The ATO has warned that certain SMSF trustees have “very little time left” to comply with the new electronic super contributions regime.
Tax office warns time is running out for some trustees
SMSF trustees employed by a medium to large business should have already provided their relevant e-commerce details to their employer so they can update their payroll system, the ATO said in a statement recently.
If they have not, there is “very little time left to do so”, the ATO stated.
SMSF trustees need to obtain an electronic service address then provide this, their ABN and bank account details to their employer as soon as possible.
Large and mid-sized businesses will need to become SuperStream-compliant by 31 October 2015 or face penalties, said the ATO.
Philip Hind, ATO national program manager, data standards and e-commerce (SuperStream), said that although 90 per cent of employers now use SuperStream, from 1 November the ATO will focus on those that have been identified as non-compliant.
“Of course, our preference is to ensure all employers are able to start using SuperStream and benefit from the potential time and cost savings, but deliberate non-compliance will inevitably attract our attention," Mr Hind said.
“Our focus is to help employers adopt SuperStream, but if employers choose not to comply there may be penalties applied."
Mr Hind said there are various options available for employers to adopt SuperStream, including upgrading payroll software and using a clearing house service on their default super fund’s portal.
“We’re hearing about employers who have experienced an enormous reduction in the amount of time it takes to process super,” said Mr Hind.
The ATO previously pushed out the SuperStream deadline from 30 June 2015 for mid-sized businesses making genuine attempts to prepare for the new regime.