SUPERCentral News

From 1 July 2021, if a non-arm's-length capital gain is made by a segregated current pension asset on or after 1 July 2021, it will be treated as non-arm's length income ("NALI"), meaning that it will be taxed at the highest marginal rate of 45% under section 295-550 of the Income Tax Assessment Act 1997 ("ITAA97").

Contrary to popular belief, simply tearing up or ignoring signed legal documents does not eradicate its effect. The reality is, once a documented agreement is executed (by signature or common seal) it can only be unmade, corrected or amended by the signing of other relevant legal documents. So what are your options when a mistake is made or you find an error?

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While the facts of a recent NSW Supreme Court case, G v G (No.2) [2020] NSWSC 818, relate to a financial manager appointed under the NSW Trustee and Guardian Act 2009 (NSW) and retail super funds, the decision that the fiduciary office has no authority to make a binding death benefit nomination seems to raise an interesting question quite relevant for SMSFs; namely, can an attorney under an Enduring Power of Attorney ('EPOA') validly make, change or revoke a binding death benefit nomination on behalf of their principal?

A withdrawal and recontribution strategy could over time permit a member to transfer a material part of their superannuation to a non-dependant who would not ordinarily be entitled to receive the member's super following the death of that member.

We often want certainty. In a world where there is increasing conflict between family members after a parent dies, and a greater propensity for children to challenge a deceased person's estate, anything that promotes greater certainty with regard to estate planning is usually seen as a good thing.

SMSF deeds, governance, LRBA set up, remediation and tailoring .... asset structuring and advice .... adviser fee for service estate planning and probate .... strategic business services, agreements, leasing, buy/sell .... technical resources, PD training & free member services .... electronic signing and electronic witnessing.

Jonathan See of Townsends Business & Corporate Lawyers recently published an article on 'Preparing for the Inevitable: Getting your estate documents together'. Below is an excerpt, the suggested list of documents clients can provide to Executor/s as part of their estate planning activities.

The ATO has recently published "Evidence to support real property valuations" which outlines the ATO's evidence approach and requirements for real property valuations. The approach elaborates but generally accords with the ATO's previously published valuation principles. This article explains the ATO valuation requirements for real property and other asset classes and situations.

What happens where, at the time of death of the pensioner, a reversionary pension fails to revert because the nominated reversionary pensioner (a SIS Act dependant) is not eligible to receive income stream death benefits, for example where the nominated reversionary pensioner is an adult child of the deceased member.