Claudia is self-employed and earns $190,000 p.a. If she makes a tax deductible (concessional) contribution to superannuation of $15,000, will she save tax and if so, how much?

Exclude Medicare Levy/ Surcharge in your calculations.

For this question you will need to:

Calculate the tax payable by Claudia assuming no superannuation contribution
Calculate the total tax payable on the superannuation contribution and income tax, should Claudia make a superannuation contribution.
Compare the difference between tax payable on her income without a contribution to superannuation versus total tax payable on her income and the superannuation contribution, compared to devise whether there will be a tax saving and how much.

Answer rating: 100% (QA)

To calculate the tax savings Claudia would receive by making a taxdeductible concessional superannua... View the full answer