The government has released draft legislation that provides more scope for contributions to superannuation once someone has turned 65. Generally, the trustee of a superannuation fund can only accept a contribution for someone who has turned 65 (and is under 75) if they satisfy the work test in the year of the contribution (worked at least 40 hours in a consecutive 30-day period).
Over the last few years, courts have been called upon to consider whether the executor or administrator of a deceased estate can claim a superannuation death benefit for themselves, or whether they are conflicted from doing so.
We reported the initial Federal Court decision in the Aussiegolfa (DomaCom) case late last year. The full Federal Court has handed down its decision on the appeals (Aussiegolfa Pty Ltd (Trustee) v Commissioner of Taxation [2018] FCAFC 122).
Contrary to popular belief, transactions involving cryptocurrencies such as bitcoin are not always anonymous. The ATO is set to audit transactions involving cryptocurrency in the coming months.
On 24 May 2018, the Government introduced a 12 month superannuation guarantee amnesty. The amnesty provides incentives for businesses to self-correct historical errors in relation to compulsory superannuation.
The Treasury Laws Amendment (2018 Superannuation Measures No. 1) Bill 2018 contains updated provisions to include an additional increase to a member’s ‘total superannuation balance’ when an SMSF has outstanding borrowings.
Although the 2018/19 Federal Budget was relatively uneventful compared to previous years, the Government did announce that the maximum number of members allowable in self-managed superannuation funds (SMSFs) will be increased to six (up from four) from 1 July 2019.
The Labour Hire Licensing Act 2017 (Qld) commences on Monday 16 April 2018, and requires providers of labour hire to other entities in Queensland to be licensed. The Act itself does not differentiate as to whether the supply of labour is to a related entity or not, which means internal labour hire arrangements are caught by the Act.
From 1 July 2018, there is a new contribution cap – the downsizer contributions cap.
A Treasury consultation paper issued on 11 January 2018 includes some new integrity measures. One of these is proposed changes to the non-arm’s length income (NALI) rules that were announced in the 2017 Budget.
A Treasury consultation paper issued on 11 January 2018 includes new integrity measures, one of which will affect SMSFs entering into new borrowing arrangements (LRBAs) after 30 June 2018.
The recent case of Aussiegolfa Pty Ltd (Trustee) v Commissioner of Taxation [2017] FCA1525 is a reminder to SMSF trustees of the Commissioner’s wide power to deem assets to be in-house assets and of the reach of the sole purpose test when considering investments.