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Superannuation Guarantee Amnesty

In a bid to tackle non-payment of employee superannuation, the Minister for Revenue and Financial Services announced the beginning of a 12-month Superannuation Guarantee Amnesty (the Amnesty) on 24 May 2018.

The Amnesty provides employers with a one-off chance to self-correct past super guarantee (SG) non-compliance without incurring a penalty and is available until 23 May 2019 (subject to the passage of legislation).

Employers who take advantage of the Amnesty will avoid:

  • penalties and charges that may apply to late payments;
  • and are entitled to deductions for catch-up payments made during the Amnesty period to the employee’s regulated super fund or to the ATO (should employers require a payment plan).

To make use of the Amnesty, employers must:

  • voluntarily admit the amounts of prior SG shortfalls including nominal interest during the Amnesty period;
  • and not be the subject of an audit for SG for the relevant periods.

The ATO is encouraging employers to pay their SG shortfall amounts in full, including the nominal interest straight into the employee’s super fund.

Failure to either remain current with SG payment duties or declare SG shortfalls in this period could result in higher penalties later on.

This entry was posted on Thursday, June 7th, 2018 at 1:18 pm and is filed under General News. You can follow any responses to this entry through the RSS 2.0 feed. You can skip to the end and leave a response. Pinging is currently not allowed.

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