Our Case Studies
We have many stories of how we have been able to serve our clients with sometimes unusual circumstances. Here we explain these cases to help you develop an understanding of the depth and breadth of experience TSP Accountants bring to every client situation.
How We Assisted Our Client Save Hefty ATO Fines
One of our clients, also a member of a Self Managed Super Fund, withdrew funds from their SMSF during the 19/20 financial year. Unfortunately the member had not yet reached their preservation age and were not able to access these funds.
Upon the preparation of the member’s financial statements and tax return for that financial year, we found the actual withdrawal was in fact a breach of the SIS Act 1993 which prohibits super funds, including SMSF’s, from providing financial assistance to members or their relatives [except in limited circumstances]. This was not one of those limited circumstances.
Working with our client, we were able to structure a solution whereby our client was able to repay the money back to their SMSF.
The SMSF Auditor was still required to lodge a contravention report with the ATO as part of its audit, reporting the actual breach and the critical information of the rectification of the breach.
In these circumstances, having the experience of the TSP Accountants team on their side, the client was able to avoid the ATO taking any further action and providing leniency on this occasion.
SMSF’s can sometimes be hard to navigate on your own. TSP Accountants are experienced with all facets of SMSF reporting and auditing practices and so we can assist with the preparation, maintenance and management of your compliance and tax obligations. If you have any questions, let our helpful and friendly advisors assist.
Getting Money Out Of A Company May Not Always Be Easy!
Just recently one of our clients came to us with a dilemma they were facing. They owned a business held in a company structure. With the intention of doing the right thing by the business, they had always only taken a wage and kept the remainder of the profits in the company. However, on this occasion, our client needed to access additional funds for personal reasons. Instead of approaching a financial institution for a loan, they felt it better to access the funds from the business.
TSP Accountants were afforded an excellent opportunity to review the company’s shareholder structure in turn allowing us to provide a tax effective solution to access money from the company.
The review also gave us the chance to suggest alterations to their business, further improving their ability to access company funds in the future whilst at the same time minimise tax obligations.
Company structures can be complex at times, it is always best to seek out professional advice to ensure you are abiding by your legal and tax obligations relevant to your business structure.
If you have a company and would like to seek some advice, TSP are experienced professionals who may assist you. If you have any questions at all please feel free to contact us through the button below.