First home saver scheme
Effective 1 July 2017 the Australian Government introduced the First Home Super Saver Scheme FHSSS whereby voluntary superannuation contributions could be made into your superannuation fund to help build a deposit for the purchase of your first home. The scheme was designed to assist first home buyers save for a deposit, by essentially putting extra […]
Shareholder Trust Distributions
Distribution of Trust Income Let’s get the nasty warning out of the way first! If the Trustee does not validly make a resolution for the distribution of trust income by 30 June (or earlier if the Trust Deed requires!), the taxable income of the trust will be assessable in the hands of the default beneficiary (provided […]
Tax and Crowdfunding
Parties seeking crowdfunding generally adopt a donation based, rewards based, equity based or debt based model and there are generally three parties in a crowdfunding arrangement: 1) the initiator of the project or venture (the ‘promoter’); 2) the organisation providing the crowdfunding website or platform (the ‘intermediary’); and 3) individuals or entities that contribute or […]
Trustee obligations and SMSF
The ATO has a targeted approach to SMSF compliance and Trustees must be aware of their role and responsibilities. Some of the key areas the ATO is focused on include: • Whether the fund has been established as a genuine super fund • Lodgement obligations • The use of prohibited loans • Related party transactions […]
Div 7A and Corporate Beneficiaries
If you have a Trust in your operating or investment structure, it is crucial that you have a basic understanding of your Div 7A obligations. For those who’d like to undertake some additional reading on this topic, refer to ATO Tax Ruling TR 2010/3 or ATO Practice Statement PSLA 2010/4 for further information (Hot tip: […]
GST and developers
The Government announced in the 2017-18 Budget that from 1 July 2018 purchasers of new residential premises or land in new subdivisions will need to remit the GST on the purchase price directly to the Australian Taxation Office (ATO) as part of the settlement process. The Bill was introduced to the House of Representatives on […]
The right business structure
It is very common that businesses will find that as their business grows, their business structure no longer suits their needs. As such, it is vitally important to review your business structure to ensure it allows the business to achieve its goals now and well into the future. Common structuring issues Businesses often encounter a […]
What happens when a member dies?
In an SMSF when a member dies, the trustee needs to deal with the deceased member’s pension assets. How this works, depends on many factors such as the nature of the assets, whether the assets are segregated and a range of other things. But one important factor is whether the deceased member is in pension […]
Basic Duties of a Trustee
Adhere to the Terms of the Trust Deed This is the most important duty of all. Also called First Duty. You can modify most other rules, but not this one. “You can change the terms of the trust. But you can’t change the duty to follow the terms of the trust.” But there are exceptions. Saunders v […]
Why do you need a will
According to multiple media reports, Aretha Franklin, the Queen of Soul, died without a Will and without explicit testamentary intentions. The Rolling Stone have valued Aretha Franklin’s estate as worth approximately $80 million. Due to her lack of Will, her assets are likely to be contested in court similarly to the way in which Prince’s […]
