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This is a Bill, not an Act. For current law, see the Acts databases.
2016-2017
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Treasury Laws Amendment (Reducing
Pressure on Housing Affordability
Measures No. 1) Bill 2017
No. , 2017
(Treasury)
A Bill for an Act to amend the law relating to
taxation, and for related purposes
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--First home super saver scheme
3
Part 1--Determinations and release authorities
3
Division 1--First home super saver determinations
3
Taxation Administration Act 1953
3
Division 2--Release authorities
9
Taxation Administration Act 1953
9
Part 2--Tax consequences of scheme
11
Income Tax Assessment Act 1997
11
Taxation Administration Act 1953
20
Part 3--Other amendments
22
Division 1--Definitions
22
Income Tax Assessment Act 1997
22
Division 2--Income tests
23
A New Tax System (Family Assistance) Act 1999
23
Child Support (Assessment) Act 1989
23
Higher Education Support Act 2003
23
Income Tax Assessment Act 1936
24
Income Tax Assessment Act 1997
24
Social Security Act 1991
24
Student Assistance Act 1973
25
Superannuation (Government Co-contribution for Low Income
Earners) Act 2003
25
Veterans' Entitlements Act 1986
25
Schedule 2--Contributing the proceeds of downsizing to
superannuation
26
Income Tax Assessment Act 1997
26
Taxation Administration Act 1953
30
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
1
A Bill for an Act to amend the law relating to
1
taxation, and for related purposes
2
The Parliament of Australia enacts:
3
1 Short title
4
This Act is the Treasury Laws Amendment (Reducing Pressure on
5
Housing Affordability Measures No. 1) Act 2017.
6
2 Commencement
7
(1) Each provision of this Act specified in column 1 of the table
8
commences, or is taken to have commenced, in accordance with
9
column 2 of the table. Any other statement in column 2 has effect
10
according to its terms.
11
12
2
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. Sections 1 to 3
and anything in
this Act not
elsewhere covered
by this table
The day this Act receives the Royal Assent.
2. Schedule 1
Immediately after the commencement of
Part 1 of Schedule 10 to the Treasury Laws
Amendment (Fair and Sustainable
Superannuation) Act 2016.
1 July 2018
3. Schedule 2
The first 1 January, 1 April, 1 July or
1 October to occur after the day this Act
receives the Royal Assent.
Note:
This table relates only to the provisions of this Act as originally
1
enacted. It will not be amended to deal with any later amendments of
2
this Act.
3
(2) Any information in column 3 of the table is not part of this Act.
4
Information may be inserted in this column, or information in it
5
may be edited, in any published version of this Act.
6
3 Schedules
7
Legislation that is specified in a Schedule to this Act is amended or
8
repealed as set out in the applicable items in the Schedule
9
concerned, and any other item in a Schedule to this Act has effect
10
according to its terms.
11
First home super saver scheme Schedule 1
Determinations and release authorities Part 1
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
3
Schedule 1--First home super saver scheme
1
Part 1--Determinations and release authorities
2
Division 1
--First home super saver determinations
3
Taxation Administration Act 1953
4
1 At the end of Part 3-20 in Schedule 1
5
Add:
6
Division 138--First home super saver scheme
7
Table of Subdivisions
8
Guide to Division 138
9
138-A First home super saver determination
10
138-B FHSS maximum release amount
11
Guide to Division 138
12
138-1 What this Division is about
13
If you have had voluntary contributions into superannuation, you
14
may be eligible to have those contributions and their associated
15
earnings released for the purposes of purchasing or constructing
16
your first home.
17
Schedule 1 First home super saver scheme
Part 1 Determinations and release authorities
4
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Subdivision 138-A--First home super saver determination
1
Guide to Subdivision 138-A
2
138-5 What this Subdivision is about
3
If you satisfy particular criteria, you may request that the
4
Commissioner make a determination stating your FHSS maximum
5
release amount and the components that make up that amount.
6
Table of sections
7
Operative provisions
8
138-10
First home super saver determination
9
138-15
Review
10
Operative provisions
11
138-10 First home super saver determination
12
(1) A first home super saver determination is a written determination
13
stating:
14
(a) your
*
FHSS maximum release amount; and
15
(b) the amount of each of the following components that make
16
up your FHSS maximum release amount:
17
(i) your
*
concessional contributions;
18
(ii) your
*
non-concessional contributions;
19
(iii) your associated earnings.
20
(2) You may request the Commissioner, in the
*
approved form, to
21
make a
*
first home super saver determination if:
22
(a) you have never held:
23
(i) a freehold interest in real property in Australia; or
24
(ii) a lease of land in Australia (including a renewal or
25
extension of such a lease) as described in
26
paragraph 104-115(1)(b) of the Income Tax Assessment
27
Act 1997; or
28
First home super saver scheme Schedule 1
Determinations and release authorities Part 1
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
5
(iii) a company title interest (within the meaning of Part X of
1
the Income Tax Assessment Act 1936) in land in
2
Australia; and
3
(b) you are 18 years or older; and
4
(c) you have not previously requested a release authority under
5
Division 131 in relation to a first home super saver
6
determination that has been made in relation to you.
