Fallen behind in your superannuation payments to staff?

There is a proposed rule change which will help a lot.

An Amnesty, currently before Parliament, is being proposed to help businesses catch up.

What is the Amnesty

The Amnesty allows businesses who have not paid superannuation to employees to self-correct without ATO penalties.

If you voluntarily disclose previously undeclared superannuation guarantee shortfalls during the amnesty and before the commencement of an audit, you will;

  • Not be liable for the administration charge and penalties that would normally apply, and
  • Be able to claim a tax deduction for the catch-up payments made during the 12 month amnesty period

Is the Amnesty in place right now?

No, it has not been passed in Parliament although the Senate committee is due to report on it today. Until it is, do not assume that it will be in place and note that the current rules apply.

If it doesn’t get through Parliament, superannuation payments made under the amnesty will not be tax-deductible and the ATO’s administration charge will be assessed and charged.

When are the proposed dates of the amnesty

The period in which you can make up for late payments under the amnesty is planned to be between 24 May 2018 and 23 May 2019. If and when the legislation is passed in Parliament, the starting date will be back-dated to 24 May.

The period in which the unpaid superannuation can relate to is from 1 July 1992 to 31 March 2018.

How can I access the Amnesty

To access the Amnesty, you need to calculate the amount owing include the interest

You can use the ATO calculator to calculate the interest at this link http://bit.ly/2JMvauz

You can then lodge with the ATO either a;

                SG Amnesty Fund payment form, if you are making full payment directly to the employee’s super fund. Access the form with this link http://bit.ly/2tgdGM8

                SG Amnesty ATO payment form, if you have a payment plan with the ATO for the late payments. Access the form with this link http://bit.ly/2JSl9aZ

Need a hand?

If you need a hand with completing the ATO forms, making a payment arrangement with the ATO, calculating the amount of interest and unpaid superannuation or with managing tax, superannuation and cashflow, let me know, you can contact me on the Contact page or schedule a 15 minute call at this link http://bit.ly/2JMUpgk.


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