Australian Super QROPS 2016/17

Pension Transfer to Australian Super QROPS | Australian QROPS Rules 2016/2017

Who Can Transfer a Pension to Australian Super QROPS?

  • You must between the age of 55 and 74; you cannot transfer to an Australian Super QROPS before age 55 or after age 75
  • Anyone who holds a British, Irish or Dutch pension scheme: British expats, Irish expats , Dutch expats and Australians with UK pensions resident in Australia can transfer their UK private pensions, SIPP, SSAS, defined contribution or defined benefit pensions (final salary pension schemes which are not “in payment”) to an Australian Super QROPS
  • You cannot transfer UK state pensions schemes of defined benefit schemes (final salary schemes) which are “in payment” to Australian Super QROPS
  • UK state pension schemes can be paid into an Australian bank account though
  • If you are under 55, you will need to leave your pension where it is or transfer out to an Isle of Man, Malta or New Zealand QROPS to get your pension out of the UK tax net. All these countries have a Double Taxation Agreement with Australia; the tax rules are complex, please email us for further information

Which Australian Superannuation Pension Scheme Can You Transfer a UK Pension into?

  • You can transfer a UK pension scheme into an Australian Super QROPS – an Australian SMSF which has attained HMRC’s ROPS / QROPS requirements only if you are over 55 years of age and under 75
  • Irish pension transfers are covered under chapter 13 of the Ireland-Australia Double Taxation Agreement; you can only transfer an Irish pension scheme to an Australian Super QROPS if you are working in Australia
  • Dutch pension transfers to Australian QROPS are allowed at the discretion of the Dutch Tax Authorities and you need a copy of your employment contract in Australia

Australian Super QROPS

Maximum Amount Which Can Be Transferred from a UK Pension Scheme to an Australian SMSF in 2016/2017

  • A maximum limit of A$540,000 (around 318,000 GBP dependent on exchange rates) can be transferred into an Australian SMSF QROPS
  • This pension cap is backdated to 1st July 2007 and must be completed before June 30th, 2017, so time is of the essence! After June 30th, you can only transfer $100,000 Australian dollars per year
  • Further contributions of $35,000 (over 50 and work test required) from 30th June 2016.

Age Restrictions for Australian Super QROPS

  • Currently, you need to be over age 55 to move your pension scheme and below age 75. If you are over 65, you also need to satisfy a work test. This means you need to be employed at least part-time for a minimum of 40 hours in a 30 day period in Australia. You can work part-time consulting, cleaning, babysitting, gardening, mowing the lawn, etc. but you need to get an Australian Tax File Number (TFN)
  • The good news though is from the 1st July 2017, Australians aged 65 year or over (and up to the age of 74) will be able to make super contributions without satisfying a work test. The work test is currently working 40 hours in a 30-day period in the financial year in which you plan to make the super contribution. Such individuals will also be able to receive contributions from their spouse under the contributions splitting rules (and presumably under the low-income spouse tax offset rules). You can read more here for the Australian work test rules

QROPS for Residents in Australia Under 55 Years of Age or over Age 75

  • You could move your UK pensions into a UK SIPP or a Malta QROPS or Isle of Man QROPS in Australian Dollars or GBP or other currency; NZ QROPS are usually held in GBP only
  • The only limit on the amount you can transfer into a Malta / NZ / IOM QROPS is the UK limit of 1m GBP for 2016/17
  • Both a UK SIPP and Malta QROPS are taxed in Australia at client’s highest marginal rate of income tax due to the Double Taxation Agreements in place between Britain/Malta and Australia, however:
  • A UK SIPP allows 25% as a tax-free lump withdrawal; a UK SIPP is taxed up to 45% on death after you reach 75 years of age
  • A Malta QROPS allows a 30% tax-free cash lump sum withdrawal; A Malta QROPS has zero tax on death at source; also you can use some Australian tax allowances to reduce the tax on your foreign QROPS
  • Whilst a Malta QROPS and a UK SIPP both allow for full flexi-access drawdown; further UK drawdowns or “Uncrystallised Funds Pension Lump Sums” would be taxed in the UK* whereas any benefits taken from Malta would only be taxed in Australia.
    *This is the result of adding sections 636A(1A) and (1B) of the Income Tax (Earnings and Pensions) Act 2003 (which contains the 25% tax free – 75% taxable provisions) to the “member payment provisions” in Schedule 34 of the Finance Act 2004.

australia qrops 2016

Timing of Your UK Pension Transfer to an Australian Super QROPS, Australian Residency and Tax

  • If you transfer a UK pension scheme to an Australian SMSF Super QROPS within six months of residency, there is no extra tax on lump sums transferred in
  • Tax will be payable on any increase in value of the lump sum transferred-in since the start of Australian tax residency if the transfer is after the 6 month window
  • In other words, if you have been a resident in Australia for over six months, you will need to pay tax on any capital gains of your UK pension pot. This is because Australian Supers are taxed at 15% on any gains made. In Australia this is paid by the Australian Supers, but you would need to pay a tax to the ATO. The modern approach of the ATO (based on ATO ID 2015/7) is that only the exchange rate at the time of receipt [of your UK pension transfer] is to be used in calculations.
  • Who pays the Australian tax arising on the increase in value of your pension pot since attaining Australian residency? You can pay the tax at your marginal rate of tax or you can elect in writing on form NAT 11724 to have the fund pay the whole or a proportion of it at 15%. It is best to liaise with the Australian Taxation Office (ATO) at +61 2 6216 1111 if you are overseas or 13 10 20 if you are in Australia.

Australian Super QROPS 2016/17 Summary

As you can see, there are many factors you need to take into consideration when thinking of transferring a pension to an Australian Super QROPS

  • Age of member
  • Health of member
  • Whether you need flexible drawdown
  • Tax considerations
  • Currency considerations
  • Final retirement destination in old age
  • Residency / visa considerations
  • Investment Considerations
  • Any guarantees and protections you may be giving up during a transfer
  • Inheritance / estate planning considerations
  • Death benefit considerations

QROPS Compliant Super Funds

Australian Super QROPS which are Australian SMSF’s which must carve out rules, so that benefits cannot be taken before age 55 and you cannot transfer from a UK pensions scheme into a Australian QROPS compliant SMSF until you reach age 55.

List of QROPS Compliant Super Funds

The list below are Australian Super funds which have applied for HMRC QROPS / ROPS compliance. However, it doesn’t mean they achieve those standards. Please contact a QROPS specialist to make sure you are being transferred to the correct QROPS compliant super fund.

 