7
(3) If you make a valid request under subsection (2), the
8
Commissioner must make a
*
first home super saver determination
9
in relation to you.
10
(4) The Commissioner may amend or revoke a
*
first home super saver
11
determination at any time before a release authority relating to the
12
determination is issued under Division 131.
13
(5) Notice of a determination given by the Commissioner under this
14
section is prima facie evidence of the matters stated in the notice.
15
138-15 Review
16
If you are dissatisfied with a
*
first home super saver determination
17
made in relation to you, you may object against the determination
18
in the manner set out in Part IVC.
19
Subdivision 138-B--FHSS maximum release amount
20
Guide to Subdivision 138-B
21
138-20 What this Subdivision is about
22
Your FHSS maximum release amount comprises your eligible
23
non-concessional contributions, 85% of your eligible concessional
24
contributions, and your associated earnings.
25
There are limits on the amount of contributions that may be
26
eligible for release.
27
Table of sections
28
Schedule 1 First home super saver scheme
Part 1 Determinations and release authorities
6
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Operative provisions
1
138-25
FHSS maximum release amount
2
138-30
FHSS releasable contributions amount
3
138-35
Eligible contributions
4
138-40
Associated earnings
5
Operative provisions
6
138-25 FHSS maximum release amount
7
Your FHSS maximum release amount is the sum of:
8
(a) your
*
FHSS releasable contributions amount worked out
9
under section 138-30; and
10
(b) your associated earnings worked out under section 138-40.
11
138-30 FHSS releasable contributions amount
12
(1) Your FHSS releasable contributions amount is the sum of the
13
following amounts for each
*
financial year that starts on 1 July
14
2017 or a later 1 July:
15
(a) your
*
FHSS eligible non-concessional contributions for the
16
financial year;
17
(b) 85% of your
*
FHSS eligible concessional contributions for
18
the financial year.
19
Order of counting contributions
20
(2) In determining which contributions are to be counted towards your
21
*
FHSS releasable contributions amount, contributions are to be
22
counted in the order in which they were made (from earliest to
23
latest).
24
(3) For subsection (2):
25
(a) if an
*
FHSS eligible concessional contribution, and an
*
FHSS
26
eligible non-concessional contribution, is made in respect of
27
you at the same time, the FHSS eligible non-concessional
28
contribution is taken to have been made first; and
29
(b) if, for a particular
*
financial year, you personally made both
30
*
FHSS eligible concessional contributions and
*
FHSS
31
eligible non-concessional contributions, the FHSS eligible
32
First home super saver scheme Schedule 1
Determinations and release authorities Part 1
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
7
non-concessional contributions are taken to have been made
1
first.
2
Example: For paragraph (b), in the 2018-2019 financial year, you made
3
voluntary contributions of $1,000 each fortnight, up to a total of
4
$25,000. At the end of the financial year, you claim a deduction for
5
$15,000 (leaving $10,000 of the contributions as non-concessional
6
contributions).
7
If all of the non-concessional contributions are eligible to be released
8
under section 138-35, the first 10 contributions made for the financial
9
year are taken to have been the non-concessional contributions, and
10
the later contributions are taken to be the concessional contributions.
11
138-35 Eligible contributions
12
Limits on amount of eligible contributions
13
(1) For the purposes of this Subdivision:
14
(a) the maximum amount of contributions that may be eligible to
15
be released is $30,000; and
16
(b) the maximum amount of contributions made in a particular
17
*
financial year that may be eligible to be released is $15,000.
18
Eligible contributions
19
(2) A
*
concessional contribution, or
*
non-concessional contribution,
20
for a
*
financial year is not eligible to be released unless it:
21
(a) is made in respect of you in the financial year; and
22
(b) is:
23
(i) an employer contribution that is not a mandated
24
employer contribution (within the meaning of Part 5 of
25
the Superannuation Industry (Supervision)
26
Regulations 1994); or
27
(ii) a member contribution (within the meaning of that Part)
28
that is made by you;
29
other than a contribution to the extent it is required to be
30
made because of a law of the Commonwealth or of a State or
31
Territory, or the rules of the relevant
*
superannuation fund;
32
and
33
(c) is not a contribution made in respect of a
*
defined benefit
34
interest; and
35
Schedule 1 First home super saver scheme
Part 1 Determinations and release authorities
8
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
(d) is not a contribution to a
*
constitutionally protected fund.
1
(3) If:
2
(a) you have
*
excess concessional contributions for a
*
financial
3
year (your excess amount); and
4
(b) your excess amount is greater than your
*
concessional
5
contributions for the financial year that are not eligible to be
6
released under subsection (2) (your non-eligible
7
contributions);
8
concessional contributions that are equal to the difference between
9
your excess amount and your non-eligible contributions are not
10
eligible to be released.
11
(4) If:
12
(a) you have
*
non-concessional contributions for the
*
financial
13
year that exceed your non-concessional contributions cap for
14
the financial year (your excess amount); and
15
(b) your excess amount is greater than your non-concessional
16
contributions for the financial year that are not eligible to be
17
released under subsection (2) (your non-eligible
18
contributions);
19
non-concessional contributions that are equal to the difference
20
between your excess amount and your non-eligible contributions
21
are not eligible to be released.
