Commutation of asset-test exempt (ATE) income streams 108-05060120

• Yes, go to Step 3
• No, go to Step 2

Discuss all of the income and assets updates the customer would like to make (for example, income stream, shares, foreign income).

Only proceed with the coding if all the updates required are completed.

If there are concerns with the legitimacy of the customer's information, see Coding income and assets for Centrelink payments and services.

Ensure a hand-off to processing is not required. See the Income and Assets table to determine who can action and update the information.

Can the customer provide all the information required, and are all updates able to be coded?

• Yes, go to Step 3
• No, go to Step 5

Only Service Officers with the appropriate training, who can correctly determine whether a commutation is allowable or not, can complete these updates.

A customer is advising they have made a commutation from an ATE income stream (compliant income stream per Social Security Act 1991 section 9A (lifetime income stream), 9B (life expectancy income stream) or 9BA (market-linked income stream)).

Note: ATE income streams are generally non-commutable and are only commuted in very limited circumstances without losing their asset-test exemption and possibly incurring a debt.

What has to be coded or requested

A Details of income stream product form (SA330) or similar schedule completed by the provider is required for all asset-test exempt income stream with partial commutations. For full or partial commutations, the customer must also to provide the reason for the commutation.

Is the customer able to provide the required information?

• Yes, go to Step 5
• No, go to Step 4

Tell the customer all information that is required before any change can be made to ensure they receive correct entitlement.

Request the required information. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent.

Note: where the customer or partner is unable, or unwilling, to provide information due to Family and Domestic Violence (FDV), escalate to AISR support. AISR support will request the information directly from the provider.

Procedure ends here until the documents are returned.

If the customer:

• has already made a commutation, go to Step 6
• is seeking a letter for approval to commute their asset-test exempt (ATE) income stream (they have not yet made a commutation), see Application to be allowed to commute all or part of an asset-test exempt income stream due to extreme financial hardship

Procedure ends here.

Is this an allowable commutation for an ATE income stream?

The References page contains a link to more information in Social Security Guide, 4.9.2.40, Commuting an Asset-Test Exempt Income Stream to a Lump Sum.

Note: commutation from a 100% ATE lifetime and life expectancy income stream to a market-linked income stream (MLI) is a non-allowable commutation. However, if the ATE income stream was from an SMSF or SAF and the commutation is done under the permanent debt relief provisions available from 25 August 2011, any debt raised can be waived under section 1237AB.

• Yes, and it is:
• to pay the superannuation contributions surcharge or the excess contributions tax amount, see Table 2, Step 1
• to meet the requirements to not be in excess of the Transfer Balance Cap (TBC), see Table 2, Step 1. See Background page for more information on TBC
• to pay a hardship amount, go to Step 7
• to directly purchase a new ATE income stream (this has to be a full commutation and rollover), see Table 3, Step 1
• to give effect to income stream split following divorce property settlement, see Table 3, Step 6
• No, see Table 4, Step 1

Was the commutation made under the hardship provisions of the Social Security Act for which prior approval was given by Services Australia?

• Yes, see Table 2, Step 1
• No, go to Step 8

Submit an enquiry to the Level 2 Policy Helpdesk with the:

• customer's name
• Customer Reference Number (CRN)
• date of commutation and the amount commuted
• details of any supporting documents supplied by the customer. That is, SA330 or similar, with details of the customer's extreme financial hardship
• Select to record details on a Note

The Helpdesk will provide a response recommending what action is necessary to finalise the matter.

Until the Helpdesk provides a response, the procedure ends here.

Is this a partial allowable commutation and the customer will continue to receive payments from the ATE income stream?

• Yes, go to Step 2
• No, go to Step 7

Has the customer supplied an updated, Details of income stream product form (SA330), or similar income stream schedule that gives details of the income stream following the partial commutation, and the commutation reason?

