From 1 July 2017, the spouse's income threshold will be increased to between $37,000 and $40,000. The current 18 per cent tax offset of up to $540 will remain as is and will be available for any individual, whether married or de facto, contributing to a recipient spouse, whose income is up to $37,000. As is currently the case, the offset is gradually reduced for income above this level and completely phases out at income above $40,000.
You will not be entitled to the tax offset when the spouse receiving the contribution has exceeded their non-concessional contributions cap for the relevant year or they exceed their super transfer balance cap in the financial year before the year you made the contributions.
The offset cannot be claimed where the receiving spouse:
- has exceeded their non-concessional contributions cap in the year the contribution is made; or
- has a total superannuation balance of $1.6 million or greater as at 30 June of the previous financial year.
Comparison of key features of new law and current law
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New law
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Current law
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| A resident individual is entitled to a tax offset up to a maximum of $540 in an income year for contributions made to a complying superannuation fund or retirement savings account if the contributions are for the purpose of providing superannuation benefits for their eligible spouse. A spouse is eligible, if, among other things, the total of the spouse’s assessable income, reportable fringe benefits amounts and reportable employer superannuation contributions for the income year is less than $40,000. | A resident individual is entitled to a tax offset up to a maximum of $540 in an income year for contributions made to a complying superannuation fund or retirement savings account if the contributions are for the purpose of providing superannuation benefits for their eligible spouse. A spouse is eligible, if, among other things, the total of the spouse’s assessable income, reportable fringe benefits amounts and reportable employer superannuation contributions for the income year is less than $13,800. |
Changes to Simple Fund 360
Currently no changes are expected for Simple Fund 360.