The ATO’s data matching capabilities are growing and will be supercharged by AI.

Whilst many infraction notices are private, there have been two mass breach notifications in recent times.

• 16,500 SMSFs earlier this year (and 1,000 SMSF Auditors) were put on notice by ATO for no change in asset valuations over the past three years.
• This followed the 17,700 SMSF trustees on notice previously, for missing investment strategies.

In the first instance the ATO expects remedial action to take place and will be reviewing these SMSFs.

If remedial action has not taken place, there will be deep-and-meaningfuls – and potential fines.  

However, behind the headlines is the reality that these SMSFs have been flagged. And will now be on a watch-list for further compliance contraventions.

Repeat offenders run a real risk of not just being fined but also potentially being shut down.

Don’t let your trustees be one of them.

• My audit reports have clear suggestions about developing a robust compliance framework.

And surprising as it might sound, the ATO is a reasonable body.

They want to see clear documented evidence from trustees that they have given due consideration and discharged their obligations in a reasonable way.

As always if you have any concerns or queries, please get in touch and we’ll see how we can help.