• Yes, go to Step 4
• No, go to Step 3

Request a Details of income stream product (SA330), or similar schedule completed by the provider. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent. The Resources page contains a link to the SA330 form.

A similar schedule document from the customer's income stream provider that provides details of the commutation that are requested on the SA330 form, is acceptable. Note: the update may be delayed if the document does not contain all required details.

Tell the customer to provide the reason for the commutation. This will allow the Service Officer to determine whether the commutation is allowable or not.

Until the SA330 form or similar schedule is provided, the procedure ends here.

Launch the Process Direct Income and Assets Update workflow. To do this access the customers record in Process Direct Customer Summary.

• Use the Super Key to navigate to screens
• Key START into the Super Key
• Select Income and Assets Update from the Task Selector
• Select Income Streams (SUPS/SUPI/SUPV)
• Select Start to initiate the workflow

Is the relevant income stream a market-linked income stream?

• Yes, go to Step 6
• No, go to Step 5

• Expand the appropriate product from Income Streams (SUPS, SUPI, SUPV)
• On the Income Stream Details line add a new entry
• Update:
• Event Date: field - date of partial commutation
• Gross Income Amount: field - new amount
• Commutation Date: field - date of commutation
• Latest Commutation: field - commutation amount
• Select Save once updates made
• Update Receipt Date and Channel and select Save
• Select Assess
• Check the payment outcome on Entitlements (ELD) screen and select Finish
• If the Service Officer has used the Process Direct Income and Assets Update workflow, Notes will prepopulate for review when Finish is selected
• At this point, any more information can be added. Record the details of the circumstances of the commutation

Once Notes are complete, select Finalise .The transaction will complete and Notes replicate to the Document List (DL) screen.

Procedure ends here.

• Expand the appropriate product from Income Streams (SUPS, SUPI, SUPV)
• On the Income Stream Details line add a new entry
• Update:
• Event Date, key date of partial commutation
• Gross Income Amount, key new gross income amount if changed.
  Note: the new gross income amount from the MLI following a partial commutation can never be less than the minimum amount required to be drawn in the financial year.
  The minimum amount is based on the 1 July account balance and calculated at the start of the financial year or at commencement of the income stream.
  If a customer specifies an annual income amount for the current financial year below the minimum limit, assess the minimum amount in accordance with section 1099AA of the Social Security Act 1991
• Commutation Date, key date of the commutation
• Latest Commutation, key the commutation amount
• Current Account Balance, key the new current account balance
• Select Save once updates made
• Note: if the market-linked income stream is in its final year with a payment factor of 1 and displays the error 'The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##', see Step 8 in Table 4 of Adding or updating a market-linked income stream
• Update Receipt Date and Channel and select Save
• Select Assess
• Check the payment outcome on Entitlements (ELD) screen and select Finish
• If the Service Officer has used the Process Direct Income and Assets Update workflow, Notes will prepopulate for review when Finish is selected
• At this point, any more information can be added. Record the details of the circumstances of the commutation
• Once Notes are complete, select Finalise. The transaction will complete and Notes replicate to the Document List (DL) screen.

Procedure ends here.

Note: if the income stream is commuted in full to meet certain payments (superannuation contributions surcharge or excess contributions tax or hardship amount), any amount remaining after making these payments must be rolled over to a new ATE income stream.

Launch the Process Direct Income and Assets Update workflow. To do this access the customers record in Process Direct Customer Summary:

• Use the Super Key to navigate to screens
• Enter START into the Super key
• Select Income and Assets Update from the Task Selector options
• Select Income Streams (SUPS/SUPI/SUPV)
• Select Start to initiate the workflow

To update:

• select edit against the relevant income stream to access the Change Income Streams (SUPS/SUPI/SUPV) options update the Income Stream Details:
• 'COM - Funds commuted' in the Product Cancellation Reason: field
• select Save once updates made
• update Receipt Date and Channel and select Save
• the system will automatically set the relevant fields to ‘0’ on the Income Steam Details item line
• Expand the appropriate product from Income Streams (SUPS, SUPI, SUPV)
• Edit this line to update the Event Date:
• date of commutation in Event Date field
• amount remaining and new ATE income stream purchased. See Table 3, Step 1
• commuted amount fully used to meet the payment. Finalise the update and record the details of the circumstances of the commutation in the Finalisation Note. No more action required

Procedure ends here.

