New board topics in Superannuation

DASP

Kirstymonington — Thu, 27 Feb 2020 21:19:10 GMT

Hi Chris
Thanks for answering my question however I’m still a little confused.
I chose the cheque option for my DASP as I no longer have an Australian bank account however I am still waiting for this. I have received a PAYG payment summary document but no cheque. Does this arrive separately?

Thanks
Kirsty

Payment of Super in wrong year

Helpneeded — Thu, 27 Feb 2020 09:31:30 GMT

Hi, my former company paid me no super during the financial year 2018/19, but did end up paying what was owed in a lump sum at the end of 2019.
But this means I have 2 years worth of super to be paid during 2019/20, and as a result I will go over the $25K threshold for the year, when I normally do not.
What is the implication of this and is there anyway I can have the lump sum attributed to the year in which I earned it.
Thanks
Steve

Downsizer super contribution

Kneewall49 — Wed, 26 Feb 2020 07:29:40 GMT

We settled on the sale of our property on 4th July 2018. I assume we meet the date restriction for allowing fir a 'downsizer' super contribution? Is that correct?

thanks

SMSF member receiving warning about changes to their reocrds

matthewk — Wed, 26 Feb 2020 03:45:59 GMT

Our SMSF clients have started receiving the following message that provides so little information but has caused alarm for the clients. As a result they call us worried or angry that we or somebody has been making changes to their SMSF without their permission. The email message doesn't tell the SMSF member what has changed or what form has triggered the change. We now have to spend time guessing which of the following might have changed and then report back to the SMSF.

* financial institution account details
* electronic service address (ESA)
* authorised contact
* members.

So far all we can determine is the tax return has been lodged with bank details (not changed) and members balances (not new memebrs).

Why can't the ATO be more informative in their warning messages. They know exactly why they triggered the message. The populated the client name & SMSF details. Why not the reason?

Untaxed Superannuation Funds

BrendonBeh — Wed, 26 Feb 2020 02:48:22 GMT

1. The ATO website suggests the untaxed plan cap for the forthcoming fiscal year will be published in Feb. Can you advise what this cap will be for 2020.

2. Am I correct that the untaxed plan cap operates for members of untaxed funds is effectively the same as how the transfer balance cap of $1.6m applies to taxed funds? Another way of putting this - the $1.6m transfer balance cap does not apply to members of untaxed funds because they have a lower cap (the untaxed plan cap) for which their excess contributions will assessed for tax treatment.

3. If the answer to question 2 is yes (re the operating effects of the caps) - what is the policy behind untaxed plans having a cap lower than that for untaxed funds? Members of untaxed funds are more likely to have larger balances at retirement age due to the compounding effects of not paying tax over periods of time? Given this shouldnt the untaxed plan cap be greater than, not below the $1.6m balance cap?

Gold Bullions in SMSF

Jen1 — Wed, 26 Feb 2020 01:55:10 GMT

Hey everyone,

I am just wondering, if a member of the fund invests in gold bullion, as it doesn't fall under the collectables rules, it does not need to be insured. With the valuations however at year end 30 June. Is a confirmation from the trustees sufficient if they confirm no changes in value from prior year financials? Also is it okay for the trustees to store the bullions at their own personal home?

Superannuation for Terminated Employee

cshallueato — Tue, 25 Feb 2020 22:29:45 GMT

What do you do with returned superannuation from a terminated employee. The employee has been contacted three times by email and twice by a telephone call and still wont provide his current superannuation fund information so payment can be made. What do you do with the returned funds?

FHSS and Tax

cms — Tue, 25 Feb 2020 02:28:04 GMT

Requested FHSS withdrawal June 26, 2019 - 2019 Tax Year. Received July 2019 - 2020 Tax Year. Purchased first home and Notified ATO. Also Salary Sacrificed the entire Assessable Amount back into Super Account.

Recently discovered letter in My Gov Messages from ATO stating I must include Assessable Amount on 2019 Tax Return.

Should I amend my 2019 tax to include Assessable amounts of FHSS even though I provided notifications AND repaid the amount?

Thanks for your guidance.

SMSF

Janfra — Tue, 25 Feb 2020 01:12:23 GMT

Can I lend my SMSF money to enable me to purchase a property? Can my employer pay me my super contributions to repay that loan?

Listed shares as contributions

Gmcg — Tue, 25 Feb 2020 00:04:55 GMT

Hello

Just looking for some guidance...

Age 60 and not retired (self employed- low income) with a smsf balance circa $600k.

Have listed shares outside of smsf on ASX value circa $100k with significant cgt payable if sold but have held for longer than 12mths.

I'm looking to transfer said shares directly into smsf (if possible) and to obviously minimise tax payable in the process.

Looking for options here if anyone can help.

With thanks

Graeme

OnePath Plus

Cobramwindows1 — Mon, 24 Feb 2020 22:30:41 GMT

I have a message to update an employees Super payment details but not sure what its about They are with OnePath Plus has there been a change in USI or ABN details for this Super Fund?

FHSSS - using funds

jesswa — Mon, 24 Feb 2020 07:52:18 GMT

I have requested a release, sent the funds to the ATO and express posted my form back to ATO to conform.

How long until I can expect the funds in my account?

SG on purchased leave?

KB7 — Mon, 24 Feb 2020 06:48:36 GMT

Hi, can someone confirm whether Super Guarantee is payable on purchased leave. If my Gross PAYG income is $100K and my employer allows me to purchase leave (get additional holidays) my gross annual income will drop by the amount of $ equivalent for the leave taken. Is SG payable on the original income of $100k or the reduced amount?

I cannot see anywhere references to this sort of arrangement as a Salary Sacrifice. I am not receiving a financial benefit of any sort, just getting more time off for which I am not paid.

Look forward to hearing your thoughts and any references.

Super

Corinne1 — Mon, 24 Feb 2020 06:33:04 GMT

If you work for yourself can you put money into super and does the government match it?

DASP

Sagar1 — Mon, 24 Feb 2020 04:10:27 GMT

Hello ATO,

My Question is regarding Eligibility & Taxation on DASP

I entered Australia and was on 457 Work Visa from March 2014- March 2017

From March 2017 onwards till now, i am a Permanant Resident Sub Class 186

I Plan to permanantly leave Australia next year, say March 2021,

Would i be elegible for DASP :-

- if yes how much would i be Taxed on my Super.

