Commonwealth Consolidated Acts Commonwealth Consolidated Acts(1) Despite section 294 - 35, your transfer balance cap on a day is the sum of the cap increments that have arisen under this Subdivision on and before that day.
Note: Your transfer balance cap is not worked out on a financial year basis and it is not indexed.
(2) However, if there are one or more * superannuation income streams of which you are, on that day, a * retirement phase recipient but not a * child recipient, your transfer balance cap on that day is the sum of:
(a) the sum of the cap increments that have arisen under this Subdivision on and before that day; and
(b) your transfer balance cap for the * financial year in which the day falls, worked out disregarding:
(i) any cap increments that arise under this Subdivision; and
(ii) any * transfer balance credits or * transfer balance debits that have arisen in your * transfer balance account in respect of superannuation income streams of which you are a child recipient.
Note: Paragraph (b) is the transfer balance cap you would have if you were not a child recipient of any income stream. Disregarding credits, debits and cap increments allows this cap to be indexed appropriately under section 294 - 40 (which is about proportional indexation).