How to elect to be non-deductible (or revoke election)

Who can make this election

If you are a super fund and have one or more members with a defined benefit interest, you can elect to either:

1. Make your whole fund non-deductible. This means all personal contributions made to your fund would be non-deductible to the member or members. For example, a super fund that only has a single defined benefit account may elect to be non-deductible so all member contributions are treated as non-deductible.
2. Make the personal contributions to one or more of the products with your fund non-deductible. This means any personal contributions made to that particular product are non-deductible to the member or members who made them. For example, a super fund that comprises an accumulation account and a defined benefit account may wish to make an election so that only contributions made to the defined benefit interest are treated as non-deductible.
3. Revoke a previous election to be non-deductible.

When to make or revoke your election

You must make your election, or revoke a previous election, before the start of the income year that member contributions are made. For example, if you want your fund to be non-deductible for any member contributions made in the 2017–18 year, you must make the election before 1 July 2017.

How to make an election or revoke an election

You must notify us of your election or revocation to be non-deductible by lodging a request using the Super Enquiry Service.

What information do I need to provide

The information you must provide depends on the election type.

For all elections

You must provide the following information:

• Fund name
• Fund ABN
• First and last name of the person giving the election (must be an authorised contact)
• Position held
• Business hours phone number
• Date of election
• One of the following declarations:    
  • If the election is received via unencrypted email: I declare that the information in this email election is true and correct. I understand that the ATO does not control the path of inbound emails, so the privacy of information sent by unencrypted email cannot be guaranteed. I am aware of this risk if I choose to communicate with the ATO via email.
  • If the election is via Data Transfer File: I declare that the information given in this election is true and correct.  
   

You are electing to make whole fund non-deductible

You must provide the following information:

• A statement or indication that it is an election for the fund to be non-deductible. For example, I am electing to make ABC fund a non-deducible fund.
• The income year the election is to take effect from, for example, 2017–18 income year.

You are electing to make a product or products within the fund non-deductible

You must provide the following information:

• A statement or indication that it is an election for certain products or defined benefit interests within the fund to be non-deductible. For example, I am electing to make the product XYZ, USI 123456789, within the ABC fund, a non-deductible product.
• Name or names of each product.
• Unique Superannuation Identifier (USI) (if known) for each product (this is optional).
• The income year the election is to take effect from, for example, 2017–18 income year.

You are revoking a previous election to be non-deductible

You must provide the following information:

• A statement or indication that the fund is revoking a previous election. For example, I am revoking the election made on 8 May 2017 to make product XYZ, USI 123456789, a non-deductible product.
• Date of the original election.
• If you are revoking a previous election for one or more products:    
  • Name or names of each product
  • USI (if known) for each product (this is optional) 
   
• The income year the revocation is to take effect from, for example, 2017–18 income year.

We will let you know we received your election

Once we receive your election, we will check that it contains all the required information and has been lodged by an authorised contact.

If it is a valid election we will reply with an acknowledgment that we have received your election.

If the information in the election incomplete, incorrect or requires confirmation, we will contact you via email or telephone to obtain further information to finalise the election.

Super funds with a defined benefit interest can make an election or revoke an election to be non-deductible.