Other superannuation legislation
Government passes other superannuation legislation The Government has recently passed legislation requiring insurance in superannuation for new members under 25, and members with low balance accounts, to only be offered on an opt-in basis from 1 April 2020. Importantly, low balance account holders and young members will still be able to opt in if they […]
Taxpayer liable for excess transfer balance tax
Taxpayer liable for excess transfer balance tax despite commutations A taxpayer has unsuccessfully tried to challenge an excess transfer balance tax liability, despite following the ATO’s instructions. The taxpayer was receiving three pensions in 2017, including two capped defined benefit income streams and one account based pension. Based on information reported by the super funds, […]
Super dependants
If you have a super fund, you’ve probably been asked to nominate your beneficiary But, super fund trustees can only pay your super death benefit to eligible dependants* or to the legal personal representative (LPR) of your estate. If you haven’t elected a valid beneficiary the super fund trustee generally decides who your super goes […]
A super tax opportunity
Super is one of the most tax-effective ways to save You could be thousands of dollars better off by making ‘concessional contributions’ to your super. And, putting more money into your super now could make a big difference to your retirement later on. So, this tax time, ensure you make the most of your concessional […]
Backpacker superannuation
Paying super to backpackers The ATO has issued the following reminders to employers, that backpackers on working holidays: are considered temporary residents, and are entitled to superannuation guarantee if they are paid $450 or more before tax in a calendar month; and who leave Australia can claim the super paid to them as a Departing […]
Federal Election called
2019/20 Budget Update The Federal Election called for 18 May 2019, and the Governor-General has ‘prorogued’ the Parliament from 11 April until 18 May 2019 and dissolved the House of Representatives. The election will also be for half the Senate. As a result, all outstanding Bills have also lapsed (so any measures not yet passed […]
Other Federal Budget changes
Other announced changes Increased refunds for eligible primary producers and tourism operators The Government will provide further relief to farmers and tourism operators by amending the luxury car tax refund arrangements. For vehicles acquired on or after 1 July 2019, eligible primary producers and tourism operators will be able to apply for a refund of […]
Division 293 assessments
Additional tax on concessional contributions The ATO has been issuing ‘Additional tax on concessional contributions (Division 293) assessments’ with respect to liabilities relating to the 2018 income year. Division 293 imposes an additional 15% tax on certain concessional (i.e. taxable) superannuation contributions. It applies to individuals with income and concessional superannuation contributions exceeding the relevant […]
Finding and consolidating super
Finding super sparks $860 million of joy New data released by the Australian Taxation Office (ATO) shows that Australians were busy finding and consolidating our superannuation accounts at the end of 2018. More than 66,000 people found and consolidated over 105,000 accounts worth more than $860 million from October to December 2018 using ATO online accessed via myGov. Assistant Commissioner Graham […]
Mid-Year Economic and Fiscal Outlook
MYEFO report Mid-Year Economic and Fiscal Outlook (‘MYEFO’) report recently released. It indicates that the underlying Budget deficit is expected to be $5.2 billion in 2019 (down from the $14.5 billion deficit estimated in the 2018/19 Federal Budget). The substantial deficit reduction is reportedly a result of increased tax collections, with individual tax collections up […]
