Horizon Accountants & Advisory: our role is to ensure YOU are aware of your Self-managed Superfunds (SMSF)
tax obligations & strategies to minimise tax

SMSF Services
✔ Compliance Administration & Taxation ✔ Tax Planning Strategies ✔ Investment Choices ✔ Audit ✔ Setup

Taxation of SMSF’s

Like all super funds, SMSFs benefit from concessional tax rates.
In the accumulation phase, tax on investment income is capped at 15 per cent.
In the pension phase, there is no tax payable, not even capital gains tax.
Carefully considered tax strategies can help trustees grow their super savings and reduce tax payments.



Benefits of Self-Managed Super Funds (SMSF)

✔ Flexibility to implement tax planning strategies
✔ Greater control & visibility over your investments
✔ Option to hold your business premises
✔ Greater investment choice
✔ Pooling of family assets
✔ Flexible Estate Planning



What can I buy in my SMSF?

A fund’s primary purpose is to pay retirement benefits to its members
all regulations are founded on this principle.
As a general rule if the investment does not provide for a future benefit for members it would not be allowed.
It must also be allowed in your SMSF’s trust deed
ie. the document creating & setting out the conditions of operation of the SMSF

Some general examples:
🗶 Personal assets
eg. car, house, personal toys like a boat, jetski, plane
🗶 Personal expenses
✔ Investments in cash, bonds, managed funds, shares etc
✔ Investment in property (although there are strict rules)
✔ Collectibles (although there are strict rules)



Should YOU have a Self-Managed Super Fund?

Some questions to consider:
Q: Do you & the other members of the fund have a combined $250,000 in superannuation savings to begin the fund?
Q: Do you have strong investment knowledge or would you like someone to suggest investment strategy?
Q: Are you willing to learn & stay abreast of regulatory changes?

If you answered yes to all the questions above, an SMSF may be suitable for you to consider.



What are the penalties for non compliance with the super laws?

The ATO states that their main focus is to encourage SMSF trustees to comply with the super laws.
However, the penalties for SMSF trustees who have not complied with the super laws can be severe and can include;

Allowing the SMSF to wind up
Disqualification of a trustee
Notice of non-compliance
Freezing an SMSF’s assets
Enforceable undertaking
Civil & Criminal Penalties
Administrative penalties
Rectification direction
Education direction



Can my Accountant give me advice on an SMSF?

Your Accountant can provide advice on administrative tasks
and provide factual information about investments and strategies
BUT
On 1 July 2016, the rules changed
Accountants are now required to be licenced
in the same way, as Financial Advisers to provide financial advice like:

⮚ Setting an SMSF
⮚ Suitability of investment product or strategy for an SMSF

(Question to ask your Accountant: Are you RG146 licensed
ie. Licensed to give more than administrative task advice.)



SMSF Audit Services

Our SMSF Audit Team conduct audits for all our clients.
The SMSF Audit Team also provide services to many other Accounting firms
who require independent audits to be conducted for their clients.



Contact us for a free no obligation chat about how
we may be able to help YOU