Commonwealth Consolidated Acts Commonwealth Consolidated ActsA payment that is made to the reversionary beneficiary of a * personal injury annuity for which there is a * guarantee period is exempt from income tax if:
(a) the payment is a periodic or lump sum payment made in accordance with subsection 54 - 35(3); and
(b) either:
(i) if subparagraph 54 - 35(3)(b)(i) applies--the payment; or
(ii) if subparagraph 54 - 35(3)(b)(ii) applies--each of the payments taken into account in working out the amount of the lump sum under subsection 54 - 35(5);
would be exempt from income tax under this Division if the * injured person were still alive and the payment, or each of the payments, were instead made to the injured person.