Superannuation Guarantee Determination

SGD 2006/1

Superannuation guarantee: what is the maximum contribution base for a quarter in the 2006-2007 financial year?

This version is no longer current. Please follow this link to view the current version.

Please note that the PDF version is the authorised version of this ruling.

This document incorporates revisions made since original publication. View its history and amending notices, if applicable.

FOI status:

may be released

Preamble

Superannuation Guarantee Determinations do not have the force of law. Each decision made by the Australian Taxation Office is made on the merits of the individual case having regard to any relevant Rulings and Determinations.

1. $35,240.

2. By applying subsection 15(3) of the Superannuation Guarantee (Administration) Act 1992 (SG(A)A), the maximum contribution base for a quarter in the 2006-2007 financial year is:

$33,720 (maximum contribution base for a quarter in 2005-2006) x Indexation factor for the 2006-2007 financial year

3. By applying section 9 of the SG(A)A, the indexation factor for 2006-2007 is the greater of '1' and the number found by dividing the AWOTE amount for February 2006 by the AWOTE amount for February 2005.

4. The AWOTE amount is an estimate by the Australian Statistician of the full-time adult average weekly ordinary time earnings for persons in Australia. The estimate for February 2006 was $1037.50 and the estimate for February 2005 was $992.90.

5. This produces an indexation factor of 1.045. When applied to $33,720 the amount comes to $35,237.40. Subsection 15(4) of the SG(A)A provides for this amount to be rounded to the nearest 10 dollar multiple (rounding 5 dollars upwards). Therefore, the maximum contribution base for a quarter in the 2006-2007 financial year is $35,240.

Date of effect

6. This Determination applies to the 2006-2007 financial year.

Commissioner of Taxation
31 May 2006

Not previously issued in draft form.

Previous Rulings/ Determinations: