SUPERANNUATION LEGISLATION AMENDMENT BILL 2018

A Bill for an Act to amend the Legislative Assembly Members' Superannuation Fund Act and the Superannuation Act, and for related purposes

45DE Transfer to successor fund
49L Offence to disclose confidential information

28A Offence to disclose confidential information
Part VIII Transitional matters for Superannuation Legislation Amendment Act 2018

40 Acquisition on just terms
7 Delegation
6 Functions and powers of Commissioner
29 Payment of employer-financed benefits
Division 2 Administration of Scheme

45DD Effect of releasing benefit
45DF Payment to eligible rollover fund
50A Commissioner may charge fees

8 Retrenchment benefit
49B Reviewable decisions
Part 10 Transitional matters for Superannuation Legislation Amendment Act 2018

An Act to amend the Legislative Assembly Members' Superannuation Fund Act and the Superannuation Act, and for related purposes

(1) Parts 1 and 2 commence on the day after the day on which the Administrator's assent to this Act is declared.

(2) The remaining provisions of this Act commence on a day fixed by the Administrator by Gazette notice.

(1) The Commissioner may transfer the benefits of members and adherents to a superannuation fund that is a successor fund for members and adherents.

(2) A superannuation fund is a successor fund for members and adherents if the Trustee Board and Commissioner:

(a) are satisfied that the fund confers on a member of that fund rights in respect of benefits equivalent to those that the member and adherent have under the Scheme; and

(b) have agreed with the trustee of the fund that those equivalent rights will be conferred on members and adherents if their benefits are transferred to the fund.

(3) The Commissioner may transfer the benefits of members and adherents to a successor fund without their consent.

(4) However, if the successor fund is a registrable superannuation entity that is a regulated superannuation fund or an approved deposit fund, the Commissioner must not transfer a benefit unless the successor fund is registered under Part 2B of the SIS Act.

benefit, in relation to a member or adherent, means the balance of the member's or adherent's accumulation account prior to the transfer to a successor fund.

(a) the person obtains information in the course of performing a function connected with the administration of an NTG Scheme or this Act or exercising a power under this Act; and

(b) the information is confidential and the person is reckless in relation to that circumstance; and

(d) the conduct results in the disclosure of the information and the disclosure is not:

(i) for a purpose connected with the administration of this Act, including a legal proceeding arising out of the operation of this Act; or

(e) the person is reckless in relation to the result and circumstance mentioned in paragraph (d).

(3) If the information mentioned in subsection (1) relates to a person, it is a defence to a prosecution for an offence against that subsection if the person has consented to the disclosure of the information.

In addition to the circumstances mentioned in this section, a person who discloses information mentioned in this section will not be criminally responsible for an offence if the disclosure is justified or excused by or under a law (see section 43BE of the Criminal Code).

Division 1 Amendments to Legislative Assembly Members' Superannuation Fund Act
7 Act amended

This Division amends the Legislative Assembly Members' Superannuation Fund Act.

asset means property of any kind, whether tangible or intangible, real or personal, including any right, interest or claim of any kind, whether liquidated or unliquidated, actual, contingent or prospective.

liability means any liability, duty or obligation, whether liquidated or unliquidated, actual, contingent or prospective.

right means any right, power, privilege or immunity, whether actual, contingent or prospective.

transfer date means the commencement of section 7 of the Superannuation Legislation Amendment Act 2018.

Trustee Board means the Superannuation Trustee Board as constituted on the transfer date under section 8A of the Superannuation Act.

Division 1 Discontinuance of Legislative Assembly Members' Superannuation Fund

(1) The assets and liabilities of the Fund are transferred to the Central Holding Authority on the transfer date.

(2) The assets and liabilities of the Fund must be recorded in the accounts of the Central Holding Authority.

(3) The Fund is discontinued when all its assets and liabilities are transferred under subsection (1).

(a) take all practicable steps to transfer the Trustee Board's functions and the records and administration of the Scheme to the Commissioner; and

(b) give to each registrar all documents and information necessary to record and register the transfers mentioned in paragraph (a).

