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SMSFA to aid COVID-19 recovery

COVID-19 recovery

The SMSF Association is aiming work with the National COVID-19 Coordination Commission to define how the sector can assist the nation’s economic recovery.

The SMSF Association is looking to engage with the National COVID-19 Coordination Commission to formulate policies that would allow the SMSF sector to play an active role in the nation’s economic recovery post the coronavirus pandemic.

To this end, SMSF Association policy manager Franco Morelli revealed a few relevant areas had already been identified.

“There is a bit of talk around infrastructure investments. SMSFs have a large capital base, but they don’t really have access to infrastructure too easily. [So we’d like to explore] is there a type of model where SMSFs can get involved in these investments,” Morelli said during the industry body’s latest member webinar.

“[Also] what policies and ideas can [we come up with] to expand the link between SMSFs and small businesses.”

He encouraged members to forward any ideas they had on this subject to the association, predicting there was a good chance some of these proposals could be included in this year’s federal budget to be delivered in October.

The industry body was also examining other issues that would specifically help SMSF advisers in a post-COVID-19 environment, he said.

“We will continue looking at COVID relief where appropriate,” he said.

“We will also be focusing on a consumer-centric advice framework and where SMSF advice fits in that. So we’re still working with the other bodies to re-imagine, I guess, the advice framework and make it simpler for everyone, particularly those giving SMSF advice.”

Further, he confirmed the association will be looking at submitting a supplementary budget submission for this year’s federal budget to address certain important topics.

“[This will include] positions around getting financial advisers and those who need advice access to tax portals, reducing red tape and increasing the contribution limits as we have in the past,” he said.

During the same webinar, he revealed practitioners deemed the compliance relief for COVID-19-related advice to lack practicality.

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