This article will teach you the step by step process of processing a Unit Trust for the year ending 30 June 2020 (no cash transactions exist after this date).
These instructions may be slightly different if you have an older demo Trust loaded in your Class Business. If the start date of your Demo is for an earlier financial year, you can raise a support ticket, addressed to the Class Consulting team to request that a new demo SMSF and/or Trusts to be loaded in your Business.
- From the Browse Funds screen search the word "demo"
- Select the Demo Unit Trust
- Navigate to Feeds > Feeds Console > select the Demo Broking Account
- The product is already pre-filled for you, you just need to click the "Load Demo Data" button which will provide a historical refresh of transactions
- Confirm Historical Data Request. The 'From' date will default to 01/07/2019 which is the Trust start date on Class.
If the From Date is later, it is likely because you have entered manual transactions. In this case, the 'From Date' will be the day after the last manual transaction date but you can still manually override this date.
- Navigate to Investment Holding shortcut and check the balance reconciliation of investments. You should notice that the Macquarie bank account & the loan account have no data feed (quantity in black) and there are 4 investments that are unbalanced (quantity is red). All other investments are reconciled (quantity is green).
- Navigate back to Feeds > Feeds Console > select the Macquarie CMA bank account. The account number will be pre-filled as 2508202006 and BSB 010-999. Click "Load Demo Data" and leave the From Date as 01/07/2019 in the Confirm Historical Data Request pop-up.
- Navigate to Investment Holding shortcut and after waiting about a minute for transactions to load, refresh the screen to check the bank balance is reconciled (quantity should now be green).
- Navigate to Investments > Browse Corporate Actions select the WBC corporate action first
- Enter 1,000 units for WBC share purchase plan. You do not need to change any other field
- Select the first TPG corporate action, after reviewing the information click Submit. For the second one, start by clicking Update Parcelling then select with Rollover Relief then click Submit.
- Navigate to Match Transactions shortcut and click Generate income
- In the pop-up box, check the tick box 'Create announcements prior to Opening Position', this creates business events for dividends of listed security where the ex-dividend date was prior to 30 June
- Click the Refresh button before clicking Create Income Events
- Click Automatch to match off the transactions
- Leave the Extended Search Days to Auto and click Run Automatch and Save Suggested Matches
- In the Match Transactions screen, match off the 'Distribution Receivable' from the opening balance to the three cash payments (IOO, SBC & VAS distribution payments).
- In Match Transactions, click the menu button then select Match To New next to the 'Accounting Fee', classify as Fund Expense > Accountancy Fee, then click Submit
- In Match Transactions, click the menu button then select Match To New next to the 'Loan to Trust', classify as Custom Holding Account > Transaction click Submit
- In Match Transactions select the menu button next to one of the equity withdrawal transactions and click Match To New classify as Equity > Equity Withdrawal and select the Beneficiary account of Ritchie Porte. Click Submit, then in the next pop up click Create Business Events
In Match Transactions select the menu button next to the other equity withdrawal transactions and click Match To New classify as Equity > Equity - Unit Sell and select the Beneficiary account of Ritchie Porte. Click Submit, then in the next pop up click Create Business Events
- In Match Transactions select the property purchase transaction and on the menu button click Match to New. Select Investment Buy > Property purchase deposit
- Enter $612,000 in the Remaining Amount and click Submit
- In Match Transactions select the property purchase transaction and on the menu click Match to New. Select Investment Buy > Property purchase settlement
- Enter 15/07/2020 in the contract date and $680,000 in the Based on Purchase Price of then click Submit
- In Match Transactions select one of the rental income transactions. On the menu button select Create Rule For and create a transaction rule for the net rent. Select Classify As 'Rental Statement' and next to Property Account select the Demo Property. Click Save then in the next pop up click Create Business Events.
- Navigate to Transactions > Fund Income > Rental Statement.
- Next to Property Account select Demo Property. Input the date range 01/07/2019 and 30/06/2020. Enter the same amount in income as the total of the expense for the year to correctly record the rental statement for the year. Click Submit
- Navigate to Periodic Processing > Tax Statement Console select the 2019-20 Financial Year. Click the tick box to select all and click Generate to generate the tax statements
- Under the Reports menu check the Exception Report, all the fields should be validated.
- Go to the Period Update shortcut and select the 2019-20 Financial Year and process the Period Update to 30 June 2020
- Click Distribute Retained Earnings
- The Retained Earnings will be automatically distributed to the three beneficiaries, based on their current unit holdings, then click Submit
- You can generate a Report Pack to review the Financials.
What's Next?We will teach you Demo SMSF Processing