Redundancy payments made to ACIRT Members within 12 months from their termination date will be treated as Employment Termination Payments and taxed concessionally. Thus, Members aged >55 years are taxed at 16.5% (including Medicare levy) and those aged <55 years taxed at 31.5% (including Medicare levy).
Redundancy payments made to ACIRT Members after 12 months from their termination date are taxed as directed by the Australian Taxation Office. Annual income distributions paid to members are taxed at the member’s marginal tax rate for that year.