Dear Members.

Congratulations! We have made it to the end of another Financial Year. Thank you for your support and we are looking forward to working with you in the '09 year. Here are a few short messages regarding our services, and also an end of year superannuation update.

Urgent Orders
Please note that due to the substantial level of orders leading up to 30 June 2008, we will be giving priority to orders marked as URGENT. We always strive to get all orders out on time, however, to ensure satisfaction, if you require your order urgently please let us know and we will endeavour to process these as soon as practical. We thank you for your co-operation and understanding over the next few weeks.

New SMSF Kits
We can now provide "Pension Conversion Kits" which can assist in the conversion from an Allocated Pension to an Account Based Pension and Transition to Retirement Allocated Pensions to Transition to Retirement Income Stream Pensions.

Make the most of your Super before 30th June

The following has been provided by InterPrac Financial Planning:

There are great opportunities for you to increase personal wealth through superannuation.

Contributions
Tax deductions for contributions

• Employer contributions are 100 per cent tax deductible to age 75.*

• Self employed contributions are 100 per cent tax deductible to age 75.*
  *Note work test applies if you are over age 65

Concessional contribution cap
A cap of $50,000 (indexed) applies to tax deductible contributions (e.g., employer contributions). However, if you are age 50 or over in any part of the tax year up to 30 June 2012, you can contribute up to $100,000.

Non-concessional contribution cap
A cap of $150,000 (indexed) applies to contributions for which no deduction has been claimed (e.g., personal contributions). However, if you are under age 65 at any time in the financial year, you maybe eligible to contribute up to $450,000 over three years.

Leave your Money in Super
Your benefits can stay in your super account indefinitely after you turn age 65.

You will be able to accumulate your super investments in a low-tax environment without having to draw down on them once you reach a certain age.

Access to the Government Co-Contribution
Taking advantage of a gift horse for 2007/08.

The Government Co-contribution is one of the most straightforward and effective ways for you to increase your super savings. Simply make a contribution into your super and the Government will match, or exceed, that contribution. Anyone who earns between $28,980 p.a. and $58,980 p.a. is eligible.

Self-employed contributors may be eligible to receive a full tax deduction for their contributions to super until age 75 and may also be eligible for the Government Co-contribution.

One of the best things about the Government Co-contribution is its simplicity.

You don’t need to make a claim for it. All you have to do is make the personal contribution and the ATO does the rest. It’s that easy!

Salary Sacrificing Opportunities
There are even more incentives for you to salary sacrifice into super or make deductible personal contributions.

If you are aged under 50, utilise the benefit of being able to salary sacrifice into super (up to the $50,000 cap).

Transitional rules if you are over age 50. The higher $100,000 cap is a transitional measure, and will only apply for the next five years.

Spouse contributions
A spouse contribution is where a person makes a contribution on behalf of their spouse. Spouse contributions are counted towards the non concessional cap and included in the calculation of the tax-free component in a super fund.

The person making the contribution may be entitled to a tax offset. The offset is payable in full where the spouse receiving the contribution has assessable income plus reportable fringe benefits totalling less than $10,800.

The offset is then 18 per cent on the first $3,000 of contributions (i.e. a maximum offset of $540). The $3.00 contribution thresh-hold reduces $1 for every $1 by which the total of assessable income plus reportable fringe benefits exceeds $10,800, with the offset totally phasing out at $13,800.

Consider deferring your retirement until age 60
Not only are pension payments and any lump sum withdrawals from most funds tax-free from age 60, but investments in super pension phase are held in a tax-free environment.

If all benefits are tax-free at age 60 – why should I bother converting my superannuation to a pension when I retire?

• Although the tax on benefits may be the same, the tax rates on earnings of investments supporting those benefits is nil in a pension account and 15 per cent in a super accumulation account.

• Account-based pension rules are very flexible, with lower minimum pension payments and no restrictions on taking lump sums from the account.

Splitting Contributions between Spouses
With tax-free benefits at age 60 and the abolition of Reasonable Benefit Limits (RBLs), splitting contributions with your spouse will no longer be as attractive. However, there are still some tax advantages if you intend to take lump sum benefits before age 60.

You can still split non-concessional personal and spouse contributions made during the 2007/2008 financial year, if you leave the fund or commence a pension before 30 June 2008.

Referral Arrangements
As a member of the NTAA you would appreciate that InterPrac was established to assist existing members provide the valuable service of financial planning. We assist in establishing referral arrangements, please contact Tony Green from InterPrac on (03) 9209 9777 to find out more.

Yours sincerely

Tony Hankinson
NTAA Corporate Manager

C/- InterPrac Limited
NTAA Corporate
Level 3, 29-33 Palmerston Crescent
South Melbourne, VIC 3205
Phone: 03 9209 9799, OR Free Phone: 1800 799 666
Fax: 1300 361 816
(NB: this fax number will safely direct your order straight to NTAA Corporate's email - the best option)
Email: ntaacorporate@interprac.com.au 
Web: http://www.interprac.com.au/html/corporate_index.htm 

NTAA Corporate is a service provided by InterPrac Ltd
InterPrac also offers the following services

• Leasing & Finance

• Mortgage Lending

• Financial Planning

• General Insurance

www.interprac.com.au