Can I claim a tax deduction for gifted monies made as a Personal Superannuation Contribiution

(Initiate)Initiate

2 May 2026

I am over 60, and retired so I have met the conditions of release for my Superannuation.

My wife is under 60, self employed and has a superannuation balance under $500K. My wife has not been utilising all her Superannuation Concessional Contribution limits for the past 5 years.

Can I drawdown a lump sum from my superannuation account equal to my wife's unused balance of Concessional Contributions from the previous 5 years (bring forward rule), gift the money to my wife who submits it to her superannuation accumulation account, then can she submit an Notice of Intent to Claim a Deduction (NAT 71121) and the claim in her tax return for a Personal Superannuation Contribution.

I cant find a rule against this, but it would result in me gifting her concessional funds from my account and her then claiming a tax deduction on those funds. Is this legal/possible?

Any advice gratefully received,

Thanks

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knaresbro

(Devotee)Devotee

3 May 2026

Yes, @AustinTaxpayer , you can do what you like - it's your money! Its origin is irrelevant: a lump sum withdrawal from super, cash from a bank account or the proceeds from the sale of shares. You've described the steps correctly.

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AustinTaxpayer

(Initiate)Initiate

3 May 2026

Thanks very much @Knaresbro, this appears to achieve two positive outcomes;

Converts my concessional super contributions into non-concessional (such as a recontribution strategy) avoiding the kids having to pay 17% if/when the missis and I fall of the perch, and
Provide an opportunity for a tax deduction on monies that I had saved in super as concessional contributions taxed only at 15%. I think that we have made money. Doesn't seem right, but does seem legal.

Could there be a better strategy to maximise our super and balance up our portfolios?

Thanks again.

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AustinTaxpayer

(Initiate)Initiate

3 May 2026

OOPs, I dont think that I got point 1 right.

If my wife claim a tax deduction then the funds will be deemed to be concessional contribution and in doing so be subject to 17% tax if inherited by the kids. My wife would still have to draw the funds out of super when she meets conditions of release(retires after 60) and then recontribute to convert these funds to non concessional for the kids to avoid paying the tax.

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knaresbro

(Devotee)Devotee

3 May 2026

Yes, @AustinTaxpayer , your last post is better. The normal accepted guidance applies: don't do things based on tax positions alone, withdrawing money before death is an option, etc.

And with respect to your penultimate post, "Could there be a better strategy" is a question for which I'd suggest you should see seek guidance that considers your personal situation from a financial adviser rather than unknown individuals (like me!) in the ATO Community

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