What is Division 293 tax?

Division 293 is an additional 15% tax on concessional (before-tax) super contributions for high-income earners. It applies when your income plus low-tax super contributions exceed $250,000 per year. The tax effectively increases the rate on super contributions from 15% to 30% for the portion that pushes you over the threshold, bringing it closer to the top marginal tax rate.

Who pays Division 293 tax?

You may be liable for Division 293 tax if your Division 293 income plus your low-tax concessional contributions exceed $250,000. Division 293 income includes taxable income, reportable fringe benefits amounts, and net investment losses (added back). The ATO will send you an assessment if you are liable — you do not need to calculate or report it yourself on your tax return.

How is Division 293 tax calculated?

The ATO calculates your Division 293 income (taxable income + reportable fringe benefits + net investment losses) and adds your low-tax concessional contributions. If the total exceeds $250,000, you pay 15% tax on the lesser of: the amount over the $250,000 threshold, or your taxable concessional contributions. For example, if your income is $240,000 and concessional contributions are $30,000, the total is $270,000 — you are $20,000 over the threshold, so Div 293 tax is 15% of $20,000 = $3,000.

Can I pay Division 293 tax from my super fund?

Yes. When the ATO issues your Division 293 assessment, you can choose to pay it from your super fund by completing a release authority. Most people elect to pay from their super fund rather than from personal savings. Your super fund will release the amount directly to the ATO. If you do not make an election within the specified timeframe, the ATO will issue the release authority to your super fund automatically.

Division 293 Tax Calculator

Find out if you owe Division 293 tax — the extra 15% tax on super contributions for high-income earners. Enter your income and super contributions to see your liability.

Last verified: 1 July 2025

Do I have to pay Division 293 tax?

Division 293 is an extra 15% tax on concessional super contributions for high earners. It triggers when your Division 293 income plus concessional contributions exceeds $250,000. It applies to the lesser of: the amount over $250,000, or your concessional contributions. This effectively raises the super tax on that slice from 15% to 30%. Source: Australian Taxation Office.

Worked example. Taxable income $240,000 + concessional contributions $30,000 = $270,000. You're $20,000 over the threshold → Div 293 tax is 15% × $20,000 = $3,000. On $280,000 + $30,000 contributions, the full $30,000 is over the threshold → tax is 15% × $30,000 = $4,500. You can elect to pay Div 293 from your super fund rather than personal cash.

General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.

Division 293 Tax Calculator

Do I have to pay Division 293 tax?

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