Treasury has released for public consultation an exposure draft of Tax Laws Amendment (Stronger Super Self Managed Superannuation Funds) Bill 2012: Administrative Penalties introducing administrative consequences and penalties for trustees of self managed superannuation funds (SMSFs).

This measure will provide the Australian Tax Office (ATO) with additional tools to deal will non-compliance with the law in addition to its existing power to make the SMSF non-complying.

Administrative directions (rectification orders or trustee education) and impose penalties for contraventions by SMSF trustees will be more appropriate than disqualifying a trustee for a minor breach.