TECHNICAL ARTICLES

The findings of the Financial System (Murray) Inquiry included a recommendation that limited recourse borrowing by superannuation funds be stopped. Where does that leave SMSF trustees and their advisers with their longer term planning? Financial System Inquiry On 7 December 2014, the Government released the final report of the Financial…

Inadequate may seem harsh but, in releasing 2 Interpretative Decisions, the ATO has missed the opportunity to provide positive guidance to SMSF trustees and their advisers. On 12 December 2014, the ATO released 2 Interpretative Decisions concerning limited recourse borrowing arrangements and non-arm’s length income. This paper explains what could…

Trustees and advisers should consider, given the Centrelink changes due to take effect from 1 January 2015, whether current Transition to Retirement Income Streams will automatically convert to Account Based Pensions. Centrelink changes From 1 January 2015, Centrelink assessment of new superannuation income streams (for income test purposes) will be…

When the ATO calls SMSF trustees, it is not always bad news - but it can be. If trustees are forewarned and understand why the ATO may call them, a reasonable outcome may follow. This paper considers some of the reasons why the ATO may call trustees of an SMSF,…

Whilst binding death benefit nominations are the most commonly used estate planning tools for SMSFs, there are alternatives, such as a death benefit guardian. The role of the death benefit guardian is, basically, to ensure death benefits from a SMSF are applied in accordance with the wishes of the deceased…

When a Transition to Retirement Income Stream (TRIS) can be commenced is well known by advisers, what appears to be unclear to some is the process to lift the 'lid' on the restrictions applicable to a TRIS. What is a Transition to Retirement Income Stream? A TRIS, as it is…

Advisers need to consider what action they will recommend their clients take before the 1 January 2015 Centrelink changes to the treatment of income from superannuation income streams take effect. 1 January 2015 changes Legislative changes in March and September 2014 have resulted in an extension of the deeming rules…

Provided their Trust Deed permits, SMSF members can construct Binding Death Benefit Nominations in a similar fashion to a Will, enabling complex estate planning strategies for their SMSF Along with pension reversionary nominations, Binding Death Benefit Nominations (BDBNs) are the most common means by which a member will allocate the…

Careful planning is required to ensure benefits go where they are intended on the death of an SMSF member This article considers some of the possible risks associated with SMSF death benefits and illustrates how you, as a trusted adviser, can assist in protecting your clients from those risks. Superannuation…

Superannuation rules permit members of superannuation funds to make binding death benefit nominations (BDBNs), nominations that bind the trustee to pay a member’s death benefits in accordance with their specific wishes. In this article, we examine the features of BDBNs and consider the importance of getting them right. What is…