The ATO recently made a private binding ruling (PBR) which implied that payments from Transition to Retirement pensions can be
This ruling has been reported in the media and some advisers are recommending that their clients adopt this approach. We urge caution in this area. The facts and rationale of the ruling have not been made available to the public. The ATO has indicated that it will provide more information, and it is wise to wait for this clarity before acting.
There are still some situations where you can take money out of super tax free using a Transition to Retirement Pension before age 60, as discussed in this article.
THIS ARTICLE WAS CORRECT AT THE TIME OF WRITING. SMSF RULES CHANGE OVER TIME AND THE ARTICLE MAY BE LESS RELEVANT IN THE FUTURE.
Greg Einfeld has over 20 years’ experience in the Australian Superannuation and Financial Services industry. He has MEc and MBA degrees, is a licensed financial adviser, a qualified actuary, and specialises in Self Managed Super Funds (SMSF’s). He regularly presents on a variety of SMSF topics including investment, tax, estate planning, pensions, administration and strategies.