Cory Bernardi (SA, Australian Conservatives) Share this | Hansard source

My question is to the Minister for Finance, representing the Assistant Treasurer, Senator Cormann. In a recent column titled 'Tax office threat to self-managed super funds', Robert Gottliebsen raises concerns about the ATO's latest campaign to investigate SMSFs. Gottliebsen wrote that the ATO has sent letters to almost 20,000 of these funds saying:

Our records indicate that your … investment strategy may hold 90 per cent or more of its funds in one asset, or a single asset class—

such as property. The ATO states that this may not meet the diversification requirement and the superannuation industry regulations, risking an administrative penalty of $4,200. They then demand that a detailed investment strategy be provided to allay the ATO's concerns. Minister, how has the ATO selected these SMSFs for investigation? What is the basis of the 'no more than 90 per cent of funds in one asset or single asset class' diversification requirement, and where is this fixed percentage of 90 per cent found in the superannuation law or regulation?