The SMSF i am to audit has two individual trustees , one has a member balance in the fund
That member takes a pension payment however has passed away before pension payment made.
Also the fund has now one trustee who is not a member
What is the action required by the accountant. Should a new trustee be appointed? So that the pension amount and other cash out to next of kin
Given that there is only one member with an individual co-trustee who is not a member the questions that need to be asked are:
- What does the trust deed say about procedures to follow on the death of a member?
- Did the member appoint a legal personal representative via an Enduring power of attorney?
- Is the pension account set up as a reversionary pension?
- Did the member execute a valid beneficiary nomination form?