Something worth knowing about Division 296 #division

Something worth knowing about Division 296 just because the tax is coming in doesn't automatically mean pulling money out of super is the right move for everyone.
For some people, even paying that extra 15% on the balance over $3 million is still a better outcome than having those assets taxed at their personal marginal tax rate outside of super. So it really comes down to is super still the lower rate for you, even with the extra tax?
The good news is you have until 30 June 2027 before that balance is crystallised and used to calculate the tax, so there is time to strategise. It's really worth getting in touch with both your accountant and your financial advisor to figure out whether it makes sense to pull certain assets out of super and move them into another structure like a family trust or a company to get that lower tax rate rather than having everything taxed at 30% or your marginal rate in your individual name.
Don't feel like you need to act quickly without thinking it through but do act.
Amy Lehmann is an Authorised Representative (No. 1292710) of Consortium Private Wealth Pty Ltd (AFS Licence 495401)

#Division296 #superannuation #wealthstrategy #taxplanning #financialadvice