Commonwealth: Superannuation Industry (Supervision) Act 1993 (Cth)

Superannuation Industry (Supervision) Act 1993 No. 78, 1993 Compilation No. 127 Compilation date: 21 February 2025 Includes amendments: Act No. 14, 2025 This compilation is in 2 volumes Volume 1: sections 1–127 Volume 2: sections 128–383 Endnotes Each volume has its own contents About this compilation This compilation This is a compilation of the Superannuation Industry (Supervision) Act 1993 that shows the text of the law as amended and in force on 21 February 2025 (the compilation date). The notes at the end of this compilation (the endnotes) include information about amending laws and the amendment history of provisions of the compiled law. Uncommenced amendments The effect of uncommenced amendments is not shown in the text of the compiled law. Any uncommenced amendments affecting the law are accessible on the Register (www.legislation.gov.au). The details of amendments made up to, but not commenced at, the compilation date are underlined in the endnotes. For more information on any uncommenced amendments, see the Register for the compiled law. Application, saving and transitional provisions for provisions and amendments If the operation of a provision or amendment of the compiled law is affected by an application, saving or transitional provision that is not included in this compilation, details are included in the endnotes. Editorial changes For more information about any editorial changes made in this compilation, see the endnotes. Modifications If the compiled law is modified by another law, the compiled law operates as modified but the modification does not amend the text of the law. Accordingly, this compilation does not show the text of the compiled law as modified. For more information on any modifications, see the Register for the compiled law. Self‑repealing provisions If a provision of the compiled law has been repealed in accordance with a provision of the law, details are included in the endnotes. Contents Part 1—Preliminary Division 1—Preliminary 1 Short title 2 Commencement 3 Object of Act 4 Simplified outline of supervision responsibilities 5 General administration of Act 6 General administration table 7 Application of Act not to be excluded or modified 8 Act extends to external Territories 9 Crown to be bound 9A Application of the Criminal Code Division 2—Interpretation 10 Definitions 10A Interdependency relationship 11 Approvals, determinations etc. by Regulator 11A Approved forms 11B Electronic lodgment of approved forms 11C Declaration required if approved form lodged electronically on trustee's behalf 11D Electronic lodgment—documents other than approved forms 11E Approved guarantees 11F Lead auditor 12 Associates 13 Single trustees 13A RSE licensees that are groups of individual trustees 14 Indefinitely continuing fund—application of rules against perpetuities 15 Approved deposit funds—payments by trustees 15A Definitions of employee and employer 15B Modified meaning of member 16 Definitions associated with employer‑sponsorship 17 Persons involved in a contravention 17A Definition of self managed superannuation fund 17B Definition of self managed superannuation fund—remuneration of trustees etc. 18 Public offer superannuation fund 19 Regulated superannuation fund 20 Related bodies corporate 20A Resident approved deposit funds 20B Accrued default amounts Part 2A—Licensing of trustees and groups of individual trustees Division 1—Object of this Part 29A Object of this Part and the relationship of this Part to other provisions Division 2—Classes of RSE licences 29B Classes of RSE licences Division 3—Applying for RSE licences 29C Applications for RSE licences 29CA APRA may request further information 29CC Period for deciding applications Division 4—Grant of RSE licences 29D Grant of RSE licences 29DB Notice of class of licence 29DC Documents required to bear ABNs 29DD Licence period 29DE APRA to give notice of refusal of applications Division 5—Conditions on RSE licences 29E Conditions imposed on all licences and on groups of licences 29EA Additional conditions imposed on individual licences by APRA Division 6—Varying RSE licences 29F Applications for variation of RSE licences 29FA APRA may request further information 29FB Period for deciding applications 29FC APRA may vary RSE licences in accordance with applications 29FD APRA may vary or revoke licence conditions on its own initiative 29FE Notification of APRA's decisions under this Division 29FF When variations or revocations come into force etc. Division 7—Cancelling RSE licences 29G Cancellation of RSE licences 29GA Cancellation of RSE licences of financial services licensees 29GB APRA may allow RSE licence to continue in effect Division 8—Approval to hold a controlling stake in an RSE licensee Subdivision A—Application of this Division 29H Application Subdivision B—Applying for approval 29HA Application for approval to hold a controlling stake 29HB APRA may request further information 29HC Period for deciding applications for approval Subdivision C—Approval 29HD Approval to hold a controlling stake in an RSE licensee 29HE Notice of approval 29HF APRA to give notice of refusal of approval Division 9—Offences and self‑incrimination 29J Being trustee of a registrable superannuation entity while unlicensed etc. 29JA Failing to notify breach of licence condition 29JCA False representation about status as RSE licensee 29JCB Holding a controlling stake in an RSE licensee without approval 29JD Breach does not affect validity of issue of superannuation interests etc. Part 2B—Registrable superannuation entities Division 1—Object of this Part 29K Object etc. of this Part Division 2—Applying for registration 29L Applications for registration 29LA APRA may request further information 29LB Period for deciding applications for