The Australian Financial Review --- Page: 33 : 28 November 2007 Original article by John Wasiliev
LexisNexis Summary
Australian retirees may want to avoid tax on superannuation death benefits. Graeme Colley of Super Concepts says the tax treatment of super death benefits to a non-dependant varies according to the proportion of the pension that was classified as tax-free when the pension began. Some retirees mistakenly believe that tax can be eliminated by selling investments during the pension phase and bringing them back in at no cost. However, the new investments will attract capital gains tax. One strategy is to pay the death benefit to the estate of a member and convert it to cash while the pension is still nominally running.
