If you are lodging an annual investment income report (AIIR) for 30 June 2018, ensure you comply with the new rules.
Starting 1 July 2017, new rules apply that require third parties to report on transactions concerning units in unit trusts (under item 7 of the table at section 396-55 of Schedule 1 to the TAA 1953). In broad terms, the information required to be reported relates to any changes to the type, name and number of units held by an entity. Examples of transactions that may fall under these rules include returns of capital and off market transfers. This relates only to information that has not previously been reported to ASIC under market integrity rules.
There are a number of exceptions to this reporting requirement, including:
If the reporting entity is a unit trust that has fewer than 10 beneficiaries, and the total market value of assets held by the unit trust is less than $5 million (per F2018L00473), there is no requirement to report
If the relevant transaction relates to an entity that is a non-individual wholesale client (per section 396-65 of Schedule 1 of the TAA 1953), there is no requirement to report
For more information regarding the above, please visit here for the ATO’s companion guide for transfer of shares and units to be reported in the AIIR. Should you require further time to lodge, an extension request can be applied for, provided this is submitted prior to 31 October 2018.