Tax deductions for super contributions can be processed online via Netwealth or by submitting the ATO "Notice of intent" form. This guide covers how to process a tax deduction through these two methods and what considerations should be made.
Tax deductions can be processed online or by completing a form.
- Online: To process the tax deduction online, log in to your Netwealth online account and navigate using the main menu to Transactions > Deposit & Contribute > Tax Deduction Claim. Complete the required information, including the financial year that you are claiming for (the current or previous year).
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If you are claiming a tax deduction on unused contributions from prior financial years:
To be eligible to claim on unused contributions, an individual’s total superannuation balance must not have exceeded $500,000 as at 30 June of the prior financial year, and the amount being claimed must fall within the individual’s unused concessional contribution cap.
For example, a client seeking to claim on unused contributions in the 2019/20 financial year must have had a total superannuation balance of less than $500,000 as at 30 June 2019.
To check your eligibility to claim on your unused contribution cap:- log into your MyGov account
- speak to a financial adviser or,
- seek personal taxation advice
- 'Notice of intent to claim a tax deduction for super contributions’ ATO form: This form can be submitted to claim a tax deduction on non-concessional contributions made in the previous or current financial year. This form can be found here. Once the form has been completed it can be emailed to us at contact@netwealth.com.au. This form may incur a $20 offline processing fee if the transaction could have been completed using the online tool.
You should consider any contributions (and tax deduction claims) you have made to other superannuation funds.
You should ensure that you have available cash within your Netwealth account to enable the deduction to be processed. If there is not enough available cash at the time you lodge your claim, we may allow your cash account to go negative if you have sufficient liquid assets available in your account. You should read the current product disclosure statement to understand the consequences. For example, you may be charged interest on the negative amount and we may sell some of your liquid assets to top up your cash account.
A tax deduction claim for $1,000.00 will incur a $150.00 contribution tax charge which will be debited from your Netwealth cash account.