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Fund wind up

Steps for Winding up an SMSF in Mclowd

This article summarises the steps involved in processing the wind up of a fund on Mclowd.

Please ensure you have:

  • Processed all transactions to-date and accrued any assets or liabilities
  • Disposed all the investments via the disposal screen

 

Please make sure all receivables and liabilities have been cleared out. You may do this via journal entry screen:

You may temporarily charge settlement of any receivables and liabilities to the cash account as stated above for winding up purposes.

Once all the transactions has been entered, a financial period is also recommended a day before the wind up date. You may access this via Financial Periods > Financial Years or Interim Periods.

Running the Financial period will close all the income and expenses for the year or period. This also calculates the income tax for the period.

With this, an accrual of tax payment can be made via journal entry per below.

Once done, Statement of Financial Position should be showing only cash and member balance. We may now proceed with the final step on winding up which is the member payment.

You may do this via Expenses > Member Payment > Benefits Paid or Rollover Out:

An update into the fund set up indicating “Date Wound Up” is vital into the final process.

A final Financial Period and processing the year-end requirements will complete the wind up process indicating below balances.

With member balance now at NIL value, this completes the fund wind up process.