Good news from ATO
Westpac Funds Management (Westpac FM) has received breakthrough advice from the Australian Taxation Office (ATO) on the status of its Westpac Office Trust (WOT) instalment receipts in the context of self-managed superannuation funds.
Westpac FM has announced to the Australian Securities Exchange that the ATO has advised that the instalment receipts do not contravene the borrowing restrictions for self-managed superannuation funds.
The announcement follows on from WOT having announced in early July that it had been made aware that the ATO had adopted a view concerning the interpretation of the borrowing restrictions in the Superannuation Industry (Supervision) Act (SIS Act) that might have had adverse consequences for regulated superannuation funds that are holding instalment receipts for WOT units.
It said however that the ATO had since advised WOT that it considered a regulated self-managed superannuation fund that has investments in WOT instalment receipts does not ‘borrow money’ or ‘maintain an existing borrowing of money’ for the purposes of the SIS Act.
The announcement said that the ATO had also confirmed that it was reviewing all compliance action that had been taken against self-managed superannuation funds that had invested in WOT and would directly contact trustees of affected self-managed superannuation funds.
AUTHOR
Mike Taylor
Recommended for you
Net cash flow on AMP’s platforms saw a substantial jump in the last quarter to $740 million, while its new digital advice offering boosted flows to superannuation and investment.
Insignia Financial has provided an update on the status of its private equity bidders as an initial six-week due diligence period comes to an end.
A judge has detailed how individuals lent as much as $1.1 million each to former financial adviser Anthony Del Vecchio, only learning when they contacted his employer that nothing had ever been invested.
Having rejected the possibility of an IPO, Mason Stevens’ CEO details why the wealth platform went down the PE route and how it intends to accelerate its growth ambitions in financial advice.
