From the 2021-22 income year an SMSF may have a choice of how to calculate and claim exempt current pension income (ECPI). However, this will depend on a number of questions:
- Did the SMSF pay retirement phase pensions?
- Does the SMSF have a period of deemed segregation?
- Does the SMSF have disregarded small fund assets?
- Has the SMSF trustee segregated assets between retirement phase and non-retirement phase interests?
- Are any of the pensions defined benefit pensions?
Once it is determined that an SMSF has a choice of calculating and claiming ECPI, the next steps are: determining what those choices are; the implications of making one choice or the other and how to implement the choice made.
In this joint webinar with SuperConcepts we will review the ECPI choice rules and the implications of each choice. We will also show how to perform a comparative analysis of the choices using both our Accurium actuarial portal and SuperConcept’s SMSF administration platform, SuperMate.
This information is provided by Accurium Pty Limited ABN 13 009 492 219 (Accurium). It is factual information only and is not intended to be financial product advice, legal advice or tax advice, and should not be relied upon as such. The information is general in nature and may omit detail that could be significant to your particular circumstances. The information is provided in good faith and derived from sources believed to be accurate and current at the date of publication. While all care has been taken to ensure the information is correct at the time of publishing, superannuation and tax legislation can change from time to time and Accurium is not liable for any loss arising from reliance on this information, including reliance on information that is no longer current. We recommend that you seek appropriate professional advice before making any financial decisions.