ATO issues final warnings on outstanding SARs
The ATO has issued its final alerts for SMSFs with outstanding SARs, warning that failure to lodge may lead to serious consequences.
In a recent online update, the ATO stated it has started to issue final warnings to self-managed super funds (SMSFs) with outstanding SMSF annual returns (SAR).
“These letters are being sent to SMSFs who have previously received two reminder letters from us,” the ATO said.
“These two reminder letters informed trustees which lodgement years were outstanding and warned of the consequences for the fund and its trustees.
“The final warnings will be sent to the postal and business address of the SMSF and each trustee individually.”
For those SMSFs that receive this warning letter and do not lodge all overdue SARs, the ATO warned the fund will be in breach of its obligations under the Superannuation Industry (Supervision) Act 1993 and will be at risk of being disqualified and having the SMSF registration cancelled.
“If you are unable to lodge immediately, you must send us a written response explaining why you should not be disqualified,” the ATO said.
“We urge all recipients of the final warning letters to take it very seriously.”
This forms part of ATO’s campaign on the non-lodgement of SMSF annual returns and the importance of lodging on time.
Meanwhile, it was also recently flagged that SMSFs struggling to lodge in time for the upcoming June lodgement period should seek deferrals immediately and should not expect a blanket extension from the ATO.
Tony Zhang
25 May 2021
smsfadviser.com