CGT confusion seeing unnecessary sell-offs

 

A lot of SMSF trustees are confused by the CGT transitional relief provided in the super reforms and are selling off fund assets ...

 ... under the misconception they will have to pay full capital gains tax from 1 July, says the SMSF Association.

 

 

SMSF Association head of technical Peter Hogan says he is still receiving feedback from SMSF trustees and those in the industry, who wrongly believe they must sell assets down or move assets out of the superannuation system if they’re in excess of the $1.6 million cap. 

Mr Hogan said there have also been instances of SMSF trustees trying to sell property assets in their SMSF.

“This wasn’t so much because they thought they had to take it out of the super fund, but the trustees were under the misconception they were going to be paying full capital gains tax from 1 July going forward if they hadn’t sold the asset before 30 June,” he told SMSF Adviser.

“There is a lack of understanding around the one capital gains tax concessions which needs to be more widely understood I think.”
 
Measures related to the $1.6 million cap is causing confusion with retail investors particularly, with accounting giants like PwC seeing trustees mistakenly transferring money in and out of super as a result. 

 

MIRANDA BROWNLEE
Monday, 9th January 2017
smsfadviser.com


All the world’s a stage, and all the men and women are merely players William Shakespeare
A fool and his money are soon parted. What I want to know is how they got together in the first place Cyril Fletcher
My main problem is reconciling my gross habits with my net income Errol Flynn
All I ask is the chance to prove that money can't make me happy Spike Milligan
A very rich person should leave his kids enough to do anything but not enough to do nothing Warren Buffet
Next to being shot at and missed, nothing is quite as satisfying as an income tax refund F.J. Raymond
Those are my principles, and if you don't like them... well, I have others Groucho Marx

© 2018 Moneytax. All rights reserved. Disclaimer | Privacy

Site by PlannerWeb.