02 9683 5999From 1 July 2012 there is a one off opportunity for individuals to gain a refund of excess concessional superannuation contributions if the breach is a first time offence and the amount is less than $10,000. If an individual is eligible for a refund, they will be contacted by the ATO with a letter which will detail the available options.
Each individual can only ever receive one offer of a refund and once a decision is made to receive a refund or decline a refund, this decision cannot be reversed. This once off opportunity will allow members who have made an honest mistake an opportunity to avoid an additional 31.5% tax on the contribution. If the refund option is chosen by an individual, the amount of excess contributions will be added to the individual’s assessable income and taxed at marginal rates, less a 15% rebate for tax paid within the super fund.
