The Government has moved quickly on their 5 April 2013 announcements to increase the concessional contribution (CC) cap, with Treasury releasing of an exposure draft (for industry consultation) which outlines details proposed increases from 1 July 2013. The increase in the CC cap is to be phased in, with an: increase to $35,000 from 1 … Continue reading »
With the growing number of SMSF members moving towards retirement, there is a growing focus on benefit payments from superannuation. Within the SMSF environment, the ATO has taken an increased interest in this area from a compliance perspective, with guidance focusing on when pensions commence and cease, along with key issues around funds claiming tax … Continue reading »
The growing interest of property investment within self-managed super funds has certainly extended to individuals looking to undertake some of the property improvements themselves to build retirement savings (e.g. builders). Recent discussion within the NTLG Superannuation Technical Sub-group (March 2013) looked at the issue of a related party undertaking improvements to a property at no … Continue reading »
After speculation of changes to superannuation reached fever-pitch, we saw today the Treasurer, Wayne Swan and Minister Bill Shorten announce reforms to address issues of adequacy and sustainability for the long-term future of superannuation. It’s pitch was clear, fairer super for all Australians. It is important to remember, these are simply announcements to be delivered … Continue reading »
No it isn’t, but then again it’s not always as black and white as many of the experienced industry professionals believe. Typically, SMSF administrators use a 2 point method of determining whether an Actuarial Certificate of Income Tax Exemption is required: Were there Pension and Accumulation Accounts in the Fund during the income year? Were … Continue reading »
With a growing number of SMSFs now drawing income streams, it is important to understand the obligations around calculating a fund’s tax exemption. With 88% of the total value of fund tax deductions relating to exempt current pension income (ECPI), this area has become a key focus of the Commissioner’s compliance activity each year. As … Continue reading »
Is it essential when buying property using a limited recourse borrowing arrangement (LRBA) to require only two payments, being a deposit and settlement payment to comply with the single acquirable asset definition? This was the question recently asked of the NTLG Super Technical sub-group (December 2012) regarding example 10 within SMSFR 2012/1, which refers to … Continue reading »
In a follow-up to my last blog post about “falling short with pension payments”, I’ve had a range of questions being asked about the ATO’s view when a trustee may not meet the pension standards and when the Commissioner may use his powers of general administration (GPA) to allow for a pension to continue, along … Continue reading »
Forgetting to take the minimum pension is one of the cardinal sins when it comes to operating your self managed super fund. This issue was highlighted within draft tax ruling, TR 2011/D3 where the Commissioner states that failure to meet the minimum will mean the fund is not entitled to tax exemption on the income … Continue reading »
With the self-managed super fund landscape continuing to evolve, it is important that education and training reflects the changing nature of technical and regulatory issues. With this in mind, the Changing Face of SMSF webinar (previously the SMSF quarterly wrap) provides professionals with up-to-date information about legislative change from Government and the from Regulators. Webinar outline: In … Continue reading »