Peter Burgess

The SMSF Association says the newly released FY27 Initial Levy Estimate of $137.5 million confirms the pressing need for the Compensation Scheme of Last Resort (CSLR) to undergo substantial reform, particularly in relation to how the scheme is funded.

Association CEO, Peter Burgess says, “The FY27 estimate which assigns $126.9 million of the total levy to the personal financial advice sub-sector, again demonstrates the disproportionate cost borne by the financial advice profession.

“We support the principle of a last-resort compensation scheme, but it is unfair and unsustainable to expect the financial advice profession alone to pick up the cost of failed advice and products.”

Burgess also noted that the estimate has been published without incorporating any impact from potential Shield of First Guardian claims, with the Scheme itself acknowledging that a revised estimate in mid-2026 is expected to increase should those claims materialise.

“This level of uncertainty is a significant concern for the advice profession, and advisers are being asked to absorb rising and unpredictable costs stemming from failures they played no part in, and there is no indication that the frequency or scale of these failures is easing.”

With the CSLR already signalling that the FY27 revised estimate is likely to exceed the initial figure, the SMSF Association says the financial advice sector deserves greater transparency and a clear pathway towards sustainability.

Of further concern, is the sector is still waiting to hear if they will be required to pay a special levy to fund the previous levy period’s shortfall of more than $50 million, which now on reflection pales in comparison.

The SMSF Association is therefore again urging the Government to release the findings of the Treasury-led review of the CSLR, commissioned earlier this year.

“The review was established with the objective of assessing the long-term sustainability of the scheme.

“Those findings are now critical to informing the next steps, and the profession cannot continue operating under escalating levies and unresolved funding uncertainty,” Burgess says.

Ben Taylor

The SMSF Association has appointed the managing director of Oxygen Capital Group, Ben Taylor, to its Board, effective 1 January 2026.

His appointment follows the retirement of long-serving directors Michael Houlihan and Bernie Ripoll who will step down at the Association’s annual general meeting on 19 November 2025.

SMSF Association Chair, Scott Hay-Bartlem, said Taylor’s appointment brought valuable strategic and technical expertise to the Board.

“Ben has a deep experience across financial services, particularly in innovation, digital transformation, SaaS and leadership. His appointment will enhance the Board’s capability as the Association continues to evolve in a sector navigating rapid change. Ben is also an SMSF Association SMSF Specialist Advisor.”

Oxygen Capital is a non-bank lender specialising in SMSF solutions. With more than 25 years’ experience across the financial services industry, he has led teams in innovation, product development, digital strategy and marketing.

Across his career, he has been involved in two successful ASX floats and is an active supporter and investor in fintech ventures. He has held senior roles including Country Manager, Head of Innovation & Product, Chief Marketing Officer and Head of Loyalty, and is currently leading the rollout of artificial intelligence and SaaS initiatives at Oxygen Capital to improve efficiency and client service.

“It’s a privilege to join the Board of an organisation that plays such an important role in representing and strengthening the SMSF sector,” Taylor said. “I look forward to contributing my experience to support the Association’s strategic direction and ongoing advocacy.”

Hay-Bartlem also paid tribute to Houlihan and Ripoll, recognising their collective years of service and contributions to the Association.

“Michael and Bernie have been outstanding directors whose insight, integrity and dedication have greatly benefited the Association and the broader SMSF community,” he said.

“Michael’s professional expertise and commitment to member engagement have been invaluable to the Board’s governance and strategic direction.

“Similarly, the Association’s advocacy and policy development has benefited greatly from Bernie’s deep understanding of the financial services landscape.”

Peter Burgess

ASIC’s latest Review of SMSF Establishment Advice (Report 824) serves as a critical reminder of the need for the SMSF sector to maintain a strong focus on professional advice standards, says SMSF Association CEO Peter Burgess.

The report, reinforces the importance of all consumers having access to competent, specialist advice when considering whether to establish an SMSF. Burgess cautions, however, that the findings should be viewed in context.

