Information to include in your tax return
In your tax return for the financial year you request the release, you must include :
- the total FHSS assessable released amount
- the tax withheld.
This information will be shown on the FHSS payment summary.
This may be different to the financial year in which you receive the FHSS amount. For example, if you request a release of FHSS amounts on 30 June 2024, include the amount in your 2023–24 tax return – even though you won’t receive the released amount until July 2024.
See the Instructions to complete your tax return for further details.
What we do with the information
When you lodge your tax return, we will:
- calculate your actual marginal tax rate for the year in which you requested the release
- recalculate your tax liability on the released amount.
- take into account the tax that has already been withheld from your assessable FHSS released amount, together with the 30% tax offset.
Your FHSS payment summary will show the assessable FHSS released amount and the amount of tax withheld.
Example: income tax on released amounts
Sue receives an FHSS determination in 2024–25. This FHSS determination shows a maximum release amount of $14,350, comprising of:
- $5,000 representing eligible non-concessional contributions•
- $8,500 representing 85% of her eligible concessional contributions
- $850 representing associated earnings.
Sue requests a release of the maximum amount on 26 June 2025. We issue a release authority to her fund and they release the full amount to us. We withhold tax of $1,589 and release the remainder to Sue on 12 July 2025.
As Sue requests the release during the 2024–25 financial year, we give her an FHSS payment summary for 2024–25 showing:
- the assessable FHSS released amount of $9,350 (85% of the eligible concessional contributions and the associated earnings)
- tax withheld of $1,589.
Sue includes $9,350 in her tax return for 2024–25.
She receives a credit of $1,589 for the tax withheld and a non-refundable tax offset of $2,805 (being 30% of the assessable FHSS released amount).