The introduction of Division 296 has highlighted the value of contribution splitting and increased the usefulness of account equalisation strategies for both lower and higher-balance members, SMSF Alliance principal David Busoli has stated.
Association of Superannuation Funds of Australia (ASFA) research has shown individuals across the country are overestimating how much super they will need in retirement.
According to BT technical consultant Matt Manning, the Division 296 cost base reset requires SMSFs to maintain two parallel cost bases indefinitely: one for ordinary capital gains tax and another solely for Division 296 earnings.
Australia’s age pension gifting rules are again under scrutiny as advisers warn that retirees are increasingly making financial gifts that unintentionally trigger Centrelink deprivation assessments, said Janet Manzanero-Caruana, senior technical services manager for MLC.