Example 5 – Rollover of account-based pension from an SMSF to an APRA fund

In some cases, rounding has been applied to eliminate cents and simplify the calculations.

Saxon started an retirement phase income stream valued at $1.0 million on 1 July 2018 in the Saxon SMSF. The Saxon SMSF lodged a TBAR and reported this to us on 28 October 2018.

In August 2022, Saxon decides to commute his pension, rollover it over to APRA Fund BBB and wind up the Saxon SMSF. At the time Saxon commutes his income stream it is worth $950,000 and he does not have an accumulation phase interest in the SMSF.

APRA Fund BBB commences Saxon’s new pension in August 2022. When the rollover is made, Saxon's SMSF provides Fund BBB with an RBS message via SuperStream reporting income tax and contributions information as follows.

Completing the RBS message in SuperStream when the rollover is made

Saxon's SMSF completes the 'Tax components' (which are the income tax components) as follows:

Rollover components

Tax-free component	$800,000
Taxable component:
Element taxed in the fund	$150,000
Element untaxed in the fund

Completing the TBAR to report the commutation debit when the roll over occurs

Saxon's SMSF lodges a TBAR including the following information:

• Event type: Member Commutation
• Effective date: 17 August 2022
• Value: $950,000
• Account type: Account based pension
• Account status: closed

Completing the SMSF annual return after the end of the financial year

Saxon will need to include at section G label Q 'Outward rollovers and transfers' the amount he rolled over of $950,000 when completing the SMSF annual return (SAR) for the 2022–23 financial year.

Section G will include the following amounts:

Opening account balance	$950,000
Label A – Employer contributions	Nil
Label B – Personal contributions	Nil
Label N– Total contributions	Nil
Label O – Allocated earnings or losses	Nil
Label P – Inward rollover amounts	Nil
Label Q – Outward rollovers and transfers	$950,000
Label R – Benefit payments and code	Nil
Label S – Closing account balance	Nil

Find out about  

• Example 1 – Simple rollover of all entitlements
• Example 2 – One partial rollover during the year
• Example 3 – Multiple rollovers during the year
• Example 4 – Dependent child death benefit rollover

Instructions for trustees of SMSFs - how to report contributions rolled out of or into your SMSF using SuperStream.