Redwood Advisory SMSF
Winding up an SMSF can occur for a number of reasons from i’m over the burden and responsibility of SMSFs, failing health, disagreement/ separation of members and in the worst case your fund is non compliant and the ATO has directed you to wind up the fund. Wind up considerations There is a heap of…
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When SMSFs borrow to buy property under a Limited Recourse Borrowing Arrangement (LRBA), its always confusing which name is on the expenses and agreements. Its important to know that the property under a LRBA is registered or titled in the “Bare Trustee” not the SMSF and not your personal name. So if the property is…
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On the 3rd February, struggling Aussies were stung with another 0.25% interest rate rise due to higher than expected inflation at 3.8% outside the 2-3% target range. This has left many scratching their head – fooled by the most recent interest rate cut (pre-election), where inflation was outside the target range. This leaves many questioning…
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The much talked about “Division 296” draft legislation has been released and was sent for feedback just before Christmas, likely to minimise critical responses. Key points for consideration are included below: Unrealised gains tax dropped Unrealised gains will no longer be taxed. This was criticised by many and loved by no-one so its not a…
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The superannuation contributions caps for concessional and non-concessional contributions will remain the same for the 2026 financial year. The Superannuation Guarantee Charge (SGC) rate will increase to 12% Concessional Contributions From 1 July 2025, concessional contributions will remain at $30,000. In order to claim a tax deduction for a concessional contribution it is important…
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Great news this month! The Reserve Bank of Australia has finally decided to give our wallets a little breather and cut the official cash rate by 0.25%, bringing it down to 3.85%. Cue the collective sigh of relief from mortgage holders everywhere! We look forward to your lender passing on these cuts to your mortgage.…
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You guessed it, another tax! This time the government is looking to tax unrealised gains – Yes – they will tax you on imaginary future profits, it doesn’t matter if you actually made money – the government will slap your fund with a 30% tax NOW! The idea of taxing superannuation balances above $3 million…
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In the Self-Managed Superannuation Funds (SMSF) world, valuing assets at “market value” has always been essential to reflect the real value of the fund. However, recent scrutiny from the Australian Taxation Office (ATO) has brought this issue to the forefront of discussions within the SMSF community. The ATO has raised concerns about SMSF’s consistently reporting…
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The superannuation contributions caps for concessional and non-concessional contributions will increase on 01/07/2024 which is the start of the 2025 financial year. The government has announced these latest figures in an effort to keep up with the cost of living crisis including rising inflation and increases in the super guarantee charge (“SGC”) rate to 11.5%.…
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One of the key strategies of SMSF is to invest in direct property. While some SMSFs may have sufficient funds to purchase a property in cash, many others, particularly those with a younger demographic, have chosen to use a loan to purchase their property. There are two methods to secure a loan either through a…
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