Setup a Bare Trust
The establishment of self-managed superannuation funds (SMSF) has become extremely popular but the laws relating to the conduct of their operations and compliance requirements are complex and subject to regular change.
The ability to make contributions to them and withdraw from them, as well as the tax implications relating to these actions should be understood by persons contemplating establishing their own fund. In addition, the trustees of the fund must be fully aware of their responsibilities in respect of that position and the rules which must be adhered to in ensuring that the fund is and remains a “complying fund”.
Nonetheless, there are many advantages in setting up a SMSF, including the tax benefits attaching to contributions and withdrawals and the ability to hold business assets within the fund. They are an important part of any estate planning exercise.
Although the ability of a SMSF to borrow money is limited, in certain circumstances, arrangements can be put in place whereby they can borrow funds to acquire assets.
Zollo & Co Pty Ltd can advise on how to establish a SMSF and explain its advantages and limitations. In this regard it can:
Zollo & Co Pty Ltd is an Authorised Representative of SMSF Advisers Network,
AFS Licence No. 43006