SUPERANNUATION GUARANTEE AMNESTY – DO YOU HAVE UNPAID SUPER FOR EMPLOYEES?

The Government has announced an amnesty for employers that have fallen behind with superannuation guarantee (SG) payments to "self-correct". The amnesty applies to employers that have underpaid or not paid SG for any period from 1 July 1992 up to 31 March 2018. Under the amnesty, the penalties that normally apply to late payments are waived as is the administration fee, and the SG payment is deductible - normally employers lose the ability to deduct superannuation payments where SG is late.

The time period for taking advantage of the amnesty is due to end on 23 May 2019 and it will be important to identify any potential problem areas as soon as possible so that appropriate action can be taken.

If your business has engaged any contractors during the period covered by the amnesty, then the arrangements will need to be reviewed as it is common for workers to be classified as employees under the SG provisions even if the parties have agreed that the worker should be treated as a contractor. You cannot contract out of SG obligations.

If you have not undertaken a payroll audit or an audit of rates paid to employees, you should do this within the next 12 months.

The amnesty applies to voluntary disclosures. The amnesty does not apply to amounts that have already been identified as owing or where the employer is subject to an ATO audit.

The extension of Single Touch Payroll to employers with 19 or less employees has finally passed both Houses today, after late amendments were tabled in late last year.

 

The Treasury Laws Amendment (2018 Measures No. 4) Bill 2018 secured passage today after it was referred back to the House of Representatives last December due to proposed amendments to other measures contained in the same bill.

This will mean that employers with 19 or less employees will have to report under STP rules from 1 July 2019. Businesses with 20 or more employees began reporting from 1 July 2018.

 

The ATO have pre-empted the passage of legislation by contacting small business clients, informing them that they can start reporting if they have STP-ready software and to inquire with their tax practitioners if they have any questions.

 

It is now time to make sure you are STP compliant and ready to meet Tax Office requirements.  Although this is another time consuming compliance obligation, technology has now improved to a point where we can really achieve some significant productivity improvements particularly if you are doing things manually or use the old desktop programs.

Call us on 07 5439 1600 or email us at support@completebusiness.com.au to discuss your payroll options and see how much time we can give you back in your day.

The world has changed. Work has changed.

The possibilities provided by cloud and mobile technologies are beyond what most people would even have considered possible just a decade ago. 

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QUARTERLY SUPERANNUATION IS NOW DUE

Employers who pay superannuation on a quarterly basis are required to make the December quarter payment by Monday 28 January.

If the payment is not made by the due date then the superannuation payment becomes non-tax deductible and you have to pay more in terms of interest and penalties. It is important to pay this by the due date !!!

If you are new to being an employer or simply just need some help with getting the paperwork done to make super payments, then give us a call on 07 5439 1600 or email us on support@completebusiness.com.au. Our experienced team can help you through the paperwork and streamline your process for future payments.

SUPERANNUATION GUARANTEE AMNESTY – DO YOU HAVE UNPAID SUPER FOR EMPLOYEES?

The Government has announced an amnesty for employers that have fallen behind with superannuation guarantee (SG) payments to "self-correct". The amnesty applies to employers that have underpaid or not paid SG for any period from 1 July 1992 up to 31 March 2018. Under the amnesty, the penalties that normally apply to late payments are waived as is the administration fee, and the SG payment is deductible - normally employers lose the ability to deduct superannuation payments where SG is late.

The time period for taking advantage of the amnesty is due to end on 23 May 2019 and it will be important to identify any potential problem areas as soon as possible so that appropriate action can be taken.

If your business has engaged any contractors during the period covered by the amnesty, then the arrangements will need to be reviewed as it is common for workers to be classified as employees under the SG provisions even if the parties have agreed that the worker should be treated as a contractor. You cannot contract out of SG obligations.

If you have not undertaken a payroll audit or an audit of rates paid to employees, you should do this within the next 12 months.

The amnesty applies to voluntary disclosures. The amnesty does not apply to amounts that have already been identified as owing or where the employer is subject to an ATO audit.

SINGLE TOUCH PAYROLL

Single Touch Payroll (STP) is a reporting change for employers.

It started on 1 July 2018 for employers with 20 or more employees.

Employers are required to report payments to employees such as salaries and wages, pay as you go (PAYG) withholding and superannuation information each time you pay your employees.

From 1 July 2019 the STP system is due to be extended to all employers.

It is now time to make sure you are STP compliant and ready to meet Tax Office requirements.  Although this is another time consuming compliance obligation, technology has now improved to a point where we can really achieve some significant productivity improvements particularly if you are doing things manually or use the old desktop programs.

Call us on 07 5439 1600 or email us at support@completebusiness.com.au to discuss your payroll options and see how much time we can give you back in your day.

 

There's a saying in business, "You can go broke making a profit." And another, "Cash is king. Profit is theory." 

As you know only too well, you don't pay rent, meet payroll or pay your bills with profit.

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