SMSFs struggling with SAR deadline urged to obtain deferral
With some SMSFs required to lodge by 2 November, the ATO is urging any SMSF trustees that are unlikely to meet the deadline for their SMSF annual return to obtain a deferral before the due date.
In an online update, the ATO said that some funds will have a lodgement due date of 31 October. As 31 October 2020 is a Saturday, funds will be able to lodge on 2 November 2020.
Where SMSF trustees cannot meet their 2020 SMSF annual return (SAR) lodgement date, the ATO said they should contact the Tax Office to obtain a deferral before the due date.
“If your SMSF is more than two weeks overdue on any annual return lodgement and you haven’t requested a deferral, we will change the status of the SMSF on Super Fund Lookup to ‘Regulation details removed’. This status will remain until any overdue lodgements have been brought up to date,” the Tax Office cautioned.
“Having a status of ‘Regulation details removed’ means the Australian Prudential Regulation Authority (APRA) funds won’t roll over any member benefits to your SMSF and employers won’t make any super guarantee contribution payments for members of the SMSF.”
The ATO stressed that non-lodgement indicates that members’ retirement savings may be at risk.
“If you are having difficulty preparing and lodging your SAR, you can apply for an extension of time to lodge, and we encourage you to do so,” it said.
“We understand the current economic environment due to COVID-19 may make keeping up with your trustee obligations a challenge. If you need help, we encourage you, your tax agent or your super professional to use the SMSF early engagement and voluntary disclosure service. We can work with you to get your affairs in order.”
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.
