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  • Division 293 tax

    Division 293 tax reduces the tax concession on super contributions for individuals whose income is greater than the Division 293 threshold.

    Division 293 threshold

    An individual's income is added to certain super contributions and compared to the Division 293 threshold. Division 293 tax is payable on the excess over the threshold, or on the super contributions, whichever is less. The rate of Division 293 tax is 15%.

    Table 7: Division 293 threshold

    Income year

    Threshold

    2017–18 onwards

    $250,000

    2012–13 to 2016–17

    $300,000

    For more information, see Division 293 tax – information for individuals.

    End of year interest

    Where Division 293 tax relates to defined benefit interests, payment of the tax is deferred until a super benefit is paid from the interest. We must keep a debt account for each defined benefit interest where there is an amount of Division 293 tax that has been deferred.

    End of year interest is calculated (at the average 10-year Treasury bond rate for that year) on the amount by which the deferred debt account is in debit at the end of the income year.

    Table 8: Division 293 tax – end of year interest

    Income year

    Average 10-year Treasury bond rate

    2022–23

    3.6096%

    2021–22

    2.1124%

    2020–21

    1.1816%

    2019–20

    1.0333%

    2018–19

    2.2547%

    2017–18

    2.7021%

    2016–17

    2.4157%

    2015–16

    2.6139%

    2014–15

    2.9978%

    2013–14

    N/A (see Note 1)

    Note 1: end of year interest was not applied to deferred debt accounts for the 2013–14 income year.

    Last modified: 13 Jul 2023QC 18123