Registering an SMSF for an ABN

The ATO has provided the following advice regarding self-managed superannuation funds (SMSFs) applying for an ABN.  The guidance is probably most relevant where a person aged over 65, who is not working, wishes to set up a new SMSF and roll over into that SMSF an amount from another fund.  If you have any issues, please contact our office.

An SMSF cannot be registered if no assets are held.  Therefore:

• If a member expects to receive a rollover, transfer or contributions in the near future, an SMSF can be established with a nominal amount (for example, $10).  Once an ABN is issued, a bank account can be opened and the $10 deposited.  The $10 is regarded as a contribution and allocated to a member.
• Where a member cannot contribute to the SMSF (for example, they are 65 or over and do not meet the work test), the ATO can apply an administrative discretion to allow this nominal contribution.  In all cases, the nominal contribution must be allocated to the member solely for the purpose of registering the SMSF.  The member must receive further money into the SMSF (such as a roll-over) before the end of the income year the fund was established.