“It’s important to recognise that ASIC’s review was based on a targeted, risk-based sample of advice files, not a random selection” Burgess said.

“The advice files examined situations were, on face value, the establishment of an SMSF appeared to be unsuitable for the client. As such, the findings are not representative of the broader quality of SMSF advice currently being provided across the sector and this perspective is important.

Burgess also noted the subjective nature of assessing whether a consumer is, or will be, worse off as a result of the advice provided, particularly when evaluating long-term retirement outcomes.

“Nonetheless, the review highlights that more work is needed to ensure all consumers have access to competent, high-quality advice when making decisions about SMSFs.”

The Association strongly supports ASIC’s previous commentary that providing SMSF advice is a specialist area of practice, requiring appropriate competencies. Burgess says. “Advisers must have the knowledge, skill, and technical competencies to provide SMSF advice confidently and responsibly.”

“We strongly encourage all professionals in this space to undertake the Association’s independent accreditation program and commit to ongoing professional development to maintain their competence over time.”

The Association also reiterated that SMSFs were not suitable for everyone and that establishing an SMSF is a significant decision requiring informed and impartial guidance.

As the sector continues to grow, now representing nearly a quarter of Australia’s $4.3 trillion superannuation system, access to consistent, high-quality and ethical advice has never been more crucial,” Burgess said.

Burgess concludes, “Our focus remains on ensuring consumers can make confident, informed decisions about their retirement savings, supported by advisers who uphold the highest professional and ethical standards – and the findings of this report only strengthen our resolve.”

Perri joins the Association after a distinguished 30-year career with AMP where he most recently served as Head of Technical Strategy, leading AMP’s TapIn technical team. A respected figure in the financial planning and SMSF communities, he brings deep expertise and a proven track record in technical leadership and adviser education.

Perri says: “I am delighted to join the Association at such a pivotal time for the sector. With significant reforms reshaping advice and retirement policy, I look forward to contributing to its mission of supporting members and advancing the SMSF sector through high-quality technical resources and guidance.”

SMSF Association CEO Peter Burgess welcomed John’s appointment, saying: “Our members and the SMSF sector will benefit immensely from John’s extensive experience, technical knowledge, and background in adviser education.”

Perri’s immediate focus will be supporting the delivery of the Association’s SMSF Specialised Advisor accreditation program and contributing to the development of high-quality technical content designed to help members meet their ongoing CPD obligations.

With enrolment numbers in our SMSF accreditation programs and the demand for SMSF technical support services continuing to grow, it’s imperative we continue to invest in our technical support capability to deliver timely, relevant and practical resources for our members.

“John is highly regarded across the financial planning profession, with a long history of presenting at industry conferences, including our National Conference.

“John’s appointment underscores our commitment to delivering high quality, best-in-class technical support and strengthening our voice in key policy debates.”

Peter Burgess

The SMSF Association has welcomed yesterday’s announcement by the Federal Government to scrap its proposal to tax unrealised superannuation capital gains.

In a statement released yesterday, the Government also announced it would index the $3 million threshold – another initiative strongly pushed by the Association.

SMSF Association CEO Peter Burgess says this announcement will send “waves of relief” through the SMSF community, especially as the proposal to tax unrealised capital gains and not index the $3 million threshold were the two most contentious issues in the legislation.

“From the outset, the Association has worked tirelessly to highlight the expansive and damaging consequences of taxing paper profits.

“Working in partnership with other organisations, we have clearly demonstrated the deleterious effect this would have on a diverse range of industries such as farming and small business and investment activities such as venture capital, so it’s extremely pleasing that the Government has listened to these concerns.”

Burgess says given the original design of this tax it has always been the Association’s strong contention that there was no easy way to address the taxation of unrealised capital gains.

“In these circumstances, the only solution was to scrap the original design and start again and we are genuinely thankful that the Government has now decided to do this.

“We now look forward to working with Treasury and the superannuation industry on alternatives that accomplishes an equitable outcome for all super fund members.”

