Fringe Benefit Tax
The government has announced that it is committed to improving the Australian Superannuation System by introducing a range of measures from July 1, 2012.
Under the current legislation, members over the age of 50 can contribute up to $50,000 per year, up until June 30, 2012. The legislation reduces this to $25,000 from that date. Members under the age of 50 can contribute $25,000 per year for which a tax deduction can be claimed.
One of the proposals the Government wants to introduce is to permanently increase the concessional contributions cap from $25,000 to $50,000 for members who are aged 50 and over, and who have a superannuation balance of less than $500,000.
In addition to the increase in concessional contributions, the Government also aims to increase the compulsory superannuation guarantee from 9% to 12% to boost members' retirement savings.
Furthermore, individuals earning less than $37,000 per year will receive a contribution of up to $500 from the Government into their fund, effectively abolishing any tax on their other concessional superannuation contributions.
Contact A Grade Tax Accountants Penrith on (02) 4731-1405 for all your taxation, accounting, tax returns, self managed superannuation, SMSF advice and planning.
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