A & P Tedder Super Fund Australian Super QROPS
A Bedford Superannuation Fund Australia Super QROPS
AC & SD Rawnsley SMSF Australia Super QROPS
AER (Plus 55) Super Fund Australia Super QROPS
AFT Superannuation Fund Australia Super QROPS
AKMD Superannuation Fund Australia Super QROPS
Amblin Superfund Australia Super QROPS
Andrew Barton Superannuation Fund Australia Super QROPS
Anjala Super Fund Australia Super QROPS
APPP over 55 Super Fund Australia Super QROPS
ARTAYLOR Superfund Australia Super QROPS
ASR UKPension Superfund Australia Super QROPS
Australian Defence Force Superannuation Scheme Australia Super QROPS
Australind Superannuation Fund Australia Super QROPS
Axela Super Fund Australia Super QROPS
B & N Greer Super Fund Australia Super QROPS
Bailey Super Fund Australia Super QROPS
Bakersinaus Superannuation Fund Australia Super QROPS
Barker Gold Coast Super Fund Australia Super QROPS
Barnwell Superannuation Fund Australia Super QROPS
Bastian-Lee Super Fund Australia Super QROPS
Baxter Superannuation Fund Australia Super QROPS
Bazncaz Superannuation Fund Australia Super QROPS
Bell Heather Super Fund Australia Super QROPS
Ben & Ollie Superannuation Fund Australia Super QROPS
Beverley Family Superannuation Fund Australia Super QROPS
Bigboi Superannuation Fund Australia Super QROPS
Biggs Cook Superannuation Fund Australia Super QROPS
Bixie Retirement Fund Australia Super QROPS
Boehm Superannuation Fund Australia Super QROPS
Boogie Bear Superannuation Fund Australia Super QROPS
Boucker Superannuation Fund Australia Super QROPS
Breakey Family Super Australia Super QROPS
Brennan RSF Australia Super QROPS
Bridge Over Troubled Waters Retirement Fund Australia Super QROPS
Broadie Bonus Superannuation Fund Australia Super QROPS
Brookfield Super Fund Australia Super QROPS
Brown Superannuation Fund Australia Super QROPS
Burge SMSF Pty Ltd ATF Burge Superannuation Fund Australia Super QROPS
Burr Superannuation Fund Australia Super QROPS
C & C Purchase Superannuation Fund Australia Super QROPS
C & L Gifford Superannuation Fund Australia Super QROPS
C & M Rowlands (Vic) Super Fund Australia Super QROPS
C.P. Eapen Superannuation Fund Australia Super QROPS
Calibre Superannuation Fund Australia Super QROPS
Callar Super Fund No1 Australia Super QROPS
Calnan Super Fund Australia Super QROPS
Cardwell 55 Plus Super Fund Australia Super QROPS
Caroline Luke Superannuation Fund AustraliaSuper QROPS
Carson SMSF Pension Fund Australia Super QROPS
Caskie Family Super Fund Australia Super QROPS
CatrionaPallett Superannuation Fund Australia Super QROPS
Cayford Family Superannuation Fund Australia Super QROPS
Cheers Barclays Superannuation Fund Australia Super QROPS
Chesapeake Super Fund Australia Super QROPS
Cheverall Pty Ltd ATF the Cheverall Superannuation Fund Australia Super QROPS
Clarke Davies Super Fund Australia Super QROPS
Clarke Family Super Fund Australia Super QROPS
Cliff Forde 55plus Superannuation Fund Australia Super QROPS
CLQ Superannuation Fund Australia Super QROPS
Cohen ROPS Super Fund Australia Super QROPS
Colleer and Mclaren Superannuation Fund Australia Super QROPS
Commonwealth Superannuation Scheme (CSS) Australia Super QROPS
Conrad J Soutart Superannuation Fund Australia Super QROPS
Courtney & Phadke Superannuation Fund Australia Super QROPS
Coyne Supperannuation Fund Australia Super QROPS
CP Hoy Superannuation Fund Australia Super QROPS
CP Lockwood Super Fund Australia Super QROPS
Crossland Over 55 Super Fund Australia Super QROPS
CS & JM Baxter (QLD) Super Fund Australia Super QROPS
Cundale Super Fund Australia Super QROPS
D Hodson Superannuation Fund Australia Super QROPS
Dane Super Fund Australia Super QROPS
David Tudor Evans Super Fund Australia Super QROPS
Davies Super Fund Australia Super QROPS
DB65 Superfund Australia Super QROPS
Dean Gale Super Fund Australia Super QROPS
Deeny Superannuation Fund Australia Super QROPS
Desiree Superfund Australia Super QROPS
Devonport Super Fund Australia Super QROPS
DJ & J Heeley Over 55 Super Fund Australia Super QROPS
DJB Super Fund Australia Super QROPS
DMWSF Superannuation Fund Australia Super QROPS
Doumani Family Superannuation Fund Australia Super QROPS
Downes Family Super Fund Australia Super QROPS
DP & LJ Rees Superfund Australia Super QROPS
Duggan Thomas Superannuation Fund Australia Super QROPS
Duma Superannuation Fund Australia Super QROPS
Edlynros SMSF Australia Super QROPS
EE Super Fund Australia Super QROPS
Eels Riley Fund Australia Super QROPS
Ellerbrook Super Fund Australia Super QROPS
Elliot Family Super Fund (Over 55) Australia Super QROPS
Emilia Super Fund Australia Super QROPS
England Superannuation Fund Australia Super QROPS
Evernew Superannuation Fund Australia Super QROPS
Ewing Family Superannuation Fund Australia Super QROPS
F Goldstein Super Fund Australia Super QROPS
Final Curve Self Managed Superannuation Fund Australia Super QROPS
Finch Over 55’s Superannuation Australia Super QROPS
Frejya Superannuation Fund Australia Super QROPS
Fulmar Fund Australia Super QROPS
G Collier (55 plus) Super Fund Australia Super QROPS
G D Kewley Super Fund Australia Super QROPS
G.Graham Super Fund Australia Super QROPS
Gaskell over 55 smsf Australia Super QROPS
Gemmstead Superannuation Fund Australia Super QROPS
GHC4 Superfund Australia Super QROPS
Gilkes-Cox Super Australia Super QROPS
Gilsenan Superannuation Fund Australia Super QROPS
