Tax

Tax on Rollovers

Tax on super

When you rollover an amount from another super fund you will normally not pay any lump sum tax. If your rollover has an untaxed component, it will be taxed at 15% at the time of receipt by Christian Super.


Tax on Investment Earnings

Investment earnings in the accumulation phase (where you are making contributions to your fund) are generally taxed at the rate of 15%. However, concessions are made for certain types of investments, franking credits and capital gains tax discount, and so the actual rate of tax paid within the fund is generally lower that 15%.

This tax is deduced before investment earnings or losses are declared. Investment earnings relating to pensions are tax-free.
Investment earnings in the pension phase (where you are making withdrawals from your fund) are generally tax free. Concessions such as franking credits can improve the return of your investment.

From 1st July 2014 pensions per individual earning over $100,000 p.a. will be taxed at 15%.


Tax on Payments – Age 60 and Over

If you are age 60 or over all payments from your superannuation account are totally tax free, whether paid to you as a lump sum or as a regular pension amount.


Tax on Payments – Age Under 60

If you are below age 60 your superannuation account will be made up of a tax-free component and a taxable component. These components will be calculated at the time of your benefit payment. You can contact the Member Care Centre to help you calculate the tax before you request a lump sum withdrawal.


Tax on Death Benefits

A lump sum death benefit paid to your financial dependant(s) will generally be tax-free.
If the benefit is paid to a financial non–dependent it will be taxed differently depending on the tax components and tax elements within your fund as shown in the table below.


Beneficiary Component Taxation
Death benefits dependant Tax-free Nil
Taxable (taxed) Nil
Taxable (untaxed) Nil
Non-death benefits dependant Tax-free Nil
Taxable (taxed) 15%
Taxable (taxed) 30%


*Plus Medicare Levy (1.5% during 2013/14 and 2% from 1st July 2014)


Tax on Disability Benefit Payments

No tax is payable on the tax-free component of your lump sum disability benefit. This amount will always be tax-free. The tax payable on a benefit depends on your age, and the taxed and untaxed elements of your benefit.


Your Age Tax Payable
60 or over

No tax is payable, unless your benefit has an untaxed element.
The untaxed element of your benefit will be taxed at 15% up to the untaxed plan cap amount*. Amounts over the cap will be taxed at the top marginal rate.

At or above your preservation age and under 60

No tax is payable up to the low rate cap amount**. Amounts over the cap will be taxed up to a maximum of 15%.
The untaxed element of your benefit will be taxed at 15% up to the low-rate cap amount. Amounts over the low-rate cap will be taxed at 30% up to the untaxed plan cap amount*. Amounts above the untaxed plan cap will be taxed at the top marginal rate.

Under your preservation age

The tax payable is capped at a maximum of 20% of your benefit.
The untaxed element of your benefit will be taxed at 30% up to the untaxed plan cap amount*. Amounts above the untaxed plan cap will be taxed at the top marginal rate.


*The untaxed plan cap is $1.255 million for 2012-13
**The low rate cap amount is $175,000 for 2012-13

A Medicare levy will also apply to these tax rates (1.5% during 2013/14 and 2% from 1st July 2014). Any tax payable on the benefit will be withheld by the fund.


Pension Payments

Prior to age 60, you will incur tax at your marginal rate plus Medicare levy on pension payments relating to the taxable component of your account each year. To reduce the tax we deduct, you can arrange for Christian Super to apply your tax free threshold to your pension payments we will send you the required tax form when you apply for a pension.

Where you have met preservation release requirements and are under age 60, you may be able to claim a 15% tax offset on the taxable component of your pension.

Shortly after 1st July each year, we will send you payment summary and other information to help you complete your annual tax return.


Lump Sum Payments

Any taxable component of a lump sum payment prior to age 60 will be subject to tax, at 15% plus Medicare, if it exceeds the tax-free threshold ($180,000 in 2013/14). A higher tax rate applies to payments prior to age 55.

For further information, please contact us, or read our Pensions Guide (Pensions PDS).

You may wish to seek financial advice to help you work out your tax situation.



Please note that the information contained on this website is a summary and general in nature. It does not take into account any personal objectives, financial situation or specific needs of individual members. We strongly recommend that you refer to our Product Disclosure Statement (PDS) and Tax Guide for the full terms and conditions, and obtain professional financial advice to determine the appropriateness of the information, taking into account your own personal circumstances.