SMSFs reminded of auditor requirements
SMSF members have been reminded about some of the independence requirements for SMSF auditors and the deadline for when they need to appoint an auditor for their fund.
The ATO has reminded SMSF trustees that they will need to appoint an SMSF auditor to audit their fund at least 45 days before the lodgement due date of their SMSF annual return (SAR).
The ATO said an SMSF’s approved auditor must be registered with the Australian Securities and Investments Commission and that the fund would need to provide the SMSF auditor number on their SMSF annual return.
“Your approved SMSF auditor must be independent, as auditors shouldn’t audit a fund in which they hold any financial interest in, or where they have a close personal or business relationship with members or trustees,” the Tax Office explained.
“They also shouldn’t audit a fund where they work for a firm who provides your fund with other services such as certain accounting services, tax, super or financial planning advice.”
The SMSF’s audit must be finalised before the SMSF annual return is lodged, the ATO explained, as the SMSF trustee will need information from the audit report to complete the return.
“You must also ensure the correct auditor details are provided in the SAR, otherwise you may be penalised,” the ATO cautioned.
“Approved SMSF auditors can be busy so it’s a good idea to start this process early.”
Miranda Brownlee
Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.
Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates.
Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.
