Many families have related party leases - Trading Company and Asset Trust - Trading company and SMSF - Mum/Dad and adult kids Can the landlord give the tenant rent relief if related? Sure, why not! Any rent relief should be commercial in nature so market amounts should be used, evidence of downturn or loss of job supplied, and any rent free periods temporary – but these could possibly be extended. Can you do it as a strategy to shift income from one entity to another with a tax advantage? You possibly can, but only if genuinely affected. You should always think that you will be audited at some point. If business is booming your SMSF probably should not be giving you a reduction in rent, but on the other hand, if rents for your type of office have halved in the last few months you could potentially move premises and save rent, so it might be justified if your SMSF is offering a discount to keep you there. But this will mean less deductions outside of super and more profit in a high tax environment. Extra care with SMSFs should be taken as the SIS Act could easily be breached. Don't forget to document everything also. Legal and tax advice should be sought.