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From 1 November 2021, you will have an extra step to take if you have new employees who start and they don’t choose a super fund.
You may now need to request their ‘stapled super fund’ details from the ATO.
A stapled super fund is an existing super account of an employee that follows them as they change jobs.
This change aims to stop your new employees paying extra account fees for unintended super accounts set up when they start a new job.
To find out more, click here.
From today, the super guarantee (SG) rate will rise from 9.5% to 10%.
If your small business has employees, you will need to update your payroll and accounting systems to incorporate the increase.
The super rate is scheduled to progressively increase to 12% by July 2025.
On 6 March 2020, the government introduced a super guarantee (SG) amnesty (the amnesty). The amnesty allows employers to disclose and pay previously unpaid super guarantee charge (SGC), including nominal interest, they owe their employees, for quarter(s) starting from 1 July 1992 to 31 March 2018.
Eligible disclosures will not incur the administration component ($20 per employee per quarter) or Part 7 penalty.
In addition, payments of SGC made to the ATO after 24 May 2018 and before 11.59pm on 7 September 2020 will be tax deductible.
Employers who have already disclosed unpaid SGC to the ATO between 24 May 2018 and 6 March 2020 don’t need to apply or lodge again (see Disclosures of unpaid SG between 24 May 2018 and 6 March 2020).
Employers who come forward from 6 March 2020 need to apply for the amnesty by 7 September 2020.
The ATO will continue to conduct reviews and audits to identify employers not paying their employees SG. If we identify these employers before they come forward, they will not be eligible for the benefits of the amnesty. They will also be required to pay:
In addition, payments of the SGC won’t be tax deductible.
Paying super is an important part of being an employer. If you’re not eligible for the amnesty, or you have unpaid super for quarters that are not eligible, you must still lodge an SGC statement.
Information obtained from the ATO Website. Please click here for more information.
Don’t forget that from midnight tonight you won’t be able to use AUSkey to login to the ATO Business Portal.
AUSkey will be replaced with:
Get started today by downloading the myGovID app and setting up your digital identity. Then using RAM; link your ABN to your myGovID so you can work on behalf of your business online.
For more information on accessing online services with myGovID and RAM, please click here or for some tips and tricks please click here.
If you haven’t paid the right amount of super guarantee (SG) to your workers, the SG amnesty is the time to come forward. If you disclose your SG shortfalls during the amnesty, you can rectify past unpaid SG without incurring charges or penalties.
The SG amnesty runs until 6 September 2020 however, given this is a Sunday, applications are accepted until 11.59pm on Monday 7 September 2020.
SG shortfalls for any quarter between 1 July 1992 and 31 March 2018 may be eligible if you have not been told we are examining your SG obligation for the period your disclosure relates to.
If you disclose your SG shortfalls and are found eligible:
However, you must pay your SG shortfalls (or payment instalments) to remain eligible. If you default on your payment plan, you will no longer be eligible for the amnesty.
It’s important you act on this opportunity now to get your obligations up to date. If you’re aware of any unpaid SG for the periods covered under the amnesty and choose not to come forward, the consequences will be significant. Penalties include:
If you’ve been impacted by recent bushfires, we understand that your priority is on your family and community at this time. However, the law doesn’t allow us to vary the due date for lodgment of an SG amnesty application.
Please view other resources:
ATO: Superannuation guarantee amnesty
If you need assistance in lodging SG shortfalls, please Contact Us or Book a Chat.
Information provided by ATO Small Business Newsroom
Don’t forget that from the end of March you won’t be able to use AUSkey to login to the ATO Business Portal. It is being replaced because it hasn’t kept up with modern technology.
AUSkey will be replaced with:
You can already use these new services for the Business Portal.
Get started today by downloading the myGovID app and setting up your digital identity. Then using RAM; link your ABN to your myGovID so you can work on behalf of your business online.
For more information on accessing online services with myGovID and RAM, please click here or for some tips and tricks please click here.