A yearly SMSF audit is mandatory in Australia for most of the superannuation funds. It is mandatory that the auditor has an independent practice and is registered under the Australian Securities and Investments Commission. This professional is responsible for analyzing the fund’s financial statements and assessing its compliance with superannuation law. It is their responsibility to report any non-compliance issues to all fund trustees and the Australian Tax Office (ATO).

The ATO can impose a number of penalties on the concerned SMSF for noncompliance, which is mainly dependent on the seriousness of the breach. If the auditor does not report such issues, and the ATO comes to know through another source then action would be taken on the auditor and the fund as well.

The trustees of the fund should opt for yearly audit from the time of SMSF setup. It mainly aims to check for the accuracy of the financial statements and test compliance of the superannuation law.

A professional audit is just as they are aware of all the latest rules and regulations. They would be able to detect the smallest problem with ease and suggest ways to rectify it as well.

An SMSF audit would also provide confidence to its members that their work is as per the regulations and there is no fraud taking place. It would also encourage them to invest more money. Since the power of investing solely lies in the hands of the trustees, who are also members of the fund, they would take care that they would enjoy maximum returns. The trust members would also do their research and find ways to develop strategies that would provide maximum benefits to the members and the trustees as well.

This fund is very important for common people as it gives them to make investments for their retired life. It could be beneficial to the members and their families as well.

Source: https://smsf-setup..com/2019/11/know-everything-about-smsf-audit-in.html