Before 20 September 2007, a customer could at any time commute, partially or fully, an ATE income stream (lifetime, life expectancy or market-linked income stream) and directly place the proceeds of that commutation into another ATE income stream.

From 20 September 2007, such a commutation/rollover will only be allowed under the conditions for retention of asset-test exemption. The original income stream must be commuted in full and the entire commuted amount (including reserves if the income stream is from SMSF/SAF) rolled over to the new income stream.

A partial commutation is only allowed for payment of a superannuation contributions surcharge, excess contributions tax, hardship amount or payment due to an income stream payment split.

Where the income stream is commuted in full to meet these payments, any amount remaining after making the payment must be rolled over to a new ATE income stream. Note: commutation from a 100% ATE income stream to a market-linked income stream (MLI) is a non-allowable commutation.

Most income streams purchased from 20 September 2007 will not comply with the requirements specified in sections 9A, 9B and 9BA of the Social Security Act and therefore will not be ATE.

However, in a limited number of circumstances, certain ATE income streams purchased before 20 September 2007 that are fully commuted and rolled over into post 20 September 2007 ATE income streams, will be allowed to retain a 100% or 50% asset-test exemption (whichever is applicable), provided certain conditions are satisfied. Note: partial commutation is allowed only to make certain payments as stated above.

See the References page for a link to Guide to Social Security Law, 4.9.2.17 more information about eligibility criteria and conditions for relief.

Has the customer supplied an updated Details of income stream product form (SA330) or similar income stream schedule that gives details of the new income stream?

• Yes, go to Step 3
• No, go to Step 2

Request a Details of income stream product (SA330), or similar schedule completed by the provider. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent.

Tell the customer the income stream provider must complete the form with details of the new income stream following the commutation.

A similar schedule document from the customer's income stream provider, which provides all the details of the new income stream as requested on the SA330 form, is acceptable. Note: the update may be delayed if the document does not contain all the required details.

Until the SA330 or similar schedule is provided, the procedure ends here.

See the References page for a link to Social Security Guide, 4.9.2.17, for more information about eligibility criteria and conditions for relief.

Does the new income stream meet the conditions for retention of asset-test exemption?

• Yes, go to Step 4
• No, see Table 4, Step 1

To update:

• Select edit against the relevant income stream to access the Change Income Streams (SUPS/SUPI/SUPV) options.
• Update the Income Stream Details:
• 'TRN' - Funds transferred to another product in Product Cancellation Reason: field
• select Save once updates made
• update Receipt Date and Channel and select Save
• the system will automatically set the relevant fields to ‘0’ on the Income Steam Details item line
• Expand the appropriate product from Income Streams (SUPS, SUPI, SUPV)
• Edit this line to update the Event Date
• Event Date: field - code the purchase date of the new income stream to ensure continuity in the assessment of the asset value
• Select Save

For coding help, see Income streams.

If adding a new post 20/9/2007 asset-test exempt (ATE) income stream that has resulted from the allowable commutation of a pre-20/9/2007 ATE income stream contact the Level 2 Policy Helpdesk (Financial Industry and Network Support (FINS)) for confirmation of ATE eligibility. See the Resources page for a link to the Online Enquiry Form.

Note: if it is a market-linked (MLI) income stream in its final year with a payment factor of 1 and displays the error “The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##”, see Step 8 in Table 4 of Adding or updating a market-linked income stream.

