Crypto SMSF compliance mega-guide
We’ve put together a huge mega-series of content on crypto SMSF compliance. You’ll find these guides helpful if you’re an:
- SMSF Administrator
- Tax professional dealing with SMSFs
You can find the quick intro into each topic below, and follow the link to find more information on a topic.
Compliance requirements for crypto SMSFs
Self-managed super funds (SMSFs) that invest in cryptocurrency must comply with all super laws contained in the Superannuation Industry (Supervision) Act 1993 (SISA) and the Superannuation Industry (Supervision) Regulations 1994 (SISR), as failure to comply can result in penalties.
Accounting and financial reporting by SMSFs are governed by various regulations, including AASB 1056, SISA, SISR, along with ATO rulings. Importantly, the fund’s financial statements must provide information about the fund's financial position, performance, and compliance with regulatory requirements, including the balances and market valuations of each crypto investment in the fund.
Read the detailed information on compliance requirements for crypto SMSFs.
Onboarding checklist for crypto SMSFs
There a number of key considerations for onboarding any new SMSF client with crypto investments.
- Check the SMSF trust deed supports crypto investments.
- Ensure the fund has a clear and well-considered investment strategy in place.
- Scope out the crypto platforms that have been used for SMSF investments, and ensure they can provide accurate reports on the fund's transactions and crypto holdings.
- Consider any on-chain activity, including hardware wallets, DeFi transactions, and NFT purchases.
Read the comprehensive onboarding a crypto SMSF checklist.
Automate crypto transactions from Syla into BGL
Accounting compliance for SMSFs with cryptocurrency assets has historically been tedious and time-consuming due to the manual recording of every transaction, including crypto purchases, sales, associated fees, and income in SMSF accounting software.
Syla has partnered with BGL to support automated data-sync for SMSFs with cryptocurrency assets, which greatly simplifies compliance for Accountants. With this integration, all closing balances and transactions are automatically recorded and reported, eliminating the need for manual journals and saving hours of work.
Read the full process on setting up BGL crypto imports with Syla.
Reviewing crypto transactions in BGL
Once your crypto transactions are synced from Syla into BGL Simple Fund 360, you can review to ensure that everything is correctly represented.
- In the Investment Summary Report, confirm the closing balances, approximate market values, and exact quantities of crypto match with what is shown in the Crypto Tax Report from Syla.
- In the Investment Income Report, confirm that all crypto-related income has been reported.
- Review the General Ledger to confirm that there is no net movement in the data clearing accounts and create a manual journal to offset them to zero if necessary.
Read the full step by step guide to reviewing BGL cryptocurrency transactions.
Syla is Australian crypto tax software that has been purpose-built to meet Australian tax legislation. Accountants use Syla to easily import their clients’ crypto transaction data and accurately calculate tax outcomes. Syla’s support team of Australian tax professionals makes it the easiest way to start solving crypto tax in public practice.
We’ve partnered with BGL to automate crypto transaction data from Syla into Simple Fund 360 and Simple Invest 360. Saving you hours (if not days) of tedious manual journals to record every buy and sell of crypto.
Is there something else you’d like to know?
Let our crypto tax team know, we’d love to write about it.