registration Division 3—Registration 29M Registration of registrable superannuation entity 29MA Notice of registration 29MB Documents required to bear ABNs 29MC APRA to give notice of refusal of applications Division 4—Cancelling registration 29N Cancelling registration Division 5—RSE licensees must provide information about registrable superannuation entities Subdivision A—Annual members' meetings 29P Annual members' meeting 29PA Obligation to attend an annual members' meeting 29PB Obligation on responsible officers of RSE licensees to answer questions 29PC Obligation on individual trustees to answer questions 29PD Obligation on auditor to answer questions 29PE Obligation on actuary to answer questions Subdivision B—Other obligations in relation to information 29QC Obligation to give consistent information Part 2C—MySuper Division 1—Object of this Part 29R Object of this Part Division 2—Applying for authority 29S Application for authority to offer a MySuper product 29SAA Election to transfer accrued default amounts 29SAB Election to transfer assets attributed to a MySuper product if authorisation cancelled 29SAC Election not to charge MySuper members for payment of conflicted remuneration 29SA APRA may request further information 29SB Period for deciding applications for authority Division 3—Authority 29T Authority to offer a MySuper product 29TA Product in another fund in which there is already material goodwill 29TB MySuper products for large employers 29TC Characteristics of a MySuper product 29TD Notice of authority 29TE APRA to give notice of refusal of authority Division 4—Cancelling authority 29U Cancelling authority to offer MySuper product 29UA Cancellation of authority of an RSE licensee that is also a financial services licensee 29UB APRA may allow authority to continue in effect Division 5—Fees rules for MySuper products 29V Fees that may be charged in relation to a MySuper product 29VA Charging rules 29VB Administration fee exemption for employees of an employer‑sponsor 29VC Activity fees and insurance fees to be charged on a cost recovery basis 29VD Performance‑based fees 29VE Percentage‑based administration fees may be capped Division 7—Offences 29W Offering a product as a MySuper product when not authorised to do so 29WA Contributions in relation to which no election is made are to be paid into MySuper product 29WB Contributions by large employer in relation to which no election is made to be paid into large employer MySuper product Division 8—Other matters 29X Prudential standards dealing with accrued default amounts 29XA Prudential standards dealing with assets attributed to former MySuper products 29XB No liability for certain transfers 29XC Public sector superannuation scheme ceases to be exempt Part 3—Operating standards Division 1—Object of Part 30 Object of Part Division 2—Operating standards 31 Operating standards for regulated superannuation funds 32 Operating standards for approved deposit funds 33 Operating standards for pooled superannuation trusts 33A Relationship between operating standards, this Act and the regulations 34 Prescribed operating standards must be complied with Division 3—Portability forms 34A Portability forms Part 3A—Prudential standards 34B Object of this Part 34C APRA may determine prudential standards 34D Relationship between prudential standards, this Act and the regulations 34E Notice of determination, variation or revocation of certain prudential standards 34F APRA to monitor prudential matters Part 3B—Superannuation data and payment regulations and standards Division 1—Superannuation data and payment regulations and standards 34H Object of Part 34J Alternative constitutional basis 34K Superannuation data and payment regulations and standards 34L Relationship between standards and other law Division 2—Compliance with superannuation data and payment regulations and standards 34M Compliance requirement—trustees of eligible superannuation entities 34N Compliance requirement—employers 34P Regulator's power to give directions in certain circumstances—trustees of eligible superannuation entities 34Q Regulator's power to give directions in certain circumstances—employers Division 3—Infringement notices 34R When an infringement notice may be given 34S Matters to be included in notice 34T Extension of time to pay amount 34U Withdrawal of an infringement notice 34V Effect of payment of amount 34W Effect of this Division Division 4—Information Subdivision A—Correction and rectification of information 34X Correction and rectification of information Subdivision B—Register of information about certain funds and schemes 34Y Register of information about certain funds and schemes 34Z Trustees to provide information for inclusion in register Part 4—Accounts, audit and reporting obligations for superannuation entities Division 1—Objects 35 Objects of Part Division 2—Obligations for registrable superannuation entities 35A Accounting records 35AB Auditor requests for documents 35AC Appointed auditor's functions and duties 35AD Appointed actuary's functions and duties Division 3—Obligations for self managed superannuation funds 35AE Accounting records 35B Accounts and statements 35C Audit of accounts and statements 35D Trustee to lodge annual returns Part 5—Notices about complying fund status Division 1—Objects and interpretation 37 Objects of Part 38 Meaning of entity Division 2—The Regulator may give notices about complying fund status 38A Meaning of regulatory provision 39 Meaning of contravention 40 Notices by the Regulator to trustee 41 When the Regulator obliged to give notice of compliance 42 Complying superannuation fund 42A Complying superannuation fund—fund that has been a self managed superannuation fund at any time during a year 43 Complying approved deposit fund 44 Pooled superannuation trust Division 3—Complying