• Select Assess
• Check the payment outcome on Entitlements (ELD) screen and select Finish
• If the Service Officer has used the Process Direct Income and Assets workflow, Notes will prepopulate for review when Finish is selected
• At this point, any more information can be added. Record the details of the circumstances of the commutation

Once Notes are complete, select Finalise. The transaction will complete and Notes replicate to the Document List (DL) screen.

Procedure ends here.

The Department of Social Services (DSS) undertakes all Means Test assessments of 'split' income stream.

Send documents provided by the customer to Level 2 Policy Helpdesk for referral to DSS. Submit details of the income stream split due to divorce property settlement via the online enquiry form to the Level 2 Policy Helpdesk. The Resources page has a link to the online enquiry form. The Helpdesk FINS staff will advise what documents to get and where to send or fax the supporting documents.

Note: FINS staff are located at various locations. Contact the Helpdesk before sending or faxing documents to FINS staff.

Record the details of the circumstances of the commutation on a DOC.

The Helpdesk will provide a response recommending what action is necessary to finalise the matter.

When the Helpdesk provides a response, action accordingly.

The original income stream loses its ATE status. Assess the customer as if the income stream had never been ATE since purchase date, this may result in a debt being raised and recovered.

If the original income stream is partially commuted, it has to be re-coded as an asset-tested income stream.

Launch the Process Direct Income and Assets Update workflow. To do this access the customers record in Process Direct Customer Summary,

• Use the Super Key to navigate to screens
• Key START into the Super Key
• Select Income and Assets Update from the Task Selector options
• Select Income Streams (SUPS/SUPI/SUPV)
• Select Start to initiate the workflow

To update:

• Select edit against the relevant income stream to access the Change Income Streams (SUPS/SUPI/SUPV) options.
• Update the Income Stream Details:
• Product Cancellation Reason, field - code 'WIT' - Funds commuted Section 9A/B/BA
• Select Save once updates made
• Update Receipt Date and Channel and select Save

Expand the product from Income Streams (SUPS, SUPI, SUPV) and select edit on the item level of the provisional update to access the Change Income Streams Details options.

The system will have automatically set relevant fields to 0 for the item details

• Event Date: field code the date of the commutation
• Select Save

Update the details of any new or changed (that is, income stream is now assets-tested) income stream as needed. Note: code the asset-tested income stream. Use information supplied on the income stream schedule and key 'N' in the Section 9A/9B Complaint Indicator field. Leave the Start Date Original Commuted Product field.

Note: if it is a market-linked (MLI) income stream in its final year with a payment factor of 1 and displays the error “The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##”, see Step 8 in Table 4 of Adding or updating a market-linked income stream.

Record details in the finalisation Note.

For more information, see Income Streams.

It would be necessary to calculate a debt because of the non-allowable commutation.

Any debt must be calculated and raised manually. This is because the start date of the debt will vary.

For information and calculation of debt, see Raising subsection 1223A debts for commutation of asset-test exempt income streams contrary to subsection 9A(2), 9B(2) or 9BA(2).

• Yes, go to Step 3
• No, go to Step 2

Discuss all of the income and assets updates the customer would like to make (for example, income stream, shares, foreign income).

Only proceed with the coding if all the updates required are completed.

If there are concerns with the legitimacy of the customer's information, see Coding income and assets for Centrelink payments and services.

Ensure a hand-off to processing is not required. See the Income and Assets table to determine who can action and update the information.

Can the customer provide all the information required, and are all updates able to be coded?

• Yes, go to Step 3
• No, go to Step 5

Only Service Officers with the appropriate training, who can correctly determine whether a commutation is allowable or not, can complete these updates.

A customer is advising they have made a commutation from an ATE income stream (compliant income stream per Social Security Act 1991 section 9A (lifetime income stream), 9B (life expectancy income stream) or 9BA (market-linked income stream)).

Note: ATE income streams are generally non-commutable and are only commuted in very limited circumstances without losing their asset-test exemption and possibly incurring a debt.

