ASIC has announced that hundreds of limited license applications, most of which are of poor quality, are expected to remain unprocessed into next year.
During the Review of the Australian Prudential Regulation Authority Annual Report 2015, ASIC senior executive Warren Day said there is “no straightforward answer” regarding when ASIC will be able to process the remaining limited licence applications.
“Government funding ended for that transition period ended on 30 June, so we have no extra resources that we can deploy, but we have deployed resources dedicated to this,” Mr Day said.
“At this stage, our expectation is that we will get through most of the backlog by the end of this year. However, I would still expect, given that a high number of the applications we’ve received are poor in terms of their content that we will still have applications in the low hundreds on hand into next year.”
Mr Day said the long delays were the result of the large numbers of applications received in the final months of the transition period.
“The point that I would like to make is that this was the longest transition period that we’ve ever had for a regime like this and we received 66 per cent of applications in the last four months,” he said.
“We put very public notices out that we wanted people to apply by the end of March this year. If they had applied by March this year, we gave a guarantee that we would have finished their application assessment by the deadline. Unfortunately, a lot of accountants did not head that warning.”
SUBSCRIBE TO THE SMSF ADVISER BULLETIN
- 21 Aug 2016Risks flagged with real estate appraisal valuesBy Miranda Brownlee
- 21 Aug 2016Lawyer challenges ATO view on two fund strategiesBy Miranda Brownlee
- 18 Aug 2017ATO locks in details, addresses panic on real-time reportingBy Katarina Taurian
- 18 Aug 2017Data feeds unreliable for new reporting, says mid-tierBy Miranda Brownlee
- 18 Aug 2017Tax component confusion spurs potential tax liabilitiesBy Miranda Brownlee
- 18 Aug 2017Contributions triple in June quarter, survey showsBy Staff Reporter
- view all
- ATO locks in details, addresses panic on real-time reporting
The tax office has addressed several points of confusion with the new events-based reporting regime, locked in key deadlines, and outlined w...read more
- Data feeds unreliable for new reporting, says mid-tier
With an estimated 20 per cent of SMSFs still encountering errors from data feeds, one mid-tier firm believes the ATO should allow SMSF pract...read more
- view all