Does superannuation payout get called your taxable income. There was no other money earned during the year.?
My husband had to retire from work due to disability. He receives no payments from Centrelink or any other concessions. When he gave up work he was paid out his superannuation (he was 55). Does this superannuation now become his taxable income for the next tax year?
Public Comments
- Another vague question: There are defined benefit plans and defined contribution plans. Which one is a recipient of? He appears to have received a lump sum distribution at the end of his career. Please look at his 1099R form box 1 and box 2 to see if box 2 has a figure in it. Ask him if this was a 401K, 403B or Defined Contribution Plan. Are there any qualified domestic relations orders associated with this? Is this a disability payment. If so, he may qualify for other tax credits.
