SMSF Audit Checklist

Transcription

1 12 Jan 2013 SMSF Audit Checklist XXXXXX Superannuation Fund Name of fund Year of the audit Permanent Documents that should be on file: 1 Minutes 2 Trustee Declaration from ATO 3 Trust Deed 4 Consent to act as Trustee and Member 5 Investment Strategy The basic format is to have Financial Statements, a Tax Return, supporting documentation and then the Permanent documents for your SMSF. The preference is these be scanned and ed or uploaded to me for my files. I do not need paper files but happy to work with scanned or PDF files. Divide your audit file in sections and add relevant documents in this file. See below for the detail that should be in each section. Information for the Tax Return: Fund auditor details entered on the annual return and regulatory return Q6 o Auditors Name: Mr. Melvin J Holzworth o Professional Body: 4 o Membership Number: tba o Auditor s Phone Number: o Postal Address: 5 Douglas Court, Capalaba, Qld 4157

2 Main components of the Audit file Some of the list below may have been supplied previously. If so, these do not need to be supplied again. Signed audit engagement letter & statement by the Trustees. Engagement letter is once only by the Trustees Representation Statement is annually. It is on my website as a download. Financial Statements. Also, the Transaction listings, Ledger Account Listings, DTL workings if any, Taxation Calculation, Depreciation schedules, Asset Revaluation Ledger etc etc. Depending on what software package was used, I may only need a backup of the Ledger File. Tax return completed (see auditor details above) Supporting documents for all items in the Financial Statement. Current Investment strategy Proof of Trustees (individual document signed by Trustee accepting to act as Trustee or Company Trustee confirmation of Directors) Trust Deed signed Section 1: Permanent File ü Copy of ATO Trustees declaration ü Copy of Fund minutes ü Bare Trust Documentation [If SMSF has borrowings] ü Bank Loan Agreement ( If SMSF has Borrowings ) ü Copy of most recent Lease Agreements ü Copy of property Title Deeds ü Corporate Trustee Report ü Declaration of Trust for property investments ü Pension Documentation ü Investment Strategy ü Trust Deed Section 2: Compliance Letters ü Audit Engagement Letter ü Prior year management letter - If from another auditor. ü Trustee Representation Letter ü Prior year Financial Statements - New Clients ü Prior year tax return - New Clients Section 3: Financial Statements Financial Statements (see format to be used in our free downloads section) ü Income Tax Return ü Investment Summary Report ü Members Statements ü Notes to financial statements ü Statement of Taxable Income / Income Tax Provision ü Unit Trust Financial Statements, Distribution documents, minutes and tax return ( If SMSF has investments in a closely held U/T under Div 13.3A)

3 Section 4: Source Documents ü Actuarial Certificate [If Fund is in pension phase] ü ATO Portal Reports ü Bank Statements ü Buy / Sell Contracts ü Distribution Statements ü Dividend Statements & Chess statements ü Life Insurance Statements ü Managed Fund Holding Statements ü Rental Income and Expense supporting documentation ü Share holding statements ü Expenses invoices and receipts Section 5: Client contact details Primary Contact: (documents and queries will be forwarded to this person) Name: Firm: Contact number: Postal Address: Member 1: Member 2: Member 3: Member 4: Previous Auditor (if not previously audited by Audit Warehouse): Name: Address: Contact number: Section 6: Fund Administration If YES to any of following questions, provide copies of relevant documentation YES / NO Change of Trustee? YES / NO Members added / resigned? YES / NO Trust Deed upgraded? YES / NO Amended Investment strategy? YES / NO Change in tax status? i.e.: member moved from accumulation to pension phase YES / NO Any ATO correspondence received relating to any significant events occurred? YES / NO New beneficiary nominations? YES / NO / NA Prior period audit management letter points addressed? YES / NO Signed engagement letter and audit representation letters obtained? YES / NO Financial statements (including notes), member statements, trial balance, general ledger and journal entries included? YES / NO Working papers prepared and client supporting documentation included? YES / NA Latest ASIC annual return included for Corporate Trustee

4 YES / NO / NA Is Corporate Trustee a sole purpose SMSF Trustee? Confirmations YES / NO Minutes in place or drafted for actions taken during income year? Other matters or significance / relevance? Section 7: Fund Administration (new engagements and first time audits to Superannuation Warehouse) Attach the following documentation YES / NO Fund Trust Deed? YES / NO Member applications and Trustee consents? YES / NO / NA ATO trustee declarations (appointments after 1 July 2007)? YES / NO Investment strategy? YES / NO Prior year s financial statements including notes signed by the trustees? YES / NO Signed prior year s auditors report and management letter? YES / NO ATO correspondence received relating to a significant event? YES / NO Beneficiary nominations? YES / NO General authority (should external verifications required for bank, employer or insurance company)? YES / NO Prior period audit management letter points addressed? YES / NO Signed engagement letter and audit representation letters? YES / NO Financial statements (including notes), member statements, trial balance, general ledger and journal entries YES / NO Working papers and client supporting documentation included? YES / NA Latest ASIC annual return attached (corporate entities only)? YES / NO / NA Is corporate trustee a sole purpose SMSF Trustee? Confirmation YES / NO Minutes maintained for 10 years YES / NO Financial statements and member statements maintained for 5 years YES / NO Minutes in place or drafted for actions taken during income year? Other matters of significance / relevance?

5 SECTION 8 - Client Supporting Documentation Checklist Cash at Bank / Cash on Deposit 1. Bank statements for full year (also post year end to September is recommended) 2. Bank Term Deposit statements. Shares in Listed and Unlisted Companies / Trusts 1. Dividend notices and trust distributions/annual tax statements 2. SRN/HIN details (including holding name and postcode) 3. Acquisition and disposal documentation WRAP Investments 1. Annual Tax Statements and transaction reports 2. Annual portfolio / holding statement 3. Controls audit report to meet the requirements of GS007 Related Party Investments 1. Financial statements (property in related entities also complete property section) 2. Evidence of ownership 3. Market value calculations Property 1. Title documents e.g. title search 2. Documentation to support value 3. Lease agreement, including details on lessee 4. Evidence of rental being at market rates 5. Insurance policy 6. Acquisition and disposal documentation Other Assets (e.g.: artwork, jewelery, wine, sundry debtors, loans) 1. Documentation to support ownership 2. Documentation to support value 3. Lease / loan agreements, including details on lessee / recipient 4. Evidence of rental / interest being at market rates 5. Limited Recourse Borrowing Arrangements when appropriate 6. Details of asset location and insurance policy 7. Confirmation asset not for private use and/or enjoyment by members or related parties 8. Acquisition and disposal documentation Other Liabilities 1. Supporting documentation 2. Member benefit calculations Income & Expenditure 1. Contributions - confirmation from employer, confirmation re work test met for over 65, non concessional summary since 1 July Insurance copy of policy confirming ownership, life insured, cover type and premiums 3. Pension / benefit payments condition of release (under 65), PAYG summary (under 60) 4. Other income and expenses documentation Tax

6 1. Annual return 2. Income tax and tax deferred calculation work papers 3. Payment documentation - including surcharge notices, if any 4. Actuarial certificate, if any Section 9: Declaration To my best knowledge and belief all documents supplied, whether they are photocopies or electronic, are true representation of the original documentation. Signed: Date: