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As far as I understand that the Investment strategy must be regularly reviewed (maybe every six months) and minutes note should accompany the review of the IS.
He contends the following in relation to the Investment Strategy: The Minutes note that it continues to reflect the purpose and circumstances of the fund and accordingly no changes are required and as a result, it is still current.
This is now an annual requirement under the section 52(6) of the SIS Act and Regulation 4.09. Another audit who I deal with regularly requires an annual IS to be generated by trustee, signed and minuted.
What is the actual requirements for satisfying the tax department?
Hi John
I agree section 52(6) & Regulation 4.09 of SIS state that the trustees must "review regularly" the Fund's investment strategy. It is the ATO that has advised that trustees should "review your strategy at least annually and document that you have undertaken this review and any decisions made arising from the review".
The ATO has advised that an investment strategy should be reviewed in situations such as:
1) a market correction
2) new member joins
3) member starts a pension
An annual review of the investment strategy would be sufficient to meet the ATO's requirements. An annual minute as you refer to would be sufficient to support that the investment strategy has been regularly reviewed.
Thanks
SMSF AAA