fund status for tax purposes 45 Complying superannuation fund 46 Complying superannuation scheme—superannuation guarantee charge 47 Complying approved deposit fund 48 Pooled superannuation trust 49 Transitional—notices under the repealed provisions of the Occupational Superannuation Standards Act 1987 Part 6—Provisions relating to governing rules of superannuation entities 51 Object of Part 51A Covenants are cumulative 52 Covenants to be included in governing rules—registrable superannuation entities 52AA Retirement income strategy requirements—registrable superannuation entities 52A Covenants relating to directors to be included in governing rules—registrable superannuation entities 52B Covenants to be included in governing rules—self managed superannuation funds 52C Covenant relating to directors to be included in governing rules—self managed superannuation funds 53 Covenants to repay amounts to beneficiaries in approved deposit funds 54 Prerequisites to variation of repayment period 54A Regulations may prescribe other covenants 54B Civil and criminal consequences for contravening sections 52 and 52A covenants 54C Other covenants must not be contravened 55 Recovering loss or damage for contravention of covenant 55A Rules about cashing benefits after death of members 55B Governing rules do not prevent giving effect to certain elections 55C Governing rules do not prevent transfer from pre‑MySuper default option to MySuper product 55D Governing rules void to the extent that they are inconsistent with obligations in relation to annual outcomes assessments and MySuper products 56 Indemnification of trustee from assets of entity 57 Indemnification of directors of trustee from assets of entity 58 Trustee not to be subject to direction 58A Service providers and investments cannot be limited to particular persons or associates 58B Service providers and investments 59 Exercise of discretion by person other than trustee 60 Amendment of governing rules 60A Dismissal of trustee of public offer entity Part 6A—Annual performance assessments etc. 60B Meaning of Part 6A product 60C Regulator to make annual performance assessments 60D Requirements for assessment 60E Trustee to notify beneficiaries of fail assessment 60F Consequences of 2 consecutive fail assessments 60G Multiple Part 6A products treated as one Part 6A product in certain circumstances 60H Requirements for contributions to blocked fund not enforceable 60J Formulas for ranking products Part 7—Provisions applying only to regulated superannuation funds 61 Object of Part 62 Sole purpose test 62A Self managed superannuation funds—investment in collectables and personal use assets 63 Certain regulated superannuation funds not to accept employer contributions in certain circumstances 64 Superannuation contributions—deductions from salary or wages to be remitted promptly 65 Lending to members of regulated superannuation fund prohibited 66 Acquisitions of certain assets from members of regulated superannuation funds prohibited 67 Borrowing 67A Limited recourse borrowing arrangements 67B Limited recourse borrowing arrangements—replacement assets 68 Victimisation of trustees etc. 68AAA Benefits provided by taking out insurance—inactive accounts 68AAB Benefits provided by taking out insurance—low‑balance accounts 68AAC Benefits provided by taking out insurance—members under 25 years old 68AAD Sections 68AAA, 68AAB and 68AAC do not apply to funds with no more than 6 members 68AAE Employer‑sponsor contribution exception 68AAF Dangerous occupation exception 68AA Benefits for permanent incapacity and death—MySuper members 68A Trustees must not use goods or services to influence employers 68B Promotion of illegal early release schemes 68C Voting by a director of a corporate trustee—governing rules 68D Voting by an individual trustee—governing rules Part 8—In‑house asset rules applying to regulated superannuation funds Division 1—Object and interpretation Subdivision A—General 69 Object of Part 69A Sub‑funds to be treated as funds 70A The Regulator may determine a person to be a standard employer‑sponsor Subdivision B—Part 8 associates 70B Part 8 associates of individuals 70C Part 8 associates of companies 70D Part 8 associates of partnerships 70E Meanings of terms used in sections 70B, 70C and 70D Subdivision C—In‑house assets 71 Meaning of in‑house asset Subdivision D—Transitional arrangements in relation to in‑house assets 71A Exceptions—pre‑11 August 1999 investments and loans 71B Exceptions—pre‑11 August 1999 leases and lease arrangements 71C Exceptions—transition period 71D Exception—reinvestments 71E Exception—certain geared investments 71EA Relationship breakdowns 71F Meaning of certain terms used in Subdivision D Subdivision E—Other provisions in relation to in‑house assets 72 How this Part applies if there are 2 or more employer‑sponsors of whom at least one is an unrelated employer‑sponsor 73 Cost of in‑house asset 74 Historical cost ratio of fund's in‑house assets 75 Market value ratio of fund's in‑house assets Division 2—Historical cost ratio of fund's in‑house assets 76 Private sector funds established on or after 12 March 1985—historical cost ratio for the 1994‑95 year of income 77 Private sector funds established before 12 March 1985—historical cost ratio for the 1994‑95 year of income 78 Public sector funds established on or after 1 July 1990—historical cost ratio for the 1994‑95 year of income 79 Public sector funds established before 1 July 1990—historical cost ratio for the 1994‑95 year of income 80 All funds—historical cost ratio for the 1995‑96 year of income, the 1996‑97 year of income and the 1997‑98 year of income Division 3—Market value ratio of fund's in‑house assets 80A Division not applicable to certain funds 81 All funds—market value ratio for the 1998‑99 year of income and the 1999‑2000 year