ATO Given More Powers To Deal With Non-Compliance
Trustees have always been required to keep the money and other assets of the SMSF separate from those held by the trustee personally (or by a standard employer-sponsor or an associate of a standard employer-sponsor).
A regulation has now made this requirement an ‘operating standard’, which means the ATO now has the power to enforce compliance.
Contraventions may result in a fine of up to 100 penalty units.
Editor: Penalty units were recently increased from $110 to $170 per penalty unit; therefore, e.g., 100 penalty units would equal $17,000 (up from $11,000)!