Second tranche of Super Changes released

This tranche covers the pension transfer balance cap, concessional contribution changes and catch up concessional contributions.  Additionally, this tranche deals with the removal of anti-detriment payments and the removal of the earnings tax exemption for transition to retirement pensions.

The draft bill is the “Treasury Laws Amendment (Fair and Sustainable Superannuation) Bill 2016” and is about 85 pages long.  Also released are associated changes to the SIS, Tax and Corporations Regulations.

This issue of SUPERCentral News will focus on issues surrounding the pension transfer cap and the removal of the earnings tax exemption from transition to retirement pensions.  The next issue of SUPERCentral news will address what happens with reversionary and death benefit pensions and in the event of consolidating, cashing out, partially commuting or rolling out a pension.

Later issues of SUPERCentral News will consider deferred superannuation income streams and the concessional contributions changes.