Powered by MOMENTUM MEDIA
subscribe to our newsletter

ATO acts on SMSF registration complaints

Katarina Taurian
09 August 2015 — 1 minute read

After a host of complaints that followed rule changes in January this year, the ATO has acted on issues related to retirees and the registration of new SMSFs.

SMSF Adviser was made aware of several complaints stemming from the new SMSF registration rules introduced in January

As a result, the ATO has issued new guidance for those new funds that hit roadblocks where members are retired.

Advertisement
Advertisement

“If you expect to receive a rollover, transfer or contributions in the near future, an SMSF can be established with a nominal amount (for example $10). Once an ABN is issued, a bank account can be opened and the $10 deposited. The $10 is regarded as a contribution and allocated to a member,” the ATO stated.

“Where a member cannot contribute to the SMSF (for example, they are 65 or over or do not meet the work test) we can apply an administrative discretion to allow this nominal contribution. In all cases the nominal contribution must be allocated to the member solely for the purpose of registering the SMSF,” the ATO said.

“The member must receive further money into the SMSF (such as a roll-over) before the end of the income year the fund was established.”

ATO acts on SMSF registration complaints
smsf logo
smsfadviser logo

Become a pro at SMSF fundamentals and make your clients bulletproof with the SMSF Foundations course. Earn up to 21 CPD hours, and learn directly from Aaron Dunn from Smarter SMSF as he deep-dives into the fundamentals you need to know to successfully undertake your work as an SMSF practitioner. Learn more

join the discussion

Latest poll

Do you have clients that are aged 65 or 66 planning to trigger the bring forward rules?

SUBSCRIBE TO THE
SMSF ADVISER BULLETIN

Get the latest news and opinions delivered to your inbox each morning

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.