22
(5) For the purposes of this section, disregard paragraph 292-90(1)(b)
23
of the Income Tax Assessment Act 1997.
24
Note:
Under paragraph 292-90(1)(b) of the Income Tax Assessment Act
25
1997, your non-concessional contributions for a financial year would
26
include the amount of your excess concessional contributions (if any)
27
for the financial year.
28
138-40 Associated earnings
29
(1) You are taken to have associated earnings equal to the sum of the
30
amounts worked out under subsection (2) for each contribution
31
counted in your
*
FHSS releasable contributions amount.
32
(2) The amount for a contribution is equal to the sum (rounded down
33
to the nearest dollar) of the amounts worked out under the
34
First home super saver scheme Schedule 1
Determinations and release authorities Part 1
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
9
following formula for each of the days during the period mentioned
1
in subsection (3).
2
Amount of
Sum of earlier
Shortfall interest charge rate
contribution
daily proxy amounts




ï‚´





3
where:
4
amount of contribution means the amount of the contribution that
5
is counted in your
*
FHSS releasable contributions amount.
6
shortfall interest charge rate means the rate, worked out under
7
subsection 280-105(2), for the day.
8
sum of earlier daily proxy amounts means the sum of the amounts
9
worked out for the contribution under the formula for each of the
10
earlier days (if any) during the period for the contribution.
11
(3) The period starts:
12
(a) if the contribution is made in the
*
financial year starting on
13
1 July 2017--on 1 July 2017; and
14
(b) if the contribution is made in the financial year starting on
15
1 July 2018, or a later financial year--on the first day of the
16
month in which the contribution is made or taken to have
17
been made (see subsection 138-30(2));
18
and ends on the day the Commissioner makes the
*
first home super
19
saver determination for which the associated earnings are being
20
worked out.
21
Division 2
--Release authorities
22
Taxation Administration Act 1953
23
2 Section 131-1 in Schedule 1
24
Omit:
25
(b)
a notice of assessment of an amount of Division 293 tax.
26
substitute:
27
(b)
a notice of assessment of an amount of Division 293 tax;
28
or
29
Schedule 1 First home super saver scheme
Part 1 Determinations and release authorities
10
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
(c)
a first home super saver determination.
1
3 At the end of subsection 131-5(1) in Schedule 1
2
Add:
3
; (d) a
*
first home super saver determination.
4
4 Paragraph 131-10(1)(a) in Schedule 1
5
Omit "item 1 or 3", substitute "item 1, 3 or 4".
6
5 Subsection 131-10(1) in Schedule 1 (at the end of the table)
7
Add:
8
4
a
*
first home super saver
determination
the
*
FHSS maximum release amount
stated in that determination
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
11
Part 2--Tax consequences of scheme
1
Income Tax Assessment Act 1997
2
6 Section 10-
5 (table item headed "superannuation")
3
After:
4
excess concessional contributions ..................................... 291-15(a)
insert:
5
first home super saver scheme .......................................... 313-20
7 Section 12-
5 (table item headed "superannuation--
6
deductibility of contributions")
7
After:
8
contributions to non-complying funds .............................. sections 290-10 and
290-75
insert:
9
first home super saver scheme re-contribution .................. section 290-168
8 Section 13-
1 (table item headed "superannuation")
10
After:
11
excess concessional contributions ..................................... 291-15(b)
insert:
12
first home super saver scheme .......................................... 313-25
9 Subsection 290-150(2)
13
Before "and 290-170", insert ", 290-168".
14
10 Before 290-170
15
Insert:
16
290-168 Contribution must not be a re-contribution under the first
17
home super saver scheme
18
You cannot deduct the contribution if you notified the
19
Commissioner about the contribution under section 313-50 (about
20
Schedule 1 First home super saver scheme
Part 2 Tax consequences of scheme
12
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
contributing amounts to superannuation that were previously
1
released under the
*
first home super saver scheme).
2
11 Section 303-15 (note)
3
Omit "section 304-20", substitute "sections 304-20 and 313-20".
4
12 At the end of Part 3-30
5
Add:
6
Division 313--First home super saver scheme
7
Table of Subdivisions
8
Guide to Division 313
9
313-A Preliminary
10
313-B Assessable income and tax offset
11
313-C Purchasing or constructing a residential premises
12
313-D Contributing amounts to superannuation
13
313-E
First home super saver tax
14
313-F
Review of decisions
15
Guide to Division 313
16
313-1 What this Division is about
17
If an amount is released from your superannuation interests under
18
the first home super saver scheme, an amount may be included in
19
your assessable income and you may become entitled to a tax
20
offset.
21
You also have a limited period within which to enter into a contract
22
to purchase or construct a residential premises or re-contribute an
23
amount to your superannuation. If you do not notify the
24
Commissioner that you have done one of those things, you become
25
liable for tax.
26
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
13
Subdivision 313-A--Preliminary
1
Table of sections
2
Operative provisions
3
313-5
Object of this Division
4
313-10
Application of this Division
5
Operative provisions
6
313-5 Object of this Division
7
The object of this Division is to provide an individual with
8
concessional tax treatment for amounts released from
9
superannuation for the purposes of purchasing or constructing the
10
individual's first home.
11
313-10 Application of this Division
12
This Division applies to you if one or more amounts (the FHSS
13
released amounts) are paid in response to a release authority
14
issued under Division 131 in Schedule 1 to the Taxation
15
Administration Act 1953 in relation to a
*
first home super saver
16
determination made in relation to you.
17
Subdivision 313-B--Assessable income and tax offset
18
Guide to Subdivision 313-B
19
313-15 What this Subdivision is about
20
An amount is included in your assessable income, and you are
21
entitled to a tax offset, if an amount is paid in response to a release
22
authority issued in respect of you.
23
The amount included in your assessable income relates to the
24
concessional contributions and total associated earnings that are
25
stated in the relevant first home super saver determination.
26
Schedule 1 First home super saver scheme
Part 2 Tax consequences of scheme
14
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Table of sections
1
Operative provisions
2
313-20
Amount included in assessable income
3
313-25
Amount of the tax offset
4
Operative provisions
5
313-20 Amount included in assessable income
6
(1) Your assessable income, for the income year that corresponds to
7
the
*
financial year for which you requested the release authority,
8
includes an amount that is equal to the sum of the following
9
amounts stated in the
*
first home super saver determination:
10
(a) your
*
concessional contributions;
11
(b) your associated earnings.
12
(2) However, if the sum of the
*
FHSS released amounts is less than the
13
*
FHSS maximum release amount stated in the determination, the
14
amount included in your assessable income for the income year is:
15
(a) the amount worked out under subsection (1); less
16
(b) the difference between the FHSS maximum release amount
17
and the sum of the FHSS released amounts.
18
(3) If the amount worked out under subsection (2) is negative, the
19
amount included in your assessable income for the income year is
20
nil.
21
Note 1:
The release authorities are issued under Division 131 in Schedule 1 to
22
the Taxation Administration Act 1953.
23
Note 2:
Any amounts paid in response to the release authorities are
24
non-assessable non-exempt income (see section 303-15).
25
313-25 Amount of the tax offset
26
You are entitled, for the income year mentioned in section 313-20,
27
to a
*
tax offset that is equal to 30% of your
*
assessable FHSS
28
released amount for the income year.
29
Note:
This offset cannot be refunded, transferred or carried forward (see
30
item 20 of the table in subsection 63-10(1)).
31
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
15
Subdivision 313-C--Purchasing or constructing a residential
1
premises
2
Guide to Subdivision 313-C
3
313-30 What this Subdivision is about
4
If an amount is released from your superannuation interests under
5
the first home super saver scheme, and you enter into a contract
6
within a particular period to purchase or construct a residential
7
premises, you must notify the Commissioner of that contract.
8
Table of sections
9
Operative provisions
10
313-35
Purchasing or constructing a residential premises
11
313-40
Notifying Commissioner
12
Operative provisions
13
313-35 Purchasing or constructing a residential premises
14
(1) Section 313-40 applies to you if:
15
(a) within 12 months after the release of the first
*
FHSS released
16
amount or, if the period is extended under subsection (2), that
17
longer period, you enter into a contract to purchase or
18
construct a
*
CGT asset that is a
*
residential premises; and
19
(b) the price for the purchase or construction of the premises is at
20
least equal to the sum of the FHSS released amounts; and
21
(c) you have occupied the premises, or intend to occupy the
22
premises as soon as practicable; and
23
(d) you intend to occupy the premises for at least 6 months of the
24
first 12 months after it is practicable to occupy the premises.
25
(2) The Commissioner may extend the period for entering into a
26
contract by up to 12 months.
27
Note:
If you request an extension of the period, you may object against a
28
decision of the Commissioner under this section (see section 313-85).
29
Schedule 1 First home super saver scheme
Part 2 Tax consequences of scheme
16
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
313-40 Notifying Commissioner
1
(1) You must notify the Commissioner in the
*
approved form of the
2
matters set out in paragraphs 313-35(1)(a) to (d).
3
(2) The notification must be made within 28 days, or such longer
4
period as the Commissioner allows, after you enter into the
5
contract to purchase or construct the
*
residential premises.
6
Note:
If you request an extension of the period, you may object against a
7
decision of the Commissioner under this subsection (see
8
section 313-85).
9
(3) Subsection (1) does not limit the information that the
*
approved
10
form may require the notification to contain.
11
Subdivision 313-D--Contributing amounts to superannuation
12
Guide to Subdivision 313-D
13
313-45 What this Subdivision is about
14
If an amount is released from your superannuation interests under
15
the first home super saver scheme, and you do not enter into a
16
contract within a particular period to purchase or construct a
17
residential premises, you may make one or more non-concessional
18
contributions. If you do not notify the Commissioner that you have
19
made the contributions, you may be liable for tax under
20
Subdivision 313-E.
21
Table of sections
22
Operative provisions
23
313-50
Contributing amounts to superannuation
24
Operative provisions
25
313-50 Contributing amounts to superannuation
26
(1) This section applies to you if:
27
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
17
(a) you do not notify the Commissioner in accordance with
1
section 313-40 (about purchasing or constructing a
2
*
residential premises); and
3
(b) you make one or more
*
non-concessional contributions the
4
sum of which is at least equal to:
5
(i) your
*
assessable FHSS released amount for an income
6
year; less
7
(ii) the amount withheld by the Commissioner from your
8
*
FHSS released amounts under section 12-460 in
9
Schedule 1 to the Taxation Administration Act 1953;
10
and
11
(c) you make the contributions within the period mentioned in
12
paragraph 313-35(1)(a).
