Announcements
We understand that 2020 has been a difficult year but we're here to try and make it a little easier for you during tax time. You can search other people's posts, read our articles or ask your own question.

ATO Community

Re: Claiming tax deduction for contribution after retirement

Highlighted

I'm new

Views 382

Replies 2

Is it possible to make a contribution into a super fund in accumulation mode and claim a tax deduction, whilst drawing down from a totally different fund in pension mode? (No longer working, aged between 60 & 65). Both funds are industry funds.

1 ACCEPTED SOLUTION

Accepted Solutions
Highlighted

Best answer

ATO Certified

Devotee Super Specialist

Replies 0

Hi @Swampy,

If you’re under 65 years of age, you can make personal after-tax contributions to your super fund if you’re not working.

 

As noted on the ATO’s Are you eligible to claim? Page;

 

You are eligible to claim a deduction for personal super contributions if:

  • contributions made prior to 1 July 2017 were made to a complying super fund or a retirement savings account (we'll refer to both as 'your fund')
  • for contributions made on or after 1 July 2017, you made the contributions to your fund that was not a:                
    • super fund as non-deductible
    • defined benefit interest within the fund as non-deductible
    • Commonwealth public sector super scheme in which you have a defined benefit interest
    • Constitutionally protected fund (CPF) or other untaxed fund that would not include your contribution in its assessable income
    • super fund that notified us before the start of the income year that they elected to either treat all member contributions to the:                
  • contributions made prior to 1 July 2017 your earnings as an employee were less than the maximum allowed
  • you meet the age restrictions
  • you have given your fund a Notice of intent to claim or vary a deduction for personal contributions form (NAT 71121)
  • your fund has validated your notice of intent form and sent you an acknowledgement.

 

Keep in mind, personal super contributions that you claim as a deduction will count towards your concessional contributions cap.

 

You cannot claim a tax deduction for contributions that were:

  • a rolled over super benefit
  • a benefit transferred from a foreign super fund
  • a directed termination payment paid into a super plan by an employer under transitional arrangements that applied until 30 June 2012
  • contributions paid by your employer from your before-tax income (including the compulsory super guarantee and salary sacrifice amounts)
  • First Home Super Saver (FHSS) amounts that you have recontributed to your super fund(s)
  • contributions to                  
    • a Commonwealth public sector super scheme in which you have a defined benefit interest
    • a super fund that would not include the contribution in their assessable income, such as an untaxed fund or a constitutionally protected fund (CPF)
    • other super funds or contributions specified in the regulations.
    • contributions made from 1 July 2018 to a super fund that are identified as downsizer contributions.

 

For information on how to claim and further requirements, please see the ATO’s How to Claim page.  

 

You may also find QSuper’s Tax Deductions page helpful.

 

Thanks,
Hailey

2 REPLIES 2
Highlighted

Devotee Registered Tax Practitioner

Replies 0

As long as you are under 65, or under 75 and can pass the work test,

then you can make deductible super contributions up to your particlar contribution cap.

 

How you fund the contribution is up to you.

Highlighted

Best answer

ATO Certified

Devotee Super Specialist

Replies 0

Hi @Swampy,

If you’re under 65 years of age, you can make personal after-tax contributions to your super fund if you’re not working.

 

As noted on the ATO’s Are you eligible to claim? Page;

 

You are eligible to claim a deduction for personal super contributions if:

  • contributions made prior to 1 July 2017 were made to a complying super fund or a retirement savings account (we'll refer to both as 'your fund')
  • for contributions made on or after 1 July 2017, you made the contributions to your fund that was not a:                
    • super fund as non-deductible
    • defined benefit interest within the fund as non-deductible
    • Commonwealth public sector super scheme in which you have a defined benefit interest
    • Constitutionally protected fund (CPF) or other untaxed fund that would not include your contribution in its assessable income
    • super fund that notified us before the start of the income year that they elected to either treat all member contributions to the:                
  • contributions made prior to 1 July 2017 your earnings as an employee were less than the maximum allowed
  • you meet the age restrictions
  • you have given your fund a Notice of intent to claim or vary a deduction for personal contributions form (NAT 71121)
  • your fund has validated your notice of intent form and sent you an acknowledgement.

 

Keep in mind, personal super contributions that you claim as a deduction will count towards your concessional contributions cap.

 

You cannot claim a tax deduction for contributions that were:

  • a rolled over super benefit
  • a benefit transferred from a foreign super fund
  • a directed termination payment paid into a super plan by an employer under transitional arrangements that applied until 30 June 2012
  • contributions paid by your employer from your before-tax income (including the compulsory super guarantee and salary sacrifice amounts)
  • First Home Super Saver (FHSS) amounts that you have recontributed to your super fund(s)
  • contributions to                  
    • a Commonwealth public sector super scheme in which you have a defined benefit interest
    • a super fund that would not include the contribution in their assessable income, such as an untaxed fund or a constitutionally protected fund (CPF)
    • other super funds or contributions specified in the regulations.
    • contributions made from 1 July 2018 to a super fund that are identified as downsizer contributions.

 

For information on how to claim and further requirements, please see the ATO’s How to Claim page.  

 

You may also find QSuper’s Tax Deductions page helpful.

 

Thanks,
Hailey