All SMSF auditors are required to be registered with the Australian Securities and Investments Commission (ASIC) from 1 July this year. However, only 50 per cent of the sector’s auditors are expected to register.
Many auditors are finding it difficult to prove their university accounting degree includes a course of study in auditing, particularly those auditors where a significant “passage of time” has passed since they gained their qualifications, Shelley Banton, director of SuperAuditors, told SMSF Adviser.
“It’s not so much an issue with the younger auditors, but certainly the older auditors who went to university 20 years ago,” said Ms Banton.
“Some of them are having struggles in terms of trying to find academic transcripts and documentation showing that their accounting degrees do in fact have that audit component in them.
“I’m not saying they haven’t been able to register at the end of the day, but... it’s a difficult process.”
Ms Banton added she is hopeful compliance standards will be raised as a result of registration and will “weed out” auditors who potentially aren’t keeping up with the legislation and auditing effectively.
Read more on auditor registration from Shelley Banton in an upcoming issue of SMSF Adviser magazine.