Taxation
There are tax advantages for payments from the Cbus Super Income Stream compared with other investment alternatives.
- No lump sum tax when you rollover your superannuation into a Cbus Super Income Stream;
- No tax on investment earnings while you are in a Cbus Super Income Stream;
- Lump sum and regular retirement income payments will be tax free for those aged over 60.
Once you reach age 60, you pay no tax on your Cbus Super Income Stream, whether you receive regular income payments, or withdraw lump sums. Plus, unlike the super fund you've contributed to throughout your working life, the Cbus Super Income Stream pays no tax on investment earnings.
If you're under age 60, your income stream payments will be subject to income tax (plus Medicare Levy). Income Tax is deducted from income stream payments made to you through the (Pay As You Go) PAYG witholding system.
If you are under age 60, Cbus will provide you with PAYG certificate at the end of each financial year, together with the information you need to complete your tax return.
To find out more about the tax treatment of a Cbus Super Income Stream, please click here to download a copy of our Product Disclosure Statement (PDS).
The tax treatment of an income stream is complex, and we recommend you seek professional financial advice, in relation to your own specific circumstances, before making any taxation decisions.
