Time-dependent density functional theory ͑TDDFT͒ calculations of charge-transfer excitation energies CT are significantly in error when the adiabatic local density approximation ͑ALDA͒ is employed for the exchange-correlation kernel f xc . We relate the error to the physical meaning of the orbital energy of the Kohn-Sham lowest unoccupied molecular orbital ͑LUMO͒. The LUMO orbital energy in Kohn-Sham DFT-in contrast to the Hartree-Fock model-approximates an excited electron, which is correct for excitations in compact molecules. In CT transitions the energy of the LUMO of the acceptor molecule should instead describe an added electron, i.e., approximate the electron affinity. To obtain a contribution that compensates for the difference, a specific divergence of f xc is required in rigorous TDDFT, and a suitable asymptotically correct form of the kernel f xc asymp is proposed. The importance of the asymptotic correction of f xc is demonstrated with the calculation of CT (R) for the prototype diatomic system HeBe at various separations R(He-Be). The TDDFT-ALDA curve CT (R) roughly resembles the benchmark ab initio curve CT CISD (R) of a configuration interaction calculation with single and double excitations in the region Rϭ1 -1.5 Å, where a sizable He-Be interaction exists, but exhibits the wrong behavior CT (R) Ӷ CT CISD (R) at large R. The TDDFT curve obtained with f xc asymp however approaches CT CISD (R) closely in the region Rϭ3 -10 Å. Then, the adequate rigorous TDDFT approach should interpolate between the LDA/GGA ALDA xc kernel for excitations in compact systems and f xc asymp for weakly interacting fragments and suitable interpolation expressions are considered.