While technology has helped make the audit of SMSFs more efficient and less time consuming, auditors cannot rely solely on it to perform their professional duties, a specialist in the space has said.
Speaking to delegates at the selfmanagedsuper CoreData SMSF Accountants’ Day in Brisbane on Friday, Evolv managing director Ron Phipps-Ellis emphasised the continued need for traditional SMSF audit procedures.
“Whilst we embrace technology, it’s not the be all and end all. Technology is just an enabler,” Phipps-Ellis said.
“You have to still go through and do a proper SIS (Superannuation Industry (Supervision) Act) and compliance audit on each and every super fund.
“That’s the value added piece and that’s where if you don’t do it, you’re going to get sued.”
However, he did acknowledge the increase in automated techniques was about to significantly impact on auditors in the space.
“These technology gains should increase the demand for quality audits. It’s all about quality,” he said.
“There will be price stability, but it’s not all about the price. There won’t be any price rises, but it’s definitely not a race to the bottom and those auditors who are chasing that race, well, we wish them luck because we know they’re going to get themselves into trouble.”
To that end, he said he was still perplexed as to how practitioners claiming to be able to provide a full SMSF audit for an incredibly low price could realistically deliver that result.
“I can’t understand how some auditors can be doing these quasi-paper-based audits, with a little bit of technology involved, and say they’re a quality audit when they’re charging $300,” he said.
“You just can’t get through the SIS compliance piece if that’s all you’re charging.
“A good audit without technology should take you at least four hours to get through.”
