|Admission of Member to an SMSF||$250 (per member admitted)|
|* Add $75 for hard copy|
What’s in our package?
The following is included in this package:
- member application and consent form
- PDS for the member (reflective of DBA trust deed)
- trustee minutes
- ATO notification form
- explanatory letter
Special procedures and rules apply when admitting a member to an SMSF. In particular, each member must generally be a trustee (or a director of a trustee company). Further, a disqualified person cannot be admitted as a member or trustee (or as a director of a trustee company). Generally, a disqualified person is someone who has a conviction involving dishonesty and/or is a bankrupt.
To ease the compliance burden of admitting members to an SMSF, DBA has prepared this special package.
In addition, if the fund has individual trustees, a change of trustee will also be required. It should be noted that the trustee structure must be amended before admitting a new member. Click here if you require a change of trustee.
If you admitting a new member to an SMSF, you should also consider the advantages of a corporate trustee over individual trustees. The long-term benefits of a company generally outweigh the up-front cost of incorporation. Some of the main advantages are:
- asset protection
- flexibility to pay benefits as pensions or lump sums
- greater administrative ease
To learn more about the merits of a corporate trustee instead of individual trustees, click here.
If the fund has a corporate trustee, additional documentation is required to admit the person as a director.
Significant penalties can be imposed if the trustee/member rules are not complied with. Accordingly, expert assistance should be obtained if there is any doubt.