News

Superannuation contributions “work test” for over 65s

Superannuation contributions “work test” for over 65s

May 4, 2018

Whether or not the trustee of a complying superannuation fund can accept member contributions for those aged between 65 and 75 depends on the member satisfying a “work test”. The work test requires a member to have been gainfully employed for at least 40 hours in a period of not more than 30 consecutive days…

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Bitcoin: Its place in your wallet or SMSF portfolio

Bitcoin: Its place in your wallet or SMSF portfolio

April 6, 2018

While bitcoin may be the most well-known cryptocurrency, there are nearly 1,500 in existence. In its simplest form, a cryptocurrency is a “peer-to-peer electronic cash system”, which means that the currency is not in a physical form like cash but sits in an electronic register. What makes bitcoin work, where previous attempts at electronic cash…

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SMSF commutation requests: How to get the green light from the ATO

SMSF commutation requests: How to get the green light from the ATO

April 6, 2018

The ATO has issued guidance on its approach to commutation requests, which is an essential piece of information for SMSF trustees because it explains which commutation requests will not be subject to an ATO review. With recently introduced superannuation rules now in effect (from 1 July 2017), superannuation members with income streams that are valued…

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Valuations and your SMSF

Valuations and your SMSF

March 2, 2018

The days of a lax approach to valuations are over. While there is not always the need to employ a qualified independent valuer for each valuation, there are important circumstances where it is mandated, and others where it is recommended. Where one is not used then appropriate documentation needs to be kept of how valuations…

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Can an SMSF invest in property development?

Can an SMSF invest in property development?

February 2, 2018

The ATO has been sending some mixed messages about property development involving an SMSF, and has indicated that it is one of the issues on its radar for 2018. So is property development an allowable investment for an SMSF? The short answer yes, but be careful. A longer answer is be very careful — it…

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Forced to unwind your LRBA? Best to have a contingency plan

Forced to unwind your LRBA? Best to have a contingency plan

December 5, 2017

Limited recourse borrowing arrangements (LRBAs) were once all the rage in SMSF land. However, with the tightening of banking rules this frenzy has begun to abate somewhat over the last few years. LRBAs are great in a growing market as they allow an SMSF to grow the value of assets it holds in the expectation…

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What the proposed housing-based super contribution initiatives offer

What the proposed housing-based super contribution initiatives offer

October 12, 2017

After waiting for what seems like an eternity, the government has finally put to Parliament its draft legislation around two of its schemes. The proposed schemes, the First Home Super Saver and Contributing the proceeds of downsizing to superannuation, are both pieces of legislation that are an attempt to bring into action proposals from the…

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Tax deductions specifically for SMSFs

Tax deductions specifically for SMSFs

August 2, 2017

One overarching fundamental that SMSF trustees should ideally keep in mind is the sole purpose test — that is, every decision made and action taken is required to be seen as being undertaken for the sole purpose of providing retirement benefits for the fund’s members. If an SMSF trustee incurs an expense in the usual…

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The transitional CGT relief measure and your SMSF

The transitional CGT relief measure and your SMSF

June 2, 2017

Transitional capital gains tax (CGT) relief is temporary relief available to all complying superannuation funds, not just SMSFs, for certain CGT assets that would otherwise give rise to a taxable capital gain through the necessary efforts to comply with the new transfer balance cap and new conditions to be applied to transition to retirement income…

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What is your “total superannuation balance” and why does it matter?

April 5, 2017

Recent superannuation reforms introduced a concept of “total superannuation balance”, which on the surface may give the simple impression that it is the sum of the balances of a person’s superannuation interests. However, this is not the case. What is the total balance relevant for? The total superannuation balance is relevant in determining a super…

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