On Wednesday 6 November 2013, Federal Treasurer Joe Hockey and Assistant Treasurer Arthur Sinodinos announced the Government’s decision to abandon $3.1 billion worth of Labor’s unlegislated proposals in relation to tax and superannuation.
On 6 November 2013, Treasurer Joe Hockey announced the Government’s decision to abandon some of Labor’s proposed tax and superannuation initiatives.
Self-managed superannuation fund administrators, planners and accountants should be aware that the rules to calculate the components of a superannuation death benefit where a person receiving a non-reversionary pension dies have been amended by the Income Tax Assessment Amendment (Superannuation Measures No 1) Regulation 2013. The new rules are effective from 3 June 2013.
On 30 July 2013 the ATO issued TR 2013/5 – the final ruling on when an account based or transition to retirement income stream commences and ceases.
Regulations have commenced that will continue the tax exemption on earnings of a Self-Managed Superannuation Fund (SMSF) where a pensioner has died.
Self-managed superannuation fund (SMSF) trustees and their advisers should be aware that there is a new duty exemption in Queensland for property transfers from a custodian (bare trustee) to the SMSF trustee. While the amendment is recent, it applies retrospectively from 26 October 2011.
In light of the substantial changes within the superannuation sector, self-managed superannuation fund (SMSF) trustees should review their existing arrangements to ensure they fully comply with existing and proposed amendments to the Superannuation Industry (Supervision) Act 1993 and the Superannuation Industry (Supervision) Regulations 1994 (SIS legislation) from 1 July 2013.
Every person should consider an enduring power of attorney. As well as the ‘usual’ risks of who looks after your affairs, members of SMSFs also risk compliance issues for their fund if they do not have a valid enduring power of attorney in place.
The government has announced reforms to superannuation, including changes to the taxation of fund income, concession contributions caps and rules regarding excess concessional contributions. However, it is highly unlikely that these amendments will be legislated before the election later this year.
From 1 July 2013, accountants, other advisers, companies and partnerships can apply for a limited financial services licence that will allow them, their employees and representatives to provide advice in a range of situations when dealing with self-managed superannuation funds (SMSFs), without holding a ‘full’ AFSL.
Draft legislation designed to give the ATO more flexibility in dealing with breaches of the Superannuation Industry (Supervision) Act or Regulations by SMSF trustees has been released. The changes are intended to take effect from 1 July 2013.
From 1 July 2013, any auditor who wishes to sign off on audit reports for self-managed superannuation funds (SMSFs) must be an ‘approved SMSF auditor’, and SMSF trustees who engage an auditor who is not an ‘approved SMSF auditor’ will breach the Superannuation Industry (Superannuation) Act 1993