Using this schedule
This schedule applies to payments made from 1 July 2026.
This withholding schedule is made by the Commissioner of Taxation in accordance with sections 15–25 and 15–30 of Schedule 1 to the Taxation Administration Act 1953 (TAA). It applies to withholding payments covered by paragraph 12–80(a) of Schedule 1 to the TAA.
Use this schedule if you make the following super income stream payments:
- account-based super income streams – including death benefit income streams
- capped defined benefit income streams – including death benefit income streams
- transition to retirement income streams
- temporary or permanent disability super income streams.
Super income streams
A super income stream is a series of regular payments from a superannuation provider when the payee has satisfied a condition of release. These regular payments can be paid weekly, fortnightly, monthly, quarterly or annually.
A super income stream may be:
- an account-based super income stream
- a capped defined benefit income stream which includes a
- lifetime pension, regardless of when it started
- lifetime annuity that existed prior to 1 July 2017
- life expectancy pension or annuity that existed prior to 1 July 2017
- market-linked pension or annuity, that existed prior to 1 July 2017
- a reversionary death benefit income stream.
Note: A commutation of an income stream is not a super income stream payment. It is a super lump sum. Refer to Schedule 12 – Tax table for superannuation lump sums.
Defined benefit income cap
The general defined benefit income cap for the 2026–27 financial year is $131,250. The defined benefit income cap may be reduced depending on the payee's circumstances.
For more information, see:
- Conditions of release
- Taxation Ruling TR 2013/5 Income tax: when a superannuation income stream commences and ceases
- Schedule 12 – Tax table for superannuation lump sums
- Super
- Varying your PAYG withholding.
Components of a super income stream
Before you can work out the withholding amount, you must calculate the components of the super income stream.
A super income stream may have 2 components:
- taxable component, which can include either or both of an element
- taxed in the fund (taxed element)
- untaxed in the fund (untaxed element).
- tax-free component.