Steps to complete an SMSF end of financial year (EOFY)
You (or Heffron – your fund administrator), will need to complete a comprehensive compliance review.
That review will confirm:
- any new assets you’ve bought in your fund during the year are held in the right name;
- the paperwork to enable you to claim a personal tax deduction for your super contributions (if applicable) has been correctly completed and executed;
- your insurance policy is in the right name;
- the trust deed is up to date; and
- your investments are within the ranges set out in your investment strategy; and
- your pensions have been paid correctly.
Once this is complete a set of financial statements, an audit and an income tax and regulatory return will be prepared, signed by you and lodged with the ATO.
Note: you are responsible for signing your personal tax return even if it is prepared by your accountant. When your return is lodged, your fund will not only make any final tax payments necessary, but it must also pay a levy to the ATO for the subsequent year.
If your fund needs to lodge a Business Activity Statement (BAS) or pay tax installments throughout the year, we will arrange this for you and even transfer the tax from your nominated cash account to the ATO using a special authority you provide to us during the set up/transfer process.
Paying bills, tax and other costs for your SMSF
Heffron will arrange the payment of our administration fees on your behalf – we will deduct these monthly, directly from your nominated bank account.
For any other costs such as insurance, you can make these from your nominated cash account.
Just remember, only expenses relating directly to your SMSF should be paid from your SMSF's bank account. This is something the ATO and your auditor will monitor very closely.
To help you pre-plan in the lead up to the end of financial year, we have created a complimentary End of Financial Year (EOFY) Checklist.
