Superannuation guarantee how to meet your super obligations

Penalties, amendments and objections | Australian Taxation Office

superannuation guarantee how to meet your super obligations

Superannuation obligations for employers Some companies pay their Super Guarantee contributions at the same time as they pay their staff . Employees who are under 18 years old must meet the above conditions and work for more than. If your employees are eligible for compulsory Superannuation Guarantee (SG) contributions, and they Employers meeting their superannuation obligations. Meeting employer Superannuation Guarantee (SG) and Tax File Number responsibilities will mean you can claim SG contributions as a tax deduction and avoid.

The choice liability penalty is part of the super guarantee charge SGC.

Superannuation |

Director penalties The director of a company that fails to meet an SGC liability in full by the due date automatically becomes personally liable for a penalty equal to the unpaid amount. When an SGC liability remains outstanding, we may issue a director penalty notice DPNthough this is necessary only to enable us to start legal proceedings to recover the penalty.

superannuation guarantee how to meet your super obligations

Even without issuing a notice, we can collect the penalty by other means, for example, by withholding a tax refund. The penalty will be remitted if your company pays the outstanding amount at any time. It may be remitted if your company goes into voluntary administration or liquidation conditions apply.

  • Super rules
  • Super for employers
  • Superannuation Guarantee

Other penalties General interest charge If you lodge an SGC statement but don't pay the charge by the due date, you incur an additional charge — the general interest charge GIC. The ATO has commenced a program which involves seeking evidence of compliance from employers.

superannuation guarantee how to meet your super obligations

In some instances, where employers fail to provide evidence, the ATO is conducting full audits. Exceptions to this are: The consequences of this can include: Loss of tax deductibility.

superannuation guarantee how to meet your super obligations

A shortfall percentage applied against salary and wages rather than OTE. Salary and wages generally includes a greater range of remuneration amounts paid to employees and will therefore result in a higher level of contributions having to be made.

Superannuation Guarantee | AustSafe Super

Employment is governed by an industrial instrument e. As long as it complies with superannuation law, and the employee has given you all the appropriate information, then you must pay the necessary super contributions into that fund.

Likewise, an existing employee can notify you of their nominated super fund at any time.

What is the Superannuation Guarantee?

In both cases, employees should fill out a Standard Choice form and return it to you as soon as possible. By law you are required to give new staff members a superannuation Standard Choice form within 28 days of them starting work.

superannuation guarantee how to meet your super obligations

Many Modern Awards specify the default funds you can choose from, and you can use our FundFinder to work out which Industry SuperFunds are listed in awards relevant to your employees. Rule 3 - Provide a Standard Choice form The Standard Choice form is the official document used by an employee to tell you which fund they want their super paid into.

If your staff members are entitled to choose their own super fund, then you must provide them with a Standard Choice form within 28 days of: