow the inspection or

search of a register, or to make available information; or

(b) confers a right to inspect or search a register or to have

information made available;

except so far as such a duty or right would, but for the effect of this

section, exist under a provision of this Act (other than a provision

of this Division) or under some other law.

Subdivision E--Miscellaneous

128N ASIC may disclose information to the Commissioner of

Taxation

ASIC may disclose information, given to it in or in connection with

the performance of its functions or the exercise of its powers under

Approved SMSF auditors Schedule 2

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2012 No. , 2012 19

this Part or Part 25, to the Commissioner of Taxation for the

purpose of administering the provisions of this Act.

Note:

A disclosure of information permitted by this section is an authorised

disclosure for the purposes of subsection 127(2) of the Australian

Securities and Investments Commission Act 2001.

128P Commissioner of Taxation may refer matters to ASIC

(1) If the Commissioner of Taxation is of the opinion that:

(a) an approved SMSF auditor is not a fit and proper person to

be an approved SMSF auditor; or

(b) in relation to the conduct of an audit of a self managed

superannuation fund--a person has contravened this Act or

the regulations, or a person who conducted, or is conducting,

the audit has failed to carry out or perform adequately and

properly:

(i) the duties of an auditor under this Act or the regulations;

(ii) any duties required by a law of the Commonwealth, a

State or a Territory to be carried out or performed by an

auditor; or

(iii) any functions that an auditor is entitled to perform in

relation to this Act or the regulations or the Financial

Sector (Collection of Data) Act 2001;

the Commissioner of Taxation may refer the details of the matter to

ASIC.

(2) The Commissioner of Taxation may exercise the power under

subsection (1) in relation to an approved SMSF auditor whether or

not an order disqualifying or suspending the approved SMSF

auditor has been made under section 130F.

(3) If, under subsection (1), the Commissioner of Taxation refers

details of a matter to ASIC, the Commissioner of Taxation must, as

soon as practicable but, in any event, not later than 14 days after

the referral, by notice in writing given to the auditor or person

concerned, inform the auditor or person:

(a) of the fact that a matter has been referred under

subsection (1); and

(b) of the nature of the matter so referred.

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

20 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

128Q Competency standards

(1) The Regulator may, by legislative instrument, determine

competency standards to be complied with by all approved SMSF

auditors.

(2) A competency standard may impose different requirements to be

complied with in different situations or in respect of different

activities.

(3) Without limiting the matters in relation to which the Regulator may

determine a competency standard, a competency standard may

provide for matters relating to any of the following:

(a) the conduct of audits;

(b) the professional obligations of approved SMSF auditors;

(d) compliance with laws applying to approved SMSF auditors.

(4) A competency standard may make provision in relation to a matter

by applying, adopting or incorporating, with or without

modification, a matter contained in an instrument or writing:

(a) as in force or existing at a particular time; or

(b) as in force or existing from time to time.

(5) Subsection (4) has effect despite anything in subsection 14(2) of

the Legislative Instruments Act 2003.

10 After section 130E

Insert:

130F Approved SMSF auditors--disqualification and suspension

orders

Application of section

(1) This section applies to the extent that the Regulator is ASIC.

Disqualification orders and suspension orders

(2) The Regulator may make a written order disqualifying a person

from being an approved SMSF auditor, or suspending a person's

registration as an approved SMSF auditor, if:

Approved SMSF auditors Schedule 2

Main amendments Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 21

(a) the person has failed, whether within or outside Australia, to

carry out or perform adequately and properly:

(i) the duties of an auditor under this Act or the regulations;

(ii) any duties required by a law of the Commonwealth, a

State or a Territory to be carried out or performed by an

auditor; or

(iii) any functions that an auditor is entitled to perform in

relation to this Act or the regulations or the Financial

Sector (Collection of Data) Act 2001; or

(b) the person has failed to comply with a condition, or

additional condition, imposed under section 128D on the

person's registration as an approved SMSF auditor; or

(i) an application for registration as an approved SMSF

auditor; or

(ii) a statement given to the Regulator under section 128G;

(d) the person is otherwise not a fit and proper person to be an

approved SMSF auditor for the purposes of this Act.

Note:

For offences relating to persons disqualified or suspended under this

section, see section 131C.

(3) The Regulator must give a copy of the order to the person.

Date of effect

(4) The order takes effect on the day specified in the order. The

specified day must be within the 28 day period beginning on the

day on which the order was made.

Gazettal

(5) If the Regulator's decision is to make an order under this section

disqualifying a person from being an approved SMSF auditor, the

Regulator must cause a copy of the order to be published in the

Gazette as soon as practicable after it is made.

(6) If the Regulator's decision to make the disqualification order is

varied or revoked by the Regulator as a result of a reconsideration

under subsection 344(4), the Regulator must cause a notice of the

Schedule 2 Approved SMSF auditors

Part 1 Main amendments

22 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

variation or revocation to be published in the Gazette as soon as

practicable after the decision to vary or revoke the order is made.

(7)

If:

(a) the Regulator's decision to make the disqualification order is

confirmed or varied by the Regulator as a result of a

reconsideration under subsection 344(4); and

(b) the decision as so confirmed or varied is varied or set aside

by the Administrative Appeals Tribunal;

the Regulator must cause a notice of the Tribunal's decision to be

published in the Gazette as soon as practicable after it is made.

Revocation

(8) The Regulator may revoke an order under this section. The

Regulator's power to revoke may be exercised:

(a) on the Regulator's own initiative; or

(b) on written application made by the person disqualified or

suspended.

Revocation--decision on application

(9) If an application is made for the revocation of the order, the

Regulator must decide to:

(a) revoke the order; or

(b) refuse to revoke the order.

Revocation--grounds

(10) The Regulator must not revoke the order unless the Regulator is

satisfied that the person concerned:

(a) is likely to carry out and perform adequately and properly the

duties of an approved SMSF auditor under this Act or the

regulations; and

(b) is otherwise a fit and proper person to be an approved SMSF

auditor for the purposes of this Act.

Revocation--date of effect

(11) A revocation of the order takes effect on the day the revocation is

made.

Approved SMSF auditors Schedule 2

Main amendments Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 23

Revocation--reasons for refusing to revoke

(12) If the Regulator decides to refuse an application for revocation of

the order, the Regulator must cause to be given to the applicant a

written notice setting out the decision and giving the reasons for

the decision.

Gazettal

(13) If the order that the Regulator revokes under subsection (8) is an

order disqualifying a person from being an approved SMSF

auditor, the Regulator must cause particulars of the revocation to

be published in the Gazette as soon as practicable after it occurs.

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

24 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Part 2--Other amendments

Superannuation Industry (Supervision) Act 1993

11 After subsection 6(2)

Insert:

(2AA)

Despite

paragraph

(2)(b):

(a) powers and duties conferred on ASIC by section 255 are

conferred only in relation to persons who are relevant persons

in relation to superannuation entities; and

(b) powers and duties conferred on ASIC by section 256 are

conferred only in relation to the affairs of superannuation

entities.

12 After subsection 6(2A)

Insert:

(2AB) Despite subsection (2A), powers and duties conferred on the

Commissioner of Taxation by Divisions 4 to 8 of Part 25 (other

than section 285) are conferred only in relation to:

(a) persons who are relevant persons in relation to

superannuation entities; and

(b) the affairs of superannuation entities.

13 Subsection 10(1)

Insert:

Australian resident means a person who is a resident of Australia

for the purposes of the Income Tax Assessment Act 1936.

14 Subsection 10(1) (definition of relevant person)

Repeal the definition, substitute:

relevant person means:

(a) in relation to a fund or trust:

(i) if the trustee or an investment manager of the fund or

trust is or includes an individual--that individual; or

Approved SMSF auditors Schedule 2

Other amendments Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 25

(ii) if the trustee or an investment manager of the fund or

trust is or includes a body corporate--a responsible

officer of that body corporate; or

(iii) an auditor of the fund or trust; or

(iv) an actuary of the fund or trust; or

(v) a person who is a custodian in relation to the fund or

trust; or

(b) in relation to an approved SMSF auditor:

(i) the approved SMSF auditor; or

(ii) a person who is a relevant person under paragraph (a) in

relation to a self managed superannuation fund of which

the approved SMSF auditor is or was an auditor; or

(i) the person who is conducting, or conducted, the audit;

(ii) a person who is a relevant person under paragraph (a) in

relation to the self managed superannuation fund.

15 Subsection 10(1) (after paragraph (rb) of the definition of

reviewable decision)

Insert:

(rc) a decision of the Regulator under section 128B refusing an

application made under section 128A; or

(rd) a decision of the Regulator under section 128D imposing or

varying conditions, or additional conditions, on a person's

registration as an approved SMSF auditor; or

(re) a decision of the Regulator refusing an application to vary or

revoke conditions, or additional conditions, imposed under

section 128D on a person's registration as an approved SMSF

auditor; or

(rf) a decision of the Regulator under subsection 128E(2)

cancelling a person's registration as an approved SMSF

auditor; or

(rg) a decision of the Regulator refusing an application to waive

the payment of the whole or a part of a fee under subsection

128L(4); or

(rh) a decision of the Regulator to make an order under

subsection 130F(2); or

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

26 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

(ri) a decision of the Regulator refusing an application to revoke

an order under subsection 130F(8); or

16 At the end of subsection 35C(1)

Add:

Note:

If the superannuation entity is a self managed superannuation fund, the

person appointed must be an approved SMSF auditor.

17 Subsection 35C(1A)

After "a superannuation entity", insert "that is not a self managed

superannuation fund".

18 After paragraph 35C(5)(b)

Insert:

(ba) must, if it is approved for a superannuation entity that is a

self managed superannuation fund, include a statement by the

auditor as to the extent of the auditor's compliance with the

auditor independence requirements referred to in paragraph

128F(d); and

19 Subsection 35C(7)

Repeal the subsection, substitute:

(7) The auditor commits an offence if:

(a) the auditor contravenes subsection (6); and

(b) the entity is not a self managed superannuation fund; and

Penalty: Imprisonment for 6 months.

20 Section 131 (heading)

Repeal the heading, substitute:

131 Actuaries--disqualification orders

21 Subsection 131(1)

Omit "approved auditor or" (first occurring).

22 Subparagraphs 131(1)(a)(i) and (ii)

Approved SMSF auditors Schedule 2

Other amendments Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 27

Omit "an auditor or an actuary (as the case requires)", substitute "an

actuary".

23 Subparagraph 131(1)(a)(iii)

Omit "an auditor or actuary (as the case requires)", substitute "an

actuary".

24 Paragraph 131(1)(b)

Omit "approved auditor or".

25 Subsection 131(4A)

Omit "APRA's", substitute "the Regulator's".

26 Subsection 131(4A)

Omit "APRA" (wherever occurring), substitute "the Regulator".

27 Paragraph 131(4B)(a)

Omit "APRA's", substitute "the Regulator's".

28 Subsection 131(4B)

Omit "APRA" (wherever occurring), substitute "the Regulator".

29 Paragraph 131(7)(a)

Omit "an auditor or actuary (as the case requires)", substitute "an

actuary".

30 Paragraph 131(7)(b)

Omit "an approved auditor or actuary (as the case requires)", substitute

"an actuary".

31 Subsection 131AA(1)

After "superannuation entity" (first occurring), insert "that is not a self

managed superannuation fund".

32 Subsection 131A(1)

After "an approved auditor" (first occurring), insert "(other than an

approved SMSF auditor)".

33 Paragraph 131A(1)(b)

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

28 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Omit "or an actuary", substitute "of a superannuation entity that is not a

self managed superannuation fund, or to be an actuary,".

34 Subsection 131B(1)

Omit "is guilty of", substitute "commits".

35 Subsection 131B(2)

Repeal the subsection, substitute:

(2) A person commits an offence if:

(a) the person holds themself out as an approved SMSF auditor;

and

(b) the person is not an approved SMSF auditor.

Penalty: 50 penalty units.

(2A) A person commits an offence if:

(a) the person holds themself out as an approved auditor of a

kind other than an approved SMSF auditor; and

(b) the person is not such an approved auditor.

Penalty: 50 penalty units.

36 Subsection 131B(3)

Omit "Subsections (1) and (2)", substitute "Subsections (1), (2) and

(2A)".

37 Subparagraph 131C(1)(b)(ii)

Repeal the subparagraph, substitute:

(ii) the person is disqualified or suspended under

section 130F from being an approved SMSF auditor; or

(iii) the person is disqualified under section 131 from being

an actuary; and

38 At the end of paragraph 131C(1)(c)

Add "or suspended".

39 Subparagraph 131C(2)(b)(ii)

Repeal the subparagraph, substitute:

Approved SMSF auditors Schedule 2

Other amendments Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 29

(ii) the person is disqualified or suspended under

section 130F from being an approved SMSF auditor; or

(iii) the person is disqualified under section 131 from being

an actuary; and

40 At the end of paragraph 131C(2)(c)

Add "or suspended".

41 Part 25 (heading)

Repeal the heading, substitute:

Part 25--Monitoring and investigation

42 Paragraph 253(a)

After "superannuation entities", insert ", approved SMSF auditors and

audits of self managed superannuation funds".

43 Paragraph 253(c)

After "a superannuation entity", insert "or approved SMSF auditor, or

the conduct of an audit of a self managed superannuation fund,".

44 At the end of section 253

Add:

Note 1:

Sections 254 and 264, and Division 3, apply only to monitoring or

investigating superannuation entities. They do not apply to monitoring

or investigating approved SMSF auditors or to the conduct of audits of

self managed superannuation funds.

Note 2:

ASIC's powers and duties as the Regulator under sections 255 and

256 apply only to monitoring superannuation entities: see subsection

6(2AA). They do not apply to monitoring approved SMSF auditors or

to the conduct of audits of self managed superannuation funds.

Note 3:

The Commissioner of Taxation's powers and duties as the Regulator

under Divisions 4 to 8 (other than section 285) apply only to

investigating superannuation entities: see subsection 6(2AB).

45 Section 253A

Omit "a fund or trust", substitute "a fund, trust or approved SMSF

auditor, or in relation to an audit of a self managed superannuation

fund,".

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

30 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

46 Section 253A

Omit "the fund or trust", substitute "the fund, trust, auditor or audit".

47 Division 2 of Part 25 (heading)

Repeal the heading, substitute:

Division 2--Monitoring

48 Subsection 255(1)

Repeal the subsection, substitute:

(1) For the purposes of this Act, the Regulator or an authorised person

may, by written notice to:

(a) a relevant person in relation to a superannuation entity or

approved SMSF auditor; or

(b) a relevant person in relation to an audit of a self managed

superannuation fund;

require the relevant person to produce to the Regulator or an

authorised person, at such reasonable time and reasonable place as

are specified in a notice, any books relating to the affairs of the

entity, auditor or audit.

49 Subsection 255(4)

Repeal the subsection, substitute:

(4) The powers of the Regulator or an authorised person under this

section may be exercised in relation to a superannuation entity or

an approved SMSF auditor, or in relation to an audit of a self

managed superannuation fund, even though an investigation is

being conducted, under section 263, of:

(a) the whole or a part of the affairs of the entity or auditor; or

(b) the whole or a part of the conduct of the audit.

50 Subsection 256(1)

After "a superannuation entity", insert "or approved SMSF auditor, or

relating to the conduct of an audit of a self managed superannuation

fund,".

51 Paragraph 256(1)(a)

Approved SMSF auditors Schedule 2

Other amendments Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 31

After "those affairs" (first occurring), insert "or the conduct of that

audit,".

52 Paragraph 256(1)(a)

After "those affairs" (second occurring), insert "or the conduct of that

audit".

53 Section 263 (heading)

Repeal the heading, substitute:

263 Investigations of superannuation entities, approved SMSF

auditors and the conduct of certain audits

54 After subsection 263(1)

Insert:

(1A) If it appears to the Regulator that a contravention of this Act or the

regulations may have occurred or be occurring in relation to an

approved SMSF auditor, the Regulator may, by written notice to

the auditor, tell the auditor that the Regulator proposes to conduct

an investigation of the whole or a part of the affairs of the auditor.

(1B) If it appears to the Regulator that a contravention of this Act or the

regulations may have occurred or be occurring in relation to the

conduct of an audit of a self managed superannuation fund, the

Regulator may, by written notice to a person who conducted, or

who is conducting, the audit, tell the person that the Regulator

proposes to conduct an investigation of the whole or a part of the

conduct of the audit.

55 Subsection 263(2)

Repeal the subsection, substitute:

(2) The following provisions of this Division apply:

(a) in relation to a superannuation entity if a notice is given

under subsection (1) to a trustee of the entity;

(b) in relation to an approved SMSF auditor if a notice is given

under subsection (1A) to the auditor;

an audit of a self managed superannuation fund, if a notice is

given under subsection (1B) to the person.

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

32 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

56 Subsection 265(1)

Repeal the subsection, substitute:

(1) The Regulator may, in writing, appoint a member of the staff of the

Regulator, or a member of the staff of the other Regulator, to be an

inspector for the purposes of the conduct of investigations under

this Division in relation to:

(a) the affairs of superannuation entities and approved SMSF

auditors; and

(b) the conduct of audits of self managed superannuation funds.

57 Section 268

After "a superannuation entity", insert "or approved SMSF auditor, or

the conduct of an audit of a self managed superannuation fund".

58 Paragraph 268(a)

After "the entity", insert "or auditor, or to the audit,".

59 Paragraph 268(a)

After "those affairs", insert "or that audit".

60 Section 269

After "a superannuation entity", insert "or approved SMSF auditor, or

the conduct of an audit of a self managed superannuation fund".

61 Paragraph 269(a)

After "the entity", insert ", auditor or audit".

62 Paragraph 269(b)

After "those affairs", insert "or that audit".

63 Paragraph 270(a)

Repeal the paragraph, substitute:

(a) who is, or has been, a relevant person in relation to:

(i) a superannuation entity or approved SMSF auditor

whose affairs or a part of whose affairs the Regulator is

investigating; or

Approved SMSF auditors Schedule 2

Other amendments Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 33

(ii) an audit of a self managed superannuation fund the

conduct of which, or a part of the conduct of which, the

Regulator is investigating; or

64 Paragraph 270(b)

After "that entity", insert ", auditor or audit".

65 Paragraph 284(3)(a)

Repeal the paragraph, substitute:

(a) must give a copy of the report to:

(i) each trustee of the superannuation entity to which the

investigation related; or

(ii) the approved SMSF auditor to whom the investigation

related; or

(iii) the person who conducted, or is conducting, the audit to

which the investigation related; and

66 Subsection 284(5)

Repeal the subsection, substitute:

(5) ASIC and the Commissioner of Taxation must give each other a

copy of any report they prepare under this section in relation to:

(a) a self managed superannuation fund; or

(b) an approved SMSF auditor; or

managed superannuation fund.

67 Subsection 294(1)

Repeal the subsection, substitute:

(1) A copy of, or an extract from, a book relating to:

(a) affairs of a superannuation entity or approved SMSF auditor;

(b) conduct of an audit of a self managed superannuation fund;

is admissible in evidence in a proceeding as if the copy were the

original book, or the extract were the relevant part of the original

book, as the case may be, whether or not the copy or extract was

made under section 273.

Schedule 2 Approved SMSF auditors

Part 2 Other amendments

34 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

68 Subsection 344(12)

After "(rb),", insert "(rc), (rd), (re), (rf), (rg), (rh), (ri),".

Taxation Administration Act 1953

69 Subsection 355-65(3) in Schedule 1 (after table item 6)

Insert:

the Australian Securities and

Investments Commission

is for the purpose of administering

Part 16 of the Superannuation Industry

(Supervision) Act 1993.

Approved SMSF auditors Schedule 2

Application and transitional provisions Part 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 35

Part 3--Application and transitional provisions

70 Approved auditors of self managed superannuation funds

(1)

If, immediately before 31 January 2013, a person was an approved

auditor of a self managed superannuation fund, the Superannuation

Industry (Supervision) Act 1993 as amended by this Schedule applies in

relation to the person as if the person became an approved SMSF

auditor on 31 January 2013.

(2)

Subitem (1) does not prevent the person applying, under section 128A

of that Act as so amended, for registration as an approved SMSF

auditor.

(3)

This item continues to apply to the person until:

(a) registration of the person as an approved SMSF auditor under

section 128B of that Act as so amended takes effect; or

(b) the end of 30 June 2013;

whichever happens earlier.

(4)

While this item applies to the person, section 128J of that Act as so

amended does not require particulars relating to the person to be entered

in the Register of Approved SMSF Auditors.

71 Applications before 1 July 2013 for registration as an

approved SMSF auditor

(1)

A person who, before 1 July 2013, applies for registration as an

approved SMSF auditor is taken, in the circumstances prescribed by a

regulation, to have met the one or more requirements of paragraph

128B(1)(a) of the Superannuation Industry (Supervision) Act 1993, as

amended by this Schedule, prescribed by that regulation.

(2)

This item does not affect the operation of subsection 128B(2) of that

Act as so amended.

72 Approved auditors of superannuation entities that are not

self managed superannuation funds

(1)

The amendment made by item 5 of this Schedule does not affect the

continuity of any regulations made for the purposes of the definition of

approved auditor in subsection 10(1) of the Superannuation Industry

Schedule 2 Approved SMSF auditors

Part 3 Application and transitional provisions

36 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

(Supervision) Act 1993 that are in force immediately before this item

commences.

(2)

However, this item does not apply to the extent that those regulations

apply to an auditor of a self managed superannuation fund.

73 Auditors previously disqualified under section 131

(1) If:

(a) immediately before 31 January 2013, a person was a person

in respect of whom an order (a section 131 order) is in force

under section 131 of the Superannuation Industry

(Supervision) Act 1993; and

(b) immediately before the order came into force, the person was

an approved auditor within the meaning of that Act;

on and after that day, the person is taken, for the purposes of that Act as

amended by this Schedule, to be a person for whom an order (a

section 130F order) disqualifying a person from being an approved

SMSF auditor is in force under section 130F.

(2) If:

(a) before 31 January 2013, an application was made, as

mentioned in subsection 131(6) of the Superannuation

Industry (Supervision) Act 1993, for the revocation of the

section 131 order; and

(b) a decision on the application was not made before that day;

on and after that day, an application is taken, for the purposes of that

Act as amended by this Schedule, to have been made, as mentioned in

subsection 130F(9) of that Act as so amended, for the revocation of the

section 130F order.

(3) If:

(a) before 31 January 2013, a request was made, under

subsection 344(1) of the Superannuation Industry

(Supervision) Act 1993, for reconsideration of a decision

refusing to revoke the section 131 order; and

(b) a decision on the request was not made before that day;

on and after that day, a request is taken, for the purposes of that Act as

amended by this Schedule, to have been made, under subsection 344(1)

of that Act as so amended, for reconsideration of a decision refusing to

revoke the section 130F order.

Approved SMSF auditors Schedule 2

Application and transitional provisions Part 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 37

(4) If:

(a) before 31 January 2013, an application was made, under

subsection 344(8) of the Superannuation Industry

(Supervision) Act 1993, for review of a decision under

subsection 344(4) of that Act relating to the section 131

order; and

(b) a decision on the application was not made before that day;

on and after that day, an application is taken, for the purposes of that

Act as amended by this Schedule, to have been made, under subsection

344(8) of that Act as so amended, for review of a corresponding

decision relating to the section 130F order.

74 Enforcement of undertakings

If:

(a) before 31 January 2013, the Commissioner of Taxation

accepted an undertaking, under subsection 262A(1) of the

Superannuation Industry (Supervision) Act 1993, given by an

approved auditor; and

(b) the undertaking was still in force immediately before that

day;

on and after that day, the undertaking is taken, for the purposes of that

Act as amended by this Schedule, to have been accepted by ASIC under

that subsection of that Act as so amended.

75 Inspectors

If a person was an inspector immediately before 31 January 2013, the

person's appointment as an inspector continues after that day as if it

were an appointment for the purposes of the conduct of investigations,

under Division 4 of Part 25 of the Superannuation Industry

(Supervision) Act 1993 as amended by this Schedule, in relation to:

(a) the affairs of superannuation entities and approved SMSF

auditors; and

(b) the conduct of audits of self managed superannuation funds.

76 Regulations

The Governor-General may make regulations prescribing matters:

(a) required or permitted by this Part to be prescribed; or

(b) necessary or convenient to be prescribed for carrying out or

giving effect to this Part.

Schedule 3 Expanded superannuation reporting

38 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Schedule 3--Expanded superannuation

reporting

Taxation Administration Act 1953

1 Subdivision 390-A in Schedule 1 (heading)

Repeal the heading, substitute:

Subdivision 390-A--Member information statements and

roll-over superannuation benefit statements

2 Section 390-5 in Schedule 1 (heading)

Repeal the heading, substitute:

390-5 Member information statements

3 Subsections 390-5(1), (2) and (3) in Schedule 1

Repeal the subsections, substitute:

(1)

superannuation provider in relation to a

superannuation plan

must give the Commissioner a statement in relation to an

individual if the individual held a

superannuation interest in the

plan at any time during the period specified in a determination

under subsection (6).

Note 1:

Section 286-75 provides an administrative penalty for breach of this

subsection.

Note 2:

A person may make a complaint to the Superannuation Complaints

Tribunal under section 15CA of the Superannuation (Resolution of

Complaints) Act 1993 if the person is dissatisfied with a statement

given to the Commissioner by a superannuation provider under this

section.

4 Paragraph 390-5(9)(a) in Schedule 1

After "relating to the contributions", insert "made to the

superannuation plan".

5 Paragraph 390-5(9)(b) in Schedule 1

Repeal the paragraph, substitute:

Expanded superannuation reporting Schedule 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 39

(b)

the

value of any

superannuation interest, or superannuation

account, the individual held in the superannuation plan at a

particular time;

respect of the individual during the period--a statement to

that effect.

6 After subsection 390-5(9) in Schedule 1

Insert:

(9A) Treat the following as contributions for the purposes of this

section:

(a)

notional taxed contributions in relation to a

defined benefit

interest in the

superannuation plan;

(b) amounts, mentioned in subsection 292-25(3) or paragraph

292-90(4)(a) of the Income Tax Assessment Act 1997,

allocated by the

superannuation provider in relation to the

superannuation plan;

7 Paragraph 390-5(11)(c) in Schedule 1

Omit "in respect of whom the contributions are made", substitute "who

holds the

superannuation interest in the plan".

8 Subparagraph 390-5(11)(c)(ii) in Schedule 1

Omit "who made at least some of the contributions".

9 Application provision

The amendments made by this Schedule apply in relation to periods

starting on and after 1 July 2012.

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 1 Superannuation Industry (Supervision) Act 1993

40 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Schedule 4--Improving efficiency and data

quality in the superannuation system

Part 1--Superannuation Industry (Supervision) Act

1993

Division 1--Information register for data and payment

standards

Superannuation Industry (Supervision) Act 1993

1 Subsection 10(1)

Insert:

data and payment regulations and standards relating to RSAs has

the same meaning as in the Retirement Savings Accounts Act 1997.

2 Subsection 10(1)

Insert:

eligible superannuation entity means a regulated superannuation

fund or an approved deposit fund.

3 Subsection 10(1)

Insert:

superannuation data and payment regulations and standards

means:

(a) the regulations made under section 34K; and

(b) the standards issued by the Commissioner of Taxation under

that section.

4 Division 4 of Part 3B (heading)

Repeal the heading, substitute:

Division 4--Information

5 Before section 34X

Improving efficiency and data quality in the superannuation system Schedule 4

Superannuation Industry (Supervision) Act 1993 Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 41

Insert:

Subdivision A--Correction and rectification of information

6 At the end of Division 4 of Part 3B

Add:

Subdivision B--Register of information about certain funds

and schemes

34Y Register of information about certain funds and schemes

(1) The Commissioner of Taxation must keep a register of information

for the purposes of this Part.

(2) The Commissioner of Taxation is to keep the register by electronic

means.

(3) The register is not a legislative instrument.

(4) The Commissioner of Taxation may cause the contents of all or

part of the register to be made available to:

(a) entities that must comply with the superannuation data and

payment regulations and standards; and

(b) entities that must comply with the data and payment

regulations and standards relating to RSAs; and

Contents of the register

(5) The register must contain the information given to the

Commissioner of Taxation in accordance with section 34Z.

(6) The trustee of an exempt public sector superannuation scheme may

give the Commissioner of Taxation information that both:

(a) relates to the scheme; and

(b) is of the kind given to the Commissioner of Taxation in

accordance with section 34Z.

The Commissioner of Taxation may include that information on

the register.

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 1 Superannuation Industry (Supervision) Act 1993

42 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

34Z Trustees to provide information for inclusion in register

(1) The following matters may be prescribed by regulation:

(a) information that is required to be given to the Commissioner

of Taxation in accordance with this section in relation to

prescribed eligible superannuation entities;

(b) the manner and form (including electronic form) in which the

prescribed information is to be provided;

information is to be provided.

(2) Each trustee of a prescribed eligible superannuation entity must

ensure that the prescribed information in relation to the entity is

given to the Commissioner of Taxation in accordance with the

regulation.

Contravening requirement to give information

(3) A person commits an offence of strict liability if the person

contravenes subsection (2).

Penalty: 25 penalty units.

Note:

For offences of strict liability, see subsection 6.1(1) of the Criminal

Code.

7 Application

(1)

The register provided for by Subdivision B of Division 4 of Part 3B of

the Superannuation Industry (Supervision) Act 1993, as inserted by this

Schedule, is to be kept from 1 July 2013.

(2)

A regulation made for the purposes of subsection 34Z(1) of the

Superannuation Industry (Supervision) Act 1993, as inserted by this

Schedule, must not prescribe a time by which information is to be

provided to the Commissioner of Taxation that is before 1 March 2013.

Division 2--Monitoring

Superannuation Industry (Supervision) Act 1993

8 After subsection 6(2AB)

Insert:

Improving efficiency and data quality in the superannuation system Schedule 4

Superannuation Industry (Supervision) Act 1993 Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 43

(2AC) Nothing in subsection (2AB) limits the powers and duties

conferred on the Commissioner of Taxation by Part 25 (as

mentioned in subsection (2A)) in relation to contributing

employers.

Note:

The Commissioner of Taxation's powers and duties under Part 25 in

relation to contributing employers are found in sections 255 and 256,

with related provisions in Divisions 7, 8 and 9 of that Part.

9 Subsection 10(1)

Insert:

contributing employer means an employer having obligations

under Part 3B (about the superannuation data and payment

regulations and standards).

10 After paragraph 253(a)

Insert:

(aa) to ensure that the Regulator has sufficient power to monitor

employers' compliance with Part 3B (superannuation data

and payment regulations and standards) (Division 2); and

11 Section 253 (at the end of note 3)

Add: "However, this does not affect any powers and duties the

Commissioner of Taxation has under this Part in relation to contributing

employers: see subsection 6(2AC)".

12 At the end of paragraph 255(1)(b)

Add "or".

13 After paragraph 255(1)(b)

Insert:

14 Subsection 255(1)

Omit "require the relevant person", substitute "require the relevant

person, or the contributing employer,".

15 At the end of subsection 255(1)

Add ", or to the obligations of the contributing employer under

Part 3B".

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 1 Superannuation Industry (Supervision) Act 1993

44 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

16 Subsection 256(1)

Repeal the subsection, substitute:

(1) For the purposes of this Act, an authorised person may enter, at any

reasonable time, any premises at which the person has reason to

believe books are kept relating to:

(a) the affairs of a superannuation entity or approved SMSF

auditor; or

(b) the conduct of an audit of a self managed superannuation

fund; or

(1A) The authorised person may:

(a) inspect any book found on the premises:

(i) that relates to those affairs, the conduct of that audit or

those obligations; or

(ii) that the authorised person believes on reasonable

grounds to relate to those affairs, the conduct of that

audit or those obligations; and

(b) make copies of, or take extracts from, any such book.

17 At the end of Division 2 of Part 25

Add:

256A Alternative constitutional basis

Without limiting its effect apart from this section, this Part also has

the effect it would have if each reference to a contributing

employer were, by express provision, confined to a contributing

employer that is a corporation to which paragraph 51(xx) of the

Constitution applies.

18 At the end of section 287

Add:

(5) This section does not apply to a person who is a contributing

employer if the requirement mentioned in subsection (1) relates to

the obligations of the contributing employer under Part 3B.

Improving efficiency and data quality in the superannuation system Schedule 4

Superannuation Industry (Supervision) Act 1993 Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 45

Division 3--Tax file numbers

Superannuation Industry (Supervision) Act 1993

19 At the end of Division 1 of Part 25A

Add:

299CA Use of tax file number to validate information

(1) This section applies if, after the commencement of this section, an

employee:

(a) quotes his or her tax file number to his or her employer in

connection with the operation, or the possible future

operation, of this Act and the other Superannuation Acts; or

(b) quotes his or her tax file number to his or her employer in

connection with the operation of Division 3 of Part VA of the

Income Tax Assessment Act 1936.

Note:

Division 3 of Part VA of the Income Tax Assessment Act 1936 deals

with quotation of tax file numbers by recipients of eligible PAYG

payments.

(2) The employer may use the tax file number in a manner connecting

it with the person's identity for the purpose of asking the

Commissioner of Taxation to validate information about the person

under section 299TE.

20 After section 299LA

Insert:

299LB Use of tax file number to validate information

(1) This section applies if a person who is a beneficiary of an eligible

superannuation entity, or of a regulated exempt public sector

superannuation scheme, or an applicant to become such a

beneficiary, quotes his or her tax file number to a trustee of the

entity or scheme in connection with the operation, or the possible

future operation, of this Act and the other Superannuation Acts.

(2) The trustee may use the tax file number in a manner connecting it

with the person's identity for the purpose of asking the

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 1 Superannuation Industry (Supervision) Act 1993

46 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Commissioner of Taxation to validate information about the person

under section 299TD.

21 Division 3A of Part 25A (heading)

Repeal the heading, substitute:

Division 3A--Commissioner of Taxation may issue notices

about tax file numbers

22 Subsection 299TA(1)

After "Commissioner", insert "of Taxation (the Commissioner)".

23 Subsection 299TB(1)

After "Commissioner", insert "of Taxation (the Commissioner)".

24 At the end of Division 3A of Part 25A

Add:

299TC Commissioner of Taxation may inform trustee of tax file

number

(1) The Commissioner of Taxation (the Commissioner) may give the

trustee of an eligible superannuation entity or a regulated exempt

public sector superannuation scheme notice of the tax file number

of a person if the Commissioner is satisfied that:

(a) the person is a beneficiary of the eligible superannuation

entity or the regulated exempt public sector superannuation

scheme, or an applicant to become such a beneficiary; and

(b) the person has quoted (for superannuation purposes) (within

the meaning of the Income Tax Assessment Act 1997) his or

her tax file number to another person.

(2) However if, before the time the Commissioner gives the notice, the

person specifically requests the trustee not to record the person's

tax file number:

(a) the notice is to be disregarded; and

(b) section 299SA does not apply to deem the person to have

quoted the tax file number to the trustee when the notice was

given.

Improving efficiency and data quality in the superannuation system Schedule 4

Superannuation Industry (Supervision) Act 1993 Part 1

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 47

Note:

A consequence is that provisions that require or permit a trustee to

record or use a validly quoted tax file number do not apply.

299TD Validation notice--beneficiaries of eligible superannuation

entities

(1) The Commissioner of Taxation (the Commissioner) may give the

trustee of an eligible superannuation entity or a regulated exempt

public sector superannuation scheme a notice under subsection (2)

if:

(a) the trustee gives the Commissioner information that the

trustee believes to be:

(i) the full name, tax file number and date of birth of a

person; or

(ii) the full name, tax file number, date of birth and address

of a person; and

(b) the Commissioner is satisfied that:

(i) the person is a beneficiary of the entity or scheme, or an

applicant to become such a beneficiary; and

(ii) the trustee is giving the information to the

Commissioner in connection with the operation of the

entity or scheme; and

information (if any) that the Commissioner has recorded for

the tax file number given, that it is reasonable to give the

notice.

(2) The notice must state whether or not the Commissioner is able to

validate the information given.

(3) To avoid doubt, a notice that the Commissioner is not able to

validate the information is not a notice under section 299TB.

299TE Validation notice--employees

(1) The Commissioner of Taxation (the Commissioner) may give an

employer a notice under subsection (2) if:

(a) the employer gives the Commissioner information that the

employer believes to be:

(i) the full name, tax file number and date of birth of a

person; or

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 1 Superannuation Industry (Supervision) Act 1993

48 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

(ii) the full name, tax file number, date of birth and address

of a person; and

(b) the Commissioner is satisfied that:

(i) the person is an employee of the employer for whose

benefit a contribution to an eligible superannuation

entity or a regulated exempt public sector

superannuation scheme is to be made; and

(ii) the employer is giving the information to the

Commissioner in connection with the operation of the

entity or scheme; and

(iii) that use by the employer of the tax file number complies

with section 299CA; and

information (if any) that the Commissioner has recorded for

the tax file number given, that it is reasonable to give the

notice.

(2) The notice must state whether or not the Commissioner is able to

validate the information given.

(3) To avoid doubt, a notice that the Commissioner is not able to

validate the information is not a notice under subsection 202CE(3)

of the Income Tax Assessment Act 1936.

299TF Commissioner of Taxation may provide electronic interface

The Commissioner of Taxation may use an electronic interface to

receive information and give notices under this Division.

Improving efficiency and data quality in the superannuation system Schedule 4

Retirement Savings Accounts Act 1997 Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 49

Part 2--Retirement Savings Accounts Act 1997

Division 1--Information register for data and payment

standards

Retirement Savings Accounts Act 1997

25 Section 16

Insert:

data and payment regulations and standards relating to RSAs

means:

(a) the regulations made under section 45B; and

(b) the standards issued by the Commissioner of Taxation under

that section.

26 Section 16

Insert:

superannuation data and payment regulations and standards has

the same meaning as in the Superannuation Industry (Supervision)

Act 1993.

27 Division 4 of Part 4A (heading)

Repeal the heading, substitute:

Division 4--Information

28 Before section 45P

Insert:

Subdivision A--Correction and rectification of information

29 At the end of Division 4 of Part 4A

Add:

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 2 Retirement Savings Accounts Act 1997

50 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Subdivision B--Register of information about certain RSAs

45Q Register of information about certain RSAs

(1) The Commissioner of Taxation must keep a register of information

for the purposes of this Part.

(2) The Commissioner of Taxation is to keep the register by electronic

means.

(3) The register is not a legislative instrument.

(4) The Commissioner of Taxation may cause the contents of all or

part of the register to be made available to entities that must

comply with:

(a) the data and payment regulations and standards relating to

RSAs; or

(b) the superannuation data and payment regulations and

standards.

Contents of the register

(5) The register must contain the information given to the

Commissioner of Taxation in accordance with section 45R.

(6) The Commissioner of Taxation is to combine the register kept

under this section with the register kept under section 34Y of the

Superannuation Industry (Supervision) Act 1993.

45R RSA providers to provide information for inclusion in register

(1) The following matters may be prescribed by regulation:

(a) information that is required to be given to the Commissioner

of Taxation in accordance with this section in relation to

prescribed RSAs;

(b) the manner and form (including electronic form) in which the

prescribed information is to be provided;

information is to be provided.

(2) The RSA provider of a prescribed RSA must give the prescribed

information in relation to the RSA to the Commissioner of

Taxation in accordance with the regulation.

Improving efficiency and data quality in the superannuation system Schedule 4

Retirement Savings Accounts Act 1997 Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 51

Contravening requirement to give information

(3) A person commits an offence of strict liability if the person

contravenes subsection (2).

Penalty: 25 penalty units.

Note:

For offences of strict liability, see subsection 6.1(1) of the Criminal

Code.

30 Application

(1)

The register provided for by Subdivision B of Division 4 of Part 4A of

the Retirement Savings Accounts Act 1997, as inserted by this Schedule,

is to be kept from 1 July 2013.

(2)

A regulation made for the purposes of subsection 45S(1) of the

Retirement Savings Accounts Act 1997, as inserted by this Schedule,

must not prescribe a time by which information is to be provided to the

Commissioner of Taxation that is before 1 March 2013.

Division 2--Monitoring

Retirement Savings Accounts Act 1997

31 After subsection 3(2)

Insert:

(2A) Powers and duties are also conferred by Part 10 on the

Commissioner of Taxation for the purposes of the administration

of the provisions he or she administers.

Note:

Generally, the Commissioner of Taxation is not referred to in these

provisions, Regulator is used instead. See the definition of Regulator

in section 16.

32 Section 16

Insert:

contributing employer means an employer having obligations

under Part 4A (about the data and payment regulations and

standards relating to RSAs).

33 Part 10 (heading)

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 2 Retirement Savings Accounts Act 1997

52 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Repeal the heading, substitute:

Part 10--Monitoring and investigation

34 After paragraph 91(a)

Insert:

(aa) to ensure that the Regulator has sufficient power to monitor

employers' compliance with Part 4A (data and payment

regulations and standards relating to RSAs) (Division 2); and

35 Division 2 of Part 10 (heading)

Repeal the heading, substitute:

Division 2--Monitoring

36 After subsection 93(1)

Insert:

(1A) For the purposes of this Act, the Regulator or an authorised person

may, by written notice to a contributing employer, require the

contributing employer to produce to the Regulator or an authorised

person, at such reasonable time and reasonable place as are

specified in a notice, any books relating to the obligations of the

contributing employer under Part 4A.

37 Subsection 93(2)

After "(1)", insert "or (1A)".

38 Subsection 94(1)

After "provision of RSAs", insert "or obligations of a contributing

employer under Part 4A".

39 Paragraph 94(1)(a)

After "provision of RSAs" (wherever occurring), insert "or those

obligations".

40 At the end of Division 2 of Part 10

Add:

Improving efficiency and data quality in the superannuation system Schedule 4

Retirement Savings Accounts Act 1997 Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 53

94A Alternative constitutional basis

Without limiting its effect apart from this section, this Part also has

the effect it would have if each reference to a contributing

employer were, by express provision, confined to a contributing

employer that is a corporation to which paragraph 51(xx) of the

Constitution applies.

41 At the end of section 117

Add:

(5) This section does not apply to a person who is a contributing

employer if the requirement mentioned in subsection (1) relates to

the obligations of the contributing employer under Part 4A.

Division 3--Tax file numbers

Retirement Savings Accounts Act 1997

42 At the end of Division 2 of Part 11

Add:

133A Use of tax file number to validate information

(1) This section applies if, after the commencement of this section, an

employee:

(a) quotes his or her tax file number to his or her employer in

connection with the operation, or the possible future

operation, of this Act and the other Superannuation Acts; or

(b) quotes his or her tax file number to his or her employer in

connection with the operation of Division 3 of Part VA of the

Income Tax Assessment Act 1936.

Note:

Division 3 of Part VA of the Income Tax Assessment Act 1936 deals

with quotation of tax file numbers by recipients of eligible PAYG

payments.

(2) The employer may use the tax file number in a manner connecting

it with the person's identity for the purpose of asking the

Commissioner of Taxation to validate information about the person

under section 143E.

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 2 Retirement Savings Accounts Act 1997

54 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

43 After section 137A

Insert:

137B Use of tax file number to validate information

(1) This section applies if:

(a) a holder of an RSA; or

(b) a person applying to become such a holder;

quotes his or her tax file number to the RSA provider in connection

with the operation, or the possible future operation, of this Act and

the other Superannuation Acts.

(2) The RSA provider may use the tax file number in a manner

connecting it with the person's identity for the purpose of asking

the Commissioner of Taxation to validate information about the

person under section 143D.

44 Division 4A of Part 11 (heading)

Repeal the heading, substitute:

Division 4A--Commissioner of Taxation may issue notices

about tax file numbers

45 Subsection 143A(1)

After "Commissioner of Taxation", insert "(the Commissioner)".

46 Subsection 143B(1)

After "Commissioner", insert "of Taxation (the Commissioner)".

47 At the end of Division 4A of Part 11

Add:

143C Commissioner of Taxation may inform RSA provider of tax

file number

(1) The Commissioner of Taxation (the Commissioner) may give an

RSA provider notice of the tax file number of a person if the

Commissioner is satisfied that:

Improving efficiency and data quality in the superannuation system Schedule 4

Retirement Savings Accounts Act 1997 Part 2

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 55

(a) the person is a holder of an RSA provided by the RSA

provider, or a person applying to become such a holder; and

(b) the person has quoted (for superannuation purposes) (within

the meaning of the Income Tax Assessment Act 1997) his or

her tax file number to another person.

