Treasury has released draft legislation to enact the Government’s plan to increase the tax rate on earnings on superannuation balances
above $3m from 15% to 30% from 1 July 2025.
This is the final step before the legislation is introduced into Parliament and a step closer to reality. The draft legislation appears largely unchanged from the Government’s original announcement.
The proposed calculation aims to capture growth in total super balance (TSB) over the financial year allowing for
contributions (including insurance proceeds) and withdrawals. This method captures both realised and unrealised gains, enabling negative
earnings to be carried forward and offset against future years.
The ATO will perform the calculation for the tax on earnings. TSBs in excess of $3 million will be tested for the first time on 30 June 2026
with the first notice of assessment expected to be issued to those impacted in the 2026-27 financial year.
From a planning perspective, for those with superannuation balances close to or above $3m, it will be important to explore the implications
to your personal situation – there is no one size fits all strategy here and what is best for you will depend on your circumstances.
Superannuation, even with the increased tax, remains a tax efficient vehicle.
We provide strategic business and tax advisory, underpinned by our expertise in financial planning to ensure we develop financial structures that are smart and well considered.
Lunch & Learn Workshop // 4 September, 2026 - 12:00 - 1:30pm
$35pp includes lunch
Many business owners believe growth comes from more sales. But in reality, the strongest and most profitable
businesses grow by improving how the business works, not just by selling more. This session is designed to change that. The
5-Critical Financial Metrics
is a practical workshop that shows you where small, targeted changes can create disproportionately big improvements in profit, cashflow and
sustainability.
Lunch & Learn Workshop // 26 June, 2026 - 12:00 - 1:30pm
$35pp includes lunch
This session is designed to change that. Pricing, Profit &
Your Ideal Client
is a practical workshop that helps you understand where your
profit really comes from,
how pricing decisions affect margins, and why working with clients that align with your business makes a measurable difference to both
profit and cashflow.
AI-Enhanced Automation for Accounting and Finance Professionals: Leveraging RPA, VBA, ChatGPT, and Copilot for Innovation and
Productivity.
Join SkyBots’ 2-day Workshop in MELBOURNE with automation expert Daryl Aw to revolutionise your workflow using Power
Automate, UiPath, VBA,
and cutting-edge
Agentic AI. Tailored for accounting and finance professionals, bookkeepers and small business owners,
this hands-on training will teach you to automate repetitive tasks, generate and optimise VBA scripts, and deploy robust automation
solutions independently.
On 31 March, the Fringe Benefits Tax (FBT) year ends. With the ever increasing budget deficits, the ATO will be reviewing whether all employers who should be paying FBT are, and that they are paying the right amount. Who needs to lodge a FBT return? Find out here.
