Limited Recourse Borrowing Arrangements in SMSFs

Explore how limited recourse borrowing arrangements work in SMSFs & the key rules, requirements and compliance issues to consider. In this session, we cover: 

• How LRBAs still operate

  • The s67A requirements and structure, unchanged by the new law

• The 10 August 2026 change

  • s67A(2)(c), grandfathering, contracts in progress and bare trust timing

• Business real property

  • The only gateway, tested at entry and for the life of the LRBA

• The ATO’s updated guidance

  • Six products updated in October, led by draft SMSFR 2012/1DC

• Safe harbour for 2026-27

  • PCG 2016/5 rates, NALI and existing related-party loans

• Grey areas and alternatives

  • Mixed use, primary production and other ways to hold residential property