Aside from hiring an accountant or administrator to prepare the Financial Statements and Tax Return for your SMSF, one of the annual obligations you need to fulfil as a trustee is to hire an SMSF auditor.
Here are the things you need to keep in mind when selecting an auditor for your SMSF.
Requirements of an SMSF Auditor
From 1 July 2013, all auditors who wish to sign off on audit reports for Self-Managed Super Funds are required to register with the Australian Securities and Investment Commission, more commonly known as ASIC. They are also required to meet the following guidelines –
- Must be an Australian resident;
- Must be a registered auditor;
- Must pass the competency examination. It is a two-hour exam that assesses a person’s competency to audit an SMSF;
- Has the required level of previous and practical experience working as an auditor;
- Has the necessary educational qualification.
Why do I need to hire an SMSF Auditor?
As part of the requirements, an SMSF must be audited at least every year by an approved auditor who is independent of the fund members.
Aside from this, SMSF auditors are expected to –
- Carry out a financial compliance audit of the fund’s operations;
- Provide professional assessment of the fund’s compliance;
- Report to the trustees any discrepancies, financial and compliance issues and relevant contraventions found in the fund;
- Comply with the rules and regulations set out in superannuation laws;
- Act with all honesty and independency in auditing the fund.
To ensure that your SMSF auditor is ASIC-approved, check the ASIC website. They have a list of all approved SMSF auditors, including the registered, suspended and disqualified SMSF auditors.
Xpress Super has a panel of ASIC-approved auditors who can audit your financial statements and in the most affordable way possible.
To find out more about our service, please don’t hesitate to contact us.