What is a complying superannuation fund?
Funds which comply with the Superannuation Industry (Supervision) Act 1993. qualify for concessional tax rates. A complying super fund is taxed at 15%. Non-complying super funds do not receive concessional tax rates. A non-complying super fund is taxed at 45%.
How can a superannuation fund be checked to see if it is a compliant fund?
How do I check whether a superannuation fund is a complying fund? You can find a register of APRA-regulated superannuation funds. Self-managed superannuation funds (SMSFs) are listed on: Australian Government’s ‘Super Fund Lookup’.
How do I become a complying super fund?
To be a complying super fund and receive tax concessions, your self-managed super fund (SMSF) needs to be an Australian super fund at all times during the financial year. If your fund stops being an Australian super fund because it does not satisfy the residency rules, it may become non-complying.
What is a non-complying SMSF?
A Self Managed Super Fund (SMSF) may become a ‘non-complying’ fund if it fails either the “residency test”, which means the fund is not a resident of Australia or the “compliance test”, when the fund has been issued with a Notice of Non-Compliance from ATO because it does not comply with the SIS Acts or SIS Regulations …
Who can be a Trustee of a superannuation fund?
Anyone over 18 can be a Trustee of an SMSF including a spouse, adult child or friends. It is FREE to appoint Individual Trustees for an SMSF. Alternatively you may select a Company to act as a Trustee for your SMSF. In this case the Members of the SMSF will need to be the Directors of the Company Trustee.
Can you contribute to a non-complying super fund?
During Financial Year 1, personal contributions (and only personal contributions) are made to the super fund. Third party contributions are included in the assessable income of the fund. For Financial Year 1, the fund is a non-complying fund – it will be taxed as a non-complying fund at 45% on its investment income.
Who do I complain to about my super fund?
Australian Financial Complaints Authority
If you are not satisfied with the response from your super fund, your next step is to contact the Australian Financial Complaints Authority (AFCA). AFCA is a dispute resolution scheme designed to provide free, fair and independent assistance with complaints about super products.
Can the super fund be any fund?
A super fund is a non-regulated fund if it has not made an election to be regulated by APRA or the ATO. A non-regulated fund cannot be a complying fund unless it is an exempt public sector superannuation schemes which is exempt from regulation.
How much money do you need to set up a self managed super fund?
There’s no minimum balance required to set up an SMSF, but it usually becomes cost-effective once you have a balance of $250,000 or more. You will need to pay the annual supervisory levy to the ATO and arrange for an accountant to prepare the financial statements and tax return, and conduct an independent audit.
Can you live in your own SMSF property?
No for residential property. Can I live in my SMSF property when I retire? Not if your SMSF continues to own it. But it is possible for the property to be transferred to you and for you to live in it then.
Is a super fund a legal entity?
A superannuation fund is not a legal person – it does not have the legal capacity to carry out the obligations imposed under the GST Act. The trustee of the superannuation fund has the legal capacity to carry out the obligations under the GST Act. Hence, the trustee is the entity that is capable of being registered.
Can a trustee be an individual?
An individual trustee is a natural person or persons. Succession planning and determining who the legal owner of the assets is and transfer of the assets to a new trustee in the event of the death of the individual trustee can also become an issue.