SUPERANNUATION REPORTING REQUIREMENTS

The Treasury Laws Amendment (2018 Measures No. 4) Bill 2018 received Royal Assent on 1 March 2019 which has amended the superannuation reporting time frame.

In simple terms, the new Law has eliminated the three month from due date rule for unpaid superannuation guarantee and instead superannuation amounts must be reported at the end of each quarter.

If the unpaid amount was reported by the due date, the penalty may be remitted by one of the following:

o    paying the debt

o    appointing an administrator under section 436A, 436B or 436C of the Corporations Act 2001

o    beginning to wind the company up (within the meaning of the Corporations Act 2001).

If the unpaid amount is reported after the due date (at the end of each quarter), the only way to remit the penalty is to pay the debt.

Obviously, the aim of new treasury law is to put more pressure on employers to comply with SGC reporting requirements.

We also note that as of 1 April 2019, the ATO is allowed to disclose an employer’s non compliance to affected employees, even if employees have not lodged an enquiry with the ATO.

If you would like to discuss this further, please contact our office.