COVID relief extension highlights need for SMSF specialist advice

John Maroney said managing an SMSF can be complex at the best of times, but the challenges of the pandemic and confirmation from the ATO that it will extend relief measures for the 2019-20 and 2020-21 financial year to this financial year have highlighted the need for specialist advice.

The peak body has highlighted five key areas of relief that SMSFs should factor into this year’s superannuation reporting, including rental relief, loan repayment relief, in-house asset relief, minimum pension drawdowns and SMSF residency relief.

“These are all important measures that will help ease the stress on SMSFs, even as the pandemic hopefully recedes,” Mr Maroney said.

“We therefore urge SMSFs to consider using a specialist who will be able to determine the impact of COVID-19 on their fund and whether they are eligible to take advantage of the extended relief measures.

“Remember, too, the importance of having all the necessary documentary evidence to provide an auditor to support any relief claims made and to ensure there are no breaches of the ATO’s rules.”

Last month, ASIC also announced it would extend temporary relief measures for the advice industry that originally launched in April 2020.

The corporate regulator extended the “record of measure” – which allows financial advisers to provide a record of advice, rather than a statement of advice, to existing clients – as well as reintroduced the relief measure that provides advisers with additional time to give their clients a statement of advice after time-critical advice has been provided.

The relief will now end on 15 April 2022.

Neil Griffiths

Neil is the Deputy Editor of the wealth titles, including ifa and InvestorDaily.

Neil is also the host of the ifa show podcast.