The ATO has commenced issuing notices for its compliance program focusing on the “Next 5000” private groups in Australia. This article provides our top tips for preparing for an audit and how we can assist you in doing this.

An intermediary limited recourse borrowing arrangement (LRBA) differs from a standard LRBA in that the bare trustee, rather than the SMSF trustee, enters into an LRBA borrowing as principal with a lender.

This paper examines a number of current and topical issues in relation to limited recourse borrowing arrangements (LRBAs), including:

As discussed here, the decision in Dental Corporation Pty Ltd v Moffet [2020] FCAFC 118 (16 June 2020) (Moffet) marked an important shift in how the courts have interpreted the employee/contractor distinction for the purposes of superannuation guarantee obligations.

The ATO has released a private binding ruling (Ruling) on the deductibility of certain expenses incurred by a self managed superannuation fund (SMSF) trustee in managing the SMSF’s share portfolio.

In a recent industry forum, the ATO confirmed they will be resuming superannuation guarantee (SG) compliance action following a pause due to COVID-19. The ATO indicated they have a considerable backlog of SG compliance cases as a result of COVID-19, which they are now working through.

A surprise inclusion in the Federal Government’s Mid-Year Economic and Fiscal Outlook (MYEFO) could mean good news for recipients of certain non-commutable ‘legacy’ pensions.

While SMSF trustees should be aware of the ATO’s concerns in relation to property development (for example, as outlined in SMSFRB 2020/1), a recent Full Court of the Supreme Court of South Australia has highlighted the commercial risks of such arrangement.

As previously discussed here, the ATO has now finalised the legislative instrument Self-Managed Superannuation Funds (COVID-19 Rental income deferrals – In-house Asset Exclusion) Determination 2020 (Determination). The Determination does not materially differ from the draft version.

In the recent decision of MWWD v FC of T 2020 ATC (16 October 2020), the Administrative Appeals Tribunal (AAT) found that payments to a contractor repair technician did not trigger a superannuation contribution/charge obligation under the Superannuation Guarantee (Administration) Act 1992 (Cth) (SG Act).

Under the Superannuation Industry (Supervision) Act 1993 (SIS Act) a disqualified person cannot be a trustee or director of a corporate trustee of a self managed superannuation fund. Where a person is disqualified because of a conviction, they can apply for a waiver of the disqualification status within 14 days from the date of conviction.

The Australian Taxation Office (ATO) has begun issuing notices for its compliance program focusing on the “Next 5,000” private groups in Australia (Next 5000 Program).

Where super guarantee contributions are not made by 28 days after the relevant quarter, a superannuation guarantee charge (SGC) liability is triggered. If the contributions are made after the due date, then, in certain circumstances, those late contributions can be offset against the SGC liability.

From 1 July 2014, the ATO was granted power to issue administrative penalties to self managed superannuation fund SMSF) trustees for breaches of the Superannuation Industry (Supervision) Act 1993 (SIS Act).

Event Based Reporting Obligations for the transfer balance cap using TBAR

1. Succession planning – recent cases on BDBNs

SMSF Update – Your Ultimate 2020 Review and Forecast Slide Overview

The ATO has provided some welcome clarification for auditors regarding their obligations to report on non-arm’s length expenditure (NALE) incurred by a super fund of a general nature.

As discussed here and here, the superannuation guarantee (SG) amnesty allowed employers to disclose and pay previously unpaid SG charge, including nominal interest, for the quarters between 1 July 1992 to 31 March 2018 without incurring the administration component ($20 per employee per quarter) or Part 7 penalties. In addition, payments of SG charge made to the ATO under the amnesty were tax deductible.

In June 2020, the ATO updated the independent auditor's report instructions (IAR) so that auditors would not need to modify their opinion in Part B of the IAR with respect to certain contraventions arising from the impacts of COVID-19 for the 2019-20 and 2020-2021 financial years.

SMSFs (self managed superannuation funds) have been carrying on property development activities ever since SMSFs came into existence. Yet despite that there is still a common concern that such activities will cause the SMSF to become non-compliant, or subject to penalties, on the basis that such activities, and in particular undertaking a property development business, are prohibited.