The Australian Tax Office (ATO) is reminding self-managed super fund (SMSF) trustees to beware of allowing members to access their super early.
A self-managed super fund (SMSF) trustee must meet a condition of release before any funds can legally be released.
The ATO can issue severe penalties if you or a SMSF member access your super before you are legally entitled to do so.
Some consequences of getting caught up in an illegal super scheme include the disqualification of trustees, imposition of administrative penalties, the fund being made non-complying and prosecution.
The Tax Office encourages those members who have been involved in an illegal super scheme to contact them immediately. The ATO will review your voluntary disclosure and take your circumstances into account when determining any penalties.