Welcome to ESUPERFUND’s May Newsletter.
In this issue, we note that the 2015-2016 Lodgement Due Date has been deferred to 30 June 2017. We continue to look at the recent updates released by the Australian Taxation Office (ATO) in relation to the 2016-17 Federal Budget Superannuation Reforms. We highlight the new webpages to guide you through the SABP Reform and Pension Strategies prior to 01 July 2017. In addition, we introduce some newly released updates to the Client Portal. Lastly, we inform you of the email notifications sent to recipients of existing SABPs.
Client Services Manager
On 11 May 2017, the ATO announced that the lodgement and payment for 2015-2016 self-managed superannuation fund (SMSF) annual returns with a concessional due date of 15 May 2017, has been deferred to 30 June 2017.
Please visit the ATO’s website for a full description.
If the lodgement due date for your SMSF's 2015-2016 Annual Return was 15 May 2017 previously, you now have until 30 June 2017 to lodge the 2015-2016 Annual Return and pay the income tax liability. If you have received any emails from ESUPERFUND recently, reminding you of the 15 May 2017 due date, please simply disregard these reminders
However, if the lodgement due date for your SMSF's 2015-2016 Annual Return is 31 October 2016 or 28 February 2017, you are not entitled to the due date deferral discussed above.
We advise that you can check the lodgement due date and the status of your Fund's income tax return via the Client Portal.
The ATO is currently developing the best approach to implement the Superannuation Reforms and detailed guidelines will be released gradually as the ATO progresses the administration of the changes within its current superannuation system. During the last month, the following official resources have been published by the ATO:
CGT Relief Webinar
This webinar provided a detailed overview of the capital gains tax relief available to complying funds that need to take actions as a result of the new transfer balance cap and transition to retirement pension changes.
The webinar recording can be accessed on the ATO’s website.
Transition to Retirement Pensions Webinar
This webinar provided an introduction and overview to the Transition to Retirement Pensions (TRAP) changes effective 1 July 2017. It also discussed taxation changes to TRAP and its interaction with the other superannuation new measures.
Practical Compliance Guideline PCG 2017/5 - Commutation Requests Made before 1 July 2017
This Guideline explains how SMSF members with pension balances in excess of $1.6 million can request a pension commutation effective 30 June 2017, even though the amount of their pension excess is not determined until after 30 June 2017. It avoids the need for SMSF members to estimate their excess pension balance and commute this amount before 30 June 2017.
In simple terms, affected members only need to sign a commutation request letter before 30 June 2017 to confirm their intention to comply with the transfer balance cap. The exact rollback amount can be determined later as part of the 2016-2017 tax return process.
We advise that ESUPERFUND's approach is in line with the ATO's PCG 2017/5. We are currently drafting the sample commutation request letter to ensure our clients can meet all the conditions set out in the guideline.
During the last month, we have published some new articles on our website to help you understand the implications of the Superannuation Reforms:
SABP Reform - Introduction of the Transfer Balance Cap
This article has been updated to include more detailed information on the various income streams that count towards the cap and the actions that affected members should take prior to 30 June 2017 to comply with the cap.
Pension Strategies prior to 01 July 2017
This article reminds you of the last opportunities to take advantage of the existing pension rules in the 2016-17 Financial Year.
We are excited to announce that new features and updates have recently been released in the Term Deposit Section of the Client Portal. We continue to improve the Client Portal to provide you with a better user experience and ensure that you receive convenient online solutions. Login to the Client Portal to explore the new functions! If you have any queries or suggested enhancements, please feel free to contact us.
If there are member(s) in the SMSF currently in receipt of an SABP and / or have an existing TRAP but will turn age 65 / retire during the 2016-17 Financial Year, you will be contacted by our office by the end of May 2017. If you do not receive any communication from our office by 31 May 2017, please contact us immediately.
ESUPERFUND uses everyday simple language to explain everything about managing our superfund.
They are only a phone call away to solve any question or any problem that we might run into. The fixed price is a very reasonable charge. We are pleased with the ESUPERFUND's high level of service and transparency.
ESUPERFUND Pty Ltd as Trustee for ESUPERFUND Trust ABN 37 842 535 715
General Advice Warning
The contents of this website are of a general nature only and have not been prepared to take into account any particular investor's objectives,
financial situation or particular needs. ESUPERFUND does not provide financial product advice or recommend any financial products:
This applies equally to those financial products which are established for your SMSF when you become a client of ESUPERFUND.
Where this publication refers to a particular financial product then you should obtain a Product Disclosure Statement (PDS) relating to that product and consider the PDS before making any decision about whether to acquire the product.
We also recommend that you should seek professional advice from a financial adviser before making any decision to purchase any financial product referred to on this website.
While the sources for the material are considered reliable, responsibility is not accepted for any inaccuracies, errors or omissions.
When setting up a SMSF it is important to understand that additional fees may apply that must be carefully considered prior to making a decision to setup a SMSF including an
ATO Supervisory Levy
Company Trustee Setup Fee (where applicable)