Prevailing market conditions can pose problems in acquiring shares using LRBAs
ATO / Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Compliance

Prevailing market conditions can pose problems in acquiring shares using LRBAs

Whilst most of the attention with limited recourse borrowing arrangements (LRBAs) has centred around property transactions, there has been a need to clarify a range of issues on other acquirable assets, in particular assets allowable as a collection of identical assets under the definition of a single acquirable asset (SAA). It’s not uncommon when placing an … Continue reading »

Announcements / Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Strategy / Webinars

WEBINAR – SMSF limited recourse borrowing arrangements

  The topic of borrowing in super continues to gain momentum with a growing number of SMSFs looking to establish limited recourse borrowing arrangements (LRBAs) to acquire property. The next SMSF Academy webinar will discuss the latest issues impacting LRBAs including: Understanding the Commissioner’s views in the final ruling, SMSFR 2012/1: application of key concepts … Continue reading »

ATO / Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Strategy

Zero interest in SMSF borrowing?

Whilst the interest in limited recourse borrowing within self-managed super funds appears to be rising, the opposite has been posed to the  Australian Taxation Office in respect to the level of interest than may be applied to a related party loan. The June 2012 NTLG minutes posed the question as to whether a zero percent … Continue reading »

Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Compliance / SMSF Strategy

Final ruling provides good news for SMSF property investing using borrowing

If the industry was pleased about the draft ruling on limited recourse borrowing arrangements (LRBA), the final ruling, SMSFR 2012/1 has done nothing to wipe the smiles off trustee & industry faces.  The ATO has taken a practical approach in this ruling to key concepts including: What is an ‘acquirable asset’ and a ‘single acquirable … Continue reading »

Limited Recourse Borrowing Arrangements / Podcasts / Professionals / SMSF Strategy / Trustee education

Listen to my latest podcast on SMSF borrowing

I have uploaded today a new podcast interview on the hot topic of Limited Recourse Borrowing Arrangements within Self-Managed Super Funds. This 20 minute podcast interview is with Kris Kitto, SMSF Specialist Advisor and Manager at leading SMSF Administration, SuperFund Partners. Kris is also the author of evolvemysuper.com.au. In this podcast we discuss some of … Continue reading »

Professionals / SMSF / Trustee education

Reflecting on the year that was 2010…

Tis’ the season to reflect on what has been a big year for self-managed super funds and the financial services industry as a whole. The year started with a bang, with Phase Three of the Super System Review on Structure including Self Managed Super Funds.  This phase of the review was arguably the most debated … Continue reading »

Professionals / SMSF / SMSF Strategy

Buying "off-the-plan" with limited recourse borrowing arrangements

Recent media suggests rapidly growing interest in the use of limited recourse borrowing arrangements to acquire property using a Self Managed Super Fund. One of the more common ways people are acquiring property is through “off-the-plan” (OTP) developments, whereby the SMSF signs a contract for the vendor to deliver at settlement a completed apartment. How an … Continue reading »

SMSF / SMSF Strategy / Trustee education

Video Blog – Understanding SMSF Limited Recourse Borrowing Arrangements

The latest edition to my video blogs is now available, which focuses on the topic of understanding SMSF limited recourse borrowing arrangements.  This looks at how superannuation law applies to these arrangements post 7 July 2010. You can also access further information on this topic by listening to my previously recorded webinar, “SMSF borrowing strategies“. … Continue reading »

20 things you need to know about undertaking borrowing inside a SMSF to acquire property
Professionals / SMSF / SMSF Strategy / Trustee education

20 things you need to know about undertaking borrowing inside a SMSF to acquire property

  Borrowing inside a SMSF has been an attractive option for many people considering the acquisition of property, whether it be commercially (i.e. for their business) or for residential investment.  Whilst SMSF borrowing can be an attractive option to consider, it has a range of important features that people need to be aware of when … Continue reading »

Important changes about to be introduced for SMSF Instalment Warrants
Professionals / SMSF / SMSF Strategy

Important changes about to be introduced for SMSF Instalment Warrants

Yesterday saw an important step forward for the use of instalment warrant lending inside Self Managed Super Funds with the introduction of Superannuation Industry (Supervision) Amendment Bill 2010.  There have been more questions than answers since Taxpayer Alert TA2008/5 was issued by the ATO (along with an extensive Q&A document).  Then subsequent to that, the ATO … Continue reading »