In the media

Helping make your super work harder in retirement
TREASURY - 17 May 2018 - The Turnbull Government is progressing reforms announced in the 2018-19 Budget to secure the retirement incomes of Australians and improve their standard of living in retirement. More...

FSC and AIST release due diligence tools
MEDIA – 17 May 2018 - Retail and industry super lobby groups the FSC and AIST have released joint guidance for fund managers responding to due diligence requests from super funds. More...

APRA releases findings of thematic review of superannuation board governance practices
APRA – 17 May 2018 - The Australian Prudential Regulation Authority (APRA) has urged superannuation licensees to examine whether their board has the optimum mix of skills, capabilities and experience needed to effectively carry out its responsibilities. More...

Penalties and ASIC's powers boosted to curb misconduct
GOVERNANCE INSTITUTE - 16 May 2018 – The government is introducing tough new penalties for corporate and financial misconduct and will bolster the powers of the Australian Securities and Investments Commission (ASIC) in its response to the ASIC Enforcement Review Taskforce Report. More...

'Disappointing': Nation's biggest super fund slams banks over scandals
MEDIA – 16 May 2018 - Australia's biggest pension fund has hit out at the nation's banks, saying a string of scandals exposed by the royal commission showed the industry was too focused on the short term. More...

KPMG flags cost threats to super fund operations
MEDIA – 16 May 2018 - Superannuation funds face numerous challenges over the next decade and their chance of survival may come down to management of operational costs, says KPMG Australia. More...

Oversight of self-managed super funds to be reduced in budget shock Analysis
MEDIA – 14 May 2018 - Despite the litany of atrocities within the financial services industry, the budget papers reveal plans to scale back oversight of almost a third of Australia's $2.6 trillion superannuation industry. More...

CBA CFO resigns with immediate effect
The major bank has announced that its chief financial officer has stepped down, as the "renewal" of its executive team continues (14 May 2018). More...

$1.6bn opportunity to fix unpaid super and gender super gap goes begging
ISA - 09 May 2018 - The 2018 Budget has missed the opportunity to tackle unpaid superannuation and close the gender super gap by failing to re-invest over $1.6bn in windfall budget savings raised from 'protecting' small super balances and paring back a super tax break that only started this year. More...

New Alliance wants fairer retirement outcomes for all Australians
SMSF Association - 7 May 2018 - Several associations have formed the "Alliance for a Fairer Retirement System" to explore options to fix problems with the existing superannuation taxation, Age Pension means testing and broader retirement income systems. The formation of the Alliance is in response to Labor's proposal to disallow refunds of excess franking credits for a range of retirees and shareholders. More...

In practice and courts

Retirement Income Covenant Position Paper: Consultation
The retirement phase of the superannuation system is currently under-developed and needs to be better aligned with the overall objective of the superannuation system of providing income in retirement to substitute or supplement the Age Pension. The new covenant will form the cornerstone of the new framework. It will be added to the Superannuation Industry (Supervision) Act 1993. The position paper is available on the Treasury website. Interested parties are encouraged to provide submissions on the proposed covenant principles by 15 June 2018 (17 May 2018).

Federal Budget 2018-19: Highlights for lawyers
Law Council of Australia has produced a summary of key items from last night's Federal Budget of interest to the legal profession. More...

Superannuation measures

  • The Government has introduced new measures to protect against the erosion of superannuation balances through excessive fees and inappropriate insurance arrangements
  • Administrative and investment fees will be capped on accounts with under $6,000 balances at 3% annually, and exit fees will be banned for all superannuation accounts
  • The Government will tailor insurance arrangements in super by ensuring that cover is offered on an opt-in basis for accounts of young members under the age of 25, inactive accounts which have received no contributions for 13 months, and low balance accounts under $6,000
  • The Protecting Your Super Package will reunite individuals will their lost and low balance inactive superannuation accounts through the existing ATO-led account consolidation regime (including individuals with multiple superannuation accounts.

ASFA Research Papers
Mythbusters: Myths that a 12 per cent SG is not needed, Ross Clare, Director of Research, ASFA – May 2018.


Hart and Commissioner of Taxation (Taxation) [2018] AATA 1267
SUPERANNUATION – self managed superannuation fund – whether breach by trustee of Trust Deed – whether breach by trustee of covenants – whether fit and proper person – disqualification – failure to lodge annual returns – breach of in-house asset rule – condition of release not met – breach of related entity provisions – acquisition of superannuation fund assets – arm's length investments – acquisition of real property – acquisition of shares in a foreign company – failure to comply with benefit payment standards – falsifying signatures on superannuation fund documents – payment of benefits due to terminal illness – loans and financial assistance to members – sole purpose test – forfeiture of benefit of members - Superannuation Industry (Supervision) Act 1993.

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