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SMSF yearly Supervisory Levy, deductible?

Discussion in 'Accounting & Tax' started by thesuperman, 12th Jul, 2015.

  1. thesuperman

    thesuperman Well-Known Member

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    Is the SMSF yearly Supervisory Levy, deductible? If so, where do you put it on the tax return as under "Section C: Deductions and non-deductible expenses" doesn't have any place for deducting this fee.
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Yes deductible to the fund if in accumulation phase.
     
  3. thesuperman

    thesuperman Well-Known Member

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    Ok thanks. This year's levy is $259 which is printed on the 2015 tax return, so would you deduct this amount or last year's levy for this year like an Accountant's fee?

    Also where would you deduct it as there's no column for it to be deducted? Would it just be added onto "Other Amounts L1"?
     
  4. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    Not sure what you mean about the accountant's fee. You would generally deduct expenses in the financial year in which they are incurred.
     
  5. thesuperman

    thesuperman Well-Known Member

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    Sorry, should've been a bit more clear. I meant the fee for the accountant's fee they charge you for doing the tax return for 2014 is deductible the year after in 2015, not the same year in 2014.
     
  6. Paul@PFI

    Paul@PFI Tax Accounting + SMSF Business Member

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    Did the financial statements and members report include a tax provision ? Normally the levy can be accrued and would be incorporated into the tax provision. Prior to doing SMSF returns I always start with the financial statements and then it all agrees. That is what the ATO expectation is. So the accounts are the start point.

    What did the auditor / lodging agent say ?

    There are very few fields in a fund tax return for deductions. There isn't a separate field.

    Info in this guide : https://www.ato.gov.au/Forms/Self-managed-superannuation-fund-annual-return-instructions-2015/