Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022

Administered by Department of the Treasury

Legislation au C2022A00010 In force Act

Legislation content

 

 

 

 

 

 

Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022

 

No. 10, 2022

 

 

 

 

 

An Act to amend the law relating to superannuation and taxation, and for related purposes

 

 

Contents

1 Short title

2 Commencement

3 Schedules

Schedule 1—Removing the monthly minimum threshold for salary or wages to count towards the superannuation guarantee

Superannuation Guarantee (Administration) Act 1992

Schedule 2—First home super saver scheme maximum releasable amount

Taxation Administration Act 1953

Schedule 3—Reduced eligibility age for downsizer contributions

Income Tax Assessment Act 1997

Schedule 4—Work test reforms for superannuation contributions

Income Tax Assessment Act 1997

Schedule 5—Segregated current pension assets

Income Tax Assessment Act 1997

Schedule 6—Extension of temporary full expensing of depreciating assets

Income Tax (Transitional Provisions) Act 1997

 

 

 

Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022

No. 10, 2022

 

 

 

An Act to amend the law relating to superannuation and taxation, and for related purposes

[Assented to 22 February 2022]

The Parliament of Australia enacts:

1  Short title

  This Act is the Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022.

2  Commencement

 (1) Each provision of this Act specified in column 1 of the table commences, or is taken to have commenced, in accordance with column 2 of the table. Any other statement in column 2 has effect according to its terms.

 

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.

22 February 2022

2.  Schedules 1 and 2

The day after this Act receives the Royal Assent.

23 February 2022

3.  Schedules 3 to 6

The first 1 January, 1 April, 1 July or 1 October to occur after the day this Act receives the Royal Assent.

1 April 2022

Note: This table relates only to the provisions of this Act as originally enacted. It will not be amended to deal with any later amendments of this Act.

 (2) Any information in column 3 of the table is not part of this Act. Information may be inserted in this column, or information in it may be edited, in any published version of this Act.

3  Schedules

  Legislation that is specified in a Schedule to this Act is amended or repealed as set out in the applicable items in the Schedule concerned, and any other item in a Schedule to this Act has effect according to its terms.

Schedule 1—Removing the monthly minimum threshold for salary or wages to count towards the superannuation guarantee

 

Superannuation Guarantee (Administration) Act 1992

1  Subsection 27(2)

Repeal the subsection.

2  Application of amendment

The amendment made by this Schedule applies in relation to a calendar month that is in a quarter beginning on or after:

 (a) 1 July 2022; or

 (b) if this Act receives the Royal Assent after 1 July 2022—the day on which this Act receives the Royal Assent.

Schedule 2—First home super saver scheme maximum releasable amount

 

Taxation Administration Act 1953

1  Paragraph 138‑35(1)(a) in Schedule 1

Omit “$30,000”, substitute “$50,000”.

2  Application of amendment

The amendment of the Taxation Administration Act 1953 made by this Schedule applies in relation to requests made on or after 1 July 2022 for the Commissioner to make a first home super saver determination.

Schedule 3—Reduced eligibility age for downsizer contributions

 

Income Tax Assessment Act 1997

1  Paragraph 292‑102(1)(a)

Omit “65”, substitute “60”.

2  Application of amendment

The amendment made by item 1 applies in relation to contributions made on or after 1 July 2022.

Schedule 4—Work test reforms for superannuation contributions

 

Income Tax Assessment Act 1997

1  Before subsection 290‑165(1)

Insert:

Condition if you are under 18

2  After subsection 290‑165(1)

Insert:

Work test condition for ages 67 to 75

 (1A) If you made the contribution during the period starting on the day you turn 67 and ending on the day that is 28 days after the end of the month in which you turn 75:

 (a) you must have been *gainfully employed for at least 40 hours in any period of 30 consecutive days during the income year in which the contribution was made; or

 (b) if you do not satisfy paragraph (a)—you must satisfy the following requirements:

 (i) you were gainfully employed for at least 40 hours in any period of 30 consecutive days during the income year (the previous income year) ending before the income year in which the contribution was made;

 (ii) you had a *total superannuation balance of less than $300,000 at the end of the previous income year;

 (iii) you have not deducted a contribution in the previous income year or any earlier income years on the basis of satisfying the requirements in this paragraph;

 (iv) no contribution made by you, or in respect of you, in the previous income year or any earlier income years, was accepted by a *superannuation fund or an *RSA under a prescribed provision of regulations made for the purposes of the Superannuation Industry (Supervision) Act 1993 or the Retirement Savings Accounts Act 1997.

