When we conduct an audit, the last thing we want for a Fund is to have a qualified audit report.
We try to prevent this by providing guidance for documents required in the form of an audit checklist. We also communicate with the Trustees regarding potential contraventions in the Funds and we provide a management letter during the audit process with ample time given to the Trustees to resolve the issues raised. However, if all that fails, our last resort is to issue a qualified audit report.
For an example of a qualified audit report, please click on the button below:
As all breaches need to be reported to the ATO, if required we will need to lodge an Audit Contravention Report to the ATO. For more information on the Audit Contravention Report, please click on the button below:
The Tax Office may contact the Trustees directly to discuss the reported breaches and possible rectifications measures that the Trustees need to complete. If no steps are taken by the Trustees to rectify the potential breaches, the ATO may impose further penalties and conditions on the SMSF. Trustees need to ensure that their Funds comply with the ATO regulations.