February 15, 2021 @ 5:30 am - January 2, 2025 @ 5:30 am$275
The SMSF auditor must form an opinion on an SMSFs compliance with prescribed requirements of the Superannuation Industry (Supervision) Act 1993 (Cth) (SIS Act) and Superannuation Industry (Supervision) Regulations 1994 (Cth) (SIS Regulations). This comprises Part B of the audit report. This part of the engagement is generally referred to as ‘the compliance audit’.
SMSF trustees must comply with legislative obligations in the SIS Act and SIS Regulations relating to the fund’s operation and administration. There are many such obligations. For this reason, SMSFs are not for the faint-hearted or careless. The SMSF auditor is a vital cog in this compliance landscape. As a regulator, the ATO prescribes a list of specific sections and regulations against which the auditor must evaluate and report on fund compliance. The regulator’s guidance is a minimum standard. The auditor may include other sections or regulations as suitable criteria in the compliance engagement.
The full list of reportable provisions is set out in QC45566. If an SMSF is found to be non-compliant, the trustees may be liable for fines and administrative penalties. In the worst contingency, the SMSF may lose its complying status and the significant benefits that complying funds enjoy, in addition to attracting some very nasty tax consequences. But more on this later.
In this module, the compliance audit has been categorised into four topics:
- Introduction to compliance audit
- SMSF administration
- SMSF structural rules
- Member accounts
On completing this module, participants should be able to:
- explain and apply the audit objectives that apply to the compliance audit (Part B) in respect of the trustee obligations and the SMSF definition
- identify the key components and source of the compliance audit the auditor is required to consider when conducting the audit
- explain the audit evidence and audit procedures applicable to the compliance audit
- practical application of the audit framework and audit standards in conducting an audit of the compliance audit (Part B).