Eligible Termination Payments
| Undeducted Contributions | Exempt |
| Pre 1/7/1983 component | 5% included in taxpayer's assessable income |
Post 30/6/1983 taxed component:
| Taxpayer retired before 55: | tax not generally exceeding 20% |
| Taxpayer retires after 55: | |
| First $135,590 | generally exempt |
| Excess over $135,590 | tax generally not exceeding 15% |
Post 30/6/1983 untaxed component:
| Taxpayer retired before 55: | tax not exceeding 30% |
| Taxpayer retires after 55: | |
| First $135,590 | tax not exceeding 15% |
| Excess over $135,590 | tax not exceeding 30% |
Employment Termination Payments
| Cap for life benefit ETPs | $165,000 |
| Cap for death benefit ETPs | $165,000 |
Transitional arrangements (entitled to an ETP at 9 May 2006):
| Lower Cap | $165,000 |
| Upper Cap | $1,000,000 |
Tax on transitional arrangements:
| Up to Lower Cap | 16.5% |
| Between Lower Cap and Upper Cap | 31.5% |
| Above Upper Cap | Top Marginal Rate |
Redundancy and Early Retirement
| Category | ||
| Tax free amount | $8,435 + ($4,218 x yrs of service) | Exempt |
| Excess | Ordinary ETP |