Salus Private Wealth Logo

Latest News

NALI ‘not going away anytime soon’

SMSF trustees have been urged to start reviewing any potential non-arm’s length expense issues with the outcome of any future government consultation still unclear at this stage.



Speaking to SMSF Adviser, BDO partner Shirley Schaefer said SMSF auditors will likely be drawing attention towards potential issues relating to non-arm’s length expenditure of a general nature this year in preparation for the ATO’s compliance relief ceasing on 1 July 2023.

The ATO decided to extend its relief to 1 July 2023 after Senator Jane Hume announced before the election that the government would consult with industry stakeholders about the operation of the NALI provisions.

While Labor supports making changes to the non-arm’s length income (NALI) provisions in order address some of the disproportionate penalties, its still unclear what the final solution will look like, Ms Schaefer noted.


“The problem is that we don’t know where it's going to land. The fundamental principle that transactions should be at arm’s length and on commercial terms is a valid principle, it's just the application [that’s the issue],” she said.

Ms Schaefer said that issues relating to non-arm’s length expenses are likely to become more of a standard point in audit management letters this year.

“Not to say that [the trustee has done something wrong], but just to note that there are related party transactions that the trustees need to review to ensure that they meet all the requirements and point them in the direction of the relevant correspondence,” she explained.

“The ATO won't take compliance action on non-arm's length expenditure for another 12 months, but this is the year to really get it underway. I don't think it's going away anytime soon.”

Speaking on a recent Accountants Daily podcast, superannuation leader at Chartered Accountants Australia and New Zealand (CA ANZ) Tony Negline noted that the industry bodies and associations have all advocated for an approach to non-arm’s length expenses where trustees have the ability to correct unintended mistakes.

The fix might be making good the shortfall in the expense, or deeming the unpaid amount to be a contribution, he said.

“But as long as there’s some sort of corrective mechanism that’s reasonable and not administratively burdensome and costs a fortune to implement at both the ATO level and the fund level, you’d have to be happy about that,” Mr Negline said.

However, it will ultimately be up to the government to decide, he said.


Smarter SMSF chief executive Aaron Dunn said given there has been “uniformity in approach” amongst legal associations, accounting bodies, APRA-regulated funds and SMSFs, he is confident there will be a resolution by the time 1 July 2023 arrives.

Ideally, Mr Dunn said there would be a chance to rectify any arm’s length shortfall amount, as it's being referred to, that arises from an honest or inadvertent error.

“We need to have a proportionate approach to the outcome, because quite clearly, something as trivial as a couple of $100, or a couple of $1,000, could quite clearly have a significant impact where it is a general expenses connected to all of the fund's income. We need some ability to rectify in that type of scenario,” he said speaking at the Smarter SMSF Day.




Miranda Brownlee
22 July 2022

Louise Laing

Louise founded Salus Private Wealth to offer high quality personal advice to clients who want to work closely with an adviser for the long term. Her philosophy that understanding each individual and their motivations and needs is key to an enduring and successful financial planning relationship is at the heart of the business.

She first engaged the services of a financial adviser herself when she was in her early 20s (long before becoming one) and believes the non-judgemental support and education about her position and options provided at this early stage has allowed her to make confident decisions in different aspects of life since then.

This confidence and positivity in making choices, financial or not, is what she wants to give to her clients.

Superannuation & Retirement

Superannuation is one of the largest and longest duration investments most people in Australia have, making it a critical part of long-term planning even if retirement feels like a distant objective. For those in the lead into retirement, we design strategies so you have peace of mind that when you start to draw on your retirement savings, you have liquidity and stability to support that.

Legislation and rules are changed regularly, so advice can help you take advantage of opportunities to build for the future. We are authorised to provide advice on and to SMSFs.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at


Protecting your wealth, lifestyle and family is high on the priority list for many clients and this is an area of advice need that can change very quickly. Ensuring you have the cover you need can give peace of mind that what’s important is taken care of in the event of illness, injury and death, but we also make sure over time you are not paying for cover you no longer need.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at

Estate Planning

While talking about death doesn’t seem like a particularly appealing prospect, it’s a topic we see as a vital part of financial planning. Importantly, it’s a topic for every adult, regardless of their stage in life. Without a proper estate plan assets may not be passed where you’d like them to go, family conflict can ensue, and in the event you lose capacity there may not be an authority in place for the person you would choose to make those decisions for you to do so. While it can be an uncomfortable subject, we are experienced in facilitating these conversations as part of our advice process.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at

Strategic Debt & Cashflow

Managing debt efficiently can have a material impact on your financial wellbeing and lifestyle. Having a solid plan to understand where your money goes and manage cashflow and debt can eliminate stress and set you on a positive path toward achieving your goals.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at


Once we have a clear understanding of what we are aiming for and how you feel about taking on investment risk, we can help direct your funds into appropriate investments to meet your goals. This includes recommending the investment structure, consideration of tax implications, asset types, and putting together a suitable blend for you. You will have transparency of and access to view your investments, providing security.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at

Aged Care

Aged care needs can arise suddenly. The complexity of managing this can be a significant challenge at a time when your focus should be on the person requiring care. We can assess the alternative funding options to ensure you make an informed choice in the best interests of the person requiring care.

Contact us today to discuss how we can work together: (02) 8044 3057 or email us at

Tax Diary

General Calculators


Financial Videos

Secure File Transfer

Secure File Transfer is a facility that allows the safe and secure exchange of confidential files or documents between you and us.

Email is very convenient in our business world, there is no doubting that. However email messages and attachments can be intercepted by third parties, putting your privacy and identity at risk if used to send confidential files or documents. Secure File Transfer eliminates this risk.

Login to Secure File Transfer, or contact us if you require a username and password.

General Disclaimer

Website Disclaimer

The Trustee for Laing Weaver Family Trust T/A Salus Private Wealth (Corporate Authorised Representative No. 1305571) and all our advisers are Authorised Representatives of Sambe Investments Pty Ltd T/A Finchley & Kent, Australian Financial Services Licence No. 478766, ABN 67 078 995 856, and has its registered office at Three International Towers, Level 24, Tower 3, 300 Barangaroo Avenue.

Sambe Investments Pty Ltd Australian Financial Services Licence applies to financial products only. Please note that Property Investment, Tax & Accounting, Mortgages & Finance are not considered to be financial products.

Disclaimer: The information contained within the website is of a general nature only. Whilst every care has been taken to ensure the accuracy of the material, The Trustee for Laing Weaver Family Trust T/A Salus Private Wealth and Sambe Investments Pty Ltd T/A Finchley & Kent will not bear responsibility or liability for any action taken by any person, persons or organisation on the purported basis of information contained herein. Without limiting the generality of the foregoing, no person, persons or organisation should invest monies or take action on reliance of the material contained herein but instead should satisfy themselves independently of the appropriateness of such action.