Not available in Accountants Office
A Lump Sum Payment to a Dependant: The tax-free component is non-assessable non-exempt income and is tax exempt and not to be included in Taxable Income.
Paid to a Dependant
Income stream – Taxable Component: This element is taxed in the fund is not assessable, not exempt income.
Income stream – Untaxed Element: This element is taxed at marginal tax rates and subject to a 10% tax offset.
Age of Deceased: The age of the deceased is required to work out the Tax-free component.
Age of recipient: The age of the recipient is required so that the correct rate of tax is applied to the Untaxed element.
Deceased 60 and above - Recipient any age – Untaxed amount: This amount is subject to an offset of 10%
Deceased Under 60 - Recipient any age – Taxed amount: This amount is subject to an offset of 15%
Deceased Under 60 – Recipient over 60 – Untaxed Element: This amount is taxed at marginal rates and is not subject to an offset.
Payment to a Non-dependant
Lump sum – any age – Taxed Element: This amount is taxed at 15%
Lump sum – any age – Untaxed Element: This amount is taxed at 30%.