Glendinning Family Super Fund Australia Super QROPS
Glenmaddie Superannuation Fund Australia Super QROPS
Godley Family Super Fund Australia Super QROPS
Goldsack Superannuation Fund Australia Super QROPS
Gooding 2016 SMSF Australia Super QROPS
Goodwin Super Fund Australia Super QROPS
Gordon T Low Superannuation Fund Australia Super QROPS
Gorgeon Super Fund Australia Super QROPS
Gould Family Superannuation Fund Australia Super QROPS
Grant Leith Super Fund Australia Super QROPS
Green & 55 Super Fund Australia Super QROPS
Green 55 plus Superannuation Fund Australia Super QROPS
Groom Family Super Fund Australia Super QROPS
H McIvor Superannuation Fund Australia Super QROPS
Hall Saxby Age 55 Plus Superfund Australia Super QROPS
Harvey Smith Family Super Fund Australia Super QROPS
Heanor Super Fund Australia Super QROPS
Hedge Super Fund Australia Super QROPS
Hermisuper Pension Fund Australia Super QROPS
Ho & Tanaka Over 55 Superfund Australia Super QROPS
Houghtons Super Fund Australia Super QROPS
Hunt976 Super Fund Australia Super QROPS
HZD Superannuation Fund Australia Super QROPS
Ian & Sheila Sinclair Super Fund Australia Super QROPS
Ian Heap SMSF Australia Super QROPS
I Michie Superannuation Fund Australia Super QROPS
Ingleside Investments Superannuation Fund Australia Super QROPS
Intrepid Superannuation Fund Australia Super QROPS
Irvine-Brown Superannuation Fund Australia Super QROPS
J & G Davies Superannuation Fund Australia Super QROPS
J & N Bradshaw Superannuation Fund Australia Super QROPS
J & V Jamieson SMSF Pty Ltd ATF Jamieson Super Fund Australia Super QROPS
J Brand Super Fund Australia Super QROPS
J Jurewicz Superannuation Australia Super QROPS
JA & SM Cannon Pty Ltd as Trustee for Cannons Super Fund Australia Super QROPS
Jacobson Family Superannuation Fund Australia Super QROPS
Jane Raymond Superannuation Fund Australia Super QROPS
Jaques Family SMSF Australia Super QROPS
Jay Gee Superannuation Fund Australia Super QROPS
JBlack55 Super Fund Australia Super QROPS
JD Martinez Age 55 Plus Super Fund Australia Super QROPS
JDavies55 Australia Super QROPS
Jenkins McGrath Super Fund Australia Super QROPS
JGG (No1) Superfund Australia Super QROPS
JISE Super Fund Australia Super QROPS
JLSAGLYNN 55 SMSF Australia Super QROPS
JM & G Lunn Superannuation Fund Australia Super QROPS
JM Pflaum Super Fund Australia Super QROPS
John McNally (55 plus) Super Fund Australia Super QROPS
Johnston Family Super Fund Australia Super QROPS
Johnstone Davies Super Fund Australia Super QROPS
Jones Superannuation Fund Australia Super QROPS
Jovcic (Plus 55) Super Fund Australia Super QROPS
JRB Leventhorpe Family Super Fund Australia Super QROPS
Juliet Ashworth Superannuation Fund Australia Super QROPS
Kafue Superannuation Fund Australia Super QROPS
KCWilliams Plus 55 Super Fund Australia Super QROPS
Keenan Family Superannuation Fund Australia Super QROPS
Kelly Superannuation Fund Australia Super QROPS
Killcare 55 Super Fund Australia Super QROPS
Killen Family Superannuation Fund Australia Super QROPS
King Superannuation Fund Australia Super QROPS
KSAK PTY Ltd ATF KK Pension Fund Australia Super QROPS
LDH Over-55 Super Fund Australia Super QROPS
Leiper (Plus 55) Super Fund Australia Super QROPS
Lemon Street Superannuation Fund Australia Super QROPS
Lennon Fraser Age 55 Superannuation Fund Australia Super QROPS
Lette 55 Super Fund Australia Super QROPS
Local Government Superannuation Scheme Australia Super QROPS
LockRichard55 Superfund Australia Super QROPS
Locke Sinclair Retirement Fund Australia Super QROPS
Lorigan Superannuation Fund Australia Super QROPS
M&J 55 Superannuation Fund Australia Super QROPS
M and M Belcher Super Fund Australia Super QROPS
Mack-Heaven Superannuation Fund Australia Super QROPS
Maeva 2 Investments Superannuation Fund Australia Super QROPS
MAGNGA Superannuation Fund Australia Super QROPS
Malkin Family Superannuation Fund Australia Super QROPS
Marbecca Super Fund Australia Super QROPS
Mark Case Pension Australia Super QROPS
Mark Russell Super Fund Australia Super QROPS
Mayers Family Superannuation Fund Australia Super QROPS
MC Preston Super Fund Australia Super QROPS
McAteer 55 Plus Superannuation Fund Australia Super QROPS
McCarroll Super Fund Australia Super QROPS
McConnell Family Fund Australia Super QROPS
McConochie Family Superannuation Fund Australia Super QROPS
McCormack Over 55 SMSF Australia Super QROPS
MCD – SMSF Australia Super QROPS
McIntyre Family Super Fund Australia Super QROPS
Mclauchlan 55 Superannuation Fund Australia Super QROPS
McNee Family Super Fund Australia Super QROPS
McQuarrie-Dunn Superfund Australia Super QROPS
Michael Russell Thornham Superannuation Fund Australia Super QROPS
Middlesex Superannuation Fund Australia Super QROPS
Miles Superannuation Fund Australia Super QROPS
Military Superannuation and Benefits Scheme Australia Super QROPS
MJC2015 Over 55 Super Fund Australia Super QROPS
Moller & Hughes Superannuation Fund Australia Super QROPS
Money Penney Superannuation Fund Australia Super QROPS
Murrandy Superannuation Fund Australia Super QROPS
Muxlow Retire Tasmania Superannuation Fund Australia Super QROPS
N & C Pigott Superannuation Fund Australia Super QROPS
N Saunders Over 55 Superfund Australia Super QROPS
NCDA Super Fund Australia Super QROPS
Neil Anderson Superannuation Fund Australia Super QROPS
Neil Dickson 55 Plus Superannuation Fund Australia Super QROPS