What has to be coded or requested

A Details of income stream product form (SA330) or similar schedule completed by the provider is required for all asset-test exempt income stream partial commutations. For both full and partial commutations, the customer must also to provide the reason for the commutation.

Is the customer able to provide the required information?

• Yes, go to Step 5
• No, go to Step 4

Tell the customer all information that is required before any change can be made to ensure they receive correct entitlement:

Request the required information. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent.

Note: where the customer or partner is unable, or unwilling, to provide information due to Family and Domestic Violence (FDV), escalate to AISR support. AISR support will request the information directly from the provider.

Procedure ends here until the documents are returned.

If the customer:

• has already made a commutation, go to Step 6
• is seeking a letter for approval to commute their asset-test exempt (ATE) income stream (they have not yet made a commutation), see Application to be allowed to commute all or part of an asset-test exempt income stream due to extreme financial hardship

Procedure ends here.

Is this an allowable commutation for an ATE income stream?

The References page contains a link to more information in Social Security Guide, 4.9.2.40, Commuting an Asset-Test Exempt Income Stream to a Lump Sum.

Note: commutation from a 100% ATE lifetime and life expectancy income stream to a market-linked income stream (MLI) is a non-allowable commutation. However, if the ATE income stream was from an SMSF or SAF and the commutation is done under the permanent debt relief provisions available from 25 August 2011, any debt raised can be waived under section 1237AB.

• Yes, and it is:
• to pay the superannuation contributions surcharge or the excess contributions tax amount, see Table 2, Step 1
• to meet the requirements to not be in excess of the Transfer Balance Cap (TBC), see Table 2, Step 1. See Background page for more information on TBC
• to pay a hardship amount, go to Step 7
• to directly purchase a new ATE income stream (this has to be a full commutation and rollover), see Table 3, Step 1
• to give effect to income stream split following divorce property settlement, see Table 3, Step 6
• No, see Table 4, Step 1

Was the commutation made under the hardship provisions of the Social Security Act for which prior approval was given by the Services Australia?

• Yes, see Table 2, Step 1
• No, go to Step 8

Submit an enquiry to the Level 2 Policy Helpdesk with the:

• customer's name
• customer Reference Number (CRN)
• date of commutation and the amount commuted
• details of any supporting documents supplied by the customer. That is, SA330 or similar, with details of the customer's extreme financial hardship

Record details on a DOC.

The Helpdesk will provide a response recommending what action is necessary to finalise the matter.

Until the Helpdesk provides a response, the procedure ends here.

Is this a partial allowable commutation and the customer will continue to receive payments from the ATE income stream?

• Yes, go to Step 2
• No, go to Step 6

Has the customer supplied an updated, Details of income stream product form (SA330), or similar income stream schedule that gives details of the income stream following the partial commutation, and the commutation reason?

• Yes, go to Step 4
• No, go to Step 3

Request a Details of income stream product (SA330), or similar schedule completed by the provider. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent.

Tell the customer the income stream provider must complete the form with details of the income stream following the commutation. The Resources page contains a link to the SA330 form.

A similar schedule document from the customer's income stream provider that provides details of the commutation that are requested on the SA330 form, is acceptable. Note: the update may be delayed if the document does not contain all required details.

Tell the customer to provide the reason for the commutation. This will allow the Service Officer to determine whether the commutation is allowable or not.

Until the SA330 form or similar schedule is provided, the procedure ends here.

Select the relevant income stream from the Pension/Annuities Summary (SUPS) screen.

Is the relevant income stream a market-linked income stream?

• Yes, go to Step 5
• No, use the Income Stream Update guided procedure. To manually update the Pension/Annuities Details Variable (SUPV) screen, in the following fields:
• Event Date, key date of partial commutation
• Gross Income Amount, key new amount
• Commutation Date, key date of commutation
• Latest Commutation, key commutation amount
• Source and DOR, key details
• record details on a DOC of the circumstances of the commutation
• procedure ends here

Use the Income Stream Update guided procedure.

