Superannuation Guarantee Amnesty ends on 7 September 2020
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 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:
- SG shortfall
- nominal interest (10%)
- administration component ($20 per employee per quarter)
- Part 7 penalty (up to 200% of the SGC).
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.
If you have concerns that you will not be able to pay the amount you have owing, you should still apply for the Amnesty to receive its benefits. Payment arrangements that suit your circumstances can be negotiated with the ATO.
If you would like more information or assistance with applying for the Amnesty, please contact our office on (08) 9754 4144.
