Lately, there has been a lot of loose talk about SMSFs and how they are a used as a vehicle to avoid tax. Unfortunately, those talking about the issue are either way too ignorant or have their vested interests. Some are just using this avalanche of brickbats to vent their angst; after all, the SMSF wave hit the aspirations of many industry funds hard. So, all things said, is there any truth in the allegations? Are SMSFS not paying enough tax? Let us find out what an article on the Australian Financial Review has to say.
Tag: SMSF News Archives
Lifetime Caps to Replace Annual Concessional Contributions
An article on the website Super Review talks about a lifetime caps that could come to replace the annual concessional contributions ceiling. This way, individuals would be able to make greater contributions at the closing stages of their working lives without fearing penalties.
Growth Funds Increase by 2.2% in 2014/2015
Piggybacking on strong performances in properties and listed shares, median growth funds have exhibited a hike of 2.2% through the months of July and August. Scott Hodder, in an article for the website Investor Daily, suggests that the good performance can be put down to the investment strategy of the growth funds.
ATO Comes Out Supporting SMSFs
The SMSF industry runs without prudential regulation and this is the reason why annual independent audits become crucial to the cause of their goodwill amongst investors. After all, it is important to figure out whether SMSF deserves its tax concessional status. SMSF auditors assigned for the job know the importance of their task and give peace of mind to both; the trustees and the government.
How SMSF Lending Breaches the Law
Already, there has been a raging debate about whether real estate agents should recommend SMSF lending for facilitating real estate investments. Now, the turf where this debate is being played out is hotting up further with lawyers warning accountants and advisers of a potential law breach.
Those advisers who are offering Limited Recourse Borrowing Arrangement (LRBA) certificates to SMSF clients are likely to be trespassing the guidelines of the National Consumer Credit Protection Act ‘2009’ and this can land them in trouble as their insurance may fall short of protecting them.
SPAA Predicts High SMSF Costs are Temporary
In an article for the website My Wealth News, Peter Wolfram talks about what the Self-Managed Superannuation Fund Professionals Association of Australia (SPAA) feel about the present SMSF costs.
