Up until the 2017 financial year, only people self-employed or unemployed could claim a tax deduction on personal super contributions.
This year, the Federal Government has given employees the opportunity to claim up to $25,000 in tax concessions for superannuation contributions.
If you’re looking for another tax deduction and have cash-on-hand, why not make a contribution to your superannuation?
This year, you can make a tax-deductible personal contribution of up to $25,000 to your superannuation account and claim it against your assessable income.
You don’t have to be working to be eligible for this tax concession either.
Be quick, the June 30 cut-off date is just about here.
To make a personal contribution, you need to call your super fund and arrange to make payment as soon as possible prior to June 30 (to guarantee it for this FY).
You will also need to obtain a ‘notice of intent to claim’ form from the ATO for personal contributions made after 1 July 2017.
Once completed, this form gets submitted to your super fund. Get in touch with us if you want to discuss optimising your tax deductions by making a personal super contribution.
In addition to personal super contributions as a way of reducing your taxable income, the Federal Government is handing out tax concessions for spouse contributions too.
This financial year, if your spouse earns less than $40,000, you can make an after-tax contribution to their account.
Not only will this boost your spouse’s super account balance, it will give you a tax offset worth up to $540.00.
Previously, the cutoff income for spouse contributions was $10,800 in the 2016/17 financial year.
The increase means more people can claim the tax offset.
Interesting fact: You can contribute to the eligible super fund of your spouse, whether married or de-facto.
This information has been prepared without taking into account your own personal objectives, financial situation or needs. Because of this, you should, before acting on this information, consider its appropriateness, having regard to your objectives, financial situation or needs.