Issue
Does the Commissioner have a discretion to extend the 6 month period referred to in subparagraph (b)(i) of the definition of 'exempt non-resident foreign termination payment' in subsection 27A(1) of the Income Tax Assessment Act 1936 (ITAA 1936)?
Decision
No. The Commissioner does not have a discretion to extend the 6 month period referred to in subparagraph (b)(i) of the definition of 'exempt non-resident foreign termination payment' in subsection 27A(1) of the ITAA 1936.
Facts
The taxpayer intends transferring their superannuation entitlement from an eligible non-resident non-complying superannuation fund (an overseas fund) to a resident complying superannuation fund (an Australian fund).
These benefits will be received more than 6 months after the taxpayer has become a resident of Australia.
Reasons for Decision
One of the requirements for a payment to qualify as an exempt non-resident foreign termination payment under subsection 27A(1) of the ITAA 1936 is that: the payment is made from an eligible non-resident non-complying superannuation fund within 6 months after the taxpayer became a resident of Australia.
The ITAA 1936 does not give the Commissioner any discretion to extend the period beyond 6 months.