Eligible

On 1/7/17, you can be eligible for this $540 tax-offset if:

  • your spouse's assessable income + total reportable fringe benefits + reportable employer super contributions = LESS than $40k. (prior to 2018FY, the limit was $13.8k)
  • You did not claim a deduction for the contributions you did for your spouse¬†
  • spouse has not exceeded the non-concessional cap for the financial year¬†
  • spouse's super balance is below the general transfer balance cap ($1.6 million for 2018FY)
  • you and your spouse are Australian residents
  • contributions were not done due to satisfying family law obligation
  • you are not living separately/apart from your spouse when the contributions were made


Calculation

The tax offset calculation is 18% of the lesser of:

  • $3,000 minus the amount over $37,000 that the spouse earned
    OR
  • the value of the spouse contributions (in this case, $3,500).





Benefits

  • say you are younger + earning more + split your super to your older spouse. The older spouse will reach retirement before you, hence access tax-free super drawings


Reference