Latest Entries
Use it or lose it!
Contributions / Federal Budget / SMSF

Use it or lose it!

With the Federal Government buckling under the pressure of the political backlash with the $500,000 lifetime non concessional contribution cap, we will now operate from 1 July 2017 in a more rationale contribution framework – a $100,000 annual NCC limit, subject to a member not having an account balance above $1.6 million at the start … Continue reading »

Understanding the new ‘red zone’
Contributions / Federal Budget / Government / SMSF

Understanding the new ‘red zone’

The decision by the Federal Government to abandon the $500,000 lifetime and replace it with a reduction in the non-concessional contribution cap has created some interesting challenges and opportunities for individuals looking to make after-tax contributions into super. The announcement last week by the Treasurer, Scott Morrison now means that the non-concessional contribution rules from 1 July 2017 … Continue reading »

Legislating on the run always costs more
ATO / Federal Budget / SMSF

Legislating on the run always costs more

With a lot of focus in the past 24 hours on the Government’s decision to not proceed with the $500,000 lifetime non-concessional contribution  (NCC) cap, it is frustrating to think about the wasted resources that have been deployed at the Australian Taxation Office (ATO) to support requests by individuals, tax agents and advisers as they feverishly obtained … Continue reading »

Finally… draft super regulations have landed
Contributions / Federal Budget / Government / Professionals / SMSF

Finally… draft super regulations have landed

Well, it’s only taken 127 days for the Government to provide the first tranche of legislation for consultation through the release of an exposure draft on the proposed super reforms. Treasury Laws Amendment (Fair and Sustainable Superannuation) Bill 2016 sets out a part of the Government agenda with reforms to superannuation tax concessions – many of the more … Continue reading »

Requesting a history of non-concessional contributions
Contributions / Federal Budget / Professionals / SMSF / SMSF Compliance

Requesting a history of non-concessional contributions

Whilst uncertainty still remains over the Government’s budget announcement to introduce a lifetime cap on non-concessional contributions (NCC), it hasn’t stopped a significant number of requests to the Australia Taxation Office (ATO) to obtain a history of non-concessional contributions that have been made for members since 1 July 2007. With both the effective date of these proposed measures and actual … Continue reading »

Labor draws battle line with proposed super changes
Federal Budget / SMSF

Labor draws battle line with proposed super changes

With the games of the 31st Olympiad having closed in Rio, the games are about to begin when Federal parliament resumes on 30 August.  As the Treasurer, Scott Morrison travels the country drumming up support amongst his backbenchers for the Coalition’s proposed super changes (announced in the Federal Budget), we have now seen the Labor … Continue reading »

Interesting developments in the final straight
Federal Budget / SMSF

Interesting developments in the final straight

As we reach the final stages of the election campaign, there have been two interesting announcements, one from each side of Government regarding the proposed superannuation changes. Firstly, over the weekend, Labor has unveiled in their final costings the inclusion all of the Coalition Government’s proposed superannuation changes, without actually committing to adopting the policies, banking approximately $3 billion in … Continue reading »

SMSF Q&A: LRBAs & ATO Safe Harbour
Facebook SMSF Q&A / Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Compliance

SMSF Q&A: LRBAs & ATO Safe Harbour

  Last week saw the ATO provide an extension of time through to 31 January 2017 for SMSF trustees to have their existing related-party LRBA loans comply with terms that would demonstrate an arm’s length dealing for income tax purposes.  This may be demonstrated by falling into line with the safe harbour guidance provided within Practical … Continue reading »

Extension of time for arm’s length borrowings to comply
Limited Recourse Borrowing Arrangements

Extension of time for arm’s length borrowings to comply

The ATO has announced that it is allowing SMSF trustees additional time until 31 January 2017 to ensure that any limited recourse borrowing arrangements currently in existence are operating on terms consistent with an arm’s length dealing, or alternatively are brought to an end.  The Regulator had previously indicated that these non-commercial arrangements needed to demonstrate arm’s … Continue reading »

Early engagement with fund compliance breaches
ATO / Professionals / SMSF / SMSF Compliance

Early engagement with fund compliance breaches

The ATO has introduced a new service to centralise the way a fund trustee and professionals can notify the ATO of any unrectified fund compliance breaches. Where a fund has a contravention, it is has always been the case to encourage fund trustees to work with appointed professionals, including the SMSF auditor to rectify any issue … Continue reading »