Treasury Laws Amendment (2023 Measures No. 3) Act 2023 (75 of 2023)

Schedule 4   Improving the flexibility of the First Home Super Saver Scheme

Income Tax Assessment Act 1997

7   After section 307-142

Insert:

307-143 Components of a superannuation benefit that is a repayment when an entitlement to a credit ceases for a release authority relating to an FHSS determination

Preliminary

(1) This section explains how to work out the *tax free component, and the *taxable component, of your *superannuation benefit that:

(a) is a repayment by the Commissioner under subsection 131-80(1) in Schedule 1 to the Taxation Administration Act 1953 of an amount (the released amount ) paid to the Commissioner in relation to you; or

(b) is a payment by the Commissioner under subsection 131-80(3) in Schedule 1 to the Taxation Administration Act 1953 of an equivalent amount to an amount (the released amount ) paid to the Commissioner in relation to you.

Tax free component

(2) The *tax free component of your *superannuation benefit is equal to the total amount that the released amount reduced the tax free components of your *superannuation interests.

Taxable component

(3) The *taxable component of your *superannuation benefit is equal to the total amount that the released amount reduced the taxable components of your *superannuation interests.