Income Tax Assessment Act 1997

CHAPTER 3 - SPECIALIST LIABILITY RULES  

PART 3-30 - SUPERANNUATION  

Division 301 - Superannuation member benefits paid from complying plans etc.  

Subdivision 301-F - Veterans ' superannuation (invalidity pension) tax offset  

SECTION 301-275   Veterans ' superannuation (invalidity pension) tax offset  

301-275(1)    
You are entitled to a *tax offset for an income year if:

(a)    you are an individual; and

(b)    during the income year, you receive one or more *superannuation lump sums that are payments of:

(i) invalidity pay within the meaning of the Defence Force Retirement and Death Benefits Act 1973 ; or

(ii) an invalidity pension under the superannuation scheme established under the Military Superannuation and Benefits Act 1991 ; or

(iii) a pension mentioned in a paragraph of subsection 307-70.02(1A) of the Income Tax Assessment (1997 Act) Regulations 2021 .

301-275(2)    
The amount of your *tax offset is worked out as follows:

(a)    first, work out the amount by which your basic income tax liability exceeds the total of the amount of your tax offsets (if any) for the income year under:

(i) this Division (other than this Subdivision); and

(ii) Subdivision AB of Division 17 of Part III of the Income Tax Assessment Act 1936 ;

(b)    next, work out the total of:

(i) the amount worked out under paragraph (a) ; and

(ii) the amounts (if any) of *Medicare levy and *Medicare levy (fringe benefits) surcharge you are liable to pay for the income year;

(c)    next, work out the total of:

(i) the amount worked out under paragraph (a) ; and

(ii) the amounts (if any) of Medicare levy and Medicare levy (fringe benefits) surcharge you are liable to pay for the income year;

on the assumptions mentioned in subsection (3) ;

(d)    next, work out the amount (if any) by which the total worked out under paragraph (b) exceeds the total worked out under paragraph (c) .

301-275(3)    
For the purposes of paragraph (2)(c) , the assumptions are that:

(a)    each *superannuation lump sum mentioned in paragraph (1)(b) were a *superannuation income stream benefit; and

(b)    for the purposes of section 307-125 (proportioning rule), the invalidity pay, invalidity pension or pension mentioned in paragraph (1)(b) of this section were a *superannuation income stream.