Super Amnesty & Avoiding Late Super Problems
Limited time left – Amnesty finishes 7th Sep 20
We have previously advised how the Government currently have a superannuation amnesty in place. This allow employers to voluntarily disclose to the ATO, late or unpaid amounts of superannuation contributions in respect of all quarters ending on 31 March 2018.
Employers must complete and lodge a superannuation guarantee charge (SGC) statement with the ATO to apply for the amnesty. Under the amnesty rules employers;
- will not have to pay an administration fee of $20 per employee for each statement lodged.
- will also be able to avoid penalties that can apply to an SGC liability, and
- can claim a deduction for income tax purposes for SGC amounts paid in accordance with the amnesty.
To take advantage of the superannuation amnesty the SGC statement must be lodged with the ATO by 7 September 2020. To ensure that amounts owing under the amnesty are deductible, they must be paid by this date.
The ATO has indicated that after the superannuation amnesty ends, employers will be subject to greater penalties if it is found they have not complied with their superannuation obligations.
Further information regarding the amnesty can be found HERE
Avoid Super Guarantee Charge problems
The best way to avoid any Super Guarantee Charge problems is to pay all required superannuation contributions on time. Superannuation contributions must be paid to a superannuation fund by the 28th day after the end of the March, June, September and December quarters. For example, superannuation contributions payable for the Sep 2020 quarter need to be paid by the 28th of October 2020. If they are not paid by this date, the contributions are not tax deductible and an SGC statement must be completed and lodged with the ATO.
We recommend that superannuation contributions be paid well before the above quarterly due dates to ensure the contributions are processed and received before the due dates. Another important note is superannuation contributions should be paid well before 30 June to ensure they are deductible in the year that they relate to.
Please contact our office if you have any questions regarding your superannuation responsibilities or employer obligations.