Tax and Super

Tax Guidelines and TFNs

Taxation rules relating to superannuation are complex and may change from time to time. VISSF recommends that you seek professional advice in relation to taxation and superannuation.

Must I provide a Tax File Number to VISSF?

Legislation requires VISSF to invite you to provide your Tax File Number (TFN). Your TFN may only be used by VISSF for certain purposes and penalties apply should we misuse the information.

It is not compulsory to provide your TFN, however if you do not VISSF is required to:

  • Deduct tax at the rate of 45% plus 2% Medicare levy from all employer contributions and any concessional contributions (salary sacrifice) that you may make. If your tax file number is provided the rate of tax applied to these contributions will be 15%.
  • Refund any non-concessional contributions (from your after tax salary) you may make.
  • Refund to the Australian Taxation Office any Government co-contribution that may be paid on your behalf.
  • Deduct tax at the top marginal rate when your benefit is paid to you.

If, after 1 July 2007, you provide your employer with your TFN on a Tax File Number Declaration Form, the employer is required to pass your TFN to VISSF. However, to ensure the penalties noted above do not apply to your Member Account it would be prudent for you to provide your TFN, if you have not already done so, by accessing your Member Online service. If you are not already registered, we encourage you to do so - it takes less than a minute and you will receive your password via email instantly. Then simply log in to Member Online to provide your TFN electronically, no paperwork required.

Tax on Contributions to a Superannuation Fund

Tax of 15% is payable on concessional contributions. These are:

  • Contributions your employer makes on your behalf.
  • Contributions paid from income on which tax has not been paid. This is usually contributions paid through a salary sacrifice arrangement with your employer.
  • Contributions on which you have claimed a tax deduction.

However, if you do not provide VISSF with your TFN, tax of 45% plus Medicare levy is payable on concessional contributions (see above).

No tax is payable on non-concessional contributions you make to your VISSF account. These are contributions from income on which you have already paid tax (i.e. from after tax salary or other savings where tax has already been paid).

However, VISSF cannot accept non-concessional contributions from you if you have not provided us with your TFN.

Am I liable for tax on payments from my super?

You may have to pay tax when you withdraw money from your VISSF member account. The amount of tax will depend on your circumstances, including your age, how long you have been in a superannuation fund and how your superannuation benefit is paid.

Will I pay tax if I rollover my benefit?

No tax is payable by you if you elect to rollover your benefit to another superannuation fund, an approved deposit fund, retirement savings account or other approved superannuation institution. Payment of tax by you is deferred until such time as the benefit is paid to you in cash.

Component Under preservation age Preservation age to 59 Age 60 and over

Tax Free Component

Tax Free

Tax Free

Tax Free

Taxable Component

20% tax plus 2% Medicare levy

Up to $205,000 tax free. Balance - 15% tax plus 2% Medicare levy

Tax Free


  • These figures change from time to time. Contact our Client Services Team for the most recent figures.
  • The Medicare levy will be added to whichever rate is applicable, but not where the benefit is tax free.
  • The $205,000 threshold for the concessional component is applicable for the 2018/2019 year. The threshold is indexed to AWOTE at 1 July each year.

The taxation treatment may differ for temporary residents permanently departing Australia.

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