of income 82 All funds—market value ratio for the 2000‑2001 year of income and later years of income 83 Certain new in‑house asset investments prohibited Division 3A—Limit on in‑house assets of certain defined benefit funds 83A Definitions 83B Application of Division 83C Maximum permitted market value of in‑house assets 83D Limit on in‑house assets 83E Acquisition of in‑house assets prohibited in certain circumstances Division 4—Enforcement 84 In‑house asset rules must be complied with Division 5—Anti‑avoidance 85 Prohibition of avoidance schemes Part 9—Equal representation of employers and members—employer‑sponsored funds 86 Object of Part 87 Consequences of non‑compliance with this Part 88 This Part does not apply if acting trustee appointed under Part 17 89 Basic equal representation rules 90 Pre‑1 July 1995 rules—funds with fewer than 200 members 91 Pre‑1 July 1995 rules—funds with 200 or more members 92 Post‑30 June 1995 rules—funds with more than 6, but fewer than 50, members 93 Post‑30 June 1995 rules—funds with more than 49 members 93A A trustee who is an employer‑sponsor of a fund may still be an independent trustee Part 10—Provisions applying only to approved deposit funds 94 Object of Part 95 Borrowing Part 11—Provisions applying only to pooled superannuation trusts 96 Object of Part 97 Borrowing 98 Lending to unit‑holders prohibited 99 Civil penalty provisions Part 11A—General fees rules 99A Application 99B No entry fees 99BA No exit fees 99C Buy‑sell spreads and switching fees to be charged on a cost recovery basis 99D Cost of advice to employers not to be borne by members 99E Fair and reasonable attribution of costs between classes of beneficial interest in a regulated superannuation fund 99F Cost of financial product advice—collectively charged fees 99FA Cost of financial product advice—fees charged to member concerned 99G Fee cap on low balances Part 12—Duties of trustees and investment managers of superannuation entities 100 Object of Part 101 Dispute resolution systems 102 Duty to seek information from investment manager 103 Duty to keep minutes and records 104 Duty to keep records of changes of trustees 104A Trustees etc. of self managed superannuation fund—recognition of obligations and responsibilities 105 Duty to keep reports 106 Duty to notify the Regulator of significant adverse events 106A Duty to notify Commissioner of Taxation of change in status of entity 107 Duty of trustee of employer‑sponsored fund to establish procedure for appointing member representatives 108 Duty of trustee of employer‑sponsored fund to establish procedure for appointing independent trustee or independent member of board of directors of corporate trustee 108A Trustee's duty to identify etc. multiple superannuation accounts of members 109 Investments of superannuation entity to be made and maintained on arm's length basis Part 14—Other provisions applying to superannuation entities 114 Object of Part 115 Trustee of superannuation entity may maintain reserves 116 Agreement between trustee and investment manager 117 Circumstances in which amounts may be paid out of an employer‑sponsored fund to an employer‑sponsor 118 Consents to appointments Part 15—Standards for trustees, custodians and investment managers of superannuation entities Division 1—Object of Part and definition of disqualified person 119 Object of Part 120 Disqualified persons Division 2—Requirements for custodians and investment managers 122 Investment manager must not appoint or engage custodian without the trustee's consent 123 Persons who may be appointed to be custodians of superannuation entities 124 Investment managers must be appointed in writing 125 Individuals not to be investment managers of superannuation entities Division 3—Disqualified persons Subdivision A—Disqualification by the Commissioner of Taxation 126 Application of this Subdivision 126A The Regulator may disqualify individuals 126B Application for waiver of disqualified status 126C Application must be decided within a period of time 126D Notifying of the outcome of an application 126E The effect of seeking a waiver of disqualified person status 126F The Regulator's powers to seek further material Subdivision B—Disqualification by the Federal Court of Australia 126G Application of this Subdivision 126H Court power of disqualification 126J Court power to revoke or vary a disqualification etc. Subdivision C—Other matters relating to disqualification 126K Disqualified persons not to be trustees, investment managers or custodians of superannuation entities 126L Privilege against exposure to penalty—disqualification under section 126A, 126H, 130D or 130EA Division 4—Non‑compliance not to invalidate appointment or transaction 127 Non‑compliance not to invalidate appointment or transaction An Act to make provision for the supervision of certain entities engaged in the superannuation industry, and for related purposes Part 1—Preliminary Division 1—Preliminary 1 Short title This Act may be cited as the Superannuation Industry (Supervision) Act 1993. 2 Commencement (1) Subject to this section, Parts 1, 2, 21, 27, 28, 29, 30, 31 and 32 commence on the day on which this Act receives the Royal Assent. (2) Part 1 (in so far as it relates to section 117) and section 117 are taken to have commenced on 21 October 1992. (3) Parts 18, 19, 20, 23 and 24 and section 342 commence on 1 July 1994. (4) The remaining provisions commence on 1 December 1993, but do not apply to a fund, scheme or trust in relation to a year of income of the fund, scheme or trust earlier than the 1994‑95 year of income. 