Note: Every year, the ATO publishes the top compliance mistakes made by SMSF trustees. This article contains data up to 30 June 2011 (latest available as at May 2012). The next update, for compliance data up to 30 June 2012, will be available in April 2013.
The ATO has published the top 10 compliance mistakes that SMSF trustees make when running their self-managed super funds. The list below is based on the general type of contraventions reported by SMSF auditors (approved auditors) since the start of contravention reporting in 2005 (and up to 30 June 2011).
|Types of contraventions reported to the ATO (up to 30 June 2011)|
|Contravention types||Number (%)||Value (%)|
|Loan to member/financial assistance||20.6%||14.6%|
|Separation of assets||13.2%||27.3%|
|Operating standard contraventions||8.3%||6.8%|
|Investment at arms length||7.3%||7.5%|
|Acquisition of assets from related parties||1.5%||2.4%|
Note: The column titled ‘number %’ means the percentage of contravention reports that involved this particular type of breach, while the column titled ‘value %’ relates to the value of assets involved in this particular type of breach.
Source: Page 36 of Self-managed superannuation funds: A statistical overview 2009–10
For an explanation of the rules mentioned in the top 10 list above, you can refer to Trish Power’s book DIY Super For Dummies 2nd edition (Wiley, $32.95).You can find more details about this book by clicking here or by clicking on the book link on the right-hand side of this page.