Coyote is on a winner - Government applies Second Attempt to Excess Non-Concessional Contributions

Having successfully designed the Second Attempt, the Government announced in the May 2014 Budget that it would apply (in substance) the same solution to the problem of excess non-concessional contributions.

The Government has made good on its Budget promise and introduced the necessary legislation to solve the problem of excess non-concessional contributions: Tax and Superannuation Laws Amendment (2014 Measures No 7) Bill 2014.

The solution only applies to excess non-concessional contributions made on or after 1 July 2013.

For excess non-concessional contributions made in respect of previous financial years - the current system applies: ie check for reporting errors, request the Commissioner to exercise his discretion to disregard/re-allocate, blame someone else (and seek compensation from them) or bear the tax.