- if not when will be eligible for the Payment. Thanks

First Home Super Saver - Calculation and Withdrawal Amount

Shikhar — Mon, 24 Feb 2020 03:59:45 GMT

Hi!

I would like to know how much am I saving if I choose to use FHSS scheme.

Currently I am earning $1,25,000 before Tax ( including 9.5% Super) , my wife earns $1,06,000 before Tax ( including 9.5% Super).

2019 -2020 : I make a voluntary after tax contribution into my Super of $15000 between Feb and June 2020 ( I also claim a tax deduction on it via Notice of Intent) . I checked that I have not capped the total yearly limit
2019 -2020: My wife makes a voluntary after tax contribution into her Super of $15000 between Feb and June 2020 ( she also claim a tax deduction on it via Notice of Intent) . She checked that she has not capped the total yearly limit
2020-2021 : I make a voluntary after tax contribution into my Super of $15000 between July and Dec 2020 ( I also claim a tax deduction on it via Notice of Intent) . I checked that I have not capped the total yearly limit
2020 -2021: My wife makes a voluntary after tax contribution into her Super of $15000 between July and Dec 2020 ( she also claim a tax deduction on it via Notice of Intent) . She checked that she has not capped the total yearly limit
In total, between me and my wife, we have contributed $60000 into Super as voluntary contributions.

Plan to purchase first home in 2021.

Questions :

Based on this scenario can you please me understand how much I might be saving, in general, through the FHSS? Would appreciate it if you could give me a break down of the calculation including tax, associated earnings, etc..
Are my super contributions Concessional or Non-Concessional as I am claiming a tax deduction on them?
How much will I be able to withdraw from my Super ? As per my understanding I can withdraw 85% of my concessional contributions. Please correct me if i am wrong. Does blocking 15% of your super amount makes sense by the benefit we get from the FHSS scheme?
I can only buy a already build house/ Contruct a house with the FHSS amount? I can't buy a land through it?
Anything that I am missing that can increase the benefit of FHSS?

Thanks!

SMSF Investment Strategy update ruling

DJP — Sun, 23 Feb 2020 22:32:29 GMT

Was there a new ruling issued about investment startegy recently or just revised guidelines issued recently.

FHSS "as soon as practicable after purchase"

vefzdybg — Sun, 23 Feb 2020 13:13:05 GMT

I understand that for FHSS to be withdrawn appropriately I need to:

occupying or intending to occupy the property as soon as practicable after purchase
occupying or intending to occupy the property for at least six of the first 12 months from when it is practicable to occupy it.

but I'm wondering how this works if I buy a property that has an existing lease that ends later than 6 months. So for example if it's March and I buy a property that has a tenant on a pre-existing lease until December. If I plan to move in as soon as they vacate (i.e. January next year) does this still fall within the requirements?

DASP

Kirstymonington — Sat, 22 Feb 2020 13:02:36 GMT

Hi, I recently applied for my DASP and have received a PAYG payment summary in the post but no cheque or any payment method for what’s owed to me. Can you let me know next steps please?
Thanks
Kirsty

Release of funds and contract dates

mikalex39 — Sat, 22 Feb 2020 06:19:26 GMT

Hi guys,

I recently signed a contract to place an offer for a house on the 15/2/2020 with a settlement contract to be signed in April. I met with a mortgage broker today and subsquently in consolidating all available assets, applied for release of my FHSS funds. This included both the determination and release request. I noted on applying however that the determination should have been requested before a contract is signed. My first question is which contract applies to the above, the offer or the settlement contract? If it's the former, does that mean I will be taxed because I asked for a determination 1 week after I signed an offer?

Thanks in advance

SGC statement

925deed — Sat, 22 Feb 2020 04:39:32 GMT

I am responsible for the super payments for our company. We lodge and pay our super monthly and most times b4 28th. However, in jan 2019 I forgot to lodge the dec 2018 $45k (oct and nov were paid). When I discovered my error on 21st feb I made the dec payment together with the jan 2019 super. All the super was paid by end of June. We report with STP. In oct 2019 ato contacted us and advised records indicated we had perhaps not paid dec 2018 qtr or paid it late and we should submit a SGC statement. We asked our accountants to lodge this on our behalf and now have a $8,800 debt. There were 185 employees involved. $5,200 of this is interest. Accountants say this is ATO tough stance. Given that our employees receive their super monthly not quarterly I did not feel that had been overall disadvantaged by my mistake. This was a genuine misunderstanding on my part regarding the late payment and a one off - can this calculation be correct?

unpaid super

jlpower — Fri, 21 Feb 2020 22:04:13 GMT

I reported my ex=employer for unpaid super. The ATO investigated and I received 2 payments recently as super guarantee payments. They have since stopped and I am still owed many thousands of dollars. I have received no letter from ATO about what the payments were but assume they are part payments from my ex-employer. My employer has recently been evicted from their building but have not ceased trading. What can I now do about this? I am concerned that my employer will be liquidated and don't know what my options are?

Centrelink debt vs FHSSS

Justice8511 — Fri, 21 Feb 2020 13:55:18 GMT

Once a determination is made, is that a final amount, or there can be more deductions like centrelink debt offset? If there is a payment plan in place for the centrelink debt, will the debt still be deducted from the detemination amount?

Claiming your superannuation after leaving Australia as a temporary resident.

nicobuitrago — Thu, 20 Feb 2020 13:50:49 GMT

Hi ATO community,

I woud like to enquire about whather it is viable/ reasonable to withdraw my superannuation once I've left Australia even though I intend on returning to Australia as a student. I am currently holding a student visa, which will be expiring this coming March 2020 after completing my undergradate studies. I have decided to take some time off before going into posgraduate studies in 2021. As I will not be in Australia for roughly a year and will be on an expired visa once I have departed, I am wondering if withrdrawing my superannuation would affect future visa applications, including those that lead to permanent residency. I am planning on applying for PR once I have completed my posgradtue studies, yet I am unsure as to whether I would be allowed to claim my super again in the future? Would claiming my super after my departure impact my right to work?

It would be highly appreacited if anyone could provide me with some information in regards to this.

Sincerely,

Nic

Unused Long Service Leave - Salary Sacrifice

KristyH — Thu, 20 Feb 2020 07:32:02 GMT

Hi I was just wondering if you can salary sacrifice your Unused Long Service Leave to your Superannuation Fund?

Transition to Retirement (TTR) Income Tax for person over 60 , but less than 65

TC8 — Thu, 20 Feb 2020 04:41:39 GMT

Person over 60 , but less than 65, had one release from TTR in financial year. Person wants another release but would end up being more than 10% for the financial year.

What are income tax implications for amount up to 10% and the amount over 10%?

Thankyou

Claiming back my super

Simon101 — Wed, 19 Feb 2020 22:13:37 GMT

I have left Oz and my 457 visa has expired but I am unable to claim my super back online.

When I get through the process it tells me that home affairs does not have me registered as having a WHV.

I had a 457 what can I do?

Superannuation for Casual Employees

NicH — Wed, 19 Feb 2020 07:26:54 GMT

I am currently studying tax accounting and i can't seem to locate the correct answer.

Does a company have to pay superannuation to a casual employee for overtime hours worked.

The information I have read seems to contradict and I am unsure of what the correct answer is

Treatment of Income Protection payouts in superfund and allocation urgent

Lbhardwaj — Wed, 19 Feb 2020 06:44:50 GMT

Hi There,

I quickly need your help. member of our Superfund received insurance benefits under the income protection claim and need to be allocated under right head.

I believe it would be taxable right at 15% in the super fund.

And also, can you please also describe how the payment will be processed to member under the temporary incapacity, can we make one lump sum payment? .

Please assist asap.

FHSS

RHiggins — Wed, 19 Feb 2020 06:00:08 GMT

Hi,

I made several volutary contributions (non-concessional) into my super account over the last few years. I have since rolled my super over to a new provider who don't have that history. Is there anyway to find out via the ATO if any of those contributions are eligibile under the FHSSS? I just want to know if I have any money that is accessible under the scheme so I can plan my savings over the next year.

I'm otherwise eligible for the FHSSS.

Best

Rebecca

Returning to work

Rangadad — Wed, 19 Feb 2020 05:04:17 GMT

Iam 63 and retired and claimed my full amount of super, am I able to return to part time work.

thanks

My Superannuation does not arrive

MikiSpain — Tue, 18 Feb 2020 13:46:01 GMT

I lodged my DASP 2 months ago. And still does not have any information about it.

My Superfunds did not contact me or send me the amount.

What can I do in order to finish with this Superannuation Issue?

Should I reapply for my DASP?

If I reapply does it reset the process?

Are the 28 days to wait for the DASP natural or working days?

Is this Usual or maybe there is problem with my particular case?

Compassionate release claim

Narelle1209 — Tue, 18 Feb 2020 08:14:40 GMT

I submitted my early compassionative release claim yesterday it says pending is that right ?

Compassionate release claim

Narelle1209 — Tue, 18 Feb 2020 08:10:43 GMT

My compassionate release claim says pending I submitted yesterday is that right ?

Transfer funds SMSF to Industry Fund

HEE — Tue, 18 Feb 2020 02:08:52 GMT

My wife and I are the sole members of our SMSF.
My wife also has some superannuation in a pre-existing Industry Super Fund account.
We have substantial cash in a SMSF term deposit which is underperforming.
We would like to transfer most of the cash amount into my wife’s industry fund account.
My wife’s equity in our SMSF is substantially more that the amount she wishes to transfer out of the SMSF into her industry fund.
My wife is 64 and I am 69.
Are there any potential problems with doing this and what process is involved?

FHSS release requested

ilikwbigbucks — Mon, 17 Feb 2020 22:33:46 GMT

hi community

I requested a release of FHSSS a couple of weeks ago. I received a letter from my super fund that they have deducted the amount and sent it to the ATO last week. I signed a contract and paid the deposit on my house.

What can i do with the money once it hits my banck account? Can i use it to pay my mortgage? Or will i get taxed heaps on that money? I know i red somewhere i could transfer it back as well....

TIA!!

Can I invest funds (part only) from my SMSF . into an industry super fund ?

Ajhcaldwell — Mon, 17 Feb 2020 06:33:17 GMT

I wish to keep control of my self managed super fund as I have a good share portfloio, a rental property, and additional funds.

The cash and small property fund are returning less than 2%.

I woild like to sell the investment property, and small property fund, combine the return and cash, which would be sizable.

and put the combined amount into an industry super fund.

Is this possible?

Is this a good move.?

I'm over 65 years old and looking for a steady income stream.

Tony C

Hearing aids

Kylieh01 — Mon, 17 Feb 2020 03:29:24 GMT

I have been advised by my Super that I can apply to get costs covered for hearing aids (using compassionate grounds), do I need two doctors to verify this or is my hearing specialist adequate to fill in the ATO forms? I do not have a regular GP, the medical centre I go to you see whichever Doctor is available.

Buying a land - When to apply for a FHSS determination

P-32 — Sun, 16 Feb 2020 21:57:48 GMT

Hi,

I am intending to buy a land before constructing a home on it to live in. You have stated in your website that “ you must not have purchased the vacant land before applying for a FHSS determination.”. I have selected the land I want to purchase and the seller has asked me to pay a holding deposit. At what point do I have to apply for a FHSS determination? Is it before paying the holding deposit, before signing the contract to buy the land or before transfer of title?

Wrong tax amount was applied

VeerleVerlooij — Sun, 16 Feb 2020 21:12:40 GMT

Hi there,

I've recently filled my DASP claim and received the money from my super fund.

I came to Australia in 2015 on a Working Holiday Maker visa (417) and after 5 months I was sponsored on Skilled Work Visa (457) for 3 years.

In the lead up to filling the claim I've spoken to one of the ATO employees who told me that even though I came out as a Working Holiday Maker I should not be taxed 65% on the period I was on a 457.

Can you please confirm this is correct so I can file a complaint with my super fund.

