As a consequence of the amendments to the indexation provisions proposed by the Tax Laws Amendment (2013 Measures No 2) Bill 2013, the following superannuation thresholds will be increased for 2013-14 to:
- Superannuation guarantee: maximum contribution base – $48,040 (up from $45,750 for 2012-13).
- Genuine redundancy and early retirement payments – tax-free amounts: base amount – $9,246 (up from $8,806 for 2012-13); service amount – $4,624 (up from $4,404 for 2012-13 for each whole year of service).
- Government co-contribution: lower income threshold – $33,516 (up from $31,920 for 2012-13); higher income threshold – $48,516 (up from $46,920 proposed for 2012-13).
These increased thresholds for 2013-14 will flow from the proposed amendments to the indexation provisions in s 960-275(1A) of the ITAA 1997 (and other super legislation) which will be updated to refer to the December AWOTE quarter (instead of the now redundant March AWOTE quarter, which is no longer published by the ABS). As such, the indexation factor for 2013-14 will be determined by dividing the December 2012 AWOTE quarter (1,396.00) by the December 2011 AWOTE quarter (1,333.10) which gives an indexation factor of 1.050. Note that the other superannuation thresholds for 2013-14, which are indexed to CPI were previously announced via the Tax Office document, Key superannuation rates and thresholds.
[LTN 103, 30/5/13]