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  SuperannuationWithdrawalsOther Lump Sum Benefits      Monday, 25 January 2021  

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Other Lump Sum Benefit Withdrawals


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Lump Sum Thresholds (Caps)
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Low-Rate Cap

Untaxed Plan Cap

2020/2021

$215,000

$1,565,000

2019/2020

$210,000

$1,515,000

2018/2019

$205,000

$1,480,000

2017/2018

$200,000

$1,445,000

2016/2017

$195,000

$1,415,000

2015/2016

$195,000

$1,395,000

2014/2015

$185,000

$1,355,000

2013/2014

$180,000

$1,315,000

2012/2013

$175,000

$1,255,000

2011/2012

$165,000

$1,205,000

2010/2011

$160,000

$1,155,000

2009/2010

$150,000

$1,100,000

2008/2009

$145,000

$1,045,000

2007/2008

$140,000

$1,000,000

 


   
Super Lump Sum Tax Table
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Post 1/7/2007 - Tax Rates and General Withdrawal Rules
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Tax-Free Component

From 1 July 2007 the tax-free component is made up of:

1) The crystallised amounts of the following components held in a superannuation account as at 30 June 2007 being Pre-July 83 component; Concessional component; Undeducted contributions; The CGT exempt component and Post-June 94 invalidity component.
and

2) Government Co-contributions, Spouse Contributions and Non-concessional Contributions made from 1 July 2007.

Taxable Components

> Taxable Benefits paid as a lump sum (excluding terminal illness payments, death benefits and departing Australia superannuation payments), will be taxed as follows:

Age

Tax Rate

Tax Rate

Taxed Element

Untaxed Element

Age under 55*

- Up to Untaxed plan cap

20% (Max)

30% (Max)

- Excess over Untaxed plan cap

20% (Max)

Top marginal tax rate

Age 55 to age 59*

- Less than Low rate cap

Nil

15% (Max)

- Low rate cap to untaxed plan cap

15% (Max)

30% (Max)

- Excess over Untaxed plan cap

15% (Max)

Top marginal tax rate

Age 60 and over

- Up to Untaxed plan cap

0%

15% (Max)

- Excess over Untaxed plan cap

0%

Top marginal tax rate


*Included in Taxable Income for Medicare Levy purposes except for the taxed element of the ETP low rate threshold.

> The Lump Sum threshold (cap) above in relation to untaxed super benefits is known as ‘the untaxed plan cap’.  Significantly, the untaxed plan cap applies to each superfund that you have (i.e. not the aggregate).  However, if your current untaxed element in one superfund exceeds the untaxed plan cap, rolling over the excess to another fund does not increase your concession because a rollover is also counted towards the ‘untaxed plan cap’.

> Reasonable Benefit Limits (RBLs) for superannuation were abolished from 1 July 2007.

> The tax exemption for invalidity payments have been extended to the self-employed.

> Prior to 1 July 2007, a withdrawal from super can be made selectively from the above components without being compelled to withdraw any of the post 6/83 component.  From 1 July 2007, withdrawals will be allocated proportionally to the taxable and tax-free components that make up the total amount of benefits in that particular superfund.


   
Pre 30/6/2007 Rules - Tax Rates on Post 30/6/1983 component
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Pre 30/6/2007 Rules - Tax Rates on other components
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This page was last edited on 7 January 2021

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