Additional Pathways to Wholesale Investor Status SMSFs may still achieve wholesale classification through legitimate alternatives: · $500,000 investment: Making a single investment above this threshold can qualify you as wholesale under section 761GA. · Sophisticated investor certificate: A licensed financial adviser, or investment advisor, may assess you as having sufficient financial experience to qualify, even […]

Special Rule for Superannuation Funds The Corporations Act includes a specific provision for superannuation funds. Where a SMSF receives an advice on a superannuation product, it is a retail client unless the superannuation fund has net assets of at least $10 million (s761G(6)) This $10 million rule caused confusion. In 2014, ASIC issued Media Release […]

There are several prerequisites to receive a Wholesale Investor Certificate. Wholesale Clients and the Corporations Act An SMSF can be a wholesale investor if it satisfies the tests under sections 708 and 761G of the Corporations Act, including: · Net assets of at least $2.5 million; or · Gross income of at least $250,000 per […]

Is a wholesale investor certificate necessary? The wholesale investor rules apply only to financial products and financial services. This includes managed investment schemes, securities, superannuation products, and derivatives. These rules do not apply to direct investments in non-financial assets, such as residential or commercial real estate, collectables, crypto currency (sometimes) or personal business acquisitions. For […]

Super Strategies for Gen X Business Owners: What You Need to Know  Why is superannuation limited? Superannuation is a powerful tax planning tool, especially for Gen X family business owners approaching retirement. It allows you to move personal wealth into a low taxed environment, where earnings are taxed at only 15% — and sometimes 0% […]

If you want to structure a property syndicate in Perth, the tax profile, governance and control of the syndicate is critical to getting your investors onboard, happy, and with you on the journey.   This blog covers the range of tax issues your Perth tax accountant will normally discuss with you when you look at getting […]