Aussiegolfa Pty Ltd (Trustee) v CofT – SMSF investment in property sub-trust, where student unit leased to member’s daughter, breached the sole purpose test and in-house asset test (in s62 & s82 of the SIS Act)

The Federal Court has ruled that an investment of Mr Benson’s self-managed superannuation fund (SMSF) in a property sub-trust, breached the sole purpose test and in-house asset rules under ss 62 and 82 of  SIS Act (respectively). This was because, amongst other things, the ultimate investment was a student apartment, occupied by Mr Benson’s daughter. This underlying substance of the arrangement…