3 Object of Act Supervision of certain superannuation entities (1) The main object of this Act is to make provision for the prudent management of certain superannuation funds, approved deposit funds and pooled superannuation trusts and for their supervision by APRA, ASIC and the Commissioner of Taxation. Basis for supervision (2) The basis for supervision is that those funds and trusts are subject to regulation under the Commonwealth's powers with respect to corporations or pensions (for example, because the trustee is a corporation). In return, the supervised funds and trusts may become eligible for concessional taxation treatment. Whole industry not covered (3) The Act does not regulate other entities engaged in the superannuation industry. 4 Simplified outline of supervision responsibilities Sections 5 and 6 set out the functions, powers and duties of APRA, ASIC and the Commissioner of Taxation in administering this Act. APRA is generally responsible for prudential regulation and member outcomes. It is also generally responsible for licensing and supervision of RSE licensees. ASIC is generally responsible for protecting consumers from harm, market integrity, disclosure and record keeping. The Commissioner of Taxation is generally responsible for self managed superannuation funds, data and payment standards, tax file numbers and the compassionate release of superannuation amounts. 5 General administration of Act (1) Subject to this section, the general administration of a provision is determined under the general administration table in section 6. If a provision is covered by column 1 of the table, the general administration of the provision is conferred on a person, body or bodies in accordance with column 3 of the table. (2) Powers and duties are also conferred by the provisions referred to in subsection (3) of this section on: (a) APRA for the purposes of APRA's administration of the provisions it administers (including provisions both APRA and ASIC administer); and (b) ASIC for the purposes of ASIC's administration of the provisions it administers (including provisions both APRA and ASIC administer); and (c) the Commissioner of Taxation for the purposes of the administration of the provisions the Commissioner of Taxation administers. (3) The provisions are Parts 1, 25, 26, 27, 28, 29, 29A and 30, but not including any of the following provisions: (a) Division 3 of Part 25 (see instead item 58 of the general administration table); (b) sections 328 and 332 (see instead subsection (8) of this section). Note: Generally APRA, ASIC and the Commissioner of Taxation are not referred to in these provisions, Regulator is used instead. See the definition of Regulator in section 10. Special rules about ASIC (4) 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. Special rules about the Commissioner of Taxation (5) Despite paragraph (2)(c): (a) 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: (i) persons who are relevant persons in relation to superannuation entities; and (ii) the affairs of superannuation entities; and (b) powers and duties are not conferred on the Commissioner of Taxation by section 342 (about pre‑1 July 88 funding credits and debits). (6) Nothing in subsection (5) limits the powers and duties conferred on the Commissioner of Taxation by Part 25 (as mentioned in paragraph (2)(c)) 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. (7) To avoid doubt, for the purposes of the definition of taxation law in subsection 995‑1(1) of the Income Tax Assessment Act 1997, the Commissioner of Taxation is taken to have the general administration of a provision of this Act or the regulations that confers powers and duties on the Commissioner of Taxation. Note: An effect of a provision being administered by the Commissioner of Taxation is that people who acquire information under the provision are subject to the confidentiality obligations and exceptions in Division 355 in Schedule 1 to the Taxation Administration Act 1953. Modification and exemption powers (8) Powers and duties are also conferred by sections 328 and 332 on: (a) APRA for the purposes of the administration of provisions administered by APRA (including provisions both APRA and ASIC administer) or by the Commissioner of Taxation; and (b) ASIC for the purposes of the administration of provisions administered solely by ASIC. Directions (9) The Minister may, by legislative instrument, give APRA or ASIC directions about the performance or exercise of its functions or powers under this Act. 6 General administration table (1) The following table has effect for the purposes of subsection 5(1). Note: Under that subsection, the general administration of a provision referred to in column 1 of the table is conferred as set out in column 3. General administration table Item Column 1 Column 2 Column 3 Provisions Topic Regulator 1 Part 2A, to the extent it is not covered by item 2 of this table licensing of RSE licensees APRA 2 Section 29JCA false representation about RSE status both APRA and ASIC 3 Part 2B, to the extent it is not covered by item 4 of this table registrable superannuation entities APRA 4 Sections 29P to 29QC obligations of RSE licensees ASIC 5 Part 2C, to the extent it is not covered by item 6 of this table MySuper APRA 6 Subsection 29SAA(3) MySuper notice requirements ASIC 7 Part 3, to the extent it is not covered by item 7A, 8 or 9 of this table operating standards (a) ASIC, to the extent the provisions relate to disclosure or record‑keeping (see subsection (2)); and (b) subject to paragraph (a), the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (c) APRA, to the remaining extent 7A Subsection 34(2A) offence for breaching standards relating to record keeping obligations both APRA and ASIC 8 Division 3 of Part 3 portability forms the Commissioner of Taxation 9 Regulations made under Part 3 release on compassionate grounds the Commissioner of Taxation, to the extent that the regulations relate to the making and notification of determinations that an amount of benefits in a superannuation entity may be released on compassionate