We always recommend that SMSFs utilise a special purpose trustee company.
Although the annual review fee for special purpose trustee companies is relatively low $59 from 1 July 2022, if a client doesn't pay on time, the late payment fees ASIC applies are quite onerous:
Up to one month late - $87
More than one month - $362
So how can you ensure your clients avoid these hefty fees, as well as simplifying the administration of their SMSF trustee company?
Advance pay the annual review fees for 10 years
So how does this work?
Download the following form: Advance payment remittance advice
Populate the relevant fields
Arrange payment via BPAY or Post Billpay
You can fund a companies banking details via this link
Submit the complete form to ASIC via the listed methods on the form (email is recommended) once payment has been made.
It's also possible to prepay the annual review fees for standard proprietary companies. The cost is $2,147 which is a saving of $753 over 10 years (based on the current annual fee of $290 from 1 July 2022).
Other things you need to know:
Annual Company Statements will still be issued once a year - but $0 will be payable
Please send a copy of the completed remittance form to Intello for our records
Any changes that happen over that 10 year period (such as changes of address) still need to be notified to ASIC within 28 days
Once paid the amount is not refundable
Your clients should still sign and retain on file a Solvency Declaration each year (this can be signed with the annual account for the SMSF).
You can find out more about the 10 year prepayment on the ASIC website here.
If you have any questions about the ASIC prepayment option for your clients SMSF trustee companies, please submit a request.
#annualfees