Superannuation Guarantee Amnesty

A ‘clean slate’ for business

The Federal Government has introduced new legislation for a one-off 12-month Superannuation Guarantee (SG) amnesty from May 24, 2018 to May 23, 2019.

Subject to the legislation passing, employers now have the opportunity to wipe the slate clean by making up outstanding SG payments without attracting the full range of penalties that would normally apply.

The amnesty is a chance for employers to make outstanding SG payments from 1 July 1992 to 31 March 2018. We’re working to get the legislation passed.

How the amnesty works

You will not be liable for administration costs or penalties for the late payment if you:

• Advise the Australian Taxation Office (ATO) of compliance issues during the amnesty.
• Pay all outstanding employee entitlements, including the nominal interest on the unpaid entitlements, or pay directly to the fund and advise the ATO.
• Make payments before the end of the amnesty period. If there are SG charges still outstanding after 23 May 2019, they will be subject to the normal charge rules.

To really help businesses to catch up, contributions under the amnesty will be tax deductible if they are made within the amnesty period. *

• If you have any questions, please contact your Kothes accountant on 6491 6491.

*Information supplied by the NSW Business Chamber