Pension payment guidance causing confusion for mixed-account SMSFs
While the ATO has been clear that pension payments cannot be reclassified in response to reduced pension minimums, it is less unclear what SMSF clients are able to do where they have both accumulation and pension accounts in the one fund, says a technical expert.
SMSF Association deputy chief executive Peter Burgess said following the reduction to minimum pension amounts for most pensions announced in March, some SMSF clients have inquired whether they’re able to reclassify payments made before March as lump-sum commutations.
Read more at SMSF Adviser.
