In the media
SMSF scammers posing as financial advisers
MEDIA – 14 May 2021 – the scammers are promising high returns of 8 per cent to 20 per cent per annum if the investors moved their super balance to a new self-managed superannuation fund. More...
AIST: Budget response
Aist – 13 May 2021 – budget highlights that increasing compulsory superannuation is vital to improving retirement outcomes for women and low-income earners. More...
Financial services groups welcome key Budget measures
MEDIA – 11 May 2021 – yhe Financial Services Council and the Association of Superannuation Funds of Australia have welcomed the target changes to superannuation and the Government's long-awaited move to allow a fix for legacy financial products. More...
Government jump-starts financial services changes
MEDIA – 11 May 2021 – the government has listed new measures for fund managers in the federal budget, covering tax and regulation for foreign investors Companies that are licensed in jurisdictions with comparable financial service rules and obligations or have limited connection to Australia, could be relieved from needing to hold an Australian Financial Services Licence. More...
ASIC bans former adviser for falsifying documents
MEDIA – 06 May 2021 – former financial adviser for ANZ and Infocus, Lisa Lee, has been banned by the corporate regulator for eight years after it found she falsely witnessed binding nomination of beneficiary forms, backdated documents, and falsified a client's signature on documents. More...
APRA approves IOOF bid to purchase NAB superannuation licensee
APRA - 6 May 2021 – the APRA has approved an application by IOOF Holdings Ltd to hold a controlling stake in NULIS Nominees (Australia) Limited, an RSE licensee, under section 29HD of the Superannuation Industry (Supervision) Act 1993. More...
'Wholesale investor' term outdated: ASIC
MEDIA – 06 May 2021 – cases like Mayfair 101 highlight the need for an update of the term ‘wholesale investor', according to the Australian Securities and Investments Commission, as it carries out work on true to label products. More...
Treasury, not ASIC will ultimately determine 'general advice' outcome
MEDIA – 06 May 2021 – the Australian Securities and Investments Commission was never really empowered to seriously change the status of ‘general advice' when Government reviews were on foot. More...
Proxy advice reforms ‘inoperable', ‘misguided': ISS
MEDIA – 06 May 2021 – one of the main institutional proxy advisers in Australia, has warned against the government's new proposed restrictions for the sector. Treasury has kicked off a public consultation seeking stakeholder feedback on the draft reforms, including questions on super funds' governance, independence, accountability and disclosures. More...
Media statement in response to ASIC regarding findings from consumer research on ‘General Advice'
FPA – 05 May 2021 – the FPA is disappointed ASIC has decided not to make any recommendations to the Government to address the harm caused by consumers misunderstanding the term ‘general advice'. More...
Treasury urged to investigate AFCA ‘coaching'
MEFIA – 05 May 2021 – amid continuing complaints from advisers that they believe they have witnessed the Australian Financial Complaints Authority (AFCA) “coaching” complainants, the Federal Treasury is under pressure to address the issue. More...
ACCC would investigate advice within super, if only someone asked
MEDIA – 04 May 2021 – politicians and financial advisers may see the actions of superannuation funds in denying members the ability to pay external advisers as an issue, but no one has filed the complaints necessary to prompt the Australian Competition and Consumer Commission to investigate. More...
In practice and courts
ATO Alerts
Latest news on tax and superannuation law and policy: Budget 2021–22
The Government handed down the 2021-22 Budget on 11 May 2021, with several changes to tax and superannuation laws (see budget.gov.au).
The measures are listed here with proposed commencement dates. More...
ASIC Updates
07/05/2021 ASIC Corporations (Amendment) Instrument 2021/381
Amends the ASIC Corporations (Auditor Independence) Instrument 2021/75 and ASIC Corporations (Parent Entity Financial Statements) Instrument 2021/195 to change the repeal dates from April 2026 to April 2024.
06/05/2021 INFO 253 Claims handling and settling: How to comply with your AFS licence obligations (PDF 386 KB – reissued)
Updated to reflect the Financial Sector Reform (Hayne Royal Commission Response) (Claimant Intermediaries) Regulations 2021 (made on 15 April 2021) which exclude certain people from being ‘claimant intermediaries.
ASIC Corporations (COVID-19–Advice-related Relief) Instrument 2021/268
Extends until 15 October 2021 the relief measure that allows financial advisers to provide a record of advice rather than a statement of advice to existing clients requiring financial advice due to the impact of the COVID-19 pandemic: See 21-072MR and FAQs.
ASIC Consultations: CP 340 Breach reporting and related obligations
Comments close 3 June 2021
This consultation paper sets out our proposals for providing guidance to Australian financial services licensees and Australian credit licensees (credit licensees) on the breach reporting obligation that applies from 1 October 2021. The obligations require these licensees to notify, investigate and remediate breaches of the law in certain circumstances. More...
