Need to know whether you are required to lodge a TBAR? Let us help! Our intuitive form will give you the answer.
Access to non-concessional contributions and bring forward are subject to TSB restrictions:
If the TSB at 30 June of the prior year is greater than or equal to the transfer balance cap (TBC**), the cap is nil even where a bring forward arrangement has been triggered in a prior year.
To utilise carry forward unused concessional contributions, a member’s TSB at 30 June of the prior financial year must be less than $500,000
Eligibility for the government co-contribution depends upon the member’s TSB at 30 June of the prior financial year being less than the TBC
In order to access the spouse contribution tax offset, the spouse’s TSB at 30 June of the prior financial year must be less than the TBC
The one year exemption from the work test applies to retirees aged 65-74 whose TSB at 30 June of the prior financial year was below $300,000
Currently, an SMSF running at least one retirement phase income stream during the
year is not eligible to use the segregated method to calculate ECPI if any member:
holds a superannuation interest in the fund at any time during the financial year;
and, at 30 June of the prior financial year:
had a TSB greater than or equal to the TBC; and
was receiving a retirement phase income stream from any source.
The proportionate method must be used.
Legislation is expected to pass which, from 1 July 2020, will allow funds to use the
segregated method where all accounts are in retirement phase regardless of the TSB of the members.
The TBA reporting cycle is subject to the TSB of fund members:
If, at 30 June of the financial year prior to the first member commencing an income stream, any member had a TSB of $1M or more, the fund must report quarterly (TBAR is due 28 days after the end of the quarter in which the event occurred)
If, at 30 June of the financial year prior to the first member commencing an income stream, all members’ TSBs were less than $1M, the fund may report annually (TBAR is due no later than the due date of the annual return for the year in which the event occurred)
This is only tested once: when the first income stream commences
*TSB = retirement phase value + accumulation phase value + any rollovers not otherwise counted – structured settlements
+ (in certain circumstances) the outstanding balance of an LRBA
**TBC = transfer balance cap (currently $1.6 million, indexed annually with CPI and rounded down to nearest $100,000)
This information is of a general nature only and should not be relied upon as advice. It does not take
into account your personal objectives, financial situation or needs.