(2) However if, before the time the Commissioner gives the notice, the

person specifically requests the provider not to record the person's

tax file number:

(a) the notice is to be disregarded; and

(b) section 140A does not apply to deem the person to have

quoted the tax file number to the provider when the notice

was given.

Note:

A consequence is that provisions that require or permit a provider to

record or use a validly quoted tax file number do not apply.

143D Validation notice--holders of RSAs

(1) The Commissioner of Taxation (the Commissioner) may give an

RSA provider a notice under subsection (2) if:

(a) the RSA provider gives the Commissioner information that

the RSA provider believes to be:

(i) the full name, tax file number and date of birth of a

person; or

(ii) the full name, tax file number, date of birth and address

of a person; and

(b) the Commissioner is satisfied that:

(i) the person is a holder of an RSA provided by the RSA

provider, or a person applying to become such a holder;

and

(ii) the RSA provider is giving the information to the

Commissioner in connection with the operation of the

RSA; and

information (if any) that the Commissioner has recorded for

the tax file number given, that it is reasonable to give the

notice.

(2) The notice must state whether or not the Commissioner is able to

validate the information given.

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 2 Retirement Savings Accounts Act 1997

56 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

(3) To avoid doubt, a notice that the Commissioner is not able to

validate the information is not a notice under section 143B.

143E Validation notice--employees

(1) The Commissioner of Taxation (the Commissioner) may give an

employer a notice under subsection (2) if:

(a) the employer gives the Commissioner information that the

employer believes to be:

(i) the full name, tax file number and date of birth of a

person; or

(ii) the full name, tax file number, date of birth and address

of a person; and

(b) the Commissioner is satisfied that:

(i) the person is an employee of the employer for whose

benefit a contribution to an RSA is to be made; and

(ii) the employer is giving the information to the

Commissioner in connection with the operation of the

RSA; and

(iii) that use by the employer of the tax file number complies

with section 133A; and

information (if any) that the Commissioner has recorded for

the tax file number given, that it is reasonable to give the

notice.

(2) The notice must state whether or not the Commissioner is able to

validate the information given.

(3) To avoid doubt, a notice that the Commissioner is not able to

validate the information is not a notice under subsection 202CE(3)

of the Income Tax Assessment Act 1936.

143F Commissioner of Taxation may provide electronic interface

The Commissioner of Taxation may use an electronic interface to

receive information and give notices under this Division.

Improving efficiency and data quality in the superannuation system Schedule 4

Minor amendments relating to eligible superannuation entities Part 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 57

Part 3--Minor amendments relating to eligible

superannuation entities

Income Tax Assessment Act 1936

48 Subsection 202DH(2)

Repeal the subsection, substitute:

(2) In this section and section 202DHA:

eligible superannuation entity has the same meaning as in the

Superannuation Industry (Supervision) Act 1993.

regulated exempt public sector superannuation scheme has the

same meaning as in Part 25A of the Superannuation Industry

(Supervision) Act 1993.

49 Subsection 202DJ(2) (definitions of eligible

superannuation entity and regulated exempt public

sector superannuation scheme)

Repeal the definitions.

50 Subsection 202DJ(2)

Insert:

eligible superannuation entity has the same meaning as in the

Superannuation Industry (Supervision) Act 1993.

51 Subsection 202DJ(2) (definitions of holder, RSA and RSA

provider)

Repeal the definitions.

52 Subsection 202DJ(2)

Insert:

regulated exempt public sector superannuation scheme has the

same meaning as in Part 25A of the Superannuation Industry

(Supervision) Act 1993.

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 3 Minor amendments relating to eligible superannuation entities

58 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

Retirement Savings Accounts Act 1997

53 Section 16 (definition of eligible superannuation entity)

Repeal the definition, substitute:

eligible superannuation entity has the same meaning as in the

Superannuation Industry (Supervision) Act 1993.

Superannuation Industry (Supervision) Act 1993

54 Subsections 34H(1) and (2)

Omit "superannuation entities", substitute "eligible superannuation

entities".

55 Paragraphs 34K(1)(a) and (b)

Omit "superannuation entities", substitute "eligible superannuation

entities".

56 Subsection 34K(2)

Omit "superannuation entity", substitute "eligible superannuation

entity".

57 Paragraphs 34K(3)(a) and (b)

Omit "superannuation entities", substitute "eligible superannuation

entities".

58 Subsection 34K(4)

Omit "superannuation entity", substitute "eligible superannuation

entity".

59 Subparagraphs 34K(5)(a)(i) and (ii)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

60 Paragraph 34K(5)(b)

Omit "superannuation entity", substitute "eligible superannuation

entity".

61 Section 34M (heading)

Improving efficiency and data quality in the superannuation system Schedule 4

Minor amendments relating to eligible superannuation entities Part 3

Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency Measures) Bill

2012 No. , 2012 59

Repeal the heading, substitute:

34M Compliance requirement--trustees of eligible superannuation

entities

62 Subsection 34M(1)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

63 Subsection 34M(1)

Omit "the superannuation entity" (wherever occurring), substitute "the

eligible superannuation entity".

64 Subsection 34N(1)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

65 Section 34P (heading)

Repeal the heading, substitute:

34P Regulator's power to give directions in certain circumstances--

trustees of eligible superannuation entities

66 Subsection 34P(1)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

67 Subsection 34P(1)

Omit "the superannuation entity", substitute "the eligible

superannuation entity".

68 Paragraph 34P(2)(a)

Omit "superannuation entity", substitute "eligible superannuation

entity".

69 Subsection 34P(3)

Omit "superannuation entity", substitute "eligible superannuation

entity".

Schedule 4 Improving efficiency and data quality in the superannuation system

Part 3 Minor amendments relating to eligible superannuation entities

60 Superannuation Laws Amendment (Capital Gains Tax Relief and Other Efficiency

Measures) Bill 2012 No. , 2012

70 Subsection 34P(4)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

71 Subsections 34P(6), (8) and (9)

Omit "superannuation entity", substitute "eligible superannuation

entity".

72 Section 299W (definition of eligible superannuation entity)

Repeal the definition.

Superannuation Legislation Amendment (Stronger Super)

Act 2012

73 Paragraph 20(1)(a)

Omit "a superannuation entity", substitute "an eligible superannuation

entity".

Taxation Administration Act 1953

74 Subsection 288-110(1) in Schedule 1 (heading)

Repeal the heading, substitute:

Liability to penalty--RSA providers and trustees of eligible

superannuation entities

Commonwealth of Australia Bills

SUPERANNUATION LAWS AMENDMENT (CAPITAL GAINS TAX RELIEF AND OTHER EFFICIENCY MEASURES) BILL 2012