Joint Submission - Phase Three Preliminary Report

Following the release of the Cooper Review's Phase 3 preliminary report, the Institute joined forces with the two other professional accounting bodies (CPA Australia and NIA) to submit a response to the recommendations on SMSF auditor competencies and independence.

Main points addressed:

• We do not support the introduction of legislation for SMSF auditor independence.
• Competency requirements (including quality review programs) for the three professional accounting bodies are appropriate and should be adopted industry wide; alternatively restrict SMSF audits to the three professional accounting bodies members.
• We do not support the introduction of a new registration body with separate competencies for SMSF auditors when around 95% of SMSF auditors are covered by the competency requirements of the three professional accounting bodies
• Recommendations were put forward to enhance the reporting by auditors to the ATO and the flow of information between the ATO and the professional organisations whose members conduct SMSF audits.

The Phase 3 Preliminary Report is also available on the Super System Review panel website.

Article last Updated 3 March 2011