• In-house assets

    An in-house asset is any of the following:

    • a loan to, or an investment in, a related party of your fund
    • an investment in a related trust of your fund
    • an asset of your fund that is leased to a related party.

    There are some exceptions, including:

    In-house assets can't be more than 5% of your fund’s total assets.

     

    Duration 02:26. A transcript of In-house assets is also available.

    See also:

    Unpaid trust distributions

    If your SMSF is entitled to a distribution from a related trust, but you allow it to remain unpaid, you may contravene:

    • the in-house-asset rules
    • the arm's length rule
    • the sole purpose test.

    See also:

    • Self-managed superannuation funds ruling SMSFR 2009/3: unpaid trust distributions.
    Last modified: 23 Sep 2016QC 42464