Draft SMSF Ruling – limited recourse borrowing arrangements

From

The ATO has recently issued draft SMSF Ruling SMSFR 2011/D1 – Self Managed Superannuation Funds: limited recourse borrowing arrangements – application of key concepts. This draft ruling explains important concepts about limited recourse borrowing arrangement (LRBA) provisions as they apply to SMSFs. The key concepts explained are: what is an ‘acquirable asset’ and a ‘single […]

continue reading

478 Prosecutions: do the crime, face the consequences says ATO

From

Acting Tax Commissioner Jennie Granger today reminded the community that the ATO is continuing its focus on those who do the wrong thing. “Those who are caught face extremely serious penalties including criminal conviction, significant fines and imprisonment,” Ms Granger said. “Even if penalties do not include jail time a criminal conviction will mean a […]

continue reading

ATO addressing cash economy

From

One way that the ATO addresses the cash economy is through writing to taxpayers and – where identified in ATO systems – their associated tax agent representatives. In 2011-12, the ATO is sending letters to registered tax agents identified as having a high number of clients reporting outside the small business benchmarks. We will include a list of the […]

continue reading

SPAA calls for rethink on tax after death

From

The Self Managed Super Fund Professionals’ Association (SPAA) has expressed concern about a draft tax ruling which clarifies that income derived from assets supporting the payment of a pension from a superannuation fund are immediately taxable upon the death of the pension member. The draft ruling TR 2011/D3 includes tax liabilities from income taxes and capital […]

continue reading

Deferred date for new tax treatments for managed investment trusts

From

Last year, the government announced a new tax system for managed investment trusts (MITs) that will reduce complexity, increase certainty and minimise compliance costs for MITs and their investors.  In April, a further announcement was made to defer the start date of the new laws from 1 July 2011 to 1 July 2012.  The government […]

continue reading

The taxation of financial arrangements under TOFA rules

From

Background to the TOFA reforms The TOFA reforms were first announced in the 1992 budget and were later taken up by the Review of Business Taxation. The review’s final report – A Tax System Redesigned (the Ralph report) – made various recommendations about the taxation of financial arrangements. While some of the recommendations made in […]

continue reading

Strategy for making contributions important to avoid excess risk, says expert at SPAA National Conference

From

There are ways to manage excess contributions and contribution strategies to consider The halving of the super contribution caps has resulted in rising instances of people making excess contributions and attracting tax office penalties, but strategies exist to both remedy errors and maximise savings, according to Jemma Sanderson, Principal of Cooper Partners Financial Services. Ms […]

continue reading

SPAA National Conference: SPAA predicts year of clarity for SMSFs

From

SPAA will work towards resolution of the excess contributions tax issue for investors and replacement of the accountants’ exemption as new SMSF issues emerge The Self Managed Super Fund Professionals’ Association has today predicted a year of clarity for the SMSF sector on issues such as limited recourse borrowing, replacement of the accountants’ exemption and […]

continue reading

FPA welcomes TFN legislation

From

The FPA welcomes Friday’s announcement introducing draft legislation to enable Tax File Numbers (TFN) to be used by super funds as the primary source to identify superannuation accounts and match them with their members. Though lost super accounts are not a major issue for clients who have a financial planner, there are of course many […]

continue reading

SPAA calls for action on annual contribution caps and excess contributions tax in Federal Budget submission

From

SPAA says superannuation caps must be returned to pre 2009 levels The Self Managed Super Fund Professionals’ Association has today called for excessively low superannuation contribution caps to be restored to their pre-2009 levels, to allow people to legitimately save for retirement and for a sensible, workable solution for those who inadvertently breach superannuation caps […]

continue reading