grounds 10 Part 3A prudential standards APRA 11 Part 3B, to the extent it is not covered by item 12 or 13 of this table superannuation data and payment APRA 12 Divisions 1 and 4 of Part 3B superannuation data and payment the Commissioner of Taxation 13 Division 2 of Part 3B compliance with superannuation data and payment regulations and standards (a) the Commissioner of Taxation, to the extent the provisions relate to any of the following: (i) employers; (ii) payments and information given to the Commissioner of Taxation; (iii) self managed superannuation funds; and (b) APRA, to the remaining extent 14 Part 4 accounts, audit and reporting obligations for superannuation entities (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 15 Part 5, to the extent it is not covered by item 16 of this table notices about complying fund status (a) the Commissioner of Taxation, to the extent the provisions do any of the following: (i) relate to self managed superannuation funds; (ii) require or permit the Commissioner of Taxation to do something; and (b) APRA, to the remaining extent 16 Sections 40 and 41 notices about complying superannuation fund status (a) in relation to an entity that is a self managed superannuation fund on the last day of the most recently ended year of income—the Commissioner of Taxation; and (b) in relation to an entity that is not a self managed superannuation fund on the last day of the most recently ended year of income—APRA; and (c) subject to paragraphs (a) and (b), the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (d) APRA, to the remaining extent 17 Part 6, to the extent it is not covered by items 18 to 21 of this table governing rules of superannuation entities (a) ASIC, to the extent the provisions relate to disclosure or record‑keeping (see subsection (2)); and (b) subject to paragraph (a), the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (c) APRA, to the remaining extent 18 Sections 52, 52A and 54B covenants and consequences of breaching covenants both APRA and ASIC 19 Sections 52B and 52C covenants of SMSFs the Commissioner of Taxation 20 Section 54A prescribed covenants (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) both APRA and ASIC, to the remaining extent 21 Section 60A dismissal of trustee of public offer entity APRA 21A Part 6A, to the extent it is not covered by item 21B, 21C or 21D of this table annual performance assessments (a) ASIC, to the extent the provisions relate to disclosure or record‑keeping (see subsection (2)); and (b) APRA, to the remaining extent 21B Section 60E annual performance assessments—trustee to notify beneficiaries of fail assessment both APRA and ASIC 21C Subsection 60F(2) annual performance assessments—consequence of 2 consecutive fail assessments both APRA and ASIC 21D Subsections 60J(4), (5) and (6) formulas for ranking products—making information available on website the Commissioner of Taxation 22 Part 7, to the extent it is not covered by items 23 to 26 of this table regulated superannuation funds (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 23 Sections 62 and 68 sole purpose test; (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and victimisation of trustees (b) both APRA and ASIC, to the remaining extent 25 Section 68A use of goods or services to influence employers ASIC 26 Section 68B promotion of illegal early release schemes (a) the Commissioner of Taxation, to the extent the provision relates to self managed superannuation funds; and (b) ASIC, to the remaining extent 27 Part 8 in‑house asset rules (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 28 Part 9 equal representation of employers and members—employer‑sponsored funds APRA 29 Part 10 approved deposit funds APRA 30 Part 11 pooled superannuation trusts APRA 31 Part 11A, to the extent it is not covered by item 32 of this table general fees rules APRA 32 Sections 99F and 99FA cost of financial product advice ASIC 33 Part 12, to the extent it is not covered by items 34 to 36 of this table duties of trustees and investment managers (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 34 Sections 101 and 103 dispute resolution systems; (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and duty to keep minutes and records (b) ASIC, to the remaining extent 35 Section 105 duty to keep reports (a) ASIC, to the extent the provision relates to disclosure or record‑keeping (see subsection (2)); and (b) subject to paragraph (a), the Commissioner of Taxation, to the extent the provision relates to self managed superannuation funds; and (c) APRA, to the remaining extent 36 Section 108A duty to identify multiple accounts both APRA and ASIC 37 Part 14 other provisions applying to superannuation entities (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 38 Part 15, to the extent it is not covered by item 39 of this table standards for trustees, custodians and investment managers (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 39 Section 126K disqualified persons (a) the Commissioner of Taxation, to the extent the provision relates to self managed superannuation funds; and (b) both APRA and ASIC, to the remaining extent 40 Part 16, to the extent it is not covered by items 41 to 43A of this table actuaries and auditors (a) ASIC, to the extent the provisions relate to auditors of self managed superannuation funds; and (b) subject to paragraph (a), the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (c) APRA, to the remaining extent 41 Section 128N actuaries and auditors—ASIC may disclose information ASIC 42 Section 128P actuaries and auditors—Commissioner of Taxation may refer matter to ASIC the Commissioner of Taxation 43 Division 2 of Part 16 actuaries and auditors—obligations (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 43A Sections 130D and 130E disqualifying and