SMSF Association urges balanced ATO regulation

The SMSF Association has submitted a response to the Australian National Audit Office (ANAO) regarding a performance audit of the Australian Taxation Office’s (ATO) regulation of self-managed superannuation funds (SMSFs). The association is calling for a regulatory model that identifies and addresses genuine misconduct promptly without imposing excessive administrative burdens or unnecessary complexity on compliant funds.

CEO Peter Burgess emphasized the need for a framework that is firm yet practical, distinguishing between serious non-compliance and inadvertent errors or administrative failures. The association noted that the sector has grown to exceed $1 trillion in retirement savings since the last audit in 2007, necessitating a more evolved regulatory approach.

Key concerns raised include the disproportionate consequences of late annual return lodgements and the need for more authoritative, durable guidance from the ATO. The association urged the ANAO to examine the ATO’s reliance on non-binding web content and called for an effective mechanism to resolve technical issues following the cessation of the former NTLG Superannuation Technical Sub-committee.