13
Note:
Paragraph 313-35(1)(a) sets out the period in which you must have
14
entered into a contract to purchase or construct a residential premises.
15
(2) You may notify the Commissioner in the
*
approved form that you
16
have made the contributions mentioned in paragraph (1)(b).
17
Note 1:
If you notify the Commissioner, you cannot deduct the contribution
18
(see section 290-168).
19
Note 2:
If you do not notify the Commissioner, you may be liable for tax (see
20
Subdivision 313-E).
21
(3) The notification must be made within the period mentioned in
22
paragraph 313-35(1)(a) or such longer period as the Commissioner
23
allows under this subsection.
24
Note:
If you request an extension of the period, you may object against a
25
decision of the Commissioner under this subsection (see
26
section 313-85).
27
(4) Subsection (2) does not limit the information that the
*
approved
28
form may require the notification to contain.
29
Schedule 1 First home super saver scheme
Part 2 Tax consequences of scheme
18
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Subdivision 313-E--First home super saver tax
1
Guide to Subdivision 313-E
2
313-55 What this Subdivision is about
3
If an amount is released from your superannuation interests under
4
the first home super saver scheme, you are liable for tax if you do
5
not, within a particular period, do either of the following:
6
(a)
enter into a contract to purchase or construct a
7
residential premises, and notify the Commissioner of
8
that contract;
9
(b)
make one or more non-concessional contributions, and
10
notify the Commissioner of the contributions.
11
Table of sections
12
Operative provisions
13
313-60
First home super saver tax
14
313-65
When tax is payable--original assessments
15
313-70
When tax is payable--amended assessments
16
313-75
General interest charge
17
Operative provisions
18
313-60 First home super saver tax
19
You are liable to pay
*
first home super saver tax if:
20
(a) neither of section 313-40 or 313-50 applies to you; or
21
(b) section 313-40 applies to you and you do not notify the
22
Commissioner in accordance with that section; or
23
(c) section 313-50 applies to you and you do not notify the
24
Commissioner in accordance with that section.
25
Note 1:
The amount of the tax is set out in the First Home Super Saver Tax
26
Act 2017.
27
Note 2:
Section 313-40 is about purchasing or constructing a residential
28
premises. Section 313-50 is about making one or more
29
non-concessional contributions.
30
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
19
313-65 When tax is payable--original assessments
1
Your
*
assessed first home super saver tax is due and payable at the
2
end of 21 days after the Commissioner gives you notice of the
3
assessment of the amount of the
*
first home super saver tax.
4
Note:
For assessments of first home super saver tax, see Division 155 in
5
Schedule 1 to the Taxation Administration Act 1953.
6
313-70 When tax is payable--amended assessments
7
If the Commissioner amends your assessment, any extra
*
assessed
8
first home super saver tax resulting from the amendment is due and
9
payable 21 days after the day the Commissioner gives you notice
10
of the amended assessment.
11
313-75 General interest charge
12
If an amount of
*
assessed first home super saver tax that you are
13
liable to pay remains unpaid after the time by which it is due to be
14
paid, you are liable to pay the
*
general interest charge on the
15
unpaid amount for each day in the period that:
16
(a) begins on the day on which the amount was due to be paid;
17
and
18
(b) ends on the last day on which, at the end of the day, any of
19
the following remains unpaid:
20
(i) the assessed first home super saver tax;
21
(ii) general interest charge on any of the assessed first home
22
super saver tax.
23
Note:
The general interest charge is worked out under Part IIA of the
24
Taxation Administration Act 1953.
25
Subdivision 313-F--Review of decisions
26
Guide to Subdivision 313-F
27
313-80 What this Subdivision is about
28
You may object against particular decisions made under this
29
Division.
30
Schedule 1 First home super saver scheme
Part 2 Tax consequences of scheme
20
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Table of sections
1
Operative provisions
2
313-85
Review rights for decisions made under this Division
3
Operative provisions
4
313-85 Review rights for decisions made under this Division
5
(1) If:
6
(a) you requested the Commissioner to allow a longer period
7
under:
8
(i) subsection 313-35(2) (for entering into a contract to
9
purchase or construct a
*
residential premises); or
10
(ii) subsection 313-40(2) or 313-50(3) (for notifying the
11
Commissioner of matters); and
12
(b) you are dissatisfied with:
13
(i) a decision under that subsection allowing a longer
14
period; or
15
(ii) a decision the Commissioner makes not to allow a
16
longer period;
17
you may object against the decision in the manner set out in
18
Part IVC of the Taxation Administration Act 1953.
19
(2) To avoid doubt, for the purposes of paragraph (e) of Schedule 1 to
20
the Administrative Decisions (Judicial Review) Act 1977, the
21
making of a decision under a subsection mentioned in
22
paragraph (1)(a) of this section is a decision forming part of the
23
process of making an assessment of tax, and making a calculation
24
of charge, under this Act.
25
Taxation Administration Act 1953
26
13 Subsection 10-5(1) in Schedule 1 (note)
27
Omit "and 22", substitute ", 22 and 27".
28
14 Subsection 10-5(1) in Schedule 1 (at the end of the table)
29
Add:
30
First home super saver scheme Schedule 1
Tax consequences of scheme Part 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
21
27
A payment under the
*
first home super saver scheme
12-460
15 At the end of Division 12 in Schedule 1
1
Add:
2
Subdivision 12-J--FHSS released amounts
3
Table of sections
4
12-460
FHSS released amounts
5
12-460 FHSS released amounts
6
The Commissioner must withhold an amount from the
*
FHSS
7
released amounts paid in respect of a person.
8
16 Subsection 15-10(2) in Schedule 1
9
Omit "or 12-G (except one covered by section 12-325)", substitute ",
10
12-G (except one covered by section 12-325) or 12-J".
11
17 At the end of subsection 155-5(2) in Schedule 1
12
Add:
13
; (k) an amount of
*
first home super saver tax for an income year.
14
18 Subsection 155-15(1) in Schedule 1 (note)
15
Omit "or excess transfer balance tax", substitute ", excess transfer
16
balance tax or first home super saver tax".
17
19 At the end of subsection 155-30(3) in Schedule 1
18
Add:
19
; (c) the
*
first home super saver tax payable by you for an income
20
year.
21
20 Subsection 250-10(2) in Schedule 1 (after table item 38BC)
22
Insert:
23
38BD
first home super saver
tax
313-65 and
313-70
Income Tax Assessment Act 1997
Schedule 1 First home super saver scheme
Part 3 Other amendments
22
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Part 3--Other amendments
1
Division 1
--Definitions
2
Income Tax Assessment Act 1997
3
21 Subsection 995-1(1)
4
Insert:
5
assessable FHSS released amount, for an income year, means the
6
amount included in a person's assessable income for the income
7
year under section 313-20 in respect of the person's
*
FHSS
8
released amounts.
9
assessed first home super saver tax means
*
first home super saver
10
tax, as assessed under Schedule 1 to the Taxation Administration
11
Act 1953.
12
FHSS eligible concessional contribution for a
*
financial year
13
means a
*
concessional contribution for the financial year that is
14
eligible to be released under section 138-35 in Schedule 1 to the
15
Taxation Administration Act 1953.
16
FHSS eligible non-concessional contribution for a
*
financial year
17
means a
*
non-concessional contribution for the financial year that
18
is eligible to be released under section 138-35 in Schedule 1 to the
19
Taxation Administration Act 1953.
20
FHSS maximum release amount has the meaning given by
21
section 138-25 in Schedule 1 to the Taxation Administration Act
22
1953.
23
FHSS releasable contributions amount has the meaning given by
24
subsection 138-30(1) in Schedule 1 to the Taxation Administration
25
Act 1953.
26
FHSS released amounts has the meaning given by section 313-10.
27
first home super saver determination has the meaning given by
28
subsection 138-10(1) in Schedule 1 to the Taxation Administration
29
Act 1953.
30
First home super saver scheme Schedule 1
Other amendments Part 3
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
23
first home super saver scheme means the scheme set out in:
1
(a) Division 313; and
2
(b) Division 138 in Schedule 1 to the Taxation Administration
3
Act 1953;
4
and other provisions as they relate to those Divisions.
5
first home super saver tax means the tax imposed by the First
6
Home Super Saver Tax Act 2017.
7
Division 2
--Income tests
8
A New Tax System (Family Assistance) Act 1999
9
22 Paragraph 2(1)(a) of Schedule 3
10
After "that year", insert ", disregarding the individual's assessable
11
FHSS released amount (within the meaning of the Income Tax
12
Assessment Act 1997) for that year".
13
Child Support (Assessment) Act 1989
14
23 Paragraph 43(1)(a)
15
After "child support period", insert ", disregarding the parent's
16
assessable FHSS released amount (within the meaning of the Income
17
Tax Assessment Act 1997) for that year of income".
18
24 Paragraph 60(2)(a)
19
After "the year", insert ", disregarding any assessable FHSS released
20
amount (within the meaning of the Income Tax Assessment Act 1997)
21
that may be included in the parent's assessable income for the year".
22
Higher Education Support Act 2003
23
25 Paragraph 154-5(1)(a)
24
After "the income year", insert ", disregarding the person's assessable
25
FHSS released amount (within the meaning of the Income Tax
26
Assessment Act 1997) for the income year".
27
Schedule 1 First home super saver scheme
Part 3 Other amendments
24
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Income Tax Assessment Act 1936
1
26 Subsection 6(1) (paragraph (a) of the definition of rebate
2
income)
3
After "year of income", insert ", disregarding the individual's
4
assessable FHSS released amount (within the meaning of the Income
5
Tax Assessment Act 1997) for the year of income".
6
Income Tax Assessment Act 1997
7
27 Paragraph 35-10(2E)(a)
8
After "that year", insert ", disregarding your
*
assessable FHSS released
9
amount for that year".
10
28 Subparagraph 61-580(1)(d)(i)
11
After "the current year", insert ", disregarding your
*
assessable FHSS
12
released amount for the current year".