(a) the Commissioner is substituted for the Trustee Board in any proceedings relating to the Fund to which the Trustee Board is a party; and

(b) the Commissioner is substituted for the Trustee Board in any agreement or document relating to the Fund; and

(c) any proceedings relating to the Fund that could have been commenced by or against the Trustee Board may only be commenced by or against the Commissioner; and

(d) any remedy that would have been available to or against the Trustee Board relating to the Fund is available only to or against the Commissioner.

registrar means a person authorised or required by a law of any jurisdiction to record or register documents relating to transactions affecting a transferred asset or liability.

The Commissioner must record the following in relation to each member and each former member who retains an interest in the Scheme:

(b) the return on the accumulation account as at the end of the financial year before the assets of the Fund are transferred to the Central Holding Authority;

(1) The Commissioner must, on the transfer date, determine the rate of return (which may be positive, neutral or negative) on accumulation accounts.

(2) The return is to be credited or debited to accumulation accounts as at the transfer date.

(1) The Commissioner must establish and maintain for the purposes of section 16 of the Surcharge Collection Act a surcharge debt account for each member in relation to whom a superannuation contributions surcharge is paid or payable by the Commissioner.

(a) any superannuation contributions surcharge paid or payable by the Commissioner in respect of the member; and

(b) any interest payable under the Surcharge Collection Act on the amount by which the account is in debit.

(3) The Commissioner must credit to the surcharge debt account of a member any amount paid under section 8 by the member.

(1) A member may, by lodging with the Commissioner an election form, do any of the following:

(a) pay an amount to the credit of the Central Holding Authority to reduce the amount by which the member's surcharge debt account is in debit;

(a) commute part of a member's pension under this Act to a lump sum in order to pay the balance of the member's surcharge debt account; or

(b) deduct an amount equal to the balance of a member's surcharge debt account from any payment to be made under this Act in relation to the member.

(1) A former member or other person may request commutation, under subsection (2), of a pension or allowance if:

(a) the pension or allowance is payable under this Act to the former member or person; and

(b) the former member or other person has received, from the Commissioner of Taxation, a notice under section 15 of the Surcharge Collection Act and is liable to pay a superannuation contributions surcharge in an amount specified in the notice; and

(c) the superannuation contributions surcharge relates to surchargeable contributions, within the meaning of the Surcharge Collection Act, in relation to the former member, a deceased member or a deceased former member.

(2) The former member or other person may, in writing, request the Commissioner to commute as much of the pension or allowance payable to the former member or other person as is necessary to provide a lump sum equivalent to the amount of the superannuation contributions surcharge.

(3) The Commissioner must comply with the request if satisfied that the commuted amount will be used to pay the superannuation contributions surcharge.

(1) The Commissioner must have an actuarial review of the Scheme carried out as at 30 June 2019 and 3 year intervals after that date, or at other dates as directed by the Minister.

(3) The cost of engaging an actuary and the costs of an actuarial review are to be paid by the Territory.

(1) The benefits payable under this Act must be paid from the Central Holding Authority.

(2) The appropriation of public moneys for the purpose of paying benefits under this Act is established or increased to the extent necessary.

The Commissioner may delegate any of the Commissioner's powers and functions under this Act to a person.

The Commissioner may charge a person who requests a service in relation to this Act the reasonable cost of performing the service.

(a) the person obtains information in the course of performing a function connected with the administration of this Act or exercising a power under this Act; and

(b) the information is confidential and the person is reckless in relation to that circumstance; and

(d) the conduct results in the disclosure of the information and the disclosure is not:

(i) for a purpose connected with the administration of this Act, including a legal proceeding arising out of the operation of this Act; or

(e) the person is reckless in relation to the result and circumstance mentioned in paragraph (d).

Part VIII Transitional matters for Superannuation Legislation Amendment Act 2018

(a) occurs by operation of Part 3 of the Superannuation Legislation Amendment Act 2018; or

(2) Subsection (1) applies in relation to a foreign tax or charge so far as the legislative power of the Legislative Assembly permits.

