Top Navigation

Author Archive | Joseph Cheung

About Joseph Cheung

Here are my most recent posts

bigstock money opt

Strategies to reduce your total superannuation balance: Part 1

Joseph Cheung, Lawyer and William Fettes, Senior Associate, DBA Lawyers An individual’s total superannuation balance (‘TSB’) determines many of their superannuation rights and entitlements, such as eligibility to contribute after-tax amounts into superannuation without an excess arising. Accordingly, there is a strong incentive for individuals to carefully monitor their TSB over time, particularly towards the [read more]

ATO's view on SMSFs and reserves

SMSFRB 2018/1: ATO’s view on SMSFs and reserves

Joseph Cheung, Lawyer and Daniel Butler, Director, DBA Lawyers The Australian Taxation Office (‘ATO’) has issued SMSF Regulator’s Bulletin SMSFRB 2018/1 ‘The use of reserves by self-managed superannuation funds’. This is the most comprehensive material ever released by the ATO on the use of reserves by self managed superannuation funds (‘SMSFs’). This article highlights the [read more]

Milestones,black and white milestones with green grass roadside,lake roadside in background,concept for next step.go on

Total superannuation balance milestones

Joseph Cheung, Lawyer, William Fettes, Senior Associate, and Daniel Butler, Director, DBA Lawyers The total superannuation balance (‘TSB’) is one of the most important new concepts introduced as part of the major superannuation reforms that broadly came into effect on 1 July 2017. Many superannuation obligations and rights depend on a member’s TSB: broadly the total [read more]

guns

Triggering your bring forward non-concessional contributions cap post-1 July 2017

Joseph Cheung ([email protected]), Lawyer and Daniel Butler ([email protected]), Director, DBA Lawyers The eligibility criteria for individuals who wish to bring forward their non-concessional contributions (‘NCCs’) cap post-1 July 2017 is more rigorous and complex than ever before. However, bringing forward an individual’s NCCs cap will still remain a popular strategy to boost an individual’s superannuation [read more]

Family genealogic tree. Parents and grandparents, children and cousins.

Who is your relative for SMSF purposes and why is this relevant?

Joseph Cheung, Lawyer and David Oon, Senior Associate, DBA Lawyers It is important to understand who is an individual’s relative for superannuation law purposes as the Superannuation Industry (Supervision) Act 1993 (Cth) (‘SISA’) imposes certain boundaries on an SMSF’s activities in relation to an individual’s relative or related party. There are two definitions of the [read more]

chess

Payments above ABP minimum — Reasons to prospectively document a strategy ASAP

 Joseph Cheung, Lawyer and  Bryce Figot, Special Counsel, DBA Lawyers  Payments above the account-based pension (‘ABP’) minimum annual payment have the potential to become a trap. The June 2017 SMSF Benchmark Report by Class Super states that ‘the average SMSF pensioner withdraws about $74,000 annually on their pension over a series of 12 transactions and [read more]

Demystifying

Demystifying the tax treatment of death benefits paid to the estate

Joseph Cheung, Lawyer and William Fettes, Senior Associate, DBA Lawyers The tax treatment of death benefits paid from an SMSF to a deceased member’s estate can be complex. Tax law contains a ‘look through’ provision in respect of death benefits paid to an estate (ie, to a legal personal representative being the executor of a [read more]

bug

Traps that turn your non-geared unit trust into an in house asset

By Joseph Cheung, Lawyer and David Oon, Senior Associate, DBA Lawyers A reg 13.22C non-geared unit trust (‘NGUT’) is not included as an in-house asset (‘IHA’) at the time of the initial investment provided certain criteria is met. Some trustees may think that they are investing in a reg 13.22C NGUT on the basis that the [read more]

bigstock Overcome trap

Important trap: Payments above ABP minimum

By Joseph Cheung, Lawyer and Bryce Figot, Special Counsel, DBA Lawyers The new transfer balance cap causes a trap for SMSF pensioners who receive payments above the account-based pension (‘ABP’) minimum annual payment. For these pensioners, the capital supporting the pension(s) is reduced by the amount of the pension payments(s), including the amounts above the [read more]