To update manually, go to the Pension/Annuities Details Variable C7 (SUPV7) screen and in the following fields:

• Event Date, key date of partial commutation
• Gross Annual Income Amount, key new gross income amount if changed.
  Note: the new gross income amount from the MLI following a partial commutation can never be less than the minimum amount required to be drawn in the financial year.
  The minimum amount is based on the 1 July account balance and calculated at the start of the financial year or at commencement of the income stream.
  If a customer specifies an annual income amount for the current financial year below the minimum limit, assess the minimum amount in accordance with section 1099AA of the Social Security Act 1991
• Commutation Date, key date of the commutation
• Latest Commutation, key the commutation amount
• Current Account Balance, key the new current account balance
• Source and DOR, key details and press [Enter]

Note: if the market-linked income stream is in its final year with a payment factor of 1 and displays the error “E022SN - The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##”, see Step 8 in Table 4 of Adding or updating a market-linked income stream.

Record details on a DOC of the circumstances of the commutation.

Procedure ends here.

Note: if the income stream is commuted in full to meet certain payments (superannuation contributions surcharge or excess contributions tax or hardship amount), any amount remaining after making these payments must be rolled over to a new ATE income stream.

Use the Income Stream Update guided procedure.

To update manually:

• select the relevant income stream from the Pension/Annuities Summary (SUPS) screen
• on the Pension/Annuities Identification (SUPI) screen, in the following fields:
• Product Cancellation Reason, key 'COM'
• Action, key 'C' (system will not accept I)
• on the Pension/Annuities Details Variable (SUPV) screen, the system will auto-set the relevant fields to 0. In the following fields:
• Event Date, key date of commutation
• Action, key 'I'
• record the details of the circumstances of the commutation on a DOC
• amount remaining and new ATE income stream purchased. See Table 3, Step 2
• commuted amount fully used to meet the payment. Record the details on a DOC. No more action required

Procedure ends here.

Before 20 September 2007, a customer could at any time commute, partially or fully, an ATE income stream (lifetime, life expectancy or market-linked income stream) and directly place the proceeds of that commutation into another ATE income stream.

From 20 September 2007, such a commutation/rollover will only be allowed under the conditions for retention of asset-test exemption. The original income stream must be commuted in full and the entire commuted amount (including reserves if the income stream is from SMSF/SAF) rolled over to the new income stream.

A partial commutation is only allowed for payment of a superannuation contributions surcharge, excess contributions tax, hardship amount or payment due to an income stream payment split.

Where the income stream is commuted in full to meet these payments, any amount remaining after making the payment must be rolled over to a new ATE income stream. Note: commutation from a 100% ATE income stream to a market-linked income stream (MLI) is a non-allowable commutation.

Most income streams purchased from 20 September 2007 will not comply with the requirements specified in sections 9A, 9B and 9BA of the Social Security Act and therefore will not be ATE.

However, in a limited number of circumstances, certain ATE income streams purchased before 20 September 2007 that are fully commuted and rolled over into post 20 September 2007 ATE income streams, will be allowed to retain a 100% or 50% asset-test exemption (whichever is applicable), provided certain conditions are satisfied. Note: partial commutation is allowed only to make certain payments as stated above.

See the References page for a link to Social Security Guide, 4.9.2.17, more information about eligibility criteria and conditions for relief.

Has the customer supplied an updated Details of income stream product form (SA330) or similar income stream schedule that gives details of the new income stream?

• Yes, go to Step 3
• No, go to Step 2

Request a Details of income stream product (SA330), or similar schedule completed by the provider, with details of the new income stream following the commutation. See Requesting information (CLK).

Use Mail Forms if a form needs to be sent.

A similar schedule document from the customer's income stream provider, which provides all the details of the new income stream as requested on the SA330 form, is acceptable. Note: the update may be delayed if the document does not contain all the required details.

Until the SA330 or similar schedule is provided, the procedure ends here.

