Tax with Max: Why pension timing is everything

Timing transitions from accumulation to pension phase, deeming rules, and more.

I turn 60 on October 30, 2014. If I turn my SMSF from accumulation to pension phase on July 1, 2014 but draw no pension until after November 1, 2014, taking at least the full 4% between November 2014 and June 30, 2015, is it correct that the fund earnings would be tax-free as the fund would be in pension phase for the full 12 months, and the pension I receive would also be completely tax-free as all pension payments would be received after I have turned 60?



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