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 »
When is an actuarial certificate required for a self-managed super fund? This is one of the most searched topics on my blog. With 88% of all tax deductions claimed within SMSFs relating to exempt current pension income (ECPI), the Australian Taxation Office is casting a very close eye over the growing number of tax deductions … 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 »
The introduction of the Simpler Super reforms saw many SMSF members commute their complying income streams (defined benefit pensions) that were previously established to ‘compress’ benefits under the old RBL system. The removal of RBLs saw many members wanting a simpler and more flexible income stream, with monies supporting these complying pensions being able to … Continue reading »
I’m pleased to announce the launch of my Top10 SMSF strategies for 2012-13 webinar to be held at 11am AEST, Thursday, 23 August 2012. With more than 410 attendees to last year’s session, this is the most anticipated SMSF webinar for 2012!! In addition to the webinar, all attendees will receive a free copy of … Continue reading »
The 2011 year was the first year in which baby boomers became eligible to receive an Age Pension. However, for many baby boomers, the ability to draw an income stream has started a lot earlier in life with individuals either retiring well before age 65 or transitioning to retirement. With a SMSF, the ability to … Continue reading »
The contribution cap reduction from 1 July 2012 for those over 50 has certainly been a ‘kick in the guts’ for many people who were at a stage in life where they have a capacity to build their retirement savings. A strategy that has grown each year since its introduction on 1 July 2005, has … Continue reading »
Is it just me, or is it hard to believe we have just hit December!! How quickly the year has flown… With Christmas now not that long away, I intend to finish the year off with a bang and have put together the “25 Super Strategies of Christmas”. Each day from the today (1st … Continue reading »
I was pleased to read Minister Shorten’s press release today that the Government has decided to extend the 25% reduced minimum pension levels for the 2012/13 financial year. I have been quite vocal in my views that the Government ‘pulled the trigger’ a little early in trying to re-rationalise these minimum pension percentages from 1 … Continue reading »