Business News

Practitioners want faster SMSF registrations

An SMSF Association social media forum has revealed practitioners remain frustrated over the amount of time it takes the ATO to provide SMSFs with an Australian business number (ABN).

UHY Haines Norton superannuation manager Leonie Di Lorenzo said: “The process for obtaining a registration for an SMSF takes so long at the moment it is ludicrous.

“The last two applications I made went well past 28 days and I had to beg and hassle the ATO staff until I got through to someone who could and would do something.”

Di Lorenzo said the current situation was a “truly terrible process”.

Totally Super owner Jacquie Chellew echoed Di Lorenzo’s sentiments, adding: “Yes, please try and get an undertaking on improving the ABN application process.

“The last six I have done have eventually ended up in complaints – something I have rarely had to do before. They are taking two months.

“Not a good way to start off a relationship with a new client.”

These thoughts were reinforced by Your Entire Super Solutions director Kornel Domonji.

“The ABN process needs some urgent attention,” Domonji said.

In addition, he asked the ATO to shed some light on what the underlying issues causing the delays in issuing ABNs to SMSFs were and what was being done to address the situation.

In response to the comments, ATO SMSF risks and products director Nathan Burgess said verifying proposed names of funds could sometimes cause delays.

“Some delays in granting an SMSF are due to similar names to an existing super fund. It’s worth checking names before applying,” Burgess advised.

He suggested practitioners visit the government’s Super Fund Look Up webpage to help better manage the process.

In addition, he said the ATO was looking to make the ABN and Superannuation Industry (Supervision) Act rules more workable for the sector.

SMSF Association head of policy Jordan George applauded the ATO’s response to the queries from the industry body’s members.

“It is good to see the ATO have provided this updated guidance, which provides a sensible administrative workaround for SMSFs dealing with this ABN issue,” George said.

Copyright © SMS Magazine 2024

ABN 43 564 725 109

Benchmark Media

Site design Red Cloud Digital