What are the implications of the Speeding Ticket Legislation?

Will the ATO be eagerly imposing administrative penalties at the first available opportunity, even for minor breaches?   Probably not: the strategy will most likely be to impose an educational direction for the first contravention, and only impose an administrative penalty for second and subsequent contraventions.  Imposing an educational direction has the advantage of precluding the trustee from claiming ignorance as a mitigating factor in relation to a subsequent contravention.

There is now a further incentive to have a corporate trustee rather than individual trustees.  The example has been given above of the breach of the “accounts and financial standards” obligations.  In the case of a corporate trustee, the penalty will be $1,700 (shared amongst the directors).  In contrast the same contravention by a three trustee SMSF will be $5,100 – that is $1,700 each.

Will a trustee/director who is not a member be in a better position than a trustee/director who is a member when penalties are being imposed?   Whether they are a member or not is irrelevant.

Will a trustee/director who is also acting as a representative trustee/director be subject to a double penalty?  The better view is that they would not.