Making, Processing and Receiving A SMSF Rollover

When a member transfers some or all of their existing super benefits between funds, the process is known as rollover. For rollovers to or from your self-managed super fund (SMSF), you need to use SuperStream Rollovers v3.

To consolidate multiple super accounts, an individual can choose to rollover their super funds. This helps in tracking the super and reduces the amount of fees or charges incurred.

Making A SMSF Rollover

When any of your members wants to roll their benefits to another super fund, they are required to:

  • use the SMSF member TICK system to validate the member’s TFN
  • use the SMSF Verification Service to verify fund and member details
  • use the Fund Validation Service to verify the fund details when rolling to an APRA regulated fund
  • make the rollover via SuperStream after receiving the information required to process the request
  • when the rollover is a death benefit rollover and the recipient is a dependent child beneficiary, process the rollover in SuperStream

Receiving A SMSF Rollover

To receive a rollover, your SMSF needs to have:

  • an electronic service address (ESA) providing SuperStream rollover service
  • an Australian business number
  • up-to-date details recorded with us, including SMSF’s bank account for superannuation payments

Before getting your benefits rolled over to SMSF, the transferring fund will use SMSF Verification Service that verifies whether you are a member of the SMSF or not and also the fund details.

Processing The Rollover

To process a rollover, it is your responsibility to:

  • confirm the payment and associated data received within 3 business days
  • allocate the rollover to member account within 3 business days of receiving the payment and details.

When it comes to processing, the transferring fund must ensure that the payment and associated message is sent to you in 3 business days of receiving all the required information.

Correcting A Rollover Mistake

The only way to correct and resolve a mistake you think you have made with the rollover payment is to contact the receiving fund member.

Reporting A Rollover

A rollover is not included in the assessable income of a fund, unless the amount to be rolled includes an untaxed element. For an untaxed element- you need to include the amount of that element in the assessable income of your fund in the financial year in which the rollover occurs.

To know more about the rollover process for the SMSF, feel free to consult our tax accountants at KPG Taxation. Our team is ready to assist you with efficient accounting and taxation services.

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