The ATO has just released indexed figures for the 2010/2011 financial year.
Terminations
The new Lump Sum D limits from 1 July 2010 are $8,126 plus $4,064 for each completed year of service. This is the tax free component of a bona fide redundancy payment.
Updated “Tax on Termination” tables for 10/11 are available at:
http://www.payroll.com.au/pdf/TOTT.pdf
Please note the ETP thresholds have also been increased and are shown on the Tax on Termination tables.
Superannuation
Employees earning more than this are not entitled to additional compulsary superannuation payments. If an employee wants to make additional superanunation contributions they can either enter into a salary sacrifice arrangement or make personal contributions.
Tax tables
Tax tables for 2010/2011 are now available at:
http://www.ato.gov.au/businesses/content.asp?doc=/content/33283.htm
FBT
Fringe benefits benchmark for parking is now $7.46.
This article is intended to provide general information only, and is not to be regarded as legal or financial advice. The content is based on current facts, circumstances, and assumptions, and its accuracy may be affected by changes in laws, regulations, or market conditions. Accordingly, neither Azure Group Pty Ltd nor any member or employee of Azure Group or associated entities, undertakes responsibility arising in any way whatsoever to any persons in respect of this alert or any error or omissions herein, arising through negligence or otherwise howsoever caused. Readers are advised to consult with qualified professionals for advice specific to their situation before taking any action.
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