Spouse super contribution tax offset

You may be able to claim an 18% tax offset on super contributions of up to $3,000 you make on behalf of your non-working or low-income-earning spouse to a:

  • Complying super fund
  • Retirement savings account (RSA).

Contributions you make on behalf of your eligible spouse into your spouse’s super are treated as ‘non-concessional contributions’. There is no limit on the amount of money that you can invest in your spouse’s super account; however, they are subject to the non-concessional contributions cap.

Conditions

A taxpayer is eligible to claim a maximum tax offset of up to $540 each financial year for eligible spouse contributions if the following conditions are satisfied:

  • Both you and your spouse were Australian residents when the contributions were made.
  • The sum of your spouse’s assessable income, including total reportable fringe benefits amounts and reportable employer super contributions (RESC) for the financial year, was less than $13,800.
  • You did not claim a tax deduction for the contributions.
  • At the time of making the contributions you and your spouse were not living separately and apart on a permanent basis.
  • The contribution was made to a super fund which was a complying fund in the income year in which you made the contribution.
  • The gainful employment status of the contributor is not relevant.
  • Eligible spouse contributions may not be made for a recipient spouse who is age 70 or over.
  • If the recipient spouse is:
    • under age 65, then his/her gainful employment status is not relevant
    • aged at least 65 but under 70, then the contribution must be made at a time that the recipient spouse meets the work test.

RELIANCE AUDITING SERVICES

Reliance Auditing Services is a specialist independent auditing services firm providing quality audits to SMSFs, companies, not-for-profits and AFS licensees all over Australia. Reliance Auditing places a huge emphasis on educating our clients to ensure they fulfil their reporting obligations.Call: 1300 291 060 or email info@relianceauditing.com.au.

DISCLAIMER: This information is an interpretation of rules, regulations and standards. It should not be considered as general or specific advice and neither purports, nor is intended to be advice on any particular matter. No responsibility can be accepted for those who act on the contents of this publication without first obtaining specific advice. Liability limited by a scheme approved under Professional Standards Legislation.