Maximum age condition

3  Subsection 290‑165(2)

Omit “In any other case, you must have made the contribution on or before”, substitute “You cannot deduct the contribution if it is made after”.

4  Paragraph 292‑85(3)(c)

Omit “67”, substitute “75”.

5  Application of amendments

The amendments made by this Schedule apply in relation to contributions made on or after 1 July 2022.

Schedule 5—Segregated current pension assets

 

Income Tax Assessment Act 1997

1  At the end of section 295‑385

Add:

Meaning of segregated current pension assets—trustee choice

 (8) Despite subsections (3) to (6), none of the assets of a *complying superannuation fund are segregated current pension assets of the fund at any time in an income year if the trustee of the fund chooses under subsection (9) to treat all of the assets as not being segregated current pension assets for the year.

 (9) The trustee of a *complying superannuation fund may choose to treat all of the assets of the fund as not being *segregated current pension assets of the fund for an income year if, at one or more times in the year, all *superannuation interests in the fund are in the *retirement phase.

 (10) Subsections (8) and (9) do not apply if:

 (a) at all times in the year, all *superannuation interests in the fund are in the *retirement phase; or

 (b) the assets of the fund are *disregarded small fund assets at all times in the year.

2  Application of amendment

The amendment made by this Schedule applies in relation to the 2021‑22 income year and later income years.

Schedule 6—Extension of temporary full expensing of depreciating assets

 

Income Tax (Transitional Provisions) Act 1997

1  Subsection 40‑150(1)

Omit “30 June 2022”, substitute “30 June 2023”.

2  Paragraphs 40‑160(3)(a) and (b)

Omit “30 June 2022”, substitute “30 June 2023”.

3  Paragraph 40‑175(b)

Omit “30 June 2022”, substitute “30 June 2023”.

4  Section 328‑180 (heading)

Omit “31 December 2020”, substitute “30 June 2023”.

5  Subsection 328‑180(1) (paragraph (b) of the definition of increased access year)

Omit “30 June 2022”, substitute “30 June 2023”.

6  Section 328‑181 (heading)

Omit “30 June 2022”, substitute “30 June 2023”.

7  Subsection 328‑181(2)

Omit “30 June 2022”, substitute “30 June 2023”.

8  Subsection 328‑181(3)

Omit “30 June 2022”, substitute “30 June 2023”.

9  Paragraph 328‑181(5)(b)

Omit “30 June 2022”, substitute “30 June 2023”.

 

[Minister’s second reading speech made in—

House of Representatives on 27 October 2021

Senate on 10 February 2022]

(138/21)

 

Overview

The Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022, enacted on 22 February 2022 by the Parliament of Australia, addresses several issues in the existing superannuation and taxation laws. This Act primarily seeks to improve superannuation outcomes for Australians by making amendments to the Superannuation Guarantee (Administration) Act 1992, the Taxation Administration Act 1953, the Income Tax Assessment Act 1997, and the Income Tax (Transitional Provisions) Act 1997. The policy objective is to provide greater flexibility and support for superannuation savings, particularly by removing the monthly minimum threshold for salary or wages to count towards the superannuation guarantee, increasing the maximum releasable amount for the First Home Super Saver scheme, reducing the eligibility age for downsizer contributions, reforming the work test for superannuation contributions, and extending the temporary full expensing of depreciating assets. These changes aim to enhance the overall superannuation system, benefiting both individuals and businesses.

