Indexation of Transfer Balance Cap | New Online Services for Business Portal | Commercial Tenancy Relief Scheme extension reminder

Indexation of the general transfer balance cap

The ATO has announced that from 1 July 2021, the general transfer balance cap that is currently at $1.6 million will be indexed to $1.7 million. Once this increase occurs, there will no longer be a single cap that applies to all individuals. Every individual will have their own personal transfer balance cap of between $1.6 and $1.7 million to suit their circumstance.

If you start a retirement phase income stream for the first time on or after 1 July 2021, you will have a personal transfer balance cap of $1.7 million.
If you had a transfer balance account before 1 July 2021, your personal transfer balance cap will be:

• $1.6 million if, at any time between 1 July 2017 and 30 June 2021, the balance of that account was $1.6 million or more
• between $1.6 and $1.7 million in all other cases, based on the highest ever balance of your transfer balance account.

For full details on the indexation of the general transfer balance cap, please visit the ATO webpage here.

New ATO online services portal for businesses

The ATO Online Services for Business (OSB) is replacing the Business Portal and the electronic superannuation audit tool (eSAT). The new OSB portal can be accessed using your existing myGovID and can be used on multiple devices including smart phones and tablets. The current Business Portal will still be available until decommissioned later this year.

The new portal is now live and currently in public beta testing phase which means they would like public feedback while using the portal (feedback can be given at the bottom of each page). For more information on the Online Services for Business Portal, please visit the ATO webpage here.

Reminder – Commercial Tenancy Relief Scheme extended.

The Victorian Government has further extended the Commercial Tenancy Relief Scheme until 28 March 2021. The Scheme was introduced to relieve financial hardship faced by tenants and landlords as a result of coronavirus (COVID-19).

Small business tenants seeking rent relief from 1 January 2021 to 28 March 2021 will need to apply to their landlord in writing with evidence of their eligibility as soon as possible, as a landlord is only required to provide rent relief from the date of application. For full details on the scheme extension, please visit the Victoria Small Business Commission webpage here.

If you have any questions or want to find out more, please contact our office on 03 9894 3449 or email us at administraton@primetimeadvisory.com.au