SMSFs should be included in trans-Tasman transfers
Australian self-managed superannuation funds (SMSFs) should be able to receive superannuation transfers from New Zealand, according to the Self-Managed Super Fund Professionals' Association (SPAA).
SPAA chief executive Andrea Slattery described as counter-productive and discriminatory proposals to exclude SMSFs from the proposed Australia and New Zealand superannuation accord.
"This restriction as to where New Zealand-sourced retirement savings can be directed in Australia is unneeded and unwarranted," she said.
"It is especially unwarranted in light of a review of the governance, efficiency, structure and operation of Australia's superannuation system (the Cooper Review) findings that the SMSF sector was largely a successful and well-functioning part of the system."
Slattery said the suitability of SMSFs as a destination for New Zealand-sourced retirement savings was strengthened by the compliance-based regulation undertaken by the Australian Taxation Office (ATO).
She said she was concerned that the exclusion of SMSFs would result in about one-third of the superannuation industry being unable to be part of the trans-Tasman portability scheme.
"This could significantly reduce the effectiveness of the measure, with more and more Australians choosing SMSFs as their preferred savings vehicle to fund their retirement," Slattery said.
Recommended for you
AMP is to launch a digital advice service to provide retirement advice to members of its AMP Super Fund, in partnership with Bravura Solutions.
Unveiling its performance for the calendar year 2024, AMP has noted a “careful” investment in bitcoin futures proved beneficial for its superannuation members.
SuperRatings has shared the median estimated return for balanced superannuation funds for the calendar year 2024, finding the year achieved “strong and consistent positive” returns.
The second tranche of DBFO reforms has received strong support from superannuation funds and insurers, with a new class of advisers aimed to support Australians with their retirement planning.
