Last night, the Treasurer handed down the 2012-13 Federal
Budget. There were few surprises as regards superannuation, with
all but a couple of the measures already announced in the lead-up
to Budget night. Unfortunately, however, continual
'tinkering' with the rules will inevitably further affect
confidence in the superannuation system, and older taxpayers in
particular may well feel disheartened as their contribution
opportunities are cut back.
Contributions tax increased for very high income
earners
Consistent with pre-budget indications, the Federal Government
(Government) has announced that "from 1 July 2012, individuals
with income greater than $300,000 will have the tax concession on
their contributions reduced from 30% to 15%". This presumably
means that their concessional contributions will be taxed at a rate
of 30%.
