From www.dbalawyers.com.au: SMSF trustees are encouraged to utilize the ATO’s early engagement and voluntary disclosure service to address contraventions of the Superannuation Industry (Supervision) Act and Regulations, as it can lead to reduced penalties and better compliance outcomes.

Most contraventions are reported through the auditor contravention reporting system, underscoring the importance of proactive disclosure rather than attempting to conceal issues.

Engaging a qualified SMSF lawyer is advised to prepare accurate submissions and navigate the disclosure process effectively while mitigating potential risks of penalties and sanctions.