The Mid-Year Economic and Fiscal Outlook (MYEFO), released yesterday, contained the below table showing the cost of Australia’s largest tax expenditures, the biggest of which are Australia’s superannuation concessions:
As you can see, the concessional taxation of superannuation entity earnings – whereby earnings within super funds are taxed at just 15% before the age of 60 and 0% afterwards – is forecast by the Treasury to cost the Budget a whopping $18,450 million in 2015-15, increasing to $26,950 million by 2017-18.
