ATO warns on early release

In the wake of the jailing of an operator of an illegal early release of superannuation scheme, the Australian Taxation Office has issued a warning to self-managed fund trustees to make sure they only release money from their fund when…

NALI definition expanded

Q: The Government has passed a bill that cracks down on the use of super fund income strategies involving non-arm’s length income. I am a self-managed fund trustee and thought there were already rules in place to stop this sort…

SMSF borrowers may have to recalculate their balances

A change to limited recourse borrowing arrangements, included in new superannuation legislation, may make borrowing a less popular option for members of self-managed super funds. The outstanding balance of borrowings of self-managed superannuation funds will, in certain circumstances, have to…

Kavanagh

On Friday Treasurer Josh Frydenberg announced the terms of reference for a review of the retirement income system, which will look at the interaction of compulsory superannuation, the Age Pension and voluntary savings (including home ownership). We got some valuable…

Superannuation life insurance reforms get the go-ahead

The Government has implemented all of its Putting Members’ Interest First superannuation reforms designed to protect members with low balances or inactive accounts. The Treasury Laws Amendment (Putting Members’ Interests First) Bill was passed in the Parliament, with amendments, requiring…

Contribution doubling strategy

Because concessional contributions to superannuation allow you to claim a tax deduction against personal income, they are a valuable entitlement for anyone wanting to minimise their taxable income. While the annual opportunity to make concessional contributions is restricted to just…

Q&A

Q: My wife and I have recently established an SMSF with a corporate trustee and we want our 17-year old son to join the fund. Can he join? A: We often get asked by our clients who are contemplating establishing an…

Review of SMSF advice rules needed

The tightening up of regulations covering financial advice has made it hard for trustees of self-managed super funds to get basic advice about their SMSFs. The SMSF Association has called for a review of the regulatory structure of SMSF advice…

Low fees drive super fund performance

The importance of fees to superannuation fund outcomes has been underlined in the annual Stockspot review of after-fee performance in the sector. Good performance and low fees go hand in hand. For its latest Fat Cat Funds Report, robo-advice provider…

Carry forward rule kicks in

Since the start of the financial year, super fund members have been able to use new unused concessional cap carry forward rules to increase their contributions. The five-year carry forward period started on 1 July 2018, so the 2019/20 year…