Commonwealth Consolidated Acts Commonwealth Consolidated Acts
Income Tax Assessment Act 1997
1 Before subsection 292 - 85(1)
Insert:
Your excess non - concessional contributions
2 Subsections 292 - 85(2) to (4)
Repeal the subsections, substitute:
Your non - concessional contributions cap--general rule
(2) Your non - concessional contributions cap for a * financial year is:
(a) unless paragraph ( b) applies--the amount (the general non - concessional contributions cap for the year) that is 4 times your * concessional contributions cap under subsection 291 - 20(2) for the year; or
(b) if, immediately before the start of the year, your * total superannuation balance equals or exceeds the * general transfer balance cap for the year--nil .
Note: This subsection does not take into account any increase in your concessional contributions cap under subsection 291 - 20(4) .
When you can bring forward your non - concessional contributions cap
(3) Despite subsection ( 2), work out your non - concessional contributions cap for a * financial year (the first year ) under subsection ( 5), and your non - concessional contributions caps for the following 2 financial years (the second year and third year ) under subsections ( 6) and (7), if:
(a) your * non - concessional contributions for the first year exceed the general non - concessional contributions cap for that year; and
(b) paragraph ( 2)(b) does not apply to you in relation to the first year; and
(c) you are under 65 years at any time in the first year; and
(d) a previous operation of subsection ( 6) or (7) does not determine your non - concessional contributions cap for the first year; and
(e) the difference (the first year cap space ) between the * general transfer balance cap for the first year and your * total superannuation balance immediately before the start of the first year exceeds the general non - concessional contributions cap for the first year .
(4) However, do not work out your * non - concessional contributions cap for the third year under subsection ( 7) if the first year cap space does not exceed an amount equal to twice the general non - concessional contributions cap for the first year .
Note: If this subsection applies, your non - concessional contributions cap for the third year will be worked out under subsection ( 2) (unless the third year becomes a new first year under a further application of subsection ( 3)) .
First year of bring forward
(5) Your non - concessional contributions cap for the first year is an amount equal to:
(a) if the first year cap space does not exceed an amount equal to twice the general non - concessional contributions cap for the first year--twice the general non - concessional contributions cap for the first year; or
(b) otherwise--3 times the general non - concessional contributions cap for the first year .
Second year of bring forward
(6) Your non - concessional contributions cap for the second year is:
(a) if:
(i) your * total superannuation balance immediately before the start of the second year is less than the * general transfer balance cap for the second year; and
(ii) your * non - concessional contributions for the first year fall short of your cap for the first year (worked out under subsection ( 5));
that shortfall; or
(b) otherwise--nil .
Third year of bring forward
(7) Your non - concessional contributions cap for the third year is:
(a) if:
(i) your * total superannuation balance immediately before the start of the third year is less than the * general transfer balance cap for the third year; and
(ii) your * non - concessional contributions for the second year fall short of your cap for the second year (worked out under subsection ( 6));
that shortfall; or
(b) if:
(i) your total superannuation balance immediately before the start of the third year is less than the general transfer balance cap for the third year; and
(ii) your cap for the second year is nil; and
(iii) your non - concessional contributions for the first year fall short of your cap for the first year (worked out under subsection ( 5));
that shortfall; or
(c) otherwise--nil .
3 Paragraph 292 - 95(1)(b)
After "within 90 days", insert ", or such longer period as the Commissioner allows," .
4 At the end of section 292 - 95
Add:
(6) If:
(a) you requested the Commissioner to allow a longer period under paragraph ( 1)(b); and
(b) you are dissatisfied with:
(i) a decision under that paragraph allowing a longer period; or
(ii) a decision the Commissioner makes not to allow a longer period;
you may object against the decision in the manner set out in Part IVC of the Taxation Administration Act 1953 .
(7) To avoid doubt:
(a) subject to subsection 14ZVC(3) of the Taxation Administration Act 1953 , you may also object, on the ground that you are dissatisfied with such a decision, relating to all or part of your contributions for a * financial year:
(i) under section 175A of the Income Tax Assessment Act 1936 against an assessment made in relation to you for the corresponding income year; or
(ii) under section 97 - 35 in Schedule 1 to the Taxation Administration Act 1953 against an * excess non - concessional contributions determination made in relation to you for the financial year; and
(b) for the purposes of paragraph ( e) of Schedule 1 to the Administrative Decisions (Judicial Review) Act 1977 , the making of a decision under paragraph ( 1)(b) of this section is a decision forming part of the process of making an assessment of tax, and making a calculation of charge, under this Act .
