What are the advantages of a SMSF?
• SMSF gives members unique control of their investments within the legal framework • Maximum tax payable on earnings is 15 percent • The tax is payable in the year a gain is realised • SMSFs allow control of the timing for asset disposal, meaning that realisation of gains can be deferred until such time that assets are supporting an allocated pension or complying pension, when the income is taxed at 0% • SMSF is a prerequisite for an Allocated Pension or a Complying pension • SMSFs can invest up to 100% of the fund’s total assets in “Business Real Property” • There are no minimum contributions limits and no restriction on frequency of contributions to a DIY Super Fund
