Tax Laws Amendment (Simplified Superannuation) Act 2007 (9 of 2007)

Schedule 1   Main superannuation amendments

Part 2   Main consequential amendments

Income Tax Rates Act 1986

18   At the end of Part III

Add:

29 Rate of tax on no-TFN contributions income

(1) This section sets the rate of tax payable:

(a) by a trustee of a complying superannuation fund in respect of the no-TFN contributions income of the fund; and

(b) by a trustee of a non-complying superannuation fund in respect of the no-TFN contributions income of the fund; and

(c) by a company (other than a life insurance company) that is an RSA provider in respect of no-TFN contributions income.

(2) The rate of tax is worked out in the following way:

(a) first, work out the maximum rate specified in column 3 of the table in Part I of Schedule 7 to this Act that applies for the year of income;

(b) next, add 1.5%;

(c) next, subtract the rate of tax:

(i) for a trustee of a complying superannuation fund - set out in paragraph 26(1)(a); or

(ii) for a trustee of a non-complying superannuation fund - set out in subsection 26(2); or

(iii) for a company (other than a life insurance company) that is an RSA provider - set out in paragraph 23(4BA)(a).


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