Excess Non-concessional contributions

Excess Non-Concessional Contributions

The Commissioner is required to assess the individuals excess non-concessional contributions and issue them with a NOA.  The Commissioner must also give to the taxpayer a release authority which the taxpayer provides to the superannuation provider requiring the provider to release an amount from the superannuation interest to pay the individual’s excess non-concessional contributions tax liability.

The Commissioner has the discretion to disregard or reallocate the non-concessional contributions to another income year. Discretion is only exercised where special circumstances exist.

TAXPAYER ALERT – PROPOSED AMENDEMNTS

An individual who elects to have the excess non-concessional contributions from superannuation will include the associate earnings in their assessable income to be taxed at the individuals marginal tax rates.  

 Please Note: Many of the comments in this publication are general in nature and anyone intending to apply the information to practical circumstances should seek professional advice to independently verify their interpretation and the information’s applicability to their particular circumstances.