Peter Burgess

The ATO’s long-awaited rulings on non-arm’s length income (LCR 2021/2) and contributions (TR 2010/1) have provided long-sought clarity on several critical issues, says SMSF Association CEO Peter Burgess. “These rulings are welcomed for giving certainty in areas that have been frustrating trustees and their advisers for some time.

“It is pleasing to see the ATO clarify that the non-arm’s length income (NALI) provisions will not apply in situations where an SMSF trustee has provided a service to their own fund but is unable to charge their fund a fee without breaching the Superannuation Industry (Supervision) Act 1997.”

Burgess strongly endorsed this pragmatic approach but said it was disappointing it wasn’t applied to other issues covered by LCR 2021/2.

“Valuations remain one of the most pressing. While the ATO’s existing guidelines are a useful tool for determining the value of fixed assets such as property, they provide little assistance when it comes to valuing services.

“Furthermore, the rulings fail to clarify whether using a market value within an acceptable range is sufficient, instead appearing to require trustees to justify a single value point – a rigid approach that risks leaving them exposed when commonsense flexibility is needed.”

Burgess also cited situations where the NALI provisions were enlivened by the unintended or the minor undercharging of a capital expense incurred in relation to a specific asset of the fund as another area where a more pragmatic approach was needed.

“It is difficult to comprehend that a minor undercharging of a capital expense, such as replacing a single vanity in a property owned by an SMSF on non-arm’s terms, could result in the entire capital gain on that property being taxed as NALI when it was eventually sold.

“We think the ruling was a missed opportunity for the ATO to consider safe harbour or de minimis thresholds to avoid small and often inadvertent oversights that may permanently expose all income and capital gains from an asset to the punitive 45 per cent tax rate.

“This rigid approach is disproportionate and risks punishing trustees for minor errors with life-long tax consequences,” Burgess says.

The Association also highlighted minor changes in LCR 2021/2 that acknowledged services related to an SMSF’s tax affairs that fell within section 25-5 of the Income Tax Assessment Act 1997 were not caught by NALI.

“This further clarification is welcomed, however given how commonly these services arise, we think it warranted more than a brief footnote and passing reference in the examples,” Burgess says.

The guidance around discount policies and employee share schemes has shifted from a narrow focus on trustee “influence” to a broader test of commerciality, which was welcomed by the Association.

“However, without practical examples – especially for small businesses where SMSF trustees often wear multiple hats and inevitably influence discount policies, this guidance will be difficult to apply in practice.”

“The length of the compendiums demonstrates how many issues were raised across the industry, and as we continue to work through the detail it’s obvious more work remains to be done.”

“We will continue to engage with the ATO – pushing for clearer and more practical compliance settings that give trustees and industry the confidence to operate without fear of ATO compliance action or disproportionate consequences for inadvertent or minor errors,” Burgess says.

Peter Burgess

The SMSF Association supports the Australian National Audit Office’s (ANAO) proposed performance audit of the ATO’s regulation of self-managed superannuation funds (SMSFs).

Association CEO, Peter Burgess, says the timing is right to test whether current regulatory settings strike the right balance between protecting members and maintaining the integrity of the SMSF sector.

“Notably, the ANAO last examined the ATO’s regulation of SMSFs in 2007; close to twenty years on – and now with expanded ATO compliance powers – a fresh, balanced assessment is warranted.

“The ATO has a dual role with SMSFs in that it is both the regulator and the administrator of Australia’s tax and super laws. That dual mandate should translate into timely, practical, whole-of-sector guidance, especially where super and tax intersect.

“Instead, trustees and professionals are too often left with non-binding ‘SMSF specific advice’ and slow, case-by-case private rulings – an approach that doesn’t deliver clarity at scale.”

The ANAO has been here before. In 2012 it recommended the ATO measure trustee satisfaction and improve access to SMSF guidance.

“We hope a new review will test what’s changed and whether the ATO’s current guidance model meets the needs of trustees and SMSF professionals.”

