The contraction of the property market and reduction in capital have created opportunities for SMSFs to become involved in property development following the recent guidelines released by the ATO.

An SMSF landlord that does not reduce a tenant’s existing rental expense under the COVID-19 economic relief measure will not trigger a breach of the non-arm’s- length income rules, a specialist sector auditor has said.

The government’s code of conduct on leasing principles under COVID-19 is an ideal reference for trustees struggling to understand the provision of rent relief to tenants.

SMSFs holding property via 13.22c unit trusts should hold off on providing rent relief until confirmation has been provided the measures will extend to these arrangements.