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This Digest was prepared for debate. It reflects the legislation as
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CONTENTS
Superannuation Contributions Tax (Members of
Constitutionally Protected Superannuation Funds) Imposition Bill
1997
Date Introduced: 2 October 1997
House: House of Representatives
Portfolio: Treasury
Commencement: Royal Assent
To impose the superannuation contributions tax and declare the
rate of superannuation contributions surcharge on members of
constitutionally protected superannuation funds.
The reader is referred to the Digest for the Superannuation
Contributions Tax (Members of Constitutionally Protected
Superannuation Funds) Assessment and Collection Bill 1997.
This Bills has effect from 20 August 1996.
Clause 4 imposes a superannuation contributions
surcharge on a member's surchargeable contributions for a financial
year.
Clause 5 deals with the rate of superannuation
contributions surcharge. The surcharge would be imposed at the rate
of 0.001% for each $1 of annual income in excess of $70,000 with a
maximum of 15% achieved when taxable income and superannuation
contributions reach $85,000.
This clause also provides for the situation where a member has
not quoted their tax file number (TFN) and the Commissioner of
Taxation has taken reasonable steps to find out the TFN including
writing to the member and advising that failure to quote his or her
TFN may result in the surcharge applying at the rate of 15%.After
this situation has occurred then the rate of surcharge will be 15%
or zero depending upon the whether the member was/was not a member
of the fund by 7 May 1997 and the surchargeable contributions do/do
not exceed the surchargeable contributions threshold.
Clause 6 deals with the surchargeable
contributions threshold which is $2000 for the 1996-97 financial
year, and is subject to indexingin later years.
Clause 7 deals with indexation for 1997-98 and
following financial years, how the indexation factors are to be
calculated and requires the Commissioner to publish indexable
amounts.
John Harrison
24 October 1997
Bills Digest Service
Information and Research Services
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ISSN 1328-8091
© Commonwealth of Australia 1997
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Published by the Department of the Parliamentary Library,
1997.
This page was prepared by the Parliamentary Library,
Commonwealth of Australia
Last updated: 27 October 1997
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