ASIC Corporations, Superannuation and Credit (Amendment) Instrument 2020/99
Amends the ASIC Corporations and Credit (Internal Dispute Resolution–Transitional) Instrument 2019/965 to preserve ASIC's existing internal dispute resolution policy in relation to complaints received by financial firms before 5 October 2021.
APRA additional FAQs on the Superannuation Data Transformation Phase 1 reporting standards
The APRA has published additional FAQs for registrable superannuation entity licensees to provide further guidance on meeting the Reporting Standards for Phase 1 of the Superannuation Data Transformation. APRA is releasing FAQs on a regular schedule in the lead up to the first collection of data under the new Reporting Standards on 30 September 2021. The FAQs are available on the APRA website at Frequently Asked Questions – Superannuation Data Transformation (07 May 2021).
Consultation exposure draft regulations underpinning Treasury Laws Amendment (Your Future, Your Super) Bill 2021
Under the Your Future, Your Super reforms, the Morrison Government is taking the next step in modernising and improving the superannuation system. The Your Future, Your Super package is scheduled to commence on 1 July 2021.Consultation closes on 25 May 2021. Further information is available at the Treasury website. More...
Hijacking the super increase: Why forced saving for aged care will leave Australians worse off
Industry Super Report: Published: 05 May 2021
Plans from some backbench MPs to ringfence the super guarantee increase for aged care costs could lead to up to 350,000 young workers not reaching retirement income benchmarks. Industry Super Australia's new report finds that while the aged care system is in dire need of a funding boost hijacking the super guarantee increase is not the answer. More...
APRA draft Prudential Practice Guide CPG 229 Climate Change Financial Risks (CPG 229)
The guide is designed to assist APRA-regulated entities in managing climate-related risks and opportunities as part of their existing risk management and governance frameworks. APRA is seeking stakeholder feedback on the draft CPG 229 by 31 July 2021. The draft CPG 229 and supporting resource links are available on the APRA website at: Consultation on draft Prudential Practice Guide on Climate Change Financial Risks.
APRA draft taxonomy artefacts to assist superannuation entities prepare for APRA Connect
APRA has released the response paper and 10 final reporting standards for the first phase of its multi-year Superannuation Data Transformation. The Response Paper and finalised reporting standards are available at: Consultation on APRA's Superannuation Data Transformation. These new collections will be reported through APRA Connect. Final versions of these documents will be available before the external test environment is released to entities in June 2021. The draft artefacts include the data dictionary, validations, reporting taxonomy and XSD (to validate files).
AIST Special Federal Budget Edition 2021-22
The focus of this year's Federal Budget is on initiatives designed to maintain and grow Australia's post-pandemic economic recovery, which has been better than expected (12 May 2021). More...
Policy news – 6 May 2021
Budget 2021 – what we know so far; ASIC commences civil proceedings against Westpac for insider trading relating to the sale of Ausgrid; APRA releases guidance & update on remuneration; ASIC to consult on breach reporting: New definition proposed for a critical superannuation asset: AIST's weekly update on the status of legislation. More...
Cases
Coronica and Commissioner of Taxation (Taxation) [2021] AATA 1225
Sets aside the decision dated 5 September 2018 under s 126A of the Superannuation Industry (Supervision) Act 1993 (the Act) to disqualify the Applicant
SUPERANNUATION – self-managed superannuation fund – decision to disqualify Applicant as trustee of self-managed superannuation fund – nature, seriousness and number of contraventions – whether Applicant fit and proper person to be a trustee – whether breach by trustee of Trust Deed – whether breach by trustee of covenants – decision set aside and substituted.
Legislation
Commonwealth
Regulations
ASIC Corporations (Amendment) Instrument 2021/381
10/05/2021 – this instrument amends the ASIC Corporations (Auditor Independence) Instrument 2021/75 and ASIC Corporations (Parent Entity Financial Statements) Instrument 2021/195 to change the repeal dates from April 2026 to April 2024.
ASIC (Amendment) Instrument 2021/344
10/05/2021 – this instrument amends the ASIC (Senior Staff Members–Determination) Instrument 2019/117 to facilitate the delegation of employment powers to certain staff within the Australian Securities and Investments Commission's People and Development, Information Technology and Office of Enforcement teams.
ASIC Corporations (Auditor Independence) Instrument 2021/75
06/05/2021 – this instrument provides relief to the lead auditor from reporting in the auditor's independence declaration, minor financial interests in an entity audited by an audit firm where the interest is held by any other partner of the firm or their close family members.
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