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  • Y Exempt current pension income

    Did the SMSF pay retirement phase super income stream benefits to a member in 2018–19?

    No

    Leave Y blank. Go to V.

    Yes

    Read on.

    If the SMSF paid retirement phase super income stream benefits to one or more members during 2018–19, some, or all, of its ordinary income and statutory income may be exempt from income tax under the exempt current pension income rules. This exempt income is called 'exempt current pension income' or ECPI.

    Do not reduce the exempt income at Y by the amount of expenses incurred in deriving that exempt income.

    Expenses incurred in gaining or producing exempt income are not generally deductible. Those expenses must be shown as non-deductible expenses in section C.

    The amount that you write at Y must be the same as the amount at Section A item 10 label A Exempt current pension income amount.

    To work out your SMSF's ECPI, see How expenses are treated when a SMSF has ECPI.

    Legislation

    Subdivision 295-F of the Income Tax Assessment Act 1997

    If your SMSF has PAYG instalments

    If you use the instalment rate method to calculate your SMSF's PAYG instalments, you must exclude the SMSF's exempt current pension income from the amount you write at T1 PAYG instalment income on the PAYG activity statement. See PAYG instalments.

    V Total assessable income

    Work out the SMSF's total assessable income or loss for 2018–19: take Y Exempt current pension income away from W Gross income.

    Write the answer at V. If the SMSF has no total assessable income, write 0 at V. If the amount at V is a loss, print L in the Loss box at the right of the amount.

    Last modified: 03 Oct 2019QC 58668