Personal super contributions – claiming deductions

If you are intending to claim a deduction for personal super contributions you must lodge a deduction notice (using the approved form) with your fund before the earlier of:

• the day you lodge your tax return for the year in which the contribution was made; or

• the end of the financial year after the financial year in which the contribution was made.

Tips…

• A deduction for a personal super contribution cannot add to or create a tax loss.

• Where you roll over or withdraw part of your super benefit before a deduction notice has been lodged, the amount of the personal contribution that can be claimed as a deduction will be reduced. This is because part of the contribution is considered to be included in the rollover/withdrawal amount.

• Where you use a part or all of their super benefit to commence a pension, a deduction notice cannot be lodged after the pension commences for contributions made prior to the pension commencing.

• Be mindful of the concessional contribution cap ($27,500 for the 2023-24 financial year). Excess concessional contributions will be included in a client’s assessable income and taxed at marginal tax rates (less a 15% offset for tax paid by the super fund). You may elect to withdraw up to 85% of the excess contribution amount. If you do not withdraw this amount, the excess concessional contribution will count towards the non-concessional contribution cap.