Nichols Superannuation Fund Australia Super QROPS
Nochar Retirement Fund Australia Super QROPS
Noon Superannuation Fund Australia Super QROPS
NP Aged 55 SMSF Australia Super QROPS
NP JP O’Brien Super Fund Australia Super QROPS
Oakley Superfund Australia Super QROPS
Occasions Pty Ltd ATF the Valli Superannuation Fund Australia Super QROPS
Ollis Super Fund Australia  Super QROPS
One Nil Superannuation Fund Australia Super QROPS
Owen (Age plus 55) Super Fund Australia Super QROPS
P & J Sweeney Super Fund Australia Super QROPS
P Wyns Age 55 Super Fund (SMSF) Australia Super QROPS
P.Brewer Superannuation Fund Australia Super QROPS
Park View Pension Superfund Australia Super QROPS
PB 55 Super Fund Australia Super QROPS
PD & JW Superannuation Fund Australia Super QROPS
Peter Adrian Usher Superannuation Fund Australia Super QROPS
Peter J Douglas Super Fund Australia Super QROPS
Phil & Marion Bryant Superfund Australia Super QROPS
Phipps Super Fund Australia Super QROPS
Pickford (55 plus) Super Fund Australia Super QROPS
Probuck Super Fund Australia Super QROPS
Pruhonice Super Australia Super QROPS
Public Sector Superannuation Accumulation Plan Australia Super QROPS
Public Sector Superannuation Scheme Australia
Puppy Superannuation Fund Australia Super QROPS
R & C Pain Over 55 SMSF Australia Super QROPS
R & L Superannuation Fund Australia Super QROPS
R L Michael & T F Michael Family Superannuation Fund Australia Super QROPS
Ras Retirement Fund Australia Super QROPS
Rayner Lawton Super Fund Australia Super QROPS
RBC Superannuation Fund Australia Super QROPS
RBCT Superannuation Fund Australia Super QROPS
Reddy Superannuation Fund Australia Super QROPS
Regane Superannuation Fund Australia Super QROPS
Renn Super Fund Australia Super QROPS
Renukas Woofie Super Fund Australia Super QROPS
Richard Fuller Over 55 SMSF Australia Super QROPS
Richard Weston Superannuation Fund Australia Super QROPS
RL Drake Superannuation Fund Australia Super QROPS
Rob Young Over 55 SMSF Australia Super QROPS
Robert Ian Kershaw Superannuation Fund Australia Super QROPS
Rogers Superannuation Fund Australia Super QROPS
Rolan Goli-Molnar Superannuation Fund Australia Super QROPS
Rosser L Personal Pension Scheme Australia Super QROPS
Rossy Superfund Australia Super QROPS
Rowley Superannuation Fund Australia Super QROPS
Roy Family Retirement Fund Australia Super QROPS
Ryan Trust Lifetime Super Fund Australia Super QROPS
Rycroft Superannuation Fund Australia Super QROPS
RZ Beaver Super Fund Australia Super QROPS
S & J Thomas Superannuation Fund Australia Super QROPS
S & M McLuckie Super Fund Australia Super QROPS
S & T Clarkson’s Super Fund Australia Super QROPS
S Windram Super Fund Australia Super QROPS
Scholey Superannuation Fund Australia Super QROPS
Sheldon Superannuation Fund Australia Super QROPS
SJS Super Fund Australia Super QROPS
Skeoch Over 55’s Superannuation Fund Australia Super QROPS
SLALE Pullen Superannuation Fund Australia Super QROPS
Slickenside Super Australia Super QROPS
Smith Retirement SMSF Australia Super QROPS
Smithson Family Superannuation Fund Australia Super QROPS
South Beach Superannuation Fund Australia Super QROPS
Spychal Family Super Fund Australia Super QROPS
Stephen Charles Farley & Lynn Teresa Farley ATF Farley Superannuation Fund Australia Super QROPS
Steve & Sue Balme Super Fund Australia Super QROPS
Stockport Super Fund Australia Super QROPS
Storrs Superannuation Fund Australia Super QROPS
Sue Daniels Superannuation Fund Australia Super QROPS
Super Devereaux Australia Super QROPS
SuperCrossey Fund Australia Super QROPS
Supernova Superannuation Fund Australia Super QROPS
Swift Superannuation Fund Australia Super QROPS
Synga Super Fund Australia Super QROPS
T & M Caulfield SMSF Pty ATF Caulfield Super Fund Australia Super QROPS
T and C Super Fund Australia Super QROPS
T Hibbert Superannuation Fund Australia Super QROPS
Tania Via Super Concepts 55 Plus Fund Australia Super QROPS
Tanunda Superannuation Fund Australia Super QROPS
Three Boabs Super Fund Australia Super QROPS
Tickner SMSF Australia Super QROPS
Tidswell Master Superannuation Plan Australia Super QROPS
TJB 55 plus Superannuation Fund Australia Super QROPS
TLCR Retirement Fund Australia Super QROPS
Tomkinson SMSF Pty Ltd ATF Tomkinson Superannuation Fund Australia Super QROPS
Tony Quinn Super Fund Australia Super QROPS
Tovey Over 55 Superannuation Fund Australia Super QROPS
Trustee for Sinnington Super Fund Australia Super QROPS
Turner Family Super Fund Australia Super QROPS
TYP 55 plus Superannuation Fund Australia Super QROPS
UNCLE Superfund Australia Super QROPS
Vic Sole Self-Managed Super Fund Australia Super QROPS
VT McDonald Super Fund Australia Super QROPS
Wasret Pty Ltd as trustee for Wasret Super Fund Australia Super QROPS
Watson Carroll Super Fund Australia Super QROPS
Welsh Family Super Fund Australia Super QROPS
Westwood 55 Plus Superannuation Fund Australia Super QROPS
Whalley SMSF Pty Ltd ATF Whalley Superannuation Fund Australia Super QROPS
Wight Retirement Fund Australia Super QROPS
Wildman Family Super Fund Australia Super QROPS
Willowend 55 plus Superannuation Fund Australia Super QROPS
Wilson Ingham Retirement Fund Australia Super QROPS
Yanda Number One Super Fund Australia Super QROPS
Yorkdale 1955 Super Fund Australia Super QROPS
Yorkdale 1961 Super Fund Australia Super QROPS
Zed Super Fund No. 2 Australia Super QROPS

