The ATO has identified some common errors in reporting bank account and SuperStream details in the SMSF Annual Return.
The 2015 SMSF Annual Return included new labels for reporting the bank account and Electronic Service Address (ESA) for SMSFs, labels 7A, 7B and 7C.
The ATO has now identified some common errors in completing these labels on the Annual Return.
The ATO says, for Label 7A – which asks for the bank account of the fund – that: “The bank account nominated at label 7A of the SAR must be an account operated by the SMSF trustees. These account details should be unique to each SMSF and cannot be a common account used across multiple clients, such as your practice trust account.”
“We use the details at label 7A to make super and SuperStream payments directly to the SMSF. If you do not provide the correct details, these payments may be affected.”
“It is important to get this right for the 2016 SAR as we will only use bank account details we can confirm are unique to that SMSF. If you lodged 2015 SARs with incorrect details at label 7A, lodgment of a 2016 SAR with the correct (unique) bank account will correct it.”
Label 7B can be used to nominate a different bank account for tax refunds. The ATO says “you can also use this label if an SMSF fund has been wound up and a refund is expected”.
Label 7C asks for the ESA of the SMSF, if it has one. “If your client receives employer sponsored contributions you need to include a registered electronic service address at label 7C,” says the ATO.
“The SMSF can obtain this address from a registered ESA provider.”
The ATO says emails can be sent to SuperP2Enquiries@ato.gov.au for further information about completing these labels.