The ANAO’s audit will also include a follow-up on employer compliance with Superannuation Guarantee requirements which is critical given Payday Super is due to begin on 1 July 2026.

“We look forward to engaging with members and contributing to this review to ensure practical, industry-supporting recommendations emerge,” says Burgess.

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Peter Burgess

The SMSF Association supports the Australian National Audit Office’s (ANAO) proposed performance audit of the ATO’s regulation of self-managed superannuation funds (SMSFs).

Association CEO, Peter Burgess, says the timing is right to test whether current regulatory settings strike the right balance between protecting members and maintaining the integrity of the SMSF sector.

“Notably, the ANAO last examined the ATO’s regulation of SMSFs in 2007; close to twenty years on – and now with expanded ATO compliance powers – a fresh, balanced assessment is warranted.

“The ATO has a dual role with SMSFs in that it is both the regulator and the administrator of Australia’s tax and super laws. That dual mandate should translate into timely, practical, whole-of-sector guidance, especially where super and tax intersect.

“Instead, trustees and professionals are too often left with non-binding ‘SMSF specific advice’ and slow, case-by-case private rulings – an approach that doesn’t deliver clarity at scale.”

The ANAO has been here before. In 2012 it recommended the ATO measure trustee satisfaction and improve access to SMSF guidance.

“We hope a new review will test what’s changed and whether the ATO’s current guidance model meets the needs of trustees and SMSF professionals.”

The ANAO’s audit will also include a follow-up on employer compliance with Superannuation Guarantee requirements which is critical given Payday Super is due to begin on 1 July 2026.

“We look forward to engaging with members and contributing to this review to ensure practical, industry-supporting recommendations emerge,” says Burgess.

The post SMSF Association supports review of the ATO’s regulation of SMSFs appeared first on AdviserVoice.

Peter Burgess

The SMSF Association’s annual SMSF Audit Day returns on 9 September, as a one-day virtual event  dedicated to the regulatory and compliance issues shaping  SMSF audits.  Designed for all SMSF professionals, the program explores how to work together to streamline the audit process and uphold the integrity of the sector.

SMSF Association CEO Peter Burgess says: “SMSF Audit Day recognises the essential role auditors play in ensuring that trustees comply with their obligations. Their responsibilities go far beyond ticking boxes – they are central to ensuring quality and trust in the sector. This event is curated to equip professionals with the knowledge and confidence to meet today’s complex audit challenges head on.”

SMSF auditors are under heightened scrutiny, with disqualification cases increasingly tested in the Administrative Review Tribunal (ART). Recent ART decisions – including Islam, Murphy and Sidhu – highlight gaps in sufficient and appropriate audit evidence and professional standards. During her session, Shirley Schaefer, Director at BDO Audit (SA) Pty Ltd, will unpack the lessons from these cases and showcase how to strengthen audit files.

The event will also tackle one of the fastest growing challenges for SMSF auditors: digital assets. Digital assets are no longer fringe investments in SMSFs and auditors are on the frontline of testing compliance in this fast-moving space. Shelley Banton, Head of Technical at ASF Audits, will cut through the complexity, helping all SMSF professionals identify red flags, gather the right evidence, and keep pace with regulatory expectations.

Burgess says the event is not just about technical updates – it’s about recognising that strong SMSF audits strengthen the entire sector.  “By upholding the quality and integrity of SMSF audits, we protect trustees, build confidence, and ensure the SMSF sector remains sustainable. All SMSF professionals can play a role in the audit process, and this event is designed to support them in working together.”

Up to six SMSF Audit CPD hours will be available to attendees. Registrations are now open.

Keddie Waller

The SMSF Association says Australia’s fragmented regulatory framework governing professional advice needs urgent reform, warning that SMSF professionals are being constrained by outdated structures that no longer reflect how Australians seek and receive advice.

Speaking at the Association’s Technical Summit, Policy Manager, Keddie Waller, had a clear message for SMSF professionals in the audience: “Our members are doing everything they can to support clients across all stages of life – but they’re being held back by a regulatory system built in silos. The system needs to evolve.”

