Superannuation Guarantee Amnesty

On 24 May 2018, the Minister of Revenue and Financial Services announced a 12-month superannuation guarantee Amnesty, subject to the passing of legislation. The Amnesty is encapsulated in the Treasury Laws Amendment Bill.

This Bill has now passed both houses or parliament and will receive royal assent shortly. The Amnesty applies from 24 May 2018 to 6 months after the Bill received royal assent. 

The Amnesty will provide an opportunity for employers to self-report and correct previous undeclared super guarantee (SG) shortfalls which occurred between 1 July 1992 to 31 March 2018. 

The main qualification for the Amnesty to apply for the employer is that the Australian Taxation Office must have not previously declared an investigation into the financial quarter in question. 

The passed legislation also has strict penalty provisions which the ATO must charge if an employer fails to declare an SG shortfall post-amnesty period. 

Employers should take advantage of the Amnesty to put their superannuation guarantee affairs in order Employers should conduct a review of their superannuation practices ensuring that they comply with all applicable legislation and that they have paid all relevant superannuation contributions in respect of current and former employees and, where require, contractors. 

If you are requiring more information or assistance with this matter please contact The Money Edge. 

The Money Edge | Bundaberg