ATO, Superannuation

ATO flags bank transaction limits

SuperStream transaction limits

SMSFs should check if they have enough liquid assets and no transaction limits when planning on using SuperStream.

The ATO has released further guidance for SMSF members on how they can minimise delays when using SuperStream to transfer super to or from another fund including ensure they were not exceeding their available balance or daily transaction limits.

The guidance, released on the ATO’s website, reiterated previous messaging to ensure all fund details and member details held by the transferring and receiving funds match and are also held by the regulator.

However, the regulator added some financial institutions may have limits on the size of a transaction and this could prevent a SuperStream rollover taking place.

“When rolling super out of the SMSF, be aware your financial institution may have a daily limit on the amount that can be transferred, which may impact the amount being rolled out,” it said.

“You will need to confirm this with your financial institution before initiating the rollover and then determine if you need to increase the transfer limit with them, change the rollover amount to an amount below your limit and repeat as required, or change to a different financial institution.”

It also reminded SMSFs to ensure they have sufficient funds to cover any transfer before submitting a request and not to submit multiple rollover requests when there was a delay.

The guidance also stressed the need for up-to-date proof-of-identity (POI) documents, which may be requested by the transferring fund for fraud prevention reasons.

“If they do, they must request this information within five business days of receiving your request, and then complete that rollover within three business days of receiving the information,” it said.

“When transferring super from an APRA (Australian Prudential Regulation Authority) fund to an SMSF, contact your APRA fund to discuss your specific POI requirements and submit the documents in a timely manner.”

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