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  • D1, D Foreign income questions

    Did the SMSF have foreign income or losses in 2016-17?

    No

    Leave D and D1 blank. Go to E.

    Yes

    Read on.

    The foreign income questions are:

    An Australian super fund is taxed on its worldwide income and must declare all income it earned from foreign sources.

    Foreign income of the SMSF may be taxed in the foreign country. If the SMSF has paid foreign income tax it may be entitled to an Australian foreign income tax offset.

    For more information, see Foreign income of Australian residents.

    D1 Gross foreign income

    Write at D1 the SMSF's gross assessable income from foreign sources in 2016–17. The amount at D1 should not be reduced by any loss or outgoing related to the income.

    The SMSF's gross assessable foreign income includes income from foreign sources and any foreign tax paid on that income and without reducing it for any expenses related to that income. If the SMSF is unable to report the gross (pre-tax) amount of foreign source income on its share of net income from a trust, it can include the net (after-tax) amount at D1 instead.

    Include at D1:

    • dividends, supplementary dividends and other dividends from foreign companies (including New Zealand franking companies that provide Australian franking credits)
    • interest from foreign sources
    • foreign source income included in a share of net income from a trust (do not include this at M Gross trust distributions)
    • foreign source income included in a distribution from a partnership (do not include this at I Gross distributions from partnerships)
    • attributable income through the controlled foreign company (CFC) regime.
    Last modified: 19 Feb 2018QC 51269