· The tax on working holiday makers’ superannuation payments when they leave Australia is 65%, from 1 July 2017.
· The low income superannuation contribution scheme is abolished from 2017/18; a low income superannuation tax offset will be available for 2017/18 and later years.
· A $1.6m transfer balance cap applies to the total amount of accumulated superannuation an individual can transfer into the tax-free retirement phase from 1 July 2017; excess transfer balance tax is payable for exceeding the cap.
· The threshold at which high income earners are liable for Division 293 tax has been lowered from $300,000 to $250,000 from 1 July 2017.
· The annual cap on concessional contributions has been reduced to $25,000 from 1 July 2017 for all individuals regardless of their age.
· From 1 July 2017, the annual non-concessional contributions cap has been reduced to $100,000.
· From 1 July 2017, individuals with a superannuation balance of more than $1.6m are not eligible to make non- concessional contributions.
· From 1 July 2017, the 10% test to determine an individual’s eligibility for deductions for personal superannuation contributions has been removed; contributions to certain prescribed funds are not tax-deductible.
· From 1 July 2017, eligibility for the spouse contributions tax offset has been extended to individuals whose spouses earn up to $40,000.
· The tax exemption for income derived from assets has been changed to apply only to income streams in the retirement phase. Individuals can not treat superannuation income stream payments as lump sum superannuation benefits for tax purposes from 1 July 2017.
· The anti-detriment provision, which allows superannuation funds to claim a tax deduction for a portion of the death benefits paid to eligible dependants, has been removed from 1 July 2017.
· Transitional CGT relief applied for assets transfers in connection with changes to the tax treatment transition to retirement income streams and compliance with the superannuation transfer cap.
· From 1 July 2017, individual’s total superannuation balance concept is used to determine eligibility for various tax concessions