2010

Recent Developments - Gearing in Superannuation

Source: New South Wales

Published Date: 19 Apr 2010

 
The gearing revolution has changed the way that trustees of superannuation funds, and their advisers, view investments made by superannuation funds. Indeed, now not only do the particular investments need to be considered, but also whether a superannuation fund should borrow to obtain the particular investment exposure. Notwithstanding the amendments made in 2007 to the Superannuation Industry (Supervision) Act 1993, which permitted trustees of superannuation funds to borrow in pre-defined circumstances, there have been lingering and unresolved issues with respect to the strategy.

Two announcements by the Government were made on 10 March 2010, which impact on both the taxation rules, and the regulatory framework surrounding the gearing strategy. Despite the recent announcements, many structuring and interpretive issues will probably remain.

This specialist twilight event is aimed at practitioners and advisers who need to be "up to date' with the latest changes as they occur.

This seminar considered:

  • the proposed income tax and capital gains tax changes surrounding gearing arrangements
  • the goods and services tax, land tax and duties issues which remain
  • general structuring issues and peculiarities which may arise
  • the financial products implications of recommending gearing arrangements to trustees of superannuation funds
  • the implications of the distinction between "traditional installment warrants" and "limited recourse borrowings of complying superannuation funds".

Recent changes - Gearing in superannuation

Author(s): Mark Payne

Details

  • Published On:19 Apr 2010
  • Took place at:Swissotel Sydney, Sydney

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research critisism or review, as permitted under the copyright Act, no part may be rerpoduced by any process without written permission from The Tax Institute.

Unless expressly stated, opinions are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

This material is copyright. Apart from any fair dealing for the purpose of private study., research, critisism or review, as permitted under teh copyright Act, no part may be reproduced by any process without written permission from The Tax Institute.

Unless expressly stated, opininons are not that of The Tax Institute, which accepts no responsibility for the accuracy of any of the information contained within it.

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2010

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