- Large APRA-regulated funds would be exempted from the NALI provisions for general expenses
- For SMSFs and SAFs, the maximum amount of income taxable at the highest marginal rate would be 5 time the level of the general expenditure breach, calculated as the difference between the amount that would have been charged as an arm’s length expense and the amount that was actually charged to the fund. Where the product of 5 times the breach is greater than all fund income, all fund income will be taxed at the highest marginal rate.
NALE consultation paper released
BY AYTEN OZDER
The Government has today released a Consultation Paper putting forward options to amend the NALI provisions to address the potential for disproportionately severe outcomes for breaches relating to general expenses. The potential amendments to the NALI provisions outlined in the consultation paper are: