Federal Budget Report 2019-20 | Accurium

Federal Budget Report 2019-20

On Tuesday 2 April 2019, the Treasurer, Josh Frydenberg, released the Government’s 2019-20 Budget. The Accurium tech team have reviewed the Budget and prepared a summary of the key measures to be considered when working with clients.

Key measures impacting SMSFs from 1 July 2020:   

 

  • Removing the requirement for SMSFs solely in the retirement phase using the proportionate method to obtain an actuarial certificate to claim ECPI
  • Removing compulsory deemed segregation, meaning a fund with a non-retirement phase account would use the proportionate method to claim ECPI, but allows a fund to choose to employ a segregated asset strategy
  • Changes to the voluntary contributions rule where persons aged 65 and 66 are able to make voluntary contributions, including use of the bring-forward rule, without meeting the work test
  • Persons up to and including age 74 being able to receive spouse contributions