Select Page

Change of SMSF Trustee

How do I order a Change of SMSF Trustee ?

Simply fill in our form below. We will review all of your details and contact you with any questions. We will personally prepare your documents. You will receive your documents via email or express post.
 

  • DIY Print: $330 (including GST)
  • Hard Copy: $385 (including GST)

Q & A ?????SMSF Trustee

The questions and answers below are for information purposes only and are not advice. You should arrange your own legal, accounting, financial and other advice.

1. What is a Change of SMSF Trustee?

There are many instances where the Trustee of a SMSF may need to be changed, for example due to changes in business or family circumstances. For such amendments to be valid at law, specific legal deeds are required to follow particular procedures, which often vary between SMSF Trust Deeds. Our Solicitors at Kirrily Mitchell Law will work with you to determine your individual needs and make these changes to your SMSF in accordance with the rules of your SMSF.

2. Who can be a trustee of a SMSF

The SIS Act requires a SMSF to have either:
  • A corporate trustee;?? or
  • Two or more individual trustees (in which case the primary purpose of the fund must be the provision of old-age pensions).
Our trust deed allows for the trustees of the SMSF to be either a corporate trustee or individuals.
??
All members of a SMSF must be trustees of the fund and vice versa. This can be achieved in a number of ways:
  • Sole member fund
  • Individual Trustees – there must be two trustees ??? the sole member and one other person (the sole member must not be an employee of the other trustee unless they are relatives).
  • Corporate Trustee – the sole member must be either:
    • The sole director of the Corporate Trustee; or
    • One of a maximum of two directors of the company (the sole member must not be an employee of the other director, unless they are relatives).
  • Multiple member fund
    • Individual Trustees ??? all members must be trustees and each trustee must be a member of the fund.
    • Corporate Trustee ??? each member must be a director of the Corporate Trustee and each director must be a member of the fund.

3. Are there any restrictions on who can be a trustee?

Certain people are prohibited by SIS from being a trustee or a director of a trustee company of a regulated superannuation fund. Briefly, a person can not be a trustee, or a director of a trustee company, if:

  • They are an undischarged bankrupt;

  • They have ever been convicted of an offence involving dishonesty (no matter where or when that offence was committed); or
  • They have committed a serious breach of the SIS Act (resulting in a civil penalty order).

    The people who are proposed to be the trustees or the directors of the trustee company must sign a Consent to Act or a Declaration of Director form before being appointed as a trustee or director (we provide the forms).

    The form requires the person to confirm that they are not disqualified from acting as a trustee or as a director of a trustee company of a superannuation fund for the above reasons. It is essential that the proposed trustees or directors consider their position.

    A parent or guardian can act as a trustee or director for a child under 18 years old who is a member..

4. What are the advantages of having a corporate trustee of a SMSF?

The advantages of a corporate trustee include:
  • Removal of most of the risk of personal liability which individual trustees are exposed to.
  • No need to incur the cost of transferring assets to the new trustees or changing names on investments and bank accounts when there is a change in members and therefore a change in trustees.
  • Control of the fund is more certain in circumstances of death or incapacity of key members.
  • While a corporate trustee is more expensive to set up at the outset, there are costs savings later, for example the ASIC annual statement fee is lower for a company whose sole purpose is to act as trustee of a SMSF ($54 compared to the usual $267 for a proprietary company).??

Disclaimer

You should not rely solely on the information in these questions and answers because they are of a general nature only and the tax and commercial laws apply differently to different people and circumstances. Also as the law changes constantly, there may have been changes to the law since these questions and answers were written. None of the information is intended to be legal, accounting, financial or other advice. You must not act on the information. You must seek your own legal, accounting, financial and other advice.
Document Shop Pty Ltd and it???s directors, officers, employees, agents, consultants and the author of these questions and answers expressly disclaim any and all liability to any person or entity for the consequence of anything done or omitted to be done by any such person or entity relying on a part or all of the contents of these questions and answers.

Need More Infomation?

Contact us


Phone: 1300 667 817

info@documentshop.com.au

PO Box 47 Highgate SA 5063

Services


Contact us


Phone: 1300 667 817

info@documentshop.com.au

PO Box 47 Highgate SA 5063