The provider offers online SMSF setup and administration, including assisting trustees in complying with tax, accounting and audit obligations.

The auditors received more than 99 per cent of their overall audit fees from the online platform as a result of the SMSF administration provider's engagement of a limited number of SMSF auditors.

ASIC found this created self-interest and intimidation threats to the auditors’ independence that could not be safeguarded against.

It stated that auditors must carefully evaluate referral arrangements, particularly where it created a fee dependence.

Wu’s decision was reviewed at her request and an ASIC delegate confirmed the suspension decision. ASIC’s decisions may also be reviewed at the Administrative Review Tribunal upon application by the SMSF auditor.

ASIC and the ATO co-regulate SMSF auditors. The ATO monitors SMSF auditor conduct and refers matters to ASIC. ASIC also monitors the SMSF auditor population for non-compliance and is empowered to disqualify, suspend, cancel or impose additional conditions on the registration of SMSF auditors.

The ATO's referral stated it would continue scrutinising the source of SMSF audit referrals.

ASIC may suspend an SMSF auditor’s registration under section 130F of the Superannuation Industry (Supervision) Act. SMSF auditors have the right to appeal decisions ASIC makes concerning their registration.