Scope and Application

The Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022 is a Commonwealth Act that amends various aspects of Australian superannuation and taxation laws. The Act applies to individuals and entities that are subject to the Superannuation Guarantee (Administration) Act 1992, the Taxation Administration Act 1953, the Income Tax Assessment Act 1997, and the Income Tax (Transitional Provisions) Act 1997. The Act affects superannuation contributions, the first home super saver scheme, downsizer contributions, and the temporary full expensing of depreciating assets, among other related matters. The geographic reach of the Act is national, as it applies across Australia. The Act contains several schedules that provide specific details on the amendments to be made to the specified Acts, with the changes generally taking effect on or after 1 July 2022. The Act does not contain any explicit exclusions, exemptions, or thresholds, but it is subject to interpretation by the courts and relevant authorities. The Act may be further extended or restricted through subordinate instruments, such as regulations or guidelines, that may be made under the authority of the relevant Acts. The Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022 aims to enhance superannuation outcomes for Australians and assist Australian businesses in investing. The Act amends the Superannuation Guarantee (Administration) Act 1992 to remove the monthly minimum threshold for salary or wages to count towards the superannuation guarantee. The Taxation Administration Act 1953 is amended to increase the maximum releasable amount for the first home super saver scheme from $30,000 to $50,000. The Income Tax Assessment Act 1997 is amended to reduce the eligibility age for downsizer contributions from 65 to 60, reform the work test for superannuation contributions, and allow trustees to choose whether to treat all assets as not being segregated current pension assets if all superannuation interests in the fund are in the retirement phase. Lastly, the Act amends the Income Tax (Transitional Provisions) Act 1997 to extend the temporary full expensing of depreciating assets until 30 June 2023. The Act's provisions generally commence on different dates, with some amendments taking effect on the date the Act receives Royal Assent, and others on or after 1 July 2022.

Key Provisions

The Treasury Laws Amendment (Enhancing Superannuation Outcomes For Australians and Helping Australian Businesses Invest) Act 2022 (sections 1 to 3) received Royal Assent on 22 February 2022. The primary provisions of the Act, contained in Schedules 1 to 6, came into effect on 23 February 2022, 1 April 2022, or a later specified date. This Act amends existing legislation concerning superannuation and taxation. Schedule 1 of the Act removes the monthly minimum threshold for salary or wages to count towards the superannuation guarantee by repealing subsection 27(2) of the Superannuation Guarantee (Administration) Act 1992. This change applies to calendar months beginning on or after 1 July 2022. Schedule 2 increases the maximum releasable amount for the First Home Super Saver scheme from $30,000 to $50,000 in the Taxation Administration Act 1953, effective from requests made on or after 1 July 2022. Schedule 3 lowers the eligibility age for downsizer contributions from 65 to 60 in the Income Tax Assessment Act 1997, applicable to contributions made on or after 1 July 2022. Schedule 4 introduces work test reforms for superannuation contributions. It removes the requirement for individuals under 18 to satisfy a work test, introduces a work test condition for those aged 67 to 75, and raises the maximum age for contributions from 67 to 75. These amendments apply to contributions made on or after 1 July 2022. Schedule 5 provides trustees with the option to treat all assets of a complying superannuation fund as not being segregated current pension assets if all superannuation interests are in the retirement phase. This amendment applies from the 2021-22 income year onwards. Schedule 6 extends the temporary full expensing of depreciating assets by changing the end date from 30 June 2022 to 30 June 2023 in the Income Tax (Transitional Provisions) Act 1997. Breaches of the provisions in this Act may result in penalties under the respective amended Acts. For instance, non-compliance with superannuation guarantee requirements may lead to civil penalty provisions in the Superannuation Guarantee (Administration) Act 1992, while breaches related to tax provisions may incur penalties under the Taxation Administration Act 1953 and the Income Tax Assessment Act 1997. The specific penalties vary according to the nature and severity of the breach.

Legal classification tags

Area of Law
Taxation Law
Superannuation Law
Instrument
Act
Concepts
Commencement Provisions
Repeal & Amendment
Licensing & Registration
Reporting & Disclosure Obligations
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Sourced from the Federal Register of Legislation at 26 August 2026. For the latest information on Australian Government law please go to https://www.legislation.gov.au.