• Service: Tax, Superannuation & Pension Funds
  • Industry: Financial Services, Superannuation
  • Type: Business and industry issue, Regulatory update
  • Date: 22/03/2013

Tax Insights

KPMG's analysis of tax issues and developments.

Dana Fleming

Dana Fleming
Partner, Tax

+61 3 9288 5871

Increased ATO scrutiny of Superannuation Funds 

by Dana Fleming, Corporate Tax Specialist

The past 5 years has seen incredible up skilling by the Australian Taxation Office (ATO) in superannuation, with the formation of a dedicated superannuation cell within the ATO. In conjunction with the introduction of the ATO’s 4-quadrant risk differentiation framework, this has driven an increased level of scrutiny and interaction with the ATO for superannuation funds.

It is critical that Boards and Management understand how the risk profile of their superannuation fund drives their level of interaction with the ATO and importantly, what the ATO’s expectations are when they come calling.


In the initial meeting for any Risk Review, the ATO will generally expect a senior representative of the superannuation fund, such as the tax manager or Chair of the Audit, Risk and Compliance Committee, to present on its tax risk governance framework.


Recent statistics released by the ATO for the Large Business and International Unit show there are 7 large superannuation funds subject to real time monitoring. This includes pre and post lodgement Compliance Reviews and revenue monitoring.


63 superannuation funds fall in the low or medium risk quadrants. The ATO is planning on 41 Risk Reviews within this segment for 30 June 2013.


It is no longer a question of if the ATO will knock on your door, but rather, how prepared are you when they do.  We have worked extensively with our clients to ensure they have in place robust tax risk management frameworks, integrated with their Risk Appetite Statements. Being prepared for forthcoming reviews will ensure superannuation funds are best placed to protect, or move to, a low risk profile and minimise the impact of ATO reviews on management of the business.


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Superannuation & Pension Funds

KPMG’s Superannuation & Pension Funds provides tax, advisory and compliance services to public sector, public offer, industry and corporate funds.


KPMG's Superannuation practice offers a range of services to superannuation funds, life offices, employers and fund trustees.