The Superannuation Guarantee Amnesty deadline is fast approaching. On the 6th of March 2020, the Australian Government introduced the Amnesty which allowed employers to disclose and pay previously unpaid employees superannuation for any period prior to 31 March 2018, without penalty from the Australian Taxation Office (ATO). The Amnesty ends on the 7th of September 2020.
Applying for the Amnesty means that the payment of the outstanding superannuation becomes tax deductible and the ATO administration penalty of $20 per employee per quarter is waived.
If employers do not come forward under the Amnesty and are later found to have outstanding superannuation obligations, payments will not be tax deductible and significant additional penalties of up to 200% of the unpaid super may be applied.
The ATO has advised it will work with any businesses impacted by the COVID pandemic to establish a payment plan.
More information on the Amnesty can be found here HERE.
If you have any queries or would like us to assist you please don’t hesitate to contact us. It is important you act now to avoid penalties going forward.