Annual compliance cycle

The three pillars

1. Financial records - During the year, capture transactions, corporate actions, pension payments, valuations, and documents your accountant and auditor will need.
2. Independent audit - An approved SMSF auditor must audit the fund annually before lodgement. They issue a report; trustees address queries or adjustments as needed.
3. SMSF annual return - Lodged with the ATO; includes regulatory and tax components. Lodgement due dates depend on fund history - check the ATO each year.

Why “audit last” is normal

Trustees often prepare or instruct preparation of financial statements, then the auditor performs the audit, then the annual return is finalised. Starting document collection early reduces last-minute gaps (especially for property, private assets, or new pension arrangements).

Penalties and non-lodgement

The ATO actively pursues non-lodgement and can change a fund’s compliance status. If you are behind, the ATO’s guidance on rectification is the authoritative path - engage your accountant early.

Official references

• ATO: Lodging your SMSF annual return
• ATO: Audit requirements
• Trustee responsibilities