See the References page for a link to Social Security Guide, 4.9.2.17, for more information about eligibility criteria and conditions for relief.

Does the new income stream meet the conditions for retention of asset-test exemption?

• Yes, go to Step 4
• No, see Table 4, Step 1

To update manually:

• select the relevant income stream from the Pensions/Annuities Summary (SUPS) screen
• go to the Pension/Annuities Identification (SUPI) screen and in the following fields:
• Product Cancellation Reason, key 'TRN'
• Action, key 'C' (system will not accept ‘I’)
• on the Pension/Annuities Details Variable (SUPV) or the Pension/Annuities Details Variable C7 (SUPV7) screen, the system will auto-set the relevant fields to 0. In the following fields:
• Event Date, key the purchase date of the new income stream to ensure continuity in the assessment of the asset value
• Action, key 'I'

For help, see Income streams.

Note: if adding a new post 20/9/2007 asset-test exempt (ATE) income stream that has resulted from the allowable commutation of a pre - 20/9/2007 ATE income stream, the system shows a warning "W100CQ - Contact the FINS Service Desk for confirmation of ATE eligibility". Contact the Level 2 Policy Helpdesk (Financial Industry and Network Support (FINS)). See the Resources page for a link to the Online Enquiry Form.

Note: if it is a market-linked (MLI) income stream in its final year with a payment factor of 1 and displays the error “E022SN - The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##”, see Step 8 in Table 4 of Adding or updating a market-linked income stream.

Record the details of the circumstances of the commutation on a DOC.

Procedure ends here.

The Department of Social Services (DSS) undertakes all Means Test assessments of 'split' income stream.

Send documents provided by the customer to Level 2 Policy Helpdesk for referral to DSS. Submit details of the income stream split due to divorce property settlement via the online enquiry form to the Level 2 Policy Helpdesk. The Resources page has a link to the online enquiry form. The Helpdesk FINS staff will advise what documents to get and where to send or fax the supporting documents.

Note: FINS staff are located at various locations. Contact the Helpdesk before sending or faxing documents to FINS staff.

Record the details of the circumstances of the commutation on a DOC.

The Helpdesk will provide a response recommending what action is necessary to finalise the matter.

When the Helpdesk provides a response, action accordingly.

The original income stream loses its ATE status. Assess the customer as if the income stream had never been ATE since purchase date, this may result in a debt being raised and recovered.

If the original income stream is partially commuted, it has to be re-coded as an asset-tested income stream.

Use the Income Stream Update guided procedure.

To update manually:

• select the relevant income stream from the Pension/Annuities Summary (SUPS) screen
• go to the Pension/Annuities Identification (SUPI) screen. In the following fields:
• Product Cancellation Reason, key 'WIT'
• Action, key 'C' (system will not accept 'I')

Coding Pension/Annuities Details Variable (SUPV) or Pension/Annuities Details Variable C7 (SUPV7) screens.

The system will auto-set relevant fields to 0 on the SUPV or SUPV7 screen. In the following fields:

• Event Date, key the date of the commutation
• Action, key 'I'

Update the details of any new or changed (that is, income stream is now assets-tested) income stream as needed.

Note: code the asset-tested income stream. Use information supplied on the income stream schedule and key 'N' in the Section 9A/9B Complaint Indicator field. Leave the Start Date Original Commuted Product field.

Note: if it is a market-linked (MLI) income stream in its final year with a payment factor of 1 and displays the error “E022SN - The Gross Annual Income Amount must be between minimum ####.## and maximum ####.##”, see Step 8 in Table 4 of Adding or updating a market-linked income stream.

Record details on a DOC.

See Income Streams.

It would be necessary to calculate a debt because of the non-allowable commutation.

Any debt must be calculated and raised manually. This is because the start date of the debt will vary.

For information and calculation of debt, see Raising subsection 1223A debts for commutation of asset-test exempt income streams contrary to subsection 9A(2), 9B(2) or 9BA(2).