Event-based reporting for SMSFs

This article has been written by our SMSF expert Tony Beckett 

Before we start, lets review some of the abbreviations you will see throughout the document.

• What is an SMSF – Self-managed super fund 
• What is TBAR – Transfer balance account report 
• What is SAR – SMSF annual return 
• What is retirement phase – Pensions that are paid to members under a full condition of release (over 65 years of age or retired) 

SMSFs will generally not need to start event-based reporting for the transfer balance cap using the TBAR until 1 July 2018. However, an SMSF needs to ensure that it has appropriately documented all income stream valuations and decisions for the 2017–18 year.

An SMSF must report events that affect a member’s transfer balance, including:

• income streams a member was receiving on 30 June 2017 that 
• continued to be paid to them on or after 1 July 2017, and 
• are in retirement phase. 
• new retirement phase income streams 
• some limited recourse borrowing arrangement payments 
• compliance with a commutation authority issued by the Commissioner 
• personal injury (structured settlement) contributions 
• commutations of retirement phase income streams. 

How often and when you need to report

If an SMSF member has a pre-existing income stream, it must be reported via the TBAR on or before 1 July 2018. A pre-existing income stream is an income stream the member was receiving on 30 June 2017 that:

• continued to be paid to them on or after 1 July 2017, and 
• is in retirement phase. 

From 1 July 2018, all SMSFs must report events that affect their members' transfer balances. Timeframes for reporting are determined by the total superannuation balances of the SMSF's members:

• where all members of the SMSF have a total superannuation balance of less than $1 million, the SMSF can report this information at the same time as when its annual return is due, or 
• SMSFs that have any members with a total superannuation balance of $1 million or more must report events affecting members’ transfer balances within 28 days after the end of the quarter in which the event occurs. 

Transfer balance account events that occur during 2017–18 should be reported at the same time as the SMSF's first TBAR is due:

• If the SMSF is reporting annually, this will be the same time as the trustee is due to lodge the 2017–18 SMSF annual return. 
• If the SMSF is reporting quarterly, this will be 28 October 2018. 

An SMSF is required to report earlier if a member has exceeded their transfer balance cap.

Any SMSF can choose to report events as they occur and in some instances are encouraged to do so to avoid incorrect excess transfer balance determinations issuing

The Australia Government website has examples of when you will need to lodge.

If an SMSF does not lodge a TBAR by the required date, the member’s transfer balance account will be impacted, and the member penalised.

If you would like more information regard this above – please contact us (07)4616 9000 or email us at enquiries@dcadvisorygroup.com.au





This information is of a general nature only and has been provided without considering your objectives, financial situation or needs. Because of this you should consider whether the information is appropriate considering your objectives, financial situation and needs.