13
29 Subparagraph 83A-35(2)(b)(i)
14
After "this section", insert ", but not including your
*
assessable FHSS
15
released amount for the income year".
16
30 Subparagraph 290-230(2)(c)(i)
17
After "assessable income", insert ", disregarding your spouse's
18
*
assessable FHSS released amount for the income year".
19
31 Subsection 995-1(1) (paragraph (a) of the definition of
20
income for surcharge purposes)
21
After "disregarding", insert "the person's
*
assessable FHSS released
22
amount for the income year and".
23
Social Security Act 1991
24
32 Paragraph 1061ZZFA(1)(a)
25
After "income year", insert ", disregarding the person's assessable
26
FHSS released amount (within the meaning of the Income Tax
27
Assessment Act 1997) for the income year".
28
First home super saver scheme Schedule 1
Other amendments Part 3
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
25
33 Paragraph 1067G-F10(a)
1
After "that year", insert ", disregarding each parent's assessable FHSS
2
released amount (within the meaning of the Income Tax Assessment Act
3
1997) for that year".
4
34 Paragraph 1071-3(a)
5
After "that year", insert ", disregarding the person's assessable FHSS
6
released amount (within the meaning of the Income Tax Assessment Act
7
1997) for that year".
8
Student Assistance Act 1973
9
35 Paragraph 12ZL(1)(a)
10
After "income year", insert ", disregarding the person's assessable
11
FHSS released amount (within the meaning of the Income Tax
12
Assessment Act 1997) for the income year".
13
Superannuation (Government Co-contribution for Low
14
Income Earners) Act 2003
15
36 Paragraph 8(1)(a)
16
After "income year", insert ", disregarding the person's assessable
17
FHSS released amount (within the meaning of the Income Tax
18
Assessment Act 1997) for the income year".
19
Veterans' Entitlements Act 1986
20
37 Paragraph 118ZZA-3(a)
21
After "that year", insert ", disregarding the person's assessable FHSS
22
released amount (within the meaning of the Income Tax Assessment Act
23
1997) for that year".
24
Schedule 2 Contributing the proceeds of downsizing to superannuation
26
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Schedule 2--Contributing the proceeds of
1
downsizing to superannuation
2
3
Income Tax Assessment Act 1997
4
1 Subsection 290-150(2)
5
After "290-165", insert ", 290-167".
6
2 After section 290-165
7
Insert:
8
290-167 Contribution must not be a downsizer contribution
9
You cannot deduct the contribution if it is a contribution that is
10
covered under section 292-102 (about downsizer contributions).
11
3 After subparagraph 292-90(2)(c)(iii)
12
Insert:
13
(iiia) a contribution covered under section 292-102
14
(downsizer contributions);
15
4 After section 292-100
16
Insert:
17
292-102 Downsizer contributions
18
Criteria for a downsizer contribution
19
(1) A contribution is covered under this section if:
20
(a) the contribution is made to a
*
complying superannuation plan
21
in respect of you when you are aged 65 years or over; and
22
(b) the contribution is an amount equal to all or part of the
23
*
capital proceeds received from the
*
disposal of an
24
*
ownership interest (the old interest) in a
*
dwelling; and
25
(c) you or your
*
spouse held the old interest just before the
26
disposal; and
27
Contributing the proceeds of downsizing to superannuation Schedule 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
27
(d) any
*
capital gain or
*
capital loss from the disposal of the old
1
interest:
2
(i) for the case where you held it just before the disposal--
3
is wholly or partially disregarded under
4
Subdivision 118-B (or would have been if you had
5
*
acquired it on or after 20 September 1985); or
6
(ii) otherwise--would have been wholly or partially
7
disregarded under Subdivision 118-B had you held the
8
old interest for a period before the disposal; and
9
(e) the condition in subsection (2) is met for the disposal; and
10
(f) the dwelling is located in
*
Australia, and is not a caravan,
11
houseboat or other mobile home; and
12
(g) the contribution is made within 90 days, or such longer
13
period as the Commissioner allows, after the time the change
14
of ownership occurs as a result of the disposal; and
15
(h) you choose, in accordance with subsection (8), to apply this
16
section to the contribution; and
17
(i) there is not already a contribution covered under this section,
18
and made to a complying superannuation plan in respect of
19
you, from an earlier choice you made in relation to the
20
disposal of:
21
(i) another ownership interest in the dwelling that was not a
22
related spousal interest to the old interest; or
23
(ii) an ownership interest in another dwelling.
24
Note 1:
Subparagraph (i)(i) does not prevent another contribution, made for
25
you from the capital proceeds from the disposal of the same interest,
26
from also being a contribution covered under this section.
27
Note 2:
That subparagraph also does not prevent another contribution, made
28
for you from the capital proceeds from the disposal of a related
29
spousal interest, from being a contribution covered under this section.
