After you retire
Once you retire, you can access a number of tax offsets, such as:
If you have income from an Australian superannuation income stream, you may be able to claim a tax offset if you’re:
- receiving a disability superannuation benefit
- receiving a death benefit income stream
- 60 or over.
Employee share schemes
If you are a member of an employee share scheme (ESS), you need to consider the ‘good leaver’ conditions. Good leaver conditions in an ESS may allow employees to retain ESS interests if they cease employment to retire from the workforce permanently during the forfeiture period.
Whether ESS interests acquired under an ESS with good leaver conditions are at a real risk of forfeiture will depend on the facts and circumstances. This includes how the ESS operates and the employee’s personal circumstances.
CGT retirement exemption for small business
If you are selling your small business assets, the capital gains tax retirement concession may apply. The retirement concession can exempt a capital gain on a business asset, up to a lifetime retirement exemption limit of $500,000. This concession allows you to provide for your retirement.
If you choose the retirement exemption, there is no requirement to terminate any activity or cease business.
If you are under 55 years old just before you choose to use the retirement exemption, you must make a personal contribution equal to the exempt amount to a complying superannuation fund or a retirement savings account.