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

Limited Recourse Borrowing to again become a financial product

As we move closer to the implementation of industry reforms regarding the provision of financial advice, Treasury last week has added to the pile with the re-issuing of draft Corporations Amendment Regulations to provide that limited recourse borrowing arrangements as allowed under superannuation law are financial products. These reforms were previously announced back in March … Continue reading »

ATO / Professionals / SMSF / SMSF Compliance / Trustee education

Can you be remunerated as a Fund Trustee?

One of the conditions of meeting the definition of a Self Managed Super Fund is that trustees cannot be remunerated for their services. There is a need however to distinguish between services that may be provided  as a trustee for which no remuneration can be provided, against services provided by an individual but not in their capacity … Continue reading »

Limited Recourse Borrowing Arrangements / Professionals / SMSF / SMSF Compliance

Replacing assets using limited recourse borrowings affected by natural disasters

It was pleasing to read recently in Investor Daily recently (23 March 2011) the Australian Taxation Office saying that it will use its discretionary powers to provide relief for SMSF trustees with limited recourse borrowing arrangements affected by the recent spate of natural disasters. According to the article, the Tax Commissioner, Michael D’Ascenzo will use powers provided … 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

SMSFs & Powers of Attorney

The Australian Taxation Office (“ATO”) earlier this year finalised SMSFR 2010/2 that related to the operation of Powers of Attorney (“PoA”) within Self-Managed Superannuation Funds (“SMSF”). Subparagraph 17A(3)(b)(ii) of the SIS Act (“SISA”) applies to SMSFs.  The new ruling qualifies the ATO’s views as contained in SMSFR 2009/D1. For a PoA to be effective in … Continue reading »

Professionals / SMSF / SMSF Compliance / Trustee education

Carrying on a business within a SMSF

The Australian Taxation Office (ATO) has always taken a “very dim view” to a SMSF wanting to carry on a business, but the law does not prevent a fund from doing so. Information contained on the ATO website provides an insight to the determining factors and issues as to whether an SMSF can carry on … Continue reading »

Defining Self Managed Super Funds
SMSF / Trustee education

Defining Self Managed Super Funds

Self Managed Super Funds (“SMSFs”) are arguable the world’s most unique retirement savings vehicle. There is no other retirement model in the world that allows for individuals to be able to take control of their retirement savings cheque book and make investment decisions for themselves to benefit their own retirement.  This level of self-direction and … Continue reading »

Dealing at arms-length with your SMSF
SMSF / SMSF Compliance / Trustee education

Dealing at arms-length with your SMSF

The requirement to be dealing at ‘arms length’ with your SMSF is an important part of superannuation law to ensure prevention of transactions that may allow fund assets to be used as a source of concessionally taxed benefits to members in pre-retirement years, or to advantage non-members. Section 109 of the Superannuation Industry (Supervision) Act (SIS … Continue reading »