Australian Income Tax Rates on Australian Super QROPS

Income tax rates for Residents in Australia for 2014/2015 year, 2015/2016 year (and 2016/2017 year)

Income Marginal Income Tax Rate Medicare Levy Tax Payable
$0-$18200 0% 0% Nil
$18201- $37000 19% 0%-2%* 19 cents for each $1 over $18200
$37001-$80000 32.5% 2%* $3572 plus 32.5 cents for each dollar over $37000
$80001-$180000 37% 2% $17547 plus 37 cents for each dollar over $80000
$180001 and above 47% 2% $54547 plus 47 cents for each dollar over $180000

There is zero income tax on an Australian Super QROPS which is an Australian SMSF which is QROPS compliant if you take your retirement benefits after the age of 60 years old.

You would pay Australian income tax on a foriegn QROPS such as a NZ, Malta or Isle of Man QROPS.

*In 2015-16 you do not have to pay the Medicare levy if your taxable income is equal to or less than $21,335 ($33,738 for seniors and pensioners).

You will pay only part of the Medicare levy if your taxable income is between $21,335 and $26,668 ($33,738 and $42,172 for seniors and pensioners).

More about the Medical Levy reduction and exemptions here.

Please contact us today to ask our financial experts a question. Each pension case is unique and a discussion is necessary to find the optimal solution.