Waller’s session, “Do you know where the line is when providing advice?”, unpacked the complex boundaries between tax, financial planning, legal and accounting advice – highlighting how SMSF professionals are often placed in impossible situations, expected to provide guidance on matters where they are not licensed or authorised to give advice.

“Clients don’t understand the regulatory lines – they see a trusted adviser. And when that adviser can’t meet their needs, or worse, oversteps and risks a breach, both parties lose. It’s time we fix the framework so that trusted professionals can give the advice Australians need,” Waller said.

The Association has long advocated for a more flexible, principles-based model of professional advice – one that better reflects the real-world needs of clients and enables professionals to support them through significant life events such as starting a business, funding aged care or managing family wealth.

These themes echoed throughout the Summit. Business Depot Legal’s Neal Dallas and Victoria Mercer’s session on ethical dilemmas in SMSF advice underscored how easily professionals can come unstuck when legal duties collide with moral pressure. Aged Care Step’s Louise Biti’s keynote session on aged care reinforced the urgent need for licensed advisers to step into the gap left by a system that has failed to keep pace with demographic reality.

“The advice gap isn’t closing – it’s widening. We need a smarter regulatory approach that allows qualified professionals to help Australians when and how they need it,” Waller said.

As the voice of the SMSF sector, the Association reaffirmed its commitment to working with government, regulators and industry partners to reshape the advice landscape for the betterment of the community.

Peter Burgess

It’s critically important not to draw the wrong conclusion from the recent Australian Financial Complaints Authority (AFCA) statistics relating to SMSFs, says Peter Burgess, CEO of the SMSF Association.

Addressing the Association’s Technical Summit in Sydney today, he said conflicted advice models and inappropriate advice were the “root cause” for the 95 per cent increase in SMSF complaints to AFCA in 2024-25 – not the SMSF structure itself.

“While it may be very tempting for some to jump to the conclusion that SMSFs are the problem, that’s simply not the case.

“These statistics, as well as the ballooning cost of Compensation Scheme of Last Resort (CSLR) levies, again highlight the importance of having a well-resourced regulator who can detect and act quickly on any signs of advice failure.”

On the topic of CSLR levies, Burgess said he welcomed Assistant Treasurer Daniel Mulino’s recent decision to consult with industry on potential options for implementing a special levy.

“The Association acknowledges the importance of such a scheme, but to reduce the burden on any one individual sector, we encourage Treasury and the Minister to explore ways of spreading the costs as widely as possible,” he said.

Burgess said the Association endorsed the statement by ACFA Deputy Chief Ombudsman, June Smith, who was recently quoted saying “we are well beyond black swan events and bad apples and we need to look at these systemic issues across the industry and prevent them from happening in the first place – it’s not enough to have a CLSR at the end when the harm has occurred”.

Burgess seized the opportunity in his Legislative Update: What You Need To Know address to delegates to reiterate the importance of a pragmatic ATO compliance approach following recent changes to the ATO’s pension ruling, requiring pensions failing the minimum standards to be commuted before a new pension can begin.

“This is particularly important for historical cases involving pensions that may have failed the minimum pension standards in a previous financial year and, in accordance with the original ATO view and prevailing industry practice, were not commuted before the pension was subsequently restarted the following financial year,” he said.

With the long awaited release of the updated Law Companion Ruling on the tax treatment of SMSF non-arm’s length expenses (NALE) now delayed till October 2025, Burgess urged the ATO to elaborate on the tax treatment of compliance-related expenses.

“The previous ruling implies that such expenses do not give rise to non-arm’s length income (NALI) even if incurred at non-arm’s length rates.

“Examples in the previous ruling, supported by recently issued private binding rulings, emphasise the importance of the capacity under which a service is provided. However, capacity appears irrelevant if it’s a compliance-related expense.

“Clarification is required on this important issue for the sector as many may be under the mistaken belief that any type of accounting fee incurred by the SMSF on non-arm’s length terms gives rise to non-arm’s length income,” he said.