Kind regards,

Veerle Verlooij

TBC figures provide by DB Scheme

mike59 — Sat, 15 Feb 2020 03:47:34 GMT

I am 60 years of age, in a DF Scheme and intend retiring at the end of March 2020. The fund has recently provided me with the estimates at my request for taking my super as a mix of pension and a lump sum. Both of these estimates 80/20 ( Pension/lump sum ) and 75/25 ( Pension/lump sum ) place me near to but not exceeding the $1.6m TBC. If the fund has made any mistakes with these estimates and I unknowingly exceed the TBC based on those figures what action will the ATO take against me and what liability lies with the DF Fund providing incorrect figures?

SMSF Valuation of Foreign Investments

MD1 — Fri, 14 Feb 2020 14:11:42 GMT

Hello,

Our SMSF system calculates foreign transactions based on the RBA rates not the ATO exchange rates.

My question is whether it is ok to use the RBA rate rather than the ATO rate when valuing the investments as at 30 June. I notice the RBA rate for USD as at 30 June 2019 is 0.7013 whereas ATO have 0.7332. This can make quite a difference with high valued investments. Which in turn makes a difference for the Total Super Balance and the minimum pension.

MD1

Retirement condition of release - ceasing gainful employment after age 60

Stuarts — Fri, 14 Feb 2020 04:37:07 GMT

If I am age 61 and working full time and 'resign' from my job but during my notice period agree to stay on as a casual with the same duties have i ceased a gainful employment arrangement? All annual leave will be paid out and as a casual I may not get any hours of work.

Access super due to homelessness

Jade3 — Thu, 13 Feb 2020 21:40:36 GMT

I'm homeless now can I use my super at all I've only been on centre link for 20 weeks

Dasp form disappeared

Alexhhh — Thu, 13 Feb 2020 13:28:57 GMT

Very frustrated to find after filling out my form for about an hour and then selecting to save for later before exiting, I have logged back in and there is absolutely nothing there other than the standard options I had when I first logged in, where has my form gone?

Back pay

Abdul2 — Thu, 13 Feb 2020 12:59:31 GMT

FHSS release of funds AFTER signing the contract

SP22 — Thu, 13 Feb 2020 12:01:45 GMT

Hi,

I signed a contract to purchase my first home. I was not expecting it to happen so fast but my offer was accepted on the same day. Now I am looking to release funds from my voluntary contributions into my Super via the FHSS scheme. I had not requested FHSS determinations prior to signing the contract. Does this mean I am not able to access this money at all now?

Thanks for any advice/help!

Super Co contribution section A3 questions

Tax2020 — Thu, 13 Feb 2020 05:13:02 GMT

Hi,

I am self employed farmer I have run my business in partnership with my wife for the last 30+ years. We have been making regular small contributions to super. I am under 71 and have a very low super balance. The partnership also has rental property, not negatively geared, which provides income from which we are able to contribute to super. My partner also has income from outside the partnership.

For the last two years I have not received any co contribution payment even though my total assessable income ie net PP(L) and net rental income(P) has been under the ceiling amount.

My partner has received it in both years.

Is this because the business deductions are greater than the business income therefore creating a loss for the partnership business activity

or am I not putting the correct figures in the A3 section of the return ?

Claiming spouse super on divorce

Bazza51 — Thu, 13 Feb 2020 02:39:39 GMT

Hi, just asking the question, if a couple are recognized defacto and have two child under three and split up, what percentage of super is the wife entitled to from her spouse, he is working full time in the military thanks

Super on divorces

Bazza51 — Thu, 13 Feb 2020 02:31:20 GMT

DASP Super not paid by employer

hp111716 — Wed, 12 Feb 2020 22:15:43 GMT

I left australia approx 8 months ago, I have checked my super fund to find that my employer did not make any payments to it.

Have contacted employer who advises that they are on a payment plan with the ATO for unpaid super. My question is: Can I submit a DASP application to claim my super if my employer has not yet paid all of it to the ATO? and would this be ATO held super?

Thanks

Have I retired for Super Purposes?

JamesF1 — Wed, 12 Feb 2020 05:25:10 GMT

Just turned 60. Preservation age was 55. My income is mostly franked dividends and some bank interest. I drive Uber for 8-10 hours a week making me a self employed contractor. I will not be returning to the paid workforce.
I wish to create an allocated pension and draw the minimum. Am I considered 'Retired' in these circumstances? Or would I be required to cease my Uber driving to be considered so?

Gainful employment

Rod — Wed, 12 Feb 2020 05:11:42 GMT

Shortly, I will be looking after an elderly friend coming home from hospital after major surgery. I will be looking after him every night for the next 4 weeks. Centrelink will pay me a non taxable Carers Allowance while I provide this care.

i am 69 years of age.

Does my care & the Centrelink allowance meet the requirement for “gainful employment” so that I can make further contributions to my superannuation?

Foreign Super

Jones — Wed, 12 Feb 2020 02:27:20 GMT

Hi - I used to work overseas (not UK not NZ) and am trying to transfer a pension into my Australian super accounts. I am aware of the tax implications but the problems is my 2 (well known) Australian supers will not receive roll overs from an overseas pension plan and the overseas pension will not release a lump sum but only to a recognized pension plan. Has anoyne else had these problems and found solutions?

claiming a tax deduction on contributions for FHSS

BB2 — Wed, 12 Feb 2020 08:40:07 GMT

I have made a personal voluntary contribution to my super fund, with the intention of using it for a house purchase later. Instead of salary sacrificing, I made the contribution from my after tax income and sent my fund a notice of intent to claim a tax deduction. The fund deducted the concessional tax rate (15%) from my contribution, and I expected to be able to get the original income tax payment back, when I submit my tax declaration at the end of the financial year. (This was in 2019/20). Now I would like to get the money to use it for a house purchase, but the financial year isn't over. Will I still be able to claim a tax deduction when I submit my tax declaration for 2019/20, even though the contribution is no longer in my super account?
I suspect what's going to happen is roughly this, assuming I made a $1000 contribution: (I'm in the 90001-180000 bracket)
I earned $1587, my employer took out 37% tax and transferred $587 to the ATO and $1000 to me.
I transferred $1000 to my super fund and notified them that I'll claim it as a deduction.
My super fund transferred the concessional tax ($150) to the ATO and left $850 in my super account.
I now ask the ATO to release my contribution. It will now be taxed again at 7% (37% minus the 30% offset) when it's released. So I get $1000-$150-$70=$780 to use for a house.
I will then claim the $1000 contribution in my next tax return, and get the original $587 back.
Is that about right?
I know there's also the medicare levy and the earnings I made on the contirbution, and that'll probably make it all a bit more complicated, but those finer details don't concern me so much. I mostly want to know a) if that is roughly how it works, and b) that I can still claim a deduction on my original after-tax contribution at the end of the year, even though I've already withdrawn the contribution in question.

Claiming superannuation

Leonnie88 — Tue, 11 Feb 2020 15:15:51 GMT

I have been filling out my DASP form in written format and I have put the wrong dates down. Will I have to fill out a new form or am I able to cross out the wrong dates and write the correct dates underneath the box?

Compulsory withdrawing superannuation each year

mauyork — Tue, 11 Feb 2020 08:10:42 GMT

I have retired and have chosen not to do a allocated pension from my superannuation. How much and when do I have to withdraw 4% ? ( is this correct) each year or tax year?
Thank you
MY

SBSCH

AlyssaPriddle — Tue, 11 Feb 2020 01:57:46 GMT

Have had to delete a payment instruction for a client as the Club Plus Super fund has merged with Hostplus & the payment instruction was submitted with the old super details. Now when I go to 'add' a new payment instruction, when I hover over the 'add' button, the mouse cursor changes to a red circle with a line through it & it will not let me add a new payment instruction.

Can someone please advise on best way to get around this as the client needs to pay this instruction.

Note: have had no joy with portal help or googling other SBSCH help forums

FHSS Release request not received by Super?

nirajbhatt — Tue, 11 Feb 2020 08:19:39 GMT

Hi Everyone,

Just wanted to understand the process of FHSS release. I made a release request on 8 Feb 2020. I contacted today my Super (SunSuper) and they informed me that they haven't received any request. I contacted ATO and they said they have submitted the request. There is no common number that gets generated in ATO that I can provide to Super to check? I am just stuck between ATO and Super at the moment.

It's super urgent for me as I have entered into a property purchase contract on 7 Feb 2020 and it will be canceled on 21st Feb 2020 if my finances are not sorted out.

Any help or pointer would be highly appreciated.

Just tagging ATO users to hopefully get some reply.

Thanks,

Niraj

FHSS earnings calculation

Jack_sp — Mon, 10 Feb 2020 13:42:24 GMT

Hello,

I am a little confused about what is the 'deemed rate of return' used to calculate the earnings on eligible contributions. It talks about the 90-day bank bill rate but I was under the impression it would be associated with higher rates of return based on the super funds performance?

Work test exemption for recent retirees

Mab_n — Mon, 10 Feb 2020 02:13:20 GMT

I am 73 and meet the required work requirements for the previous financial year to make a contribution to my superannuation under the new regulations. I am not sure however how the total superannuation balance is calculated for the purpose of making this contribution. I know that the requirement to make that contribution is for my superannuation to total under $300,000. I am in two schemes - (1) is a NSW government defined benefit pension scheme that has paid a pension since I retired from the full time workforce and (2) is a scheme I have made contributions to when I continued to work after retirement. My superannation in the ATO site under 'Fund details' only shows the funds in scheme 2 where the total is well under $300,000. The NSW government pension scheme (fund 1) does not show any amount under 'Fund details'. However, under 'Total Superannuation Balance' fund (1) is in excess of $300,000. This total I assume is the calculated value of my pension, although I do not have a lump sum in that fund. Am I eligible to make a contribution to fund (2)? Any help would be appreciated.

acess of super

chriscam82 — Sun, 09 Feb 2020 07:14:43 GMT

hi
so i was tring to see if i could acess my super
i dont know how it all works and i had contacted Cbus in nov and they have been sending me wrong forms and trailed off emails that are just generic
i have files a complaint and thats being looked into
i work for myself and end of last year i had 2 customers decide to not pay me and left me short 12,000
so i was really struggling to catch up when i contacted Cbus first but after they screwed me around and finally telling me i have to go through ATO has just left me danglining around
I have bills to pay a bunch of rent due and i cant seem to catch up with what im making im working 7 days a week but just cant seem to catch up them 2 customers not paying me has lesft me so far behind this is my last avenue before declaring bankrupt and i dont want to do that

can anyone help me and explain how it all works and if there is anyways i can acess my super

thank you
chris camilleri

Making contributions aged 74 and work test

Super_Song99 — Sat, 08 Feb 2020 23:11:35 GMT

(1) My wife is 73 years and she would like to contribute $100,000 (from a property sale) to her fund. But her fund already has $475,000. She satisfies the work test very easily. Can she make this contribution or is there a limit to prevent it?

(2) In my case I am 74 years and made a $100,000 contribution to our SMSF in December, 2019. Again the work test is OK. Can I make another $100,000 contribution in the next financial year (July) before I turn 75 years in August?

rollover from SMSF to industry fund

Super_Song99 — Sat, 08 Feb 2020 01:42:30 GMT

My wife and I have a SMSF and we wish to transfer (rollover) to an Industry Fund. Can this be done bit-by-bit as existing Term Deposits in the SMSF mature? Or must it all be done at once?

In the SMSF we have separate contributions. Does this mean that we each need to open separate new Industry Funds, and if so, how do we determine how much goes into each new fund?

Superannuation for Rideshare Service

pahmad — Fri, 07 Feb 2020 14:52:33 GMT

When I am earning money by providing Rideshare against my own ABN, how would I contribute to my Superannuation? Rideshare is my partime job while holding a fulltime job where my employer pays my standard Superannuation.

FHSS Determination

Charlec — Fri, 07 Feb 2020 10:39:00 GMT

Hello,

I have been making salary sacrifices (before tax) into my super for the FHSS scheme.

I have been doing this over the past year, so somewhere up to 15, 000.

I am wondering if I submit a determination now, can I continue to make salary sacrifices into my super, and then get an updated determination which includes the new contributions, (of which the total would no more than 30,000 over the two years)? Or once I make the determination, is the amount of money that I've contributed fixed?

Regards,

Superannuation overpayment

Justine_B — Fri, 07 Feb 2020 05:12:27 GMT

I have made an overpayment to an employee through the clearing house and they are no longer working for us. How do I get a refund of this over payment?

Small Business Superannuation Clearing House

yaphet — Thu, 06 Feb 2020 22:40:51 GMT

One of my previous emplyees still did not provide the super fund account for me. Righ now, i only hold his TFN number. Could I distribute the amout to clearing house? So if ATO have the information, you could help me to allocate this amount. Thank you

Claims / Tax on Super under a 482 Visa

UK-M-482-Visa — Thu, 06 Feb 2020 06:45:48 GMT

I had a query with regards to Super that I was hoping you could assist with.

When I first arrived in Australia in 2017 on a Working Holiday Visa, I created a super fund when joining my current employer. I eventually switched to a 482 Visa in 2018.

From what I understand, If I choose to leave Australia in the future, all of the super I have earned to date will be taxed at the Working Holiday rate of 65%, which is naturally quite alarming.

Can I avoid this by simply opening a second fund and transferring what I had earned on the 482 Visa? Some of the existing threads on here seem to indicate this might be the case.

Any Advice would be greatly appreciated.

SG on Unused Leave on Termination

Noddyparp — Thu, 06 Feb 2020 04:01:53 GMT

Good Afternoon,

I know that SG is not paid on unused annual or long service leave on termination, BUT we have a senior Manager who insists he will be paid SG on these components when he resigns in a month. There is nothing in his contract concerning being paid it. Our payroll system by default won't calculate or pay it either. It would require a work-around.

So the question is "should we pay it"; is it against legislation, is it an organisations decision?

Kind Regards,

Warren Auld (Payroll Manager)

Questions regarding my DASP, an error online and whether certification is required

Dooleybug — Wed, 05 Feb 2020 23:56:27 GMT

Hi there,

I have left Australia and recently my visas have expired, I'm now overseas and have had some difficulties with processing my DASP to get my super funds, I've tried calling from overseas but with the phone expenses I can't afford to stay on hold for too long unfortunately.

Firstly, many of my friends processed their DASP through the online application, when I try I am presented with the following error message, which nobody else has seen:

Not eligible - not known

Based on information supplied to us by the Australian Department of Home Affairs we are unable to establish that you are the holder of a temporary resident's visa under the Migration Act 1958. If you are the holder of a temporary resident's visa under the Migration Act 1958 check the details you entered are correct, then try again. Alternatively, you may send a paper application.

To clarify, I was on a 2 year WHV and following that a student visa. All of which have now finished, I have confirmed with my super that my account with them is still open and has not been transferred to the ATO.

Because of this error I figured I might have to do the paper application which seems to have more information required. The second question I had was regarding getting a certificate from the Department of Immigration. It states if I am due to receive over $5000 this will be required, if not I can just show evidence I've left the country. In my situation, my current super savings total over $5000, however once the 65% tax is applied it will definitely be under that value. Does that mean I can just provide my own evidence I've exited the country, therefore avoiding further fees for a certificate and a 21 day wait time for this to be sent to me. (My friends mentioned this is something they didn't have to do during the online application)

Ideally if there's some way the online application error can be resolved I'd do it there, since it took my friends considerably less time and effort, but ultimately I'm just trying to lodge my super returns quickly and without mistakes.

Thank you!

DASP payment 2011-14: mix of 417 and 457 visa

Paulo19 — Wed, 05 Feb 2020 22:11:04 GMT

Hi all,

I am looking for some help.

I am in the process af applying for DASP and am confused by the rate of tax I will pay. I was employed between Sept 2011 and Aug 2014. Between Sept 2011 - Feb 2012 I was employed on a working holiday visa which switched to a Business Long Stay 457. I was employed on this until I left Australia in Aug 2014.

I have read confusing info about the rate of tax that will apply. Some say 38%, then others either 35% or 65%.

Using Super to pay off Hecs loan

Kirsty88 — Wed, 05 Feb 2020 13:29:09 GMT

I have lived outside Australia for the last 10 years and have just received a letter from the ATO about paying back my Hecs loan (which is about $20k. I have $16k sat in my super - am I able to use that to pay towards my Hecs loan? I will not be returning to Australia and I do not have the funds to pay the Hecs loan so not sure what happens if I can't use the super to pay the Hecs? Any advice would be welcome!

SG Opt-out

SteveKing — Thu, 06 Feb 2020 02:06:02 GMT

Hi everyone,

Assume I work for 3 employers, A, B and C. Each pays me $15,000 Employer Concessional Contribution annually. In total, I have excess concessional contributions from employers A,B,C.

Under the new regime of SG Opt-out, will I be eligible for applying employer shortfall exemption certificates for B and C?

Therefore, (at least one employer) A still contributes $15,000 per year;

B receives employer shortfall exemption certificate but still can contribute $10,000 per year, instead of $15,000;

C receives employer shortfall exemption certificate and contributes nil.

Is it possible? Thank you in advance.

terminated from my job is there an account i can move my super to

themaster_74 — Tue, 04 Feb 2020 11:14:11 GMT

I was recently terminated from my job,

is there an account i can move my super to while i am not working and receiving newstart,

if i am under financial stress how can i access my super

Super on cashed out annual leave

Laura75 — Tue, 04 Feb 2020 04:08:26 GMT

Can you please confirm whether superannuation is payable on cashed out annual leave and long service leave while an employee maintains their current employment (ie the payments are not upon termination)? Thanks

FHSS determination is missing some voluntary concessional contributions

JG99 — Tue, 04 Feb 2020 00:17:09 GMT

Hello:

I just received my FHSS determination from the ATO and noticed that 6 months of voluntary concessional contributions (salary sacrifice) have not been taken into account. How do I fix this? Is there a ATO form to submit for this purpose? What evidenciary documents would I need to provide?

Thank you!

downsizer

annagaruccio — Mon, 03 Feb 2020 22:26:44 GMT

downsizer contribution - i am 65 my husband is 64. we sold our home - can he ontribute $300k even though he is not 65 but I was when we sold it?

Co Contribution

lkchapman63 — Mon, 03 Feb 2020 22:16:18 GMT

My husband isn't working so I was wondering if we pay into his super will he be eligible for co contribution payments?

Once money is released

marciosilvarj — Mon, 03 Feb 2020 12:19:19 GMT

Hi,

I got the determination letter, signed a contract to buy a house, got the mortgage sorted and I asked for my FHSSS money to be released.

In detail: The house price is $260,000.

I made $5,000 deposit (during offer), as there is no simulator of full transaction and the process using FHSSS is not 100% clear the bank is going to loan $244,250.00.

So, I have accumulated 25,500 ($30,000 - 15%) in my super using FHSSS. With earnings, maximum release amount is $26,241.00. After 17% deduction it makes clean (net) $21,780.03 to be in my bank account. After all said, I am still not sure of values in regards to FHSSS release amount, neither the mortgage manager can say.

As it is the first time I buy a property, I am still not sure about how FHSSS money can be used. It is one off.

My understand up to now:

$5,000.00 - Deposit paid.

$244,250.00 - Amount to be paid by bank to seller (I think it's a check).

$21,780.03 - FHSSS amount to be released yet and I am not sure whether it is the correct amount to be released, it may be more or less.

Total amount that is expected to be available = $271,030.03.

As you can see, there is an excess of $11,030.03 (if my math is correct).

Do I have to recontribute this $11,030.03 into my super fund to avoid issues with tax or may I use this money towards any cost involved in buying this house for example fees related to this property or even renovation/improvements of this property?

I am asking this as I could not find clear information on how to use the released amount. My understanding, since it is a saving scheme to buy the first home and I bought a house all money has to be used towards this house, either for deposit, fees, improvements, closing costs. Anything related to buy the first home.

Please, clarify if possible.

Best regards,

Marcio

Incomplete tax return & FHSS

dottyfrog — Mon, 03 Feb 2020 11:36:21 GMT

Hi all,

Are there any negative consequences for not having completed my 2017/18 & 2018/19 tax returns when withdrawing my FHSS contributions in 2019/20 financial year?

Thanks,

dottyfrog

Withdrawing same year contributions were made

dottyfrog — Mon, 03 Feb 2020 10:45:07 GMT

Hi all,

Am I able to withdraw personal contributions in the same financial year they were made and still claim the deduction on my FY2020 tax return?

Cheers,

dottyfrog

Lost/found super not worth chasing!

Deejay — Mon, 03 Feb 2020 10:24:57 GMT

Recently found out I have some old super sitting with the ATO. Total between 2 accounts is about $220.00.

As this amount is over $200 a direct credit payment to me cannot be done.

I can claim the money as I am now disabled & on DSP, with M/S & mental issues.

So I'm told to download the PDF application & send it in. No printer!

So off to Centrelink to print off the appropriate doc.

Read the application through, turns out I need 2 independant doctors to sign off on the application for release of my super.

Well I have only 1 doctor, & if I'm required to see a Neurologist to get the necessary sign off then all bets are off as I would be waiting at least 6 months for that appointment & would need to travel some 250klms round trip minimum for this. "Tasmania"!!!

So, pipped at the post before I even begin.

Why does this system have to be so diffucult. It's MY money, the ATO know this, but still I have to jump through beaurocratic hoops to get it. I personally don't have the mental patience to see the process through. Simply not worth the stress & time just for $220

I tried to tell the ATO to withdraw the cash & go to the pub with it, but they've blocked my ISP after the first contact I made via the online contact form.

So, whom ever gets that money, have fun with it;.

FHSS Withdrawl

Badru — Mon, 03 Feb 2020 09:19:21 GMT

Hi everyone,

What is the maximum withdrawal I can make from the FHSS Scheme in one financial year?

For example:

In 2019, I contribute $15,000 (salary-sacrificed, through employer).

In 2020, I contribute $15,000 (salary-sacrificed, through employer).

Now if I am buying a property, say in 2021, can I withdraw the $30,000 at one go, or do I have a maximum limit on how much I can withdraw in one financial year (e.g. maximum I can withdraw in 2021)?

Thank you.

Releasing FHSS and deductions

jesswa — Mon, 03 Feb 2020 06:35:43 GMT

I have put in $28,000 non-concessional voluntary payments (after tax / from salary) over three years and would like to request a release. I have claimed the deductions / will be claiming this year as a tax deduction on my personal tax.

When going through the release process, what do I write in the deductions section? $28,000?

transfer to SMSF

Wilson888 — Tue, 04 Feb 2020 04:07:41 GMT

Hi,

When a property has been approved by the council for Boarding house, can this property be transferred to SMSF direct? Currently, the property title is under husband and wife name and has not been constructed yet. The intention to transfer to SMSF, because this property is going to be used as an income for retirement later on. The owner age about 53 and 54 years. The property is as a Principle of Resident home.

What is the implication. eg. taxes, CGT, Duties, GST, loan to construct?

I have been advised that some of them say yes I can, other say no.

Superannuation calculation - construction industry

AS-2020 — Mon, 03 Feb 2020 04:15:14 GMT

Hi,

Can anyone confirm how to calculate superannuation if an employee (standard employment contract of 40hours) works 20standard hours and 25overtime hours? This relates to the construction industry.

Thanks.

Spouse contribution and tax offset eligiblity

James71 — Sun, 02 Feb 2020 10:50:00 GMT

One of the elibility criteria for the Spouse Contribution ($3000 non-concessional for $540 offset) is that the receiving spouse has not "exceeded their non-concessional contribution cap". However, can the receiving spouse have exceeded the annual cap by triggering the 'bring-forward' arrangement with non-concessional contributions (NCCs) and also receive an eligible spouse contribution?

e.g. In 2019-20, if no other NCCs are made can I make a NCC of $294,000 as a spouse contribution and claim the offset?

Can I also contribute $3000 in 2020-21 and $3000 in 2021-22 and claim the offset in those years too?

