The ATO has released a revised SMSF independent auditor’s report which is required to be used by all SMSF audits completed on or after 1 July 2024.  Section 35C(6) of the SIS Act requires that an SMSF independent auditor’s report in the approved form is prepared by an SMSF auditor and given to the fund’s trustees within 28 days after they have provided the relevant documents.

The reason for the revision is that Auditing Standard ASQC 1 has been superseded and replaced with Auditing Standard ASQM 1 Quality Management for Firms that Perform Audits or Reviews of Financial Reports and Other Financial Information, or Other Assurance or Related Services.

A copy of the ATO’s revised form can be accessed from Self-managed super fund independent auditor’s report (IAR) (NAT 11466, DOCX, 703KB)  and must be used for all audits completed on or after 1 July 2024.

Example 1

Prior to 1 July 2024 the trustees of the Alphabet Superannuation Fund requested Bob, who is a registered SMSF auditor, to undertake an audit of their fund for the 2021/22 and 2022/23 financial years.  However, information requested by the auditor was not provided until early in July 2024 and the relevant reports not signed until 10 July 2024.  The SMSF auditor will be required to use the revised independent auditor’s report and comply with the auditing standards that applied for the relevant financial years.

Example 2

On 20 July 2024 the trustees of the Beta Superannuation Fund requested Jane, who is a registered SMSF auditor, to undertake an audit of their fund for the 2022/23 financial year.  As the request made after 1 July 2024 Jane is required to use the revised independent auditor’s report and comply with the auditing standards as they applied for the 2022/23 financial year.

Example 3

Prior to 1 July 2024 the trustees of the Delta Superannuation Fund requested Liz, who is a registered SMSF auditor, to undertake an audit of their fund for the 2022/23 financial year.  The audit of the fund was completed on 28 June 2024 which meant that Liz was required to use the independent auditor’s report prior to the ATO’s recent revision.