Superannuation Amnesty – Legislation Passed
The proposed Superannuation Guarantee amnesty has passed the Senate and is waiting for royal assent. We wrote about it last December.
How does it work?
Employers who elect to come forward and declare and pay unpaid employee superannuation are expected:
- To have their penalties and administration fees waived and
- Will receive a tax deduction for the superannuation paid under the amnesty
Certain conditions and exemptions apply including that the employer has to come forward voluntarily (have not had any audit or review activity initiated by the ATO) and all outstanding entitlements need to be paid.
The main attraction is obviously the waiving of the penalties and reinstatement of the tax deduction but also minimising the risk of a costly legal action.
The amnesty is expected to expire six months after it receives royal assent.
Employers who do not come forward voluntarily during the amnesty face the risk of penalties double the unpaid entitlements.
If your superannuation obligations are not met, you need advice as a priority. Contact CrossCorp today for help.
