SMSF: What the ATO will be looking for in SMSF audit reports

Self-managed superannuation fund trustees that are using an accountant, and are not lodging for the first time, must lodge their 2022-23 annual return by May 15, and ensure anEvery year, the same mistakes occur, and it behoves trustees – and their advisers – to make every effort to meet the regulatory requirements the Australian Taxation Office demands.

To make matters worse, the unsecured line of credit was a handshake arrangement. Little wonder the audit report described it as a “dog’s breakfast”.In another example, an SMSF loaned money to an unrelated party for a property project in 2018 that was repaid on time. So, the fund immediately decided to extend another six-month loan to the same party – an arrangement that was rolled over every six months.

Property valuations are becoming more problematic. Some trustees are even prepared to have their annual reports qualified because they believe the valuation is “fair”, relying on the ATO’s guidelines stating that having a qualified independent valuer isn't obligatory provided the valuation is based on objective data.

Regardless of the asset’s weighting in the fund, trustees must ensure they have robust evidence for asset valuations, supported by comparable sales data or other relevant information.

Source: Real Estate Daily Report (realestatedailyreport.net)

Australia Latest News, Australia Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Office property market: Why even Howard Marks is wary of office propertyThe Oaktree Capital co-founder loves distress, and says there will be plenty in the office market. But there’s one big reason he’s cautious about investing.
Source: FinancialReview - 🏆 2. / 90 Read more »

Why you should have insurance in your SMSFAn SMSF is allowed to claim a tax deduction for insurance premiums.
Source: FinancialReview - 🏆 2. / 90 Read more »

Six things to consider before adding kids to an SMSFBringing children or other younger savers into an existing SMSF can increase purchasing power and boost cash flow, but beware the added complexity.
Source: FinancialReview - 🏆 2. / 90 Read more »

Singtel slugged in $895m ATO lossThe Tax Office has secured a transfer pricing win against the parent company of telco giant Optus.
Source: FinancialReview - 🏆 2. / 90 Read more »

Former ATO employee sentenced to five years in prison for accepting bribesThe Tax Office worker is the first person to be prosecuted after a National Anti-Corruption Commission investigation.
Source: brisbanetimes - 🏆 13. / 67 Read more »

Craig Wright: ATO papers allege self-claimed bitcoin ‘creator’ doctored documentsSelf-claimed bitcoin inventor Craig Wright allegedly made than $3 million in false R&D tax claims for his technology companies before leaving Australia in 2015.
Source: FinancialReview - 🏆 2. / 90 Read more »