Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

ATO eyeing post-reform super tax tactics, big 4 warns

Accountants should be mindful that the ATO will be closely monitoring additional SMSFs that are set up for clients, which is a strategy some are implementing to circumvent the new segregation rules.

SMSF Katarina Taurian 08 March 2017
— 1 minute read

PwC director of private clients Liz Westover said practitioners or trustees who are thinking about setting up two SMSFs essentially to try and circumvent the segregation rules should be very careful about the decision-making process around that.

Advertisement
Advertisement

This isn’t to say a trustee can’t set up two funds, she said, but there must be other reasons as to why they’re doing that.

“If you are doing it purely for tax purposes, you might have a part 4A issue,” said Ms Westover.

“So don’t set up two funds to try and have one $1.6 million pension account and one other account,” she said.

“If it’s purely for tax you might have a part 4A, and the Tax Office will be looking at you.”

ATO eyeing post-reform super tax tactics, big 4 warns
image intro
accountantsdaily logo

The Accountants Daily 30 Under 30 Awards
This prestigious awards ceremony is the benchmark for excellence, recognising the industry’s most distinguished professionals, aged 30 and under across Australia, highlighting their outstanding achievements and dedication within the industry. Register to the waitlist today to be first in line for updates on when tickets to attend become available, visit accountantsdaily30under30.com.au to join the waitlist.

SMSF