removing actuaries and auditors (a) both APRA and ASIC, to the extent the provisions relate to auditors; and (b) APRA, to the extent the provisions relate to actuaries 44 Part 16A APRA's powers to issue directions APRA 45 Part 17, to the extent it is not covered by item 46 of this table suspension or removal of trustee (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 46 Section 140 notice by acting trustee APRA 47 Part 18 amalgamation of funds APRA 48 Part 19 public offer entities ASIC 49 Part 20 contraventions relating to SMSFs the Commissioner of Taxation 50 Part 21 civil and criminal consequences of contravening civil penalty provisions (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) both APRA and ASIC, to the extent the provisions relate to, or are being applied for the purposes of, a provision administered by both those bodies; and (c) ASIC, to the extent the provisions relate to, or are being applied for the purposes of, a provision administered by ASIC; and (d) APRA, to the remaining extent 51 Part 22 infringement notices APRA 52 Part 23 financial assistance APRA 53 Part 24, to the extent it is not covered by item 54 of this table eligible rollover funds (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 54 sections 242K, 242L and 242M obligations relating to eligible rollover funds both APRA and ASIC 55 Part 24A pre‑1 July 1995 transitional provisions APRA 56 Part 24B small funds as provided by the provisions of Part 24B 57 Part 25, to the extent it is not covered by item 58 of this table monitoring and investigation see section 5 58 Division 3 of Part 25 monitoring and investigation—APRA requirements APRA 59 Part 25A, to the extent it is not covered by item 60 of this table tax file numbers (a) the Commissioner of Taxation, to the extent the provisions relate to self managed superannuation funds; and (b) APRA, to the remaining extent 60 Divisions 1 and 3A of Part 25A, section 299NA and subsection 299U(2A) tax file numbers the Commissioner of Taxation 61 Part 32 transitional provisions for tax file numbers APRA Note: Subsection 10(4) extends the meaning of self managed superannuation fund for the purposes of this section, sections 5, 42 and 42A, and Part 20. Disclosure and record‑keeping provisions (2) For the purposes of the general administration table, a provision relates to disclosure or record‑keeping to the extent to which the provision relates to: (a) keeping of reports to members of, or beneficiaries in, funds; or (b) disclosure of information to members of, or beneficiaries in, funds; or (c) disclosure of information about funds (including disclosure of information to ASIC but not including disclosure of information to APRA); or (d) any other matter prescribed by regulations for the purposes of this paragraph. 7 Application of Act not to be excluded or modified This Act applies to a superannuation entity despite any provision in the governing rules of the entity, including any provision that purports to substitute, or has the effect of substituting, the provisions of the law of a State or Territory or of a foreign country for all or any of the provisions of this Act. 8 Act extends to external Territories This Act extends to all the external Territories. 9 Crown to be bound (1) This Act binds the Crown in all its capacities. (2) The Crown is not liable to be prosecuted for an offence against, or arising out of, this Act. 9A Application of the Criminal Code Chapter 2 of the Criminal Code (except Part 2.5) applies to all offences against this Act. Division 2—Interpretation 10 Definitions (1) In this Act, unless the contrary intention appears: ABN has the meaning given by section 41 of the A New Tax System (Australian Business Number) Act 1999. accrued default amount, for a member of a regulated superannuation fund, has the meaning given by section 20B. acquirable asset has the meaning given by section 67A. activity fee has the meaning given by subsection 29V(7). ADI (authorised deposit‑taking institution) means: (a) a body corporate that is an ADI for the purposes of the Banking Act 1959; or (b) a State bank. administration fee has the meaning given by subsection 29V(2). adopted child, in relation to a person, means a person adopted by the first‑mentioned person: (a) under the law of a State or Territory relating to the adoption of children; or (b) under the law of any other place relating to the adoption of children, if the validity of the adoption would be recognised under the law of any State or Territory. advice fee has the meaning given by subsection 29V(8). AFCA scheme has the same meaning as in the Corporations Act 2001. amend, in relation to the governing rules of a superannuation entity, includes the insertion of a provision in, or the omission of a provision from, those rules. annual members' meeting, for a registrable superannuation entity, means a meeting of members of the entity held under subsection 29P(1) for a year of income of the entity. annuity includes a benefit provided by a life insurance company or a registered organisation, if the benefit is taken, under the regulations, to be an annuity for the purposes of this Act. approved deposit fund means a fund that: (a) is an indefinitely continuing fund; and (b) is maintained by an RSE licensee that is a constitutional corporation; and (c) is maintained solely for approved purposes. approved form has the meaning given by section 11A. approved guarantee has the meaning given by section 11E. approved purposes, in relation to a fund, means: (a) the purpose of receiving on deposit: (i) amounts of roll‑over superannuation benefits (within the meaning of the Income Tax Assessment Act 1997); and (ia) amounts of directed termination payments (within the meaning of section 82‑10F of the Income Tax (Transitional Provisions) Act 1997); and (ii) amounts paid under Part 24 of this Act; and (iii) amounts paid under section 65 of the Superannuation Guarantee (Administration) Act 1992; and (b) the purpose of dealing with such amounts, in accordance with the rules of the fund, in any way calculated directly or indirectly to enhance the value of, or render profitable, property of the fund; and (c) subject to any inconsistent requirement in the standards from time to time applicable to the fund under section 32, the purpose of paying to beneficiaries, or to the legal personal representatives of beneficiaries, upon request, amounts equal to the beneficiary's interest in the fund; and (d) such other purposes (if any) as APRA approves in writing. 