SG (Superannuation Guarantee) Amnesty – 6 Months Only
In 2017 the SG gap was $2.3b or a deficit of 4% of the total expected. Government policy is that SG must be paid. Government are providing an incentive for employers to bring their SG obligations into line with the Super Amnesty.
As of 10 March 2020:
* The amnesty relates to SG that is outstanding for periods up to the March 2018 quarter.
Super Amnesty during the COVID-19 – Unlikely the SG Amnesty period will be extended
This does not remove the benefits of having any applicable employers catch up their declarations of outstanding SG. If you lodge the SG Amnesty forms and enter a payment plan then No penalties and No admin fee ($20 per employee per quarter). If you don’t and get caught later then SG to be paid, at least 100% of the SG as a penalty and the admin fee.
Payment plans may be able to be entered with a delayed start date ie after the COVID-19 period. The impact of COVID-19 and the amnesty is that many businesses will not be able to pay the SG without a deferred payment plan and therefore will lose tax deductibility
Further information from the ATO can be found by clicking here
In Short: Consider getting this done during the amnesty period until 7 September. Contact us here at Accurate Balance for further information on how we can help!
Disclaimer: All or any advice contained in this newsletter is of a general nature only and may not apply to your individual business circumstances. For specific advice relating to your specific situation, please contact me for further discussion
Content attribution to The Institute of Certified Bookkeepers