How we reduce illegal early access
We have a range of strategies and activities in place to reduce illegal early access to super for self-managed super funds (SMSFs), including:
- support and guidance products
- new registrant reviews
- removing non-complying funds from Super Fund LookupExternal Link.
When new SMSFs are established, we engage with new trustees to:
- discuss their understanding of the obligations required as a trustee
- provide educational resources.
Illegal early access
Individuals who illegally access their retirement savings can expect to:
- be audited
- be disqualified as a trustee and have their names placed on public record, as this is a serious breach of their trustee obligations
- pay additional tax, penalties and interest.
We also specifically focus on SMSFs who register, rollover their super and then do not lodge their first annual return. We get data directly from financial institutions like banks to confirm if illegal early access has occurred.
Investigations and sanctions
In our investigations, we:
- strongly focus on promoters of illegal early access schemes
- work with other law enforcement agencies to share intelligence and investigate inappropriate practices.
Sanctions can be severe, and include:
- the loss of professional licences
- civil penalties up to $792,000
- criminal prosecution which can result in imprisonment of up to 5 years.
Return to Self-managed superannuation funds illegal early access.