Pension Commutation on 1 July

Lionel11 — Fri, 31 Jan 2020 05:42:12 GMT

I am planning to close our SMSF which is currently in full pension mode. I do all the accounting myself and have the fund audited.

I plan to Commute pensions to Accumulation phase on 1st July 2020 and close the fund during the 20/21 tax year by paying a superannuation lump sum.

My understanding is that the fund needs to make a minimum pension payment of 1/365 of annual amount on this day and prior to making commutation. Is this correct?

The fund would be in Pension phase only for a few hours on the 1st. So for the 20/21 tax year the fund would have 0 days in pension phase and all days in accumulation phase. This would mean there would be no Exempt Current Pension Income and there would not be a requirement for an Actuary Certificate. Is this correct?

Accessing Super balances above the 1.6 million pension limit

THammer — Fri, 31 Jan 2020 05:36:40 GMT

My question relates to the accumulation account containing the excess super savings after 1.6 million has been converted to a pension account. I understand that after the age of 65 this account can be accessed (withdrawn) "at will", but what are the rules if the retiree is between 60 and 65?

Indexation of Transfer Balance Cap

THammer — Fri, 31 Jan 2020 03:11:41 GMT

Will the Transfer Balance Cap increase to 1.7 million on 1 July 2020?

Reporting SMSF personal CC contributions in Tax Return

vgleiber — Thu, 30 Jan 2020 23:53:05 GMT

My wife made a personal NCC contribution to our fund of $175,000 and later claimed $24,400 of it as CC.

Tax return created by our accountants correctly reported this figure in Section B (Income), Label R2 (Assesable personal contributions).

But in Section F (Member infotmation) for her there was no label to report it as CC and the whole $175,000 was reported in Label B (Personal contributions).

As a result, on ATO site the whole $175,000 is reported as a bring forward NCC instead of $150,600.

How to resolve?

DASP accessing super early as a New Zealand citizen living permanently in the UK

mmee — Thu, 30 Jan 2020 16:46:26 GMT

Hello

I am a New Zealand citizen who worked in Australia for a few years before moving permanently to the UK. What will happen to my super because I can't transfer it to New Zealand under the trans-Tasman agreement as I'm not living there? If I stay living in the UK will my super just sit in my fund until I reach the retirement age?

Thanks in advance

PSS Defined Benefit Cashing out leave entitlements to increase superannuation salary

kevbackchat — Thu, 30 Jan 2020 10:05:57 GMT

I am an employee of a commonwealth government department and I am a member of the Public Service Superannuation Defined Benefit scheme. I am looking at retiring at the end of the year and I have heard that if I cash in leave entitlements prior to retiring it will increase my superannuable salary and accordingly increase my Final Annual Salary thereby increasing the defined benefit I will be entitled to. Is this true? Also, as I will only be 55 years of age and under preservation age, is it true that I do not have to pay any tax on my member contributions, which I understand form the tax free component of a taxed source, when calculated as a percentage of my defined benefit pension? Many thanks for any help you could give.

Can SMSF Claim Input GST Credit on Collectables

manishk1 — Thu, 30 Jan 2020 09:37:07 GMT

Hi,

An smsf made investment in collectables item and paid gst on it. The SMSF is GST registered. Can SMSF claim Input GST credit on collectables items.

Super contribution for casual workers

Samantha_Woon — Thu, 30 Jan 2020 01:56:15 GMT

Hi,

Just wondering for casual employees where their monthly pay varies (ie. some months it can be more than $450, some months less than $450), do we still need to contribute super for when their pay is below $450 for a certain month?

Thanks

DASP - Expired PR Visa

acoppa — Wed, 29 Jan 2020 10:59:29 GMT

Hi,

I currently hold a Permanent Residency visa and have been working in Australia for about 10 years.

I'm planning to return to my home country next year which also coincides with the expiry of my visa.

I don't have plans to return to live in Australia after I leave the country.

Would I be eligible to apply for DASP?

There is conflicting information online and it seems the general rule is permanent residents go by the same rules as Aussie citizens living in Australia or abroad but what about when the PR expires?

Some clarity around this would be greatly appreciated.

Many thanks

Non Concessional contributions

MikeGG — Wed, 29 Jan 2020 04:05:06 GMT

I am 64 years of age, turning 65 on 12th February. It is my intention to make non-concessional contributions totalling $300,000 between 20 January and February 8th this year into my Accumulation A/C.

I understand that this will trigger the 'bring forward rule' given the contributions will be in excess of $100 000. As I understand it, as I was 64 at the commencement of the financial year, and all contributions are made prior to my 65th birthday, I do don't have to satisfy a work test, not even for the next two years given the contributions are all made prior to 12th February, my 65th birthday.

These planned contributions, combined with my capital amounts as at 1st July 2017 (accumulation account balance, pension account balance and defined benefit scheme special value) add up to well less than the $1.6m - Transfer Balance Cap.

(member 2) is 64 years of age, turning 65 on 27th March. Between August and September 2018, she made non-concessional contributions of $200 000 into her Accumulation Account. This activated the 'bring forward rule', limiting her to another $100 000 over the 3 year period.

her 65th birthday is March 27th this year. It is our intention to contribute another $100 000 into her accumulation account prior to her 65th birthday. I assume that she will not have to satisfy a work test given she was 64 at the start of the financial year and the contribution will be made prior to her 65th birthday. Once again she will not be anywhere near breaching her TBC.

Does all the above reflect the current rules to avoid making excess contributions?

Coming back to work in Australia

Lawrence1 — Wed, 29 Jan 2020 03:47:14 GMT

Hi,

I am planning to leave Australia at the end of my current 485 visa and I want to claim my Super after I have left. But, I am planning to come back to a dependent visa after my partner gets her 485 visa granted or if I get selected for 189 or 190 visas.

My question is, can I claim my super after I have left Australia and still come back in one of the visas mentioned above and work here again?

Thanks,

Lawrence

Cash in SMSF

RT — Wed, 29 Jan 2020 00:57:12 GMT

Hi, can you please tell me if there's any reason a SMSF can't hold cash as an investment? That is, physical Australian dollars (not collectible coins) stored at a trustee's private residence? The trustees would sign a statutory declaration to confirm the cash is held separately from privately held cash.