• On 16 May 2013, the Corporations Amendment Regulation 2013 (No 2) was registered on the Federal Register of Legislative Instruments. The Regulation provides that Part 7.7A of the Corporations Act 2001 does not have effect in relation to an Australian Financial Services Licensee or representative in respect of retail clients who are not in this jurisdiction. The Regulation also provides an exemption from the obligations in Division 2 of Part 7.7A of the Corporations Act 2001 (the best interests obligations) for financial advice providers in situations where the conditions in the following ASIC Class Orders are satisfied:
    • ASIC Class Order 05/736 Low value non cash payment facilities;
    • ASIC Class Order 05/1122 Relief for providers of generic calculators;
    • ASIC Class Order 08/01 Group purchasing bodies; and
    • ASIC Class Order 11/1227 Relief for providers of retirement estimates.
  • On 16 May 2013, the AAT in McLennan and Commissioner of Taxation [2013] AATA 311 upheld a decision by the Federal Commissioner of Taxation not to exercise his discretion under s 292 - 465 of the Income Tax Assessment Act 1997 (Cth) (ITAA) on the basis that the taxpayer's situation did not constitute "special circumstances". In 2009, the taxpayer withdrew a lump sum from his superannuation fund and reinvested it in fixed term deposits. Later in 2009 and in 2010, as these fixed term deposits matured, the taxpayer re-deposited those amounts back into his superannuation account. These contributions were classified by the Australian Taxation Office as non-concessional contributions. Because of the number of deposits and the amounts involved, the taxpayer had exceeded the “cap” for non-concessional contributions for the 2009/2010 financial year and was assessed as being liable to excess non-concessional contribution tax. The taxpayer submitted that there was no tax advantage gained by re-depositing his money into superannuation and that he was unaware that his financial strategy would initiate the excess contributions tax. The AAT found that while the taxpayer had made an unfortunate error, there was "nothing unique or special" which set this taxpayer apart from others who have similar breaches.
  • On 23 May 2013, APRA published its Quarterly Superannuation Performance Statistics which provide industry aggregate summaries of the financial performance, financial position, solvency, capital adequacy and management capital, as well as details of the performance of individual product groups.
  • On 24 May 2013, the ATO published the statistical report for the self-managed super fund sector for the period up to 31 March 2013. The information in this report includes information about SMSF asset allocation tables, SMSF member demographics, average and median assets (per member and per SMSF) and the flow of funds (contributions, transfers, benefits and expenses).