Hi guys Last year I purchased 2012 koalas 1oz silver, i didnt know at the time that they were considered collectables. And therefore didnt get insurance for them. The invoices unfortunately states clearly 'bulion coin' and i have other items on there so it needs to be handed to auditor, Lets say that i sold these or swapped them for '1kg bar' within the seven days, how do i go about recording this sale? If ur with esuperfund, where is this noted specifically, if at all? As i dont see anywhere. Lets say i sold or swapped these too a random 'trading post' person, what kind of stuff would i need on the receipt of sale. And is this a legit method of sale? Is a swap for same or more valued item legit? Ne references to ato regulation laws would be appreoated. Trying to avoid $1700 per trustee penalty. Thanks in advanced for ne assistance.
I would not consider 1oz bullion Koala coins collectible. They are a bullion coin and I would treat them as bullion. Perth mint and dealers would give you there buy back price if you had to sell them. I would value them at spot, which is probably generous as the mint would give you spot less margin.
I 100% agree with u. It says on atos web: Is my fund's investment in bullion coin considered to be a collectable and therefore required to comply with the restrictions contained in regulation 13.18AA? Coins are collectables if their value exceeds their face value. Therefore, if bullion coins have a value that exceeds their face value and they are traded at a price above the spot price of their metal content, they will be a collectable and your SMSF must comply with regulation 13.18AA in relation to the investment. So this is where im a little confused with their wording. To be collectable does it have to be: *Value exceeds face AND traded higher OR One of these only *Just value exceeds face OR *Just traded higher The AND in this statement makes me think that the coin must be both face value and traded. Is seems like this is how you would believe t to be also.
That bit of text on the ATO website is not legislation. It is in a Q&A section. Given most people in Australia affected by this are probably holding Perth Mint coins, it would be nice if they could contribute somehow with an "industry opinion" statement etc that could be submitted as evidence to an auditor, but I doubt it would happen. Usually for this reason I suggest to SMSF buyers to stick to bullion bars - but a lot of my clients continue to buy coins like 1kg silver kooks or 1oz gold roos and don't appear to have any auditing issues.
Importantly, I would argue they are not traded at a value greater than there spot value - ie when you sell to a dealer, they will give you spot.
Most people won't even be that specific, I just use Gold Bullion and Silver Bullion rather than breaking it down into gold bars and gold coins etc.
I had the ATO request serial numbers of coins in my SMSF. Long story, but basically the SMSF auditor reported me to the ATO for something that he could resolved by requesting further paperwork from me. Needless to say it was the very last tax return & audit that accountant ever received from me.