(3) Any foreign tax or charge payable in relation to an act or thing mentioned in subsection (1) is to be paid from the Central Holding Authority, which is appropriated accordingly.

foreign tax or charge means a tax or charge under a law of a jurisdiction other than the Territory.

tax or charge means a tax, duty, levy, fee or charge of any kind, including a fee or charge for a service.

Anything done or omitted to be done by, to or in relation to the Trustee Board before the transfer date that has effect after that date is taken to have been done or omitted to be done by, to or in relation to the Commissioner.

If the operation of Part 3 of the Superannuation Legislation Amendment Act 2018 would result in an acquisition of property from a person otherwise than on just terms:

(a) the person is entitled to receive from the Territory the compensation necessary to ensure the acquisition is on just terms; and

(b) a court of competent jurisdiction may decide the amount of compensation or make the orders it considers necessary to ensure the acquisition is on just terms.

Division 2 Amendments to Superannuation Act relating to LAMS Scheme
14 Act amended

LAMS Scheme means the scheme established under the Legislative Assembly Members' Pensions Act.

The Commissioner may delegate any of the Commissioner's powers and functions under this Act to a person.

(b) a decision made by the Trustee Board about the operation or management, in relation to a particular person, of a scheme in relation to which the Trustee Board exercises powers or performs functions under section 8B(1)(d).

Division 1 Amendments to the Superannuation Act relating to transfer of Fund to successor fund
20 Act amended

complying superannuation fund, see section 995-1(1) of the Income Tax Assessment Act 1997 (Cth).

in the successor fund mentioned in section 45DE or a complying superannuation fund

(b) with the approval of the Minister, to administer any other superannuation scheme; and

(2) The Commissioner has the powers necessary to perform the Commissioner's functions.

scheme means any superannuation scheme in relation to which the Trustee Board exercises powers or performs functions.

Board managed scheme means a scheme in relation to which the Trustee Board exercises powers or performs functions.

(2) An eligible employee must pay to the employee's accumulation account the contributions required by the Rules.

29 Section 28B amended (Advance payments to reduce superannuation contributions surcharge)

All employer-financed benefits payable under the Scheme are to be paid from the Central Holding Authority, which is appropriated to the extent necessary to make those payments.

31 Section 30 amended (Commissioner may recover employer-financed benefits on behalf of Territory)

(1) Subject to subsections (2) and (3), if an employer-financed benefit is payable in respect of a person who is or was an eligible employee of a public authority, the public authority must pay the Central Holding Authority the amount of the benefit, less any amount specified by the Minister.

(2) The Minister may require a public authority to enter into an arrangement with the Territory to make regular instalment payments to the Central Holding Authority, in lieu of a single payment under subsection (1), if the Minister is satisfied that the arrangement has a fair basis for the payments.

(2A) A public authority may use any moneys under its control to pay amounts under subsection (1) or (2).

The Northern Territory Government and Public Authorities Employees' Superannuation Fund is discontinued.

(1) The Commissioner may recover money owing to an accumulation account by an eligible employee or other person.

(2) The amount may be recovered as if it were a debt due and payable to the Territory, except in the case of unpaid contributions.

(a) by deduction from the employee's salary in accordance with subsection (4); and

(b) by such instalments, and at such times, as the Commissioner determines as if the amount were public moneys within the meaning of the Financial Management Act; and

(a) make deductions from an eligible employee's salary under subsection (3)(a); and

(5) An amount deducted and paid under subsection (4) is taken to have been paid to the accumulation account by the eligible employee from whose salary the deduction was made.

(6) Any other amount recovered under this section from a person is to be paid to the person's accumulation account.

(1) The Commissioner must prepare, for the Minister, an annual report on the operation and management of each NTG Scheme during the financial year.

(2) The annual report must be given to the Minister within 6 months after the end of the financial year or within such other period as determined by the Minister.

