The Impact of Part A Qualifications

The Impact of Part A Qualifications

Before it became an ATO reporting requirement in the 2019 annual return, Part A qualifications were primarily ignored within the SMSF industry. Discussions centred mostly around compliance contraventions and whether an Auditor Contravention Report (ACR) was to be...
The New Era of SMSF Penalties

The New Era of SMSF Penalties

We’ve entered a new era of SMSF administrative penalties where trustees are facing the consequences of any illegal activity in their funds. The anecdotal evidence suggests that SMSF penalties are being applied hard and fast by the ATO, and not just for a single...
How to Pass the Sole Purpose Test

How to Pass the Sole Purpose Test

Making sure an SMSF passes the sole purpose test (“SPT”) is one of the cornerstones of operating a compliant SMSF. One of the most important things to understand is that it’s not the type of investment dictating whether the SPT is met, but rather the purpose for which...
New Rules Turn NALI Into Gnarly

New Rules Turn NALI Into Gnarly

The government has recently passed legislation to reduce the ambiguity surrounding the effect of non-arms length expenditure (NALE) on SMSFs.   Where a fund incurs less (or nil) expenditure by...
Does SMSF Litigation Risk Die with Trustees?

Does SMSF Litigation Risk Die with Trustees?

How many times have we heard that it’s only an SMSF audit; there’s not much in the fund, or it’s not high-risk? For some reason, the perception still exists that an SMSF is more straightforward to audit than any other entity. Interestingly, the auditing standards that...