Private ruling: Deductibility of personal superannuation contributions
Date of advice: 28 February 2022
Published: May 2022
Ruling period: Year ending 30 June 20xx
Date scheme commenced: 1 July 20xx

Ruling: Q1: Can the taxpayer claim a tax deduction for their personal superannuation contributions made in the 20xx-xx income year under section 290-150 of the Income Tax Assessment Act 1997 (ITAA 1997)? | A1: No.

Relevant facts and circumstances: On xx June 20xx the taxpayer made a $xx voluntary superannuation contribution into their superannuation account. On xx June 20xx, the taxpayer received notification from the fund that a Notice of intent to claim or vary a deduction for personal contributions form (NAT 71121) was required in order to provide an acknowledgement letter to allow the taxpayer to claim a deduction for the contributions. In the binding ruling application, the taxpayer advised that they lodged the required Notice of intent to claim or vary a deduction for personal contributions form (NAT 71121) for contributions made in the 20xx-xx income year before 30 June 20xx via post. The fund has not issued the taxpayer with an acknowledgement of receipt of a notice.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 290-150 | Income Tax Assessment Act 1997 section 290-170

Reasons for decision: Summary: Section 290-150 of the ITAA 1997 states that you can deduct a contribution you make to a superannuation fund or a retirement savings account for the purposes of providing superannuation benefits for yourself, in the income year that the contribution was made, provided all of the following conditions are satisfied: • the complying superannuation fund conditions under section 290-155 of the ITAA 1997; • if applicable, the maximum earnings as employee condition under section 290-160 of the ITAA 1997; • the condition that a contribution is not a downsizer contribution under section 290-167 of ITAA 1997; • the condition that a contribution is not a re-contribution under first home super saver scheme under section 290-168 of the ITAA 1997; • the condition that a contribution is not a re-contribution of a COVID-19 early release amount under section 290-169 of the ITAA 1997; • age-related conditions under section 290-165 of the ITAA 1997; and • the notice of intent to deduct conditions under section 290-170 of the ITAA 1997. Section 290-170 of the ITAA 1997 relevantly states: (1) To deduct the contribution, or a part of the contribution: (a) you must give to the trustee of the fund or the RSA provider a valid notice, in the approved form, of your intention to claim the deduction; and (b) the notice must be given before: (i) if you have lodged your income tax return for the income year in which the contribution was made on a day before the end of the next income year - the end of that day; or (ii) otherwise - the end of the next income year; and (c) the trustee or provider must have given you an acknowledgment of receipt of the notice. To claim a tax deduction for contributions made to the superfund in the 20xx-xx income year, the fund must have given you an acknowledgment of receipt of the notice. As the trustee of the fund has not acknowledged receipt of the notice, the conditions under paragraph 290-170(1)(b) and 290-170(1)(c) have not been satisfied. Therefore, the conditions under section 290-150 of ITAA 1997 have not been met. As a result, you cannot claim a tax deduction for superannuation contributions made in the 20xx-xx income year.