Miller explains why there was a need for these regulations to be put in place and who is set to benefit from legacy pension changes, the important dates for the measures, and considerations for both SMSF members and their advisers when deciding if exiting a pension is the right decision.
The podcast also takes a look back on a big year for SMSF professionals. Even though the Division 296 changes never got across the line, there were changes to the stage 3 tax cuts, the objective of super was legislated, and the government raised the ire of accountants with some ill-advised changes to the code of professional conduct for tax practitioners – and much more.
Listen as they discuss:
- How the SMSF sector was impacted by the biggest events of 2024.
- The key areas covered on the SMSF Adviser Show over the year that was.
- Why a number of these important issues are going to still be on the agenda in 2025.
I’m not sure that we will see anything further from Treasury, although it would be good to see a fact sheet or something. I know that the ATO have indicated they will release more information early in 2025.
I think it’s saft to assume that most of these individuals will have a personal transfer balance cap that at the very least started at $1.6m so any purchase price won’t be able to put them in excess meaning the commutation for the debit will be very important.
I have a quick question for Tim on legacy pensions. Will there be an official guidance document either from the ATO or Treasury, setting out how to commute a legacy pension under the 6/12/24 legislative instrument? For example, how will excess transfer balances be treated – can the whole balance exceeding the TBC be used to start an account based pension?