New Advice Program for SMSFs

The Tax Office has introduced a new non-binding advisory program for SMSFs.

SMSF specific advice

Trustees of SMSFs can apply for self-managed superannuation fund specific advice (SMSFSA).

Broadly, an SMSFSA is a written expression of the Commissioner’s opinion, in his role as the Regulator of SMSFs, of how the superannuation law applies to a particular transaction or arrangement that has been, or might be, entered into by the trustees of an SMSF.

An application for an SMSFSA must be submitted in writing. Generally, an SMSFSA will only be provided if there is a precedential view of the law or if the particular transaction or arrangement raised in an application involves a straightforward application of the law.  

The advice contained in an SMSFSA only applies to the SMSF named in the application. In addition, if the operation of the particular transaction or arrangement entered into by the trustees of the SMSF departs from that stated in the SMSFSA, the advice will not apply.

SMSF guidance

If the trustees of an SMSF are seeking general guidance on the operation of the superannuation law, they can approach the Tax Office for SMSF guidance.

SMSF guidance does not cover all possibilities or individual circumstances of an SMSF. If the trustees of an SMSF require specific advice, they should consider applying for either an SMSFSA or self-managed superannuation funds product ruling (SMSFPR): see below

The guidance may be given in writing or orally. Written guidance is available in different forms, including current Tax Office publications and material available on the Tax Office website.

SMSF product ruling

An SMSFPR sets out the Commissioner’s opinion as to the application of the superannuation law to particular products where an SMSF is a potential investor.

An SMSFPR will have no application to superannuation funds other than SMSFs (and former SMSFs where they remain regulated by the Commissioner).

An application for an SMSFPR must be submitted in writing. In addition, an SMSF must also sign and give the Commissioner an assurance regarding the operation of the product.

Legal status of SMSF advice

SMSF advice provided by the Tax Office in the form of an SMSFSA, SMSFPR or SMSF guidance is not legally or administratively binding on the Commissioner.

• An SMSF relying on an advice will remain responsible for its actions under the superannuation law.