What is the approved form?
Transitional CGT relief is available for SMSFs to provide temporary relief from certain capital gains that might result from individuals complying with the transfer balance cap, and Transition-to-Retirement Income Stream (TRIS) reforms, which commenced on 1 July 2017. It applies to certain CGT assets held by a complying SMSF at all times between the start of 9 November 2016, to ‘just before’ 1 July 2017.
CGT relief is not automatic; it must be chosen by a trustee for a CGT asset. Trustees will need to review their fund’s circumstances and determine if CGT relief is available and appropriate. If CGT relief is chosen, the trustee will need to advise us using the approved form on or before, the day they are required to lodge their fund’s 2016–17 income tax return.
What is the approved form?
2017 CGT Schedule
If CGT relief is chosen, the trustee will need to advise the ATO in the CGT schedule on, or before, the day they are required to lodge their fund’s 2016-17 income tax return. The decision is irrevocable.
Simple Fund 360 will automatically populate the CGT Schedule as part of the Create Entries process as at 30/06/2017. CGT Reset transactions will need to be processed prior to Creating Entries.
You need to keep appropriate records for each asset subject to the CGT relief and any deferred tax liability in accordance with your record-keeping requirements.