30
10-year ownership condition
31
(2) The condition in this subsection is met for the
*
disposal of the old
32
interest if either or both of the following paragraphs applies:
33
(a) at all times during the 10 years ending just before the
34
disposal:
35
(i) the old interest was held by you, your
*
spouse or your
36
former spouse; or
37
Schedule 2 Contributing the proceeds of downsizing to superannuation
28
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
(ii) an
*
ownership interest in the land on which the
1
*
dwelling is situated was held by you, your spouse or
2
your former spouse;
3
(b) if subsection 118-147(1):
4
(i) applies because the old interest was a substitute property
5
interest (within the meaning of that subsection) for an
6
old dwelling referred to in paragraph 118-147(1)(a); or
7
(ii) would have applied as described in subparagraph (i) if
8
paragraph 118-147(1)(a) were modified to refer to a
9
dwelling (the old dwelling) that was your main
10
residence;
11
you, your spouse or your former spouse
*
acquired an
12
ownership interest in that old dwelling at least 10 years
13
before the disposal.
14
Note:
Section 118-147 deals with a dwelling replacing an earlier dwelling
15
that was compulsorily acquired or destroyed etc.
16
Cap on the amount of a downsizer contribution
17
(3) Despite subsection (1), the contribution is covered under this
18
section only to the extent that it does not exceed the lesser of:
19
(a) $300,000, less any other contribution that is already covered
20
under this section and made to a
*
complying superannuation
21
plan in respect of you; and
22
(b) the sum of the
*
capital proceeds from the disposals of:
23
(i) the old interest; and
24
(ii) any
*
related spousal interest to the old interest;
25
less the sum of all other contributions that are already
26
covered under this section and made to complying
27
superannuation plans in respect of you or your
*
spouse.
28
Meaning of related spousal interest
29
(4) A related spousal interest, to an
*
ownership interest in a
*
dwelling,
30
is another ownership interest in the dwelling if:
31
(a) both ownership interests are
*
disposed of under the same
32
contract; and
33
(b) just before the disposal, you
*
held one of the ownership
34
interests and your
*
spouse held the other.
35
Contributing the proceeds of downsizing to superannuation Schedule 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
29
When interest held by trustee of deceased estate
1
(5) For the purposes of determining whether an individual held an
2
interest at a particular time, if the interest was held at the particular
3
time by the trustee of the deceased estate of an individual who was
4
your
*
spouse when the individual died, the interest is taken to be
5
held at the particular time by that individual.
6
Review of the period for making the contribution
7
(6) If:
8
(a) you requested the Commissioner to allow a longer period
9
under paragraph (1)(g); and
10
(b) you are dissatisfied with:
11
(i) a decision under that paragraph allowing a longer
12
period; or
13
(ii) a decision the Commissioner makes not to allow a
14
longer period;
15
you may object against the decision in the manner set out in
16
Part IVC of the Taxation Administration Act 1953.
17
(7) To avoid doubt:
18
(a) subject to subsection 14ZVC(3) of the Taxation
19
Administration Act 1953, you may also object, on the ground
20
that you are dissatisfied with such a decision, relating to all
21
or part of your contributions for a
*
financial year:
22
(i) under section 175A of the Income Tax Assessment Act
23
1936 against an assessment made in relation to you for
24
the corresponding income year; or
25
(ii) under section 97-35 in Schedule 1 to the Taxation
26
Administration Act 1953 against an
*
excess
27
non-concessional contributions determination made in
28
relation to you for the financial year; and
29
(b) for the purposes of paragraph (e) of Schedule 1 to the
30
Administrative Decisions (Judicial Review) Act 1977, the
31
making of a decision under paragraph (1)(g) of this section is
32
a decision forming part of the process of making an
33
assessment of tax, and making a calculation of charge, under
34
this Act.
35
Schedule 2 Contributing the proceeds of downsizing to superannuation
30
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
No. , 2017
Requirements for choices
1
(8) To make a choice for the purposes of paragraph (1)(h), you must:
2
(a) make the choice in the
*
approved form; and
3
(b) give it to the
*
superannuation provider in relation to the
4
*
complying superannuation plan at or before the time when
5
the contribution is made.
6
Commissioner to notify providers if contributions are not
7
downsizer contributions
8
(9) The Commissioner must, in writing, notify a
*
superannuation
9
provider that all, or a specified part, of a contribution is not
10
covered under this section if:
11
(a) the Commissioner is aware that a choice referred to in
12
subsection (8) has been given to the superannuation provider
13
for the contribution; and
14
(b) the Commissioner is satisfied that the contribution, or that
15
part of the contribution, (as applicable) is not covered under
16
this section.
17
The Commissioner may give a copy of the notification to
*
APRA.
18
5 Subsection 995-1(1)
19
Insert:
20
related spousal interest has the meaning given by
21
subsection 292-102(4).
22
Taxation Administration Act 1953
23
6 Subsection 355-65(3) in Schedule 1 (at the end of the table)
24
Add:
25
11
a
*
superannuation provider or
APRA
is for the purpose of complying with
subsection 292-102(9) of the Income
Tax Assessment Act 1997.
Contributing the proceeds of downsizing to superannuation Schedule 2
No. , 2017
Treasury Laws Amendment (Reducing Pressure on Housing
Affordability Measures No. 1) Bill 2017
31
7 Application of amendments
1
The amendments made by this Schedule apply in relation to a disposal
2
of an ownership interest in a dwelling if the contract for the disposal is
3
entered into on or after 1 July 2018.
4