Your super can pay for various items relating to running your SMSF.
These include such items as…
- management, administration and audit fees
- subscriptions and attending seminars
- ongoing investment related expenses
Making something an expense for an SMSF is a little different than having expenses in your personal income. For example you might use your home computer 40% for work and 60% for personal use. In this case you can claim 40% of the costs against your personal income.
SMSF deductions are different in that you must only use the item for the SMSF to make it deductible. For example only an item that is 100% used for the SMSF can be a deductible expense. This makes sense because the SMSF is totally separate from you.
You will also need to provide an official tax invoice billed in the name of the SMSF for auditing and in some cases you may need to provide evidence or a statutory declaration to confirm the purchase is solely for the use of the SMSF.
When purchasing something for your SMSF ask yourself the following 2 questions:
1) Is this solely for the use of my SMSF or will I use this personally as well (if you will use it personally, the SMSF cannot pay for it)
2) Can I get an official tax invoice billed in the name of the SMSF (if the answer is no, the SMSF cannot pay for it)
Below is the ATO webpage that discusses what is deductible.