Hope of concessions over TFNs

australian-prudential-regulation-authority/insurance/superannuation-funds/

1 August 2007
| By Mike Taylor |

After extensive discussions with the financial service industry, the Australian Prudential Regulation Authority (APRA) is understood to be likely to move to ensure people are not disadvantaged by lapsing superannuation-related risk policies where Tax File Numbers (TFN) have not been quoted.

The regulator has been in discussions with the industry on the issue amid reports some insurers were still having difficulties in contacting people they believed would be affected by the changes that came into effect on July 1.

It is understood a formula has been developed that would allow a period of grace of up to six months to rectify the problem with respect to life policies.

Under the new ‘simpler super’ rules, superannuation funds cannot accept non-concessional (personal) contributions if a member has not quoted a valid TFN. This has had a knock-on effect with respect to the non-concessional payment of insurance premiums.

Read more about:

AUTHOR

Recommended for you

sub-bgsidebar subscription

Never miss the latest news and developments in wealth management industry

MARKET INSIGHTS

So we are now underwriting criminal scams?...

2 months ago

Glad to see the back of you Steve. You made financial more expensive, not more affordable as you claim, and presided ...

2 months ago

Completely agree Peter. The definition of 'significant change is circumstances relevant to the scope of the advice' is s...

4 months ago

Entireti has unveiled the new name for the AMP financial advice businesses that it acquired last year....

4 weeks 1 day ago

A Sydney financial adviser has been permanently banned from providing any financial services, with the regulator deriding his “lack of integrity, trustworthiness and prof...

2 weeks 6 days ago

Minister for Financial Services, Stephen Jones, has provided further information about the second tranche of the Delivering Better Financial Outcomes (DBFO) reforms....

1 week 5 days ago

TOP PERFORMING FUNDS