RATE Group | Australians Warned Over Cryptocurrency-Heavy Self Managed Pensions
58376
post-template-default,single,single-post,postid-58376,single-format-standard,ajax_fade,page_not_loaded,,qode_grid_1300,side_area_uncovered_from_content,footer_responsive_adv,qode-content-sidebar-responsive,qode-child-theme-ver-1.0.0,qode-theme-ver-13.3,qode-theme-bridge,wpb-js-composer js-comp-ver-7.9,vc_responsive
 

Australians Warned Over Cryptocurrency-Heavy Self Managed Pensions

17 Aug Australians Warned Over Cryptocurrency-Heavy Self Managed Pensions

Posted at 06:47h in Cryptocurrency News by

[ad_1]

The Australian Tax office has sent out 18,000 warning letters to Self Managed Super Funds (SMSFs). The letters target those who have invested over 90% of retirement funds in a single asset class, such as property or cryptocurrency.

Breaking The Law with Cryptocurrency

The letters from the tax office remind SMSFs that they have a ‘duty to comply with legal requirements to adopt investment strategies avoiding risky investments’. Not only is such an investment strategy arguably riskier than diversification of assets, in Australia, it is against the law.

SMSFs involve individuals taking control of their own investment decisions when it comes to retirement funds, rather than relying on a professional fund manager. They are a major growth area for cryptocurrency businesses in Australia, representing around AUS$700 billion in assets.

Non-Compliant Funds Risk Fines… Or Scams

Those who do not follow the rules risk a AUS$4200 (US$2850) fine. Of course, if your crypto portfolio goes…

[ad_2]

Source link

Tags:
, , , ,