Hot Issues
spacer
Resources on our site to help you, your family and your friends.
spacer
Calls to Review ASIC's Definition of Lapse Insurance
spacer
Paperwork bungles lead to $38k in payments
spacer
Self-employed? Don't miss out on super
spacer
Australian Dietary Guidelines and healthy eating chart (PDF)
spacer
Big concessions looking likely for transfer balance limit: ATO
spacer
Raft of superannuation measures enter Parliament
spacer
US Fed policy: Normalisation begins
spacer
What the gig economy may mean for your super
spacer
Powerful Budgeting, cash flow and Super Tools available on our site.
spacer
Australia's leading causes of death - ABS
spacer
Government introduces first home scheme laws
spacer
Are young investors wasting their youth?
spacer
ATO granted super enforcement powers
spacer
The great Australian (retiree) dream
spacer
ATO to release further guidance on reserves
spacer
A real-world benchmark for SMSF performance
spacer
How is your super going, ready for retirement?
spacer
Our 'hardest' SMSF tasks
spacer
Lack of literacy promotes unrealistic goals
spacer
Young investors: Time is on your side
spacer
Is your SMSF retirement-ready?
spacer
Key Economic Indicators, 2017 - updated
spacer
Investors acting their age
spacer
ATO locks in details, addresses panic on real-time reporting
spacer
Government ‘undermines’ tax system in new moves on property expenses
Article archive
spacer
Quarter 3 July - September 2017
spacer
Quarter 2 April - June 2017
spacer
Quarter 1 January - March 2017
spacer
Quarter 4 October - December 2016
spacer
Quarter 3 July - September 2016
spacer
Quarter 2 April - June 2016
spacer
Quarter 1 January - March 2016
ATO locks in details, addresses panic on real-time reporting

The tax office has addressed several points of confusion with the new events-based reporting regime, locked in key deadlines, and outlined what will be included in a new position paper set to be released shortly for the SMSF community. 

 

 

From 1 July 2018, SMSFs will be required to report those events which impact on a member’s transfer balance account on an events basis. For those who want to get on board early, SMSFs can voluntarily begin reporting from October this year, which is when APRA funds will start.

Speaking to SMSF Adviser to address some concerns about the breadth of the new regime, ATO assistant commissioner Kasey Macfarlane emphasised the events that are required to be reported on a more regular basis are confined to transfer balance cap events.


“SMSFs won’t be required to report investment earnings, investment gains, investment losses on a more regular basis. They won’t be required to report members’ account balance information on a more regular basis. And they won’t be required to report contribution or pension payments on a more regular basis under this model,” she said.

The more common items that will need to be reported include the dates and value of any pension that an SMSF member is entitled to or commences, the date of any commutation of one of those pensions, and any structured settlement payment that an SMSF member receives and contributes to their fund.

Further, LRBA payments that give rise to a transfer balance credit will need to be reported, following a bill that was introduced in June.

“Importantly SMSFs, only have to report something if there is an event that impacts on one of their member’s transfer balance. An SMSF with relatively straightforward events may only have one or two events per member to report over the life of the fund,” said Ms Macfarlane.

Further, and as foreshadowed by SMSF Adviser last week, the ATO will be releasing a position paper shortly which will look at adjusting the time frames for events-based reporting.

One of the options is that from 1 July 2018, SMSFs would only be required to report transfer balance cap events quarterly, with a view to have a generous transitional period — possibly two years — before moving to monthly reporting.

“The feedback has been that there are different reporting periods for different events, which may make the reporting requirements less clear, and make people less likely to report these events appropriately,” she said.

 


KATARINA TAURIAN
18 Aug 2017
smsfadviser.com