The Administrative Appeals Tribunal denied a taxpayers request to ignore excess contributions tax.
The taxpayer claimed that her situation and the complexity of her superannuation arrangements, meant that special circumstances should allow the Commissioner to overlook her excess contributions.
She had contributed what she thought was the maximum in year one and used the bring forward rule to contribute $450,000 in the year two. She argued that part of the complexity was an industry fund, a defined benefit fund and her SMSF. Having exceeded the maximum concessional contributions in year one, the bring forward rule was not available in the year two.
The tribunal considered that her superannuation arrangements were not out of the ordinary and emphasised her failure to seek advice and disregard reports from her superannuation fund, in favour of spreadsheets prepared by her husband.
The decision is quite predictable, again emphasising great care when endeavouring to take maximum advantage of tax concessions.
The advice provided is general advice only as, in preparing it we did not take into account your investment objectives, financial situation or particular needs. Before making an investment decision on the basis of this advice, you should consider how appropriate the advice is to your particular investment needs, and objectives. You should also consider the relevant Product Disclosure Statement before making any decision relating to a financial product.