Treasury set to simplify deductions for contributions
Treasury is looking to simplify the rules around claiming deductions for super contributions and may introduce changes as early as next year, according to SuperConcepts.
SuperConcepts general manager, technical services and education Peter Burgess says while Treasury will not be making any changes to the current process for claiming deductions, they are looking to make changes to the rules next year.
As a result of the latest round of proposed super reforms, Mr Burgess said there will be a lot more super members claiming tax deductions for super contributions.
Under the current rules, super members have to make an election to the fund and say they have an intention to claim it as a tax deduction. They have to wait for the fund to acknowledge that request before they claim it, he said.
“We need a simpler set of rules because people are getting wrong under the current rules,” Mr Burgess said.
“Now the good news is that [Treasury] are looking at this and it is very likely that they will simplify the rules around people claiming tax deductions. We won’t see these changes made in this package of reforms, but it could be next year that we see changes made.”
Mr Burgess said the changes could come in before the broader superannuation reform measures that will in from 1 July 2017.
Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.
Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates.
Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.