All SMSFs must have their financial accounts and compliance with the SIS Act audited annually by an SMSF auditor15. SMSF auditors play a key role in ensuring SMSF compliance with regulatory obligations.
For the year ended 30 June 2014, approximately 6,300 SMSF auditors conducted, on average, 64 SMSF audits each.16
In 2014, there continued to be a trend towards SMSF auditors performing audits for a larger number of SMSFs, with most (55%) performing between five and 50 SMSF audits and between 51 and 250 SMSF audits (26%). From 2013 to 2014 there was also a small fall in the proportion of SMSF auditors performing less than five audits (-1.5%) (see appendix 1, table 8).
Tax agents and accountants also play a significant role in the SMSF sector. Approximately 13,300 tax agents or accountants lodged 99% of 2014 SMSF annual returns.16 They had, on average, 32 SMSF clients and a median number of 10 SMSF clients.
Half of the tax agents lodge for 10 or less SMSFs, while 15% (or 2,054) had a single SMSF client. By contrast, 7% or 909 tax agents and accountants lodged a 2014 SAR for more than 100 SMSFs (see appendix 1, table 9).
15 From 1 July 2013, only SMSF auditors registered with ASIC can undertake SMSF audits.16 Based on 2014 SAR lodged data.