Did the SMSF have a beneficial interest in any assets that were held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J1 to J6 and J blank. Go to K. |
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Yes |
Read on. |
Write at J1 to J6 the value (on 30 June 2019) of assets beneficially held by the SMSF in a trust as security for a borrowing of money under a limited recourse borrowing arrangement, including instalment warrants.
- The amounts you write at J1 to J6 are the values of the assets held on trust under limited recourse borrowing arrangements and not the amounts borrowed or the amount of outstanding borrowings.
- Write the value of the outstanding borrowings under the limited recourse borrowing arrangements at V1 at item 16 Liabilities.
- Do not include the amounts you write at J1 to J6 at any other asset question in section H. For example, if the SMSF holds a beneficial interest in overseas shares on trust under a limited recourse borrowing arrangement, record the value of the shares at J5 and not at P Overseas shares at item 15d.
Example: Limited recourse borrowing arrangements
For example, at 30 June 2019, if the SMSF has a beneficial interest in residential land with a market value of $300,000 held in a trust under a limited recourse borrowing arrangement and the outstanding amount borrowed is $100,000, the trustee includes:
- $300,000 at J1 Australian residential real property
- $300,000 at J Limited recourse borrowing arrangements
- $100,000 at V1 Borrowings for limited recourse borrowing arrangements
SMSFs are prohibited from borrowing to invest except in certain limited circumstances. For more information, see Limited recourse borrowing arrangements – questions and answers.
J1 Australian residential real property
Did the SMSF have a beneficial interest in any Australian residential real property that was held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J1 blank. Go to J2. |
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Yes |
Read on. |
Write at J1 the value (on 30 June 2019) of the SMSF's beneficial interest in residential real property that is:
- located in Australia, and
- held in a trust as security for a borrowing under a limited recourse borrowing arrangement.
J2 Australian non-residential real property
Did the SMSF have a beneficial interest in any Australian non-residential real property that was held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J2 blank. Go to J3. |
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Yes |
Read on. |
Write at J2 the value (on 30 June 2019) of the SMSF's beneficial interest in non-residential real property that is:
- located in Australia, and
- held in a trust as security for a borrowing under a limited recourse borrowing arrangement.
J3 Overseas real property
Did the SMSF have a beneficial interest in any overseas real property that was held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J3 blank. Go to J4. |
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Yes |
Read on. |
Write at J3 the value (on 30 June 2019) of the SMSF's beneficial interest in residential and non-residential real property that is:
- located overseas, and
- held in a trust as security for a borrowing under a limited recourse borrowing arrangement.
J4 Australian shares
Did the SMSF have a beneficial interest in any Australian shares that were held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J4 blank. Go to J5. |
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Yes |
Read on. |
Write at J4 the value (on 30 June 2019) of the SMSF's beneficial interest in public shares, unlisted shares, equities and similar financial contracts that are held in a trust as security for a borrowing under a limited recourse borrowing arrangement.
Do not include:
- derivatives (include these at O Other assets)
- a beneficial interest in debt securities that is held under a limited recourse borrowing arrangement (include these at J6 Other).
J5 Overseas shares
Did the SMSF have a beneficial interest in any overseas shares that were held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J5 blank. Go to J6. |
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Yes |
Read on. |
Write at J5 the value (on 30 June 2019) of the SMSF's beneficial interest in public and private shares, equities and similar financial contracts that are:
- traded on overseas stock exchanges, and
- held in a trust as security for a borrowing under a limited recourse borrowing arrangement.
Do not include:
- derivatives (include these at O Other assets)
- a beneficial interest in debt securities that is held under a limited recourse borrowing arrangement (include these at J6 Other).
J6 Other
Did the SMSF have a beneficial interest in any other assets that were held on trust as security under a limited recourse borrowing arrangement?
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No |
Leave J6 blank. Go to J. |
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Yes |
Read on. |
Write at J6 the value (on 30 June 2019) of the SMSF's beneficial interest in other assets that:
- are held in a trust as security for a borrowing under a limited recourse borrowing arrangement, and
- do not fall within any of the categories in questions J1 to J5.
J Limited recourse borrowing arrangements
Write at J the total of J1 to J6.
If you report an amount here, you must also complete:
- A and B at item 15f Limited recourse borrowing arrangements
- V1 Borrowings for limited recourse borrowing arrangements at item 16 Liabilities.
Continue to: K Non-residential real property