Transition to Retirement Pensions and the New Medical Release Condition

If a member has commenced a transition to retirement pension and then subsequently suffers a terminal medical condition, the member will now be able to commute the pension and receive the commutation lump sum tax free.

This change is provided by an amendment to the definition of ‘transition to retirement income stream’.

This change will be relevant to members who have not reached 65 or have not previously satisfied the “Retirement” release condition.