Don’t Get Caught Out By SMSF Residency Rules


The rise of a global workforce means more people based overseas for work leading to complexity for those who work abroad but maintain an SMSF. Broadly, there is a residency test for Self-managed superannuation fund known under the law as the Australian superannuation fund test. When this test isn’t met, the fund will lose its complying superannuation fund status and expose itself to very adverse tax consequences.

The test has three hurdles for a fund to be a pension fund.

Barrier 1 — SMSFs established 

Either the Self-managed …