Australia: Consultation on amendments to transfer balance credit provisions for superannuation successor fund transfer
Consultation a draft legislative instrument that seeks to amend transfer balance credit provisions for superannuation successor fund transfer
Consultation on amendments to transfer balance credit provisions
Treasury has released for consultation a draft legislative instrument—Treasury Laws Amendment Instrument 2024: Successor fund transfers and capped defined benefit income streams—that seeks to amend the transfer balance credit provisions for individuals with a capped defined benefit income stream (CDBIS) to prevent potential adverse impacts of successor fund transfer (SFT) between superannuation funds.
The amendments would apply retrospectively to transfer balance credits that arose in relation to SFTs that occurred on or after 1 July 2017, and would not apply retrospectively in certain circumstances when “members could be made worse off”—including some holders of life expectancy and market‑linked pensions.
The consultation closes on 24 April 2024.
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