Since 1 July 2018 the ATO has been responsible for the administration of the early release of superannuation on compassionate grounds.
Who is Eligible?
The ATO will only approve a release of superannuation on compassionate grounds if the applicant meets all the conditions set out in the regulations. These conditions include that the applicant has no other means to pay the expenses.
The five main eligibility criteria are:
- medical treatment or transport for the applicant or their dependant;
- accommodating a disability for the applicant or their dependant;
- palliative care for a terminal illness for the applicant or their dependant;
- funeral expenses for a dependant of the applicant; or
- preventing foreclosure or forced sale of the applicant’s home.
Compassionate Release for Medical Treatment
For application related to medical treatment, the treatment must address one of the following:
- A life-threatening illness or injury;
- Acute or chronic pain; or
- Acute or chronic mental illness.
Supporting Documentation
The applicant must submit two medical reports:
- A report from a specialist treating the specific condition.
- A second report confirming the necessity of the treatment
These reports must confirm that:
- The treatment is essential to address one of the conditions above.
- The treatment is not readily available in the public health system.
For more information, check the ATO website ( https://www.ato.gov.au/about-ato/research-and-statistics/in-detail/super-statistics/early-release/compassionate-release-of-super/eligibility-for-compassionate-release-of-super)