5 Subsection 292 - 465(9)
Repeal the subsection, substitute:
Review
(9) If you are dissatisfied with:
(a) a determination made under this section in relation to you; or
(b) a decision the Commissioner makes not to make such a determination;
you may object against the determination, or the decision, as the case requires, in the manner set out in Part IVC of the Taxation Administration Act 1953 .
(10) To avoid doubt:
(a) subject to subsection 14ZVC(3) of the Taxation Administration Act 1953 , you may also object, on the ground that you are dissatisfied with such a determination or decision, relating to all or part of your * non - concessional contributions for a * financial year:
(i) under section 175A of the Income Tax Assessment Act 1936 against an assessment made in relation to you for the corresponding income year; or
(ii) under section 97 - 35 in Schedule 1 to the Taxation Administration Act 1953 against an * excess non - concessional contributions determination made in relation to you for the financial year; and
(b) for the purposes of paragraph ( e) of Schedule 1 to the Administrative Decisions (Judicial Review) Act 1977 , the making of a determination under this section is a decision forming part of the process of making an assessment of tax, and making a calculation of charge, under this Act .
Income Tax (Transitional Provisions) Act 1997
6 After section 292 - 80C
Insert:
292 - 85 Non - concessional contributions cap for a financial year
(1) For the purposes of working out your non - concessional contributions cap for the 2017 - 2018 financial year, if:
(a) your non - concessional contributions cap for the 2015 - 2016 financial year was worked out under subsection 292 - 85(4) of the Income Tax Assessment Act 1997 ; and
(b) that year was a first year within the meaning of subsection 292 - 85(3) of that Act;
subsection 292 - 85(7) of that Act as amended by the Treasury Laws Amendment (Fair and Sustainable Superannuation) Act 2016 applies after the commencement of this section as if:
(c) the amount worked out under subsection 292 - 85(5) of that Act as so amended were $460,000; and
(d) subsection 292 - 85(6) of that Act as so amended had been applied (taking into account paragraph ( c) of this subsection) for the purposes of working out your non - concessional contributions cap for the 2016 - 2017 financial year .
(2) For the purposes of working out your non - concessional contributions caps for the 2017 - 2018 financial year and the 2018 - 2019 financial year, if:
(a) your non - concessional contributions cap for the 2016 - 2017 financial year was worked out under subsection 292 - 85(4) of the Income Tax Assessment Act 1997 ; and
(b) that year was a first year within the meaning of subsection 292 - 85(3) of that Act;
subsections 292 - 85(6) and (7) of that Act as amended by the Treasury Laws Amendment (Fair and Sustainable Superannuation) Act 2016 apply after the commencement of this section as if the amount worked out under subsection 292 - 85(5) of that Act as so amended were $380,000 .
(3) To avoid doubt, this section does not affect your non - concessional contributions cap for any financial year that ended before 1 July 2017 .
Superannuation (Government Co - contribution for Low Income Earners) Act 2003
7 After paragraph 6(1)(d)
Insert:
(da) the person's non - concessional contributions for the financial year corresponding to the income year do not exceed the person's non - concessional contributions cap for the financial year; and
(db) immediately before the start of that financial year, the person's total superannuation balance is less than the general transfer balance cap for that financial year; and
8 Section 56
Insert:
"general transfer balance cap" has the same meaning as in the Income Tax Assessment Act 1997 .
"non-concessional contributions" has the same meaning as in the Income Tax Assessment Act 1997 .
"non-concessional contributions cap" has the same meaning as in the Income Tax Assessment Act 1997 .
"total superannuation balance" has the same meaning as in the Income Tax Assessment Act 1997 .
9 Application of amendments
(1) The amendments made by items 1, 2 and 6 of this Schedule apply in relation to working out your non - concessional contributions cap for the financial year starting on 1 July 2017 and later financial years .
(2) The amendments made by items 3, 4, 7 and 8 of this Schedule apply in relation to the financial year starting on 1 July 2017 and later financial years.
(3) The amendment made by item 5 of this Schedule applies in relation to non - concessional contributions for the 2013 - 2014 financial year and later financial years.