Superannuation fund borrowing

Author: Micah Jenkins

Publish Date: March 18, 2009

Traditionally, self managed superannuation funds ("SMSFs") could only borrow in very limited circumstances because, in the Federal Government’s view, the SMSF’s assets would be exposed to the Banks on default. This significantly restricted the buying power of these superannuation funds. Since changes to the Superannuation Industry (Supervision) Act ("SIS Act") was introduced in late 2007, SMSFs are now allowed to borrow money from Banks and other third parties on a "non-recourse" basis i.e. through the use of "instalment warrant trusts".

We have now developed an Instalment Warrant Trust package. The package contains the trust deed and advice about compliance with the SIS Act and how to obtain the benefits of the Capital Gains Tax (CGT) and duty exemptions and concessions. We deliver this package with quality, reliable and local service and are considerably more affordable than our capital city colleagues.

For further information or to discuss our package, please contact Micah Jenkins on 02 4907 6340 or email micah.jenkins@harriswheeler.com.au.

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