Chartered Accountants Superannuation Bulletin

Welcome to this edition of the Chartered Accountants Superannuation Bulletin. For those that missed the Institute's SMSF Conference held earlier this year, the Institute has released a DVD of the successful event, which includes all conference material including, handouts and presentations.

This Superannuation Bulletin also includes updates on the Institute's quality review processes and training and development events.

Issue No 06 /2008 18 April 1. ATO Updates 2. News and Media Releases 3. Quality Review: retention of records 4. SMSF Conference DVD 5. Training and Development

Using Ordinary Time Earnings to Calculate The Super Guarantee

From Tuesday 1 July 2008, you must use ordinary time earnings as defined in the super guarantee law, to calculate super guarantee contributions for your employees. This ensures all employees are treated the same for super guarantee purposes. This document explains how to calculate the super guarantee using ordinary time earnings from 1 July 2008.

4 April

ATO ID 2008/51

Self managed superannuation fund: Division 13.3A of SIS Regulations - interest in another entity - units in a unit trust.

ATO ID 2008/52

Self managed superannuation fund: Division 13.3A of SIS Regulations - interest in another entity - listed company shares.

6 April

Installment Warrants - questions and answers

This document provides general guidance on the Tax Office’s current views regarding the application of the superannuation law (specifically the Superannuation Industry (Supervision) Act 1993 and related superannuation rules) to instalment warrant type arrangements, certain borrowings by self managed superannuation funds.

9 April

Lost Members Register Non-lodgment Advice

The lost members register non-lodgment advice (NAT 3797) form is for use until 30 June 2008 by superannuation providers (except trustees of self managed superannuation funds) who are not required to lodge a lost members report.

Access To Super For The Terminally Ill

Frequently asked questions about the proposed legislation relating to the taxation of superannuation lump sum payments to the terminally ill.

15 April

Payment of unclaimed super - individual

Enables individuals to request payment of superannuation money held by ATO.

Payment of unclaimed super - third party

How to complete your application for payment of unclaimed super - third party (NAT 71696, PDF, 533KB)

16 April

SMSFD 2008/2

Self Managed Superannuation Funds: when calculating the market value ratio of in-house assets for the purposes of section 75 of the Superannuation Industry (Supervision) Act 1993 is it permissible for a self managed superannuation fund to value its assets at historical cost (purchase price)?

18 April

SuperUpdate April 2008

SuperUpdate is a monthly electronic newsletter issued to those working in the superannuation industry. It includes information about superannuation issues and changes in the administration of Australia's superannuation system. The newsletter provides summary information and directs readers to other sources for highly technical or more detailed information.

Taxpayer Alert 2008/5

This taxpayer alert is concerned with arrangements under which the trustee of a self managed superannuation fund (SMSF) enters into certain limited-recourse borrowings, which may not meet the conditions in subsection 67(4A) and/or breach other provisions of the Superannuation Industry (Supervision) Act 1993 (SIS Act), as well as related superannuation rules.

On Thursday 10 April 2008 Hon. Senator Nick Sherry was a guest speaker at the ASFA luncheon. He spoke to attendees about recent topics in superannuation such as: fiscal responsibility, duty of care, SMSF administration and lost superannuation. Use this link to read his entire ASFA luncheon speech

From Tuesday, 1 July 2008, the Institute will keep quality review results letters, and any associated correspondence, for future reference. The change reflects community expectation of Chartered Accountants, and helps cement the Institute’s position within the co-regulatory environment.

The change will allow quality reviewers to see how practices have progressed over time, by comparing the review result with the previous result. It will also allow the Financial Reporting Council (FRC), and its consultants, to oversee the Institute’s work. The information will be treated confidentially, and will not be shared with any other third party. To view the full article please click here

The Institute recognised the growth of the self managed superannuation funds (SMSFs) industry by hosting the inaugural SMSF Conference in Sydney in February this year. The Conference highlighted the role Chartered Accountants have in the SMSF market and the important role as 'trusted adviser' they have with their clients.

The Conference featured exceptional presenters, speaking on a number of topics including; investment and borrowing strategies, estate planning, second generation SMSFs, in-house assets and grandfathering provisions.

For those that missed the Conference, the Institute has made available to purchase a DVD containing all the papers, presentations and relevant hand outs.

The DVD would provide an ideal resource for accountants in practice who provide SMSF information and/or advice to financial planners.

The DVD can be purchased from the Institute website

1. Chartered Accountants Financial Planning Day
Seminar one - Asset protection
Seminar two - Tax and planning issues
Throughout March and April in Brisbane, Melbourne, Sydney, Adelaide & Perth. Essential information you need to correctly identify and implement tax and planning issues necessary for implementing a business succession plan.

2. Chartered Accountants Business Forum 2008
Throughout April, May & June in Brisbane, Melbourne, Sydney, Canberra, Adelaide & Perth
Whats your strategy for the year ahead? Join industry leaders and your peers as vital topics are addressed, key technical updates explored, and new ideas and options examined.

3. Audit of Self Managed Superannuation Funds Workshop
Throughout May and June in Brisbane, Melbourne and Sydney. Now that there are competency requirements for auditors of self managed super funds, don't miss out on ensuring your audits are compliant with the regulatory requirements.

4. Audit of Self Managed Superannuation Funds Update
Throughout May and June in Brisbane, Melbourne, Adelaide, Perth and Sydney. For those who attended the Audit of Self Managed Super Funds Workshops in 2007, the Audit of Self Managed Super Funds Workshops Update will give you thorough knowledge of the final competency requirements in just a few hours to be ready for 1 July 2008.

Disclaimers

This is an initiative of, and has been prepared by the Technical Standards Team of the Institute of Chartered Accountants in Australia. While every effort has been made to ensure the accuracy of the information contained therein, neither the Institute nor its employees shall be liable on any grounds whatsoever in respect of decisions or actions taken as a result of using this publication. The information provided is a general guide only and should not be used, relied on or treated as a substitute for specific professional advice or referral to the relevant specific standard.

The information is this email is confidential to the named addressee and subject to copyright. No one else may read, print, store, copy, forward or act in reliance on all or any of this email or its attachments. If you are not he intended recipient, any use, reliance upon, disclosure or copying of this email is prohibited and unlawful. If you have received this email in error please notify the sender. The Institute of Chartered Accountants in Australia (ABN 50 084 642 571) does not warrant that this email and any attachments are error or virus free and recommends that all attachments be checked for computer viruses.