Rising wages, growing superannuation contributions and soaring asset prices are set to push the income plus concessional contributions of more Australians above $250,000 in fiscal 2024, meaning many will pay an additional tax for the first time.
Division 293 tax applies to concessional super contributions made over a tax year when an individual earns more than $250,000 in total assessable income plus concessional contributions. It’s an additional 15 per cent levy on concessional contributions over the $250,000 threshold to take total tax on superannuation contributions to 30 per cent.