Payment options for Division 293 liabilities
You have a number of options for paying your Division 293 liabilities.
Due and payable liabilities
You can pay due and payable Division 293 tax liabilities either:
- out of your own pocket
- by using a release authority, issued with the assessment, to pay the debt out of your super account.
You can take the release authority to any super fund capable of releasing the money.
Note: Some super funds can't comply with a release authority for a due and payable Division 293 tax liability.
You can have your super fund pay the money either:
You can defer payment of your deferred Division 293 tax liabilities until you take a benefit from the super account the debt relates to. At this time, you can pay the liability either:
- out of your own pocket
- by using a release authority, issued with the debt account discharge liability notice, to pay the debt out of your super account.
Note: The debt account discharge liability release authority can only be presented to the fund the defined benefit super account is attributed to.
If you choose to pay the debt earlier, you can:
- pay the debt out of your own pocket
- use a release authority, issued with the assessment, to have the money released from another super account you hold, as long as it is an accumulation account.
When a debt is raised and deferred, a release authority is sent to you linked with that debt account – this is the release authority that must be used if you choose to pre-pay your deferred debt.
Note: When your super fund releases the money to pay your deferred debt, they must send the payment directly to us.
Refund of Division 293 tax for former temporary residents
Working out if you're entitled to a refund
You're entitled to a refund of any Division 293 tax paid if all the following apply:
- you made a Division 293 tax payment
- you receive a departing Australia super payment
- you apply to the Commissioner in the approved form for the refund.
Amount of the refund
Your refund will be the sum of all payments you made towards any Division 293 tax assessments while a temporary resident in Australia.
If you become a permanent resident during an income year, and you make a payment towards a Division 293 tax liability that income year, your payment won't be refunded.
How to apply for the refund
To apply for a refund, you must apply to the Commissioner in the approved form – Division 293 Tax – refund or debt release application for former temporary residents (NAT 74727).
You must also provide evidence you received a departing Australia super payment. Acceptable evidence includes the payment summary provided by your super fund when making the payment, or other evidence clearly demonstrating the payment was made and the reason for the payment.