Aligning SMSF Compliance with COVID-19

Aligning SMSF Compliance with COVID-19

The ATO has published answers to a number of frequently asked questions relating to the impact of COVID-19 on SMSFs –  ATO COVID-19 FAQs Rent Relief for Related Parties One of the most common questions is whether a related party tenant can receive a rent...
What Happens Once an LRBA is Paid Out?

What Happens Once an LRBA is Paid Out?

While paying out a limited recourse borrowing arrangement (LRBA) can free up cash and finally bring in some additional income for SMSFs, it’s what happens afterwards that makes the SMSF audit hassle-free. Despite the restrictions placed on LRBAs by the...
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...