• Spouse tax offset

    Currently an individual can claim a tax offset up to a maximum of $540 for contributions they make to their spouse's eligible super fund if, among other things, the total of the spouse's assessable income, total reportable fringe benefits and reportable employer super contributions is under $13,800.

    From 1 July 2017, the spouse's income threshold will be increased to $40,000. The current 18% 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.

    Individuals won't be entitled to the tax offset when their spouse receiving the contribution has exceeded their non-concessional contributions cap for the relevant year, or has a total superannuation balance equal to or exceeding the transfer balance cap immediately before the start of the financial year in which the contribution was made.

    The intent of this change is to extend the current spouse tax offset to assist more couples to support each other in saving for retirement. This will better target super tax concessions to low-income earners and people with interrupted work patterns.

    See also:

    Summary impacts for APRA-regulated funds

    • There may be an increase in spouse contributions.
    • You may get more enquiries about this topic, particularly about the rebate amount for spouse incomes between $37,000 and $40,000.
    Last modified: 20 Feb 2017QC 51305