Make sure your super contributions don't capsize
Industry super fund, Health Super, has warned that many Australians may get an unwelcome surprise on their 2009-10 tax return if they are not aware as to how the Australian Government's changes to concessional contribution superannuation caps may impact them.
In its 2009 budget, the Australian Government reduced the cap on concessional (before-tax) contributions from $50,000 to $25,000. This means that individuals who exceed the cap could pay up to $31.5% in tax on contributions made over the cap. For those aged 50 or over, the cap has been reduced from $100,000 to $50,000 until the end of the 2012 financial year.
Chris Clausen, CEO, Health Super, says, "With many of our members making concessional contributions, we have made a special effort to communicate the potential tax impacts of the reduction in caps to our members. We have also been informing those members who are approaching the concessional contribution cap this financial year, so that they can avoid paying unnecessary tax."
Chris says that with the end of the financial year looming, individuals should seek advice from their fund as to where they currently stand with their concessional contributions, so that they can make an informed choice about further contributions.
For further information, please contact Health Super on 1800 331 719 8.30am - 6.00pm, or via Email