(3) The Minister must table the report in the Legislative Assembly within 6 sitting days after the Minister receives it.

(1) The Commissioner may, on request, establish a separate account in the accounts of the Scheme to administer an amount to which a person is entitled as a non-member spouse under this Act.

If the Commissioner pays an amount to the ATO or an account holder under section 45DB(2) and the account holder is entitled to immediate payment of a benefit under the Scheme, the amount of the benefit is reduced by the amount paid under section 45DB(2).

(1) The Commissioner may pay the benefits of adherents to an eligible rollover fund if:

(a) the Commissioner would be entitled to do so under section 243 of the SIS Act, assuming that the Scheme is a superannuation fund to which that section applies; and

(b) the Commissioner has approved the eligible rollover fund as one to which benefits may be paid under this section.

(2) Section 243 of the SIS Act applies in relation to the payment, with the necessary changes.

benefit, in relation to an adherent, means the adherent's interest in the Scheme.

A member of the NTGPAS Scheme might ask for a statement of the number of annual benefit points to which the member is entitled.

The Commissioner may charge fees for services provided at the request of a person.

Division 2 Amendment of Northern Territory Government and Public Authorities' Superannuation Scheme Rules
40 Rules amended

This Division amends the Northern Territory Government and Public Authorities' Superannuation Scheme Rules.

(9) A contribution made while a member is on leave, as mentioned in subrule (4A) or (6), is taken to be a voluntary contribution under rule 5C and will not produce an employer-financed benefit for the purposes of Part III if:

(a) the member made the contribution without making an application in writing to the Commissioner under subrule (4A) or (6); or

(b) the member made an application in writing to the Commissioner under subrule (4A) or (6) but the member made the contribution without the Commissioner's permission.

(1) A member who is making contributions to the member's accumulation account under rule 5 may elect to make additional voluntary contributions to that account.

(1) A member who retires after attaining the age of 55 years must receive a benefit comprising the accrued employer component, less the amount of the balance of the member's surcharge debt account, if any.

(3) A member who makes an election under subrule (1) must receive a benefit comprising the accrued employer component, less the amount of the balance of the member's surcharge debt account, if any.

(1) A member who resigns, or who ceases to be an eligible employee and is not entitled to another benefit under the Scheme, must receive the benefit determined under subrule (1A), if the exit date occurs after the first 5 years of membership, excluding periods when the member was not eligible to contribute.

(a) the accrued employer component multiplied by , where X equals the number of complete months of membership during which the member was eligible to contribute after that first 5 years of membership but in any case is not greater than 60; less

A member who is retrenched must receive a benefit comprising the accrued employer component, less the amount of the balance of the member's surcharge debt account, if any.

(3) If a member dies leaving no dependant, the member's estate must receive the accrued employer component, less the amount of the balance of the member's surcharge debt account, if any.

(a) calculating the amount of the employer-financed benefits due to the person as at the person's exit date; and

(b) causing that amount to be paid into an eligible rollover fund approved by the Commissioner under section 45DF of the Act as if the benefit were being paid.

Central Holding Authority, and the former member remains entitled to payment of the returned benefit

Division 1 Amendments to Superannuation Act relating to termination of Trustee Board
56 Act amended

(1) Section 3(1), definitions appointed Board member, committee member, Police Association, Trustee Board and Unions NT

(e) any other superannuation scheme administered by the Commissioner with the approval of the Minister.

(1) A reviewable decision is any decision made by the Commissioner, in relation to a particular person, about the operation or management of:

(e) any superannuation scheme in relation to which the Commissioner exercises powers or performs functions.

(b) engages in any conduct, or fails to engage in any conduct, in relation to making a decision; or

(d) makes no decision within a reasonable period after any obligation to make the decision arose.

(3) To avoid doubt, a decision in relation to the operation or management of a scheme or fund as a whole is not a reviewable decision.

