November 2021 Newsletter
In this issue:
They say the two inevitable things in life are ‘death and taxes’, and in this newsletter we cover off both – as well as several updates on superannuation.
In the world of tax, we examine how the CGT retirement exemption works where a gain has been made by company or trust – and why it’s best to seek the advice of a professional instead of attempting a DIY!
We also address why the common question ‘Are you an Australian resident for tax purposes?’ is such an important one. (Spoiler alert: the main reason is that if you are, you’re obliged to declare all income earned both in Australia and overseas!)
Becoming the executor of a deceased estate is often seen as an honour, but it’s also a huge responsibility: our third article looks at what’s involved should you ever find yourself appointed to execute the wishes of a deceased loved one.
Over in the superannuation world, we explain the new ‘stapling super’ mechanism, effective as of 1 November, that will automatically carry over an employee’s super fund to their new job with a view to reducing to the old problem of multiple super accounts.
In good news for SMSF trustees financially impacted by COVID-19 lockdowns, our second super article outlines some of the relief that will be available in certain States and Territories in the 2021-22 financial year.
Articles in this edition...
New laws to improve the way super is divided in divorceCGT on sales of property inherited by a foreign residentCGT retirement exemption where gain is made by a company or trustAre you a non-resident for tax purposes? It is important.ATO extends COVID-19 relief measures for SMSFsBecoming the executor of a deceased estate
Other news to know for November:
TAX
With the opening up of NSW and Victoria on reaching the 80% double vaccination rates, the Federal Government has announced that the COVID-19 Disaster Payment will decrease over a 2 week period for those receiving the full amount of the payment, and over one week for those receiving the $200 payment.
SUPERANNUATION
SMSFs impacted by COVID-19 due to the extended lockdowns in certain States and Territories will be granted extended relief to cover the 2021-22 financial year.
SMSFs that only pay pensions during the entire financial year no longer need to obtain an actuarial certificate when calculating how much of the pension’s investment income will be exempt from income tax.