On 7 August 2013, the ATO released for public comment by 4 September 2013 draft Taxation Determination TD 2013/D7 entitled "Income tax: in what circumstances is an asset of a complying superannuation fund a segregated current pension asset under s 295-385 of the Income Tax Assessment Act 1997?"
The draft states, at para 1, as follows:
"An asset of a complying superannuation fund will be invested, held in reserve or otherwise being dealt with for the sole purpose of enabling a fund to discharge liabilities payable in respect of superannuation income stream benefits ('the relevant sole purpose'), where the whole asset is so invested, held or dealt with.3 To meet the requirements of paragraph 295-385(3)(a) or subsection 295-385(4) of the Income Tax Assessment Act 1997 (ITAA 1997):
- an asset cannot be partly invested, held or dealt with partly for the relevant sole purpose and partly for another purpose; and
- part of an asset cannot be invested, held or dealt with for the relevant sole purpose, and another part of the asset invested, held or dealt with for another purpose."