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. APRA means the Australian Prudential Regulation Authority. APRA staff member has the same meaning as in the Australian Prudential Regulation Authority Act 1998. ASIC means the Australian Securities and Investments Commission. asset means any form of property and, to avoid doubt, includes money (whether Australian currency or currency of another country). associate has the meaning given by section 12. Australian court means: (a) the High Court; or (b) a court created by the Parliament; or (c) a court of a State or Territory. Australian resident means a person who is a resident of Australia for the purposes of the Income Tax Assessment Act 1936. authorised person means a person authorised by the Regulator under section 298A for the purposes of the provision in which the expression occurs. benchmark means a benchmark mentioned in, or specified in regulations made for the purposes of, subparagraphs 52(9)(a)(i) and (ii) and paragraph 52(9)(aa). beneficiary, in relation to a fund, scheme or trust, means a person (whether described in the governing rules as a member, a depositor or otherwise) who has a beneficial interest in the fund, scheme or trust and includes, in relation to a superannuation fund, a member of the fund despite the express references in this Act to members of such funds. books includes: (a) any record; or (b) any accounts or accounting records, however compiled, recorded or stored; or (c) a document. buy‑sell spread has the meaning given by subsection 29V(4). child, in relation to a person, includes: (a) an adopted child, a stepchild or an ex‑nuptial child of the person; and (b) a child of the person's spouse; and (c) someone who is a child of the person within the meaning of the Family Law Act 1975. choice product: A class of beneficial interest in a regulated superannuation fund is a choice product unless: (a) all the members of the fund who hold that class of beneficial interest in the fund are defined benefit members; or (b) that class of beneficial interest in the fund is a MySuper product. civil penalty order means a declaration or order made under section 196. civil penalty provision has the meaning given by section 193. class, in relation to an RSE licensee, means (except in subsections 29E(7) and (8)) a class of RSE licence provided for under subsection 29B(2) or (3), or under regulations made for the purposes of subsection 29B(4). Commissioner means the Insurance and Superannuation Commissioner appointed under the Insurance and Superannuation Commissioner Act 1987, or a person for the time being acting as Insurance and Superannuation Commissioner under that Act. comparable choice products, in relation to a choice product, means a class of choice product specified in regulations made for the purposes of this definition that the choice product is to be compared with. connected entity, in relation to an RSE licensee of a registrable superannuation entity, means: (a) an associated entity (within the meaning of the Corporations Act 2001) of the RSE licensee; and (b) if the RSE licensee is a group of individual trustees—an entity that has the capacity to determine or influence decisions made by one or more members of the group in relation to the registrable superannuation entity; and (c) any other entity of a kind prescribed by the regulations. constitutional corporation means a body corporate that is: (a) a trading corporation formed within the limits of the Commonwealth (within the meaning of paragraph 51(xx) of the Constitution); or (b) a financial corporation formed within the limits of the Commonwealth (within the meaning of paragraph 51(xx) of the Constitution). contributing employer means an employer having obligations under Part 3B (about the superannuation data and payment regulations and standards). controlling stake: a person holds a controlling stake in an RSE licensee that is a body corporate if the person holds a stake of more than 15% in the RSE licensee. corporate trustee, in relation to a fund, scheme or trust, means a body corporate that is a trustee of the fund, scheme or trust. court means any court, when exercising jurisdiction under this Act. Court means the Federal Court of Australia or the Supreme Court of a State or a Territory. custodian, in relation to a superannuation entity, means a person (other than a trustee of the entity) who, under a contract with a trustee or an investment manager of the entity, performs custodial functions in relation to any of the assets of the entity. data and payment regulations and standards relating to RSAs has the same meaning as in the Retirement Savings Accounts Act 1997. data processing device means any article or material (for example, a disc) from which information is capable of being reproduced with or without the aid of any other article or device. death benefit: see section 68AA. deed includes an instrument having the effect of a deed. defined benefit fund has (except in Division 3A of Part 8 and in Part 23) the meaning given by the regulations. defined benefit member: (a) in the definition of choice product in this subsection, section 20B and Part 2C—has t