Superannuation Act 1916

This section applies to a benefit if—

a right to the benefit accrues under this Act to or in respect of a contributor or former contributor, and

STC has paid or is liable to pay no-TFN tax in respect of employer contributions to the Fund, and

a portion of that tax is referable to the employer-financed portion of that benefit, and

the benefit is of a kind prescribed by the regulations for the purposes of this section.

The amount of the benefit is reduced by the amount necessary to offset STC’s liability to pay no-TFN tax so far as it is referable to the employer-financed portion of that benefit.

The amount of the reduced benefit is to be determined by STC after obtaining actuarial advice.

A contributor or former contributor may elect to have his or her SANCS benefit reduced instead of the benefit to which this section applies if the SANCS benefit is payable to the contributor or former contributor. On an election being made, the SANCS benefit is reduced accordingly and the benefit to which this section applies is reduced only if it is necessary to do so to meet any shortfall in the amount of offset.

The regulations may provide for the establishment of debt accounts in respect of contributors or former contributors for the purposes of this section.

In this section—

income tax payable by STC under the Income Tax Assessment Act 1997 of the Commonwealth on employer contributions to the Fund for a contributor if there is a failure by the contributor to provide information about his or her tax file number to STC, and

income tax that would be so payable if the information about the tax file number was provided.