Australian Superannuation Changes Confirmed
The Australian Government has now finalised some of the changes introduced in the May 2016 Australian budget. These include the following:
– The work test will remain for over 65s in order to make non-concessional contributions into Australian superannuation;
– The non-concessional contribution limit to be reduced from $180k per annum ($540k rolled up over 3 years) back to $100k/$300k from 1 July 2017;
– Australian superannuation in a tax free phase to be capped at A$1.6m, with an option for any excess above this being moved into a taxable accumulation account.
The impact of these changes will have a bearing on transfers of pensions from the UK or QROPS to Australia and extra careful planning is now required in order to ensure that you are not adversely impacted by taxation from the UK and Australian ends.
Please contact us to discuss further.