• Super contributions – too much super can mean extra tax

    There are caps on the amount you can contribute to your superannuation each financial year that are taxed at lower rates. If you contribute more than these caps, you may have to pay extra tax.

    The cap amount and how much extra tax you have to pay depends on your age and whether the contributions are either:

    If you need to know how much you have contributed into your super fund to ensure you do not exceed the superannuation contribution caps, please contact the ATO on 13 10 20.

    Summary of types of contributions

    Contribution type

    Concessional (before-tax)

    Non-concessional (after-tax)

    Description

    Contributions from before-tax income, or for which a tax deduction has been claimed  

    Contributions from after-tax income

    Includes

    • Compulsory employer contributions
    • Salary sacrifice contributions
    • Contributions for which a tax deduction has been claimed  

     

    • Personal contributions that have not been claimed as a deduction
    • Spouse contributions
    • Contributions which exceeded your before-tax cap

     

    You will also pay extra tax on your concessional (before-tax) contributions for Div 293 if your income for surcharge purposes, including certain concessional contributions, is greater than $300,000. Division 293 tax levies 15% tax on taxable contributions above the $300,000 threshold.

    See also:

    • Last modified: 26 Jul 2016QC 19749