60 Section 49J amended (Information to be provided to Commissioner or Trustee Board)

Part 10 Transitional matters for Superannuation Legislation Amendment Act 2018

commencement means the commencement of Part 5 of the Superannuation Legislation Amendment Act 2018.

Trustee Board, means the Trustee Board as constituted under section 8A of this Act immediately before the commencement.

(a) the Commissioner is substituted for the Trustee Board in any proceedings to which the Trustee Board is a party; and

(b) the Commissioner is substituted for the Trustee Board in any agreement or document; and

(c) any proceedings that could have been commenced by or against the Trustee Board may only be commenced by or against the Commissioner; and

(d) any remedy that would have been available to or against the Trustee Board is available only to or against the Commissioner.

(a) occurs by operation of the Superannuation Legislation Amendment Act 2018; or

(2) Subsection (1) applies in relation to a foreign tax or charge so far as the legislative power of the Legislative Assembly permits.

(3) Any foreign tax or charge payable in relation to an act or thing mentioned in subsection (1) is to be paid from the Central Holding Authority, which is appropriated accordingly.

foreign tax or charge means a tax or charge under a law of a jurisdiction other than the Territory.

tax or charge means a tax, duty, levy, fee or charge of any kind, including a fee or charge for a service.

(1) Anything done or omitted to be done by, to or in relation to the Trustee Board before the commencement that has effect after that date is taken to have been done or omitted to be done by, to or in relation to the Commissioner.

(2) To avoid doubt, section 8V continues to apply to members of the Trustee Board after the commencement in relation to anything done or omitted to be done by, to or in relation to the Trustee Board before the commencement.

(3) To avoid doubt, the repeal of section 36 by the Superannuation Legislation Amendment Act 2018 does not affect the validity of any agreement made under that section.

Division 2 Amendment of Superannuation Regulations
63 Regulations amended

Schedule Legislative Assembly Members' Superannuation Fund Act further amended

Provision	Amendment
	omit	insert
section 16(1)	shall Fund	must Central Holding Authority
section 16(1A)	Fund (all references) him or her Trustee Board (all references) his or her shall	Central Holding Authority the member Commissioner the member's must
section 16(2)	Fund shall be	Central Holding Authority is
section 16(2)(a) and (b)	his or her (all references)	the member's
section 16(2)(c)	he or she	the member
section 16(3)	shall (all references) Fund	must Central Holding Authority
section 17	Trustee Board his or her (all references) shall Fund	Commissioner the member's are to Central Holding Authority
section 17A	Fund	Central Holding Authority
section 18, definition *spouse*, paragraphs (b) and (d)	Trustee Board	Commissioner
section 19(1)	he or she Fund	the member Central Holding Authority
section 22(1)	Trustee Board (all references)	Commissioner
section 22(2)	Trustee Board that he or she he or she he or she shall be entitled	Commissioner that the member or person the member or person the member or person is entitled
section 22(3)	Trustee Board (all references) shall Trust	Commissioner must Commissioner
section 24(4)	his or her shall be Trustee Board to him or her or her had he or she or she, as the case may be,	the person's is Commissioner had the person
section 24(6)	spouse surviving him or her Trustee Board (all references) its it	surviving spouse Commissioner the Commissioner's the Commissioner
section 24(7)	Trustee Board (all references) shall not be	Commissioner is not
section 24(8)	his or her death shall that time he or she had Trustee Board (all references) its	death, must the time of death there was Commissioner the Commissioner's
section 25(1)	Trustee Board his or her	Commissioner the former member's
sections 25A(1) and (4), 25C(4) and 25D(2)	Trustee Board	Commissioner
section 27A(a)	Fund	Scheme
section 27B(1)	Trustee Board Board	Commissioner Commissioner
section 27B(3) and (4)	Trustee Board	Commissioner
section 27B(4)(a) and (b)(i)	Trustee Board's	Commissioner's
section 27B(5)	Trustee Board Board's Board	Commissioner Commissioner's Commissioner

Northern Territory Bills

SUPERANNUATION LEGISLATION AMENDMENT BILL 2018