ATO takes aim at non-commercial LRBAs
Limited Recourse Borrowing Arrangements / Professionals / SMSF

ATO takes aim at non-commercial LRBAs

The release of the much awaited interpretative decisions, ATOID 2014/39 and ATOID 2014/40 regarding non-commercial limited recourse borrowing arrangements, has provided important insights into the key elements of what the Commissioner views as non-arm’s length income (NALI) for the purposes of section 295-550 of the Income Tax Assessment Act 1997 (ITAA 1997).  Following the release of … Continue reading »

Can I keep my SMSF records in electronic format?
ATO / Professionals / SMSF / SMSF Compliance / Trustee education

Can I keep my SMSF records in electronic format?

In today’s digital world, the use of electronic storage for photos, documents, and other important content is very common.  Superannuation law requires SMSFs trustees to keep accurate SMSF records for specified time periods. Through the use of electronic storage, it can be not only more convenient, but can reduce the cost of maintaining these records.  To enable SMSFs to take … Continue reading »

Is your SMSF a resident fund?
SMSF

Is your SMSF a resident fund?

We live in a smaller world – a world that includes a far more globalised workforce and people willing to travel further and for longer periods of time.  This opportunity to travel can however present some important items that SMSF trustees need to more closely consider regarding the residency status of their fund. This was … Continue reading »

Current day benefits have no place in retirement
SMSF / SMSF Compliance / Trustee education

Current day benefits have no place in retirement

A recent Federal Court decision of the Deputy Commissioner of Taxation (Superannuation) v Graham Family Superannuation Pty Limited [2014] FCA 1101 is a timely reminder for SMSF trustees to understand the importance of their trustee responsibilities, in particular the sole purpose test. In this case, the Graham Family Superannuation Fund (‘SMSF’) made 80 loans to members totaling … Continue reading »

The end of the road for leverage inside super?
Government / Limited Recourse Borrowing Arrangements / SMSF

The end of the road for leverage inside super?

It appears abundantly clear from the FSI panel and a range of submissions including the Reserve Bank and Big 4 banks that the days are coming to a close for the use of leverage inside super.  You only need to look at the default position of the panel into the FSI interim report to understand that they … Continue reading »

Is leverage a good thing within superannuation?
Limited Recourse Borrowing Arrangements / Opinion / SMSF

Is leverage a good thing within superannuation?

One of the most vocal aspects of the FSI interim report has been the use of leverage within superannuation.  It is a debate that has raged since the recommendation from the Super System Review (Cooper Review) to review leverage inside superannuation approximately two years following the final report.  Earlier this year at the SPAA National conference, … Continue reading »

Must be time for mud-slinging about SMSF fees and minimum balances
Government / Opinion / SMSF

Must be time for mud-slinging about SMSF fees and minimum balances

You can always tell when a Government inquiry is occurring because ‘mud-slinging’ becomes the national pastime for many pockets of the financial services industry. Self-managed super funds (SMSFs) become a key target for many at these times given its continued growth, with rhetoric about minimum balances again for SMSFs, the ATO’s ability to regulate the sector and more…  I am … Continue reading »

An open letter to the SMSF profession
Licensing / Professionals / SMSF / Technology

An open letter to the SMSF profession

Dear Professional, I am writing to you at a time when issues relating to the self-managed super fund (SMSF) industry are once again part of a Government review.  The Financial Systems Inquiry’s (FSI) interim report is posing questions of the SMSF sector’s rise and potential issues with its continued growth. It wasn’t that long ago … Continue reading »

Future of SMSF report is coming…
Announcements / SMSF

Future of SMSF report is coming…

Yes, my blogging has been fairly quiet over the past couple of months… With good reason too! After gaining some fantastic insights from more than 430 respondents, the Future of SMSF report shares key insights into the SMSF sector like nothing ever seen before.  A report that looks at financial services businesses and how they: service the needs of SMSF trustees … Continue reading »

What’s currently on the ATO radar?
ATO / SMSF / SMSF Compliance

What’s currently on the ATO radar?

The ATO’s recent release of its corporate plan for 2014-18 provides some important insights into the Commissioner’s approach towards regulation of the SMSF sector and superannuation more broadly.  Built around six key strategy areas, the ATO’s intentions are clear: To build a culture that embodies the ATO’s values and transforms the client experience; To simply interactions, … Continue reading »