The ATO has reminded trustees they are legally required to appoint an SMSF auditor for their fund before the end of March or face the possibility of a substantial fine.
Trustees are legally required to appoint an approved SMSF auditor no later than 45 days before they would have to lodge their SMSF annual return (SAR).
The final lodgement due date for the 2018/19 SAR is Friday 15 May 2020. This means you will need to engage an auditor by Tuesday 31 March 2020 or risk severe financial penalties of up to $10,500.
What you will need Trustees will need to receive an SMSF independent auditor’s report (IAR) from their auditor before they sign and lodge their SAR.
When you sign the trustee’s declaration in the SAR, you confirm you have received the IAR and are aware of any matters it raises. If you sign the return before receiving the IAR, you could face penalties of up to $12,600 for making a false statement.
The auditor’s report will advise whether your fund breached any super laws and you should rectify any contraventions as soon as possible. Exceptions to the 15th May Deadline
Does not apply to SMSFs with a business or postal address in an identified bushfire postcode.
Does not apply to funds that are non-taxable, or received a refund by latest year lodged and were non-taxable, or would receive a refund in the current year, excluding large/medium taxpayers or funds with an earlier due date.
Want to know more about quality audits? Quality audits protect and build the value of your firm's brand, as well as protecting your clients' retirement savings. SaulSMSF is a fully compliant audit firm - one of a handful recently reviewed and approved by the ATO. We help you to get it right... and on time! We would be happy to have a complimentary meeting with you to discuss how we can improve your audits to ensure quality outcomes for your practice. Call 1300 551 261 to learn more or reply by email.