Tax deductible super contributions

Discussion in 'Superannuation, SMSF & Personal Insurance' started by JohnPropChat, 21st Jul, 2017.

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  1. JohnPropChat

    JohnPropChat Well-Known Member

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    Didn't know where to post this. Asking for a family member.

    Can someone over the age of 65 who works part-time put an extra $20k(still sticking to the cap) into super just before the financial year and claim it as a tax deduction in July? With the 10% rule gone, I think this should work?

    The idea is take some or all of that money back as a lump-sum in July. Similar to salary sacrificing but the SGC from the employer won't be reduced because of it.
     
    JohnPropChat, 21st Jul, 2017
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  2. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    It would depend on their cap and their taxable income for the year.

    If they contribute during the year they would claim the tax deduction in the same financial year as the contribution IF relevant laws are complied with....Its not automatically tax deductible of course.
     
    Paul@PAS, 21st Jul, 2017
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  3. Ross Forrester

    Ross Forrester Well-Known Member

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    Should work. A few hurdles to check and monitor but the guts of your thinking is about right.

    If they contribute in June it is deductible in June.
     
    Ross Forrester, 21st Jul, 2017
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