According to an Australian government minister, in 2014/15 the ATO estimates about $2.85 billion of superannuation went unpaid.
While this would indicate a 95 percent compliance rate, the government is unwilling to tolerate any non-compliance.
Understandably, the preference is for employers to pay all of what they owe, including the nominal interest, which has a high rate.
If you do not pay up the superannuation you owe during the superannuation amnesty period, penalties will apply in the future.
Non-complying employers will see at least a 50 percent charge added to the superannuation they owe.
Moreover, the superannuation amnesty period does not protect you from being investigated. The ATO will continue to seek out employers who do not comply during this period.
If you have superannuation back payments to make and you can pay in full, fill out a form and electronically submit it through the business portal to the ATO.
If you owe superannuation and are unable to pay in full, talk to the ATO. You will need to lodge a completed payment form to the ATO and they will get in touch with you to arrange a payment plan.
It’s best to declare any superannuation not paid to workers before an audit is conducted because:
If your superannuation payments for any period are subject to an audit, the amnesty will not apply for that period.
The ATO can initiate a review at any time, especially if employees raise a complaint.
If you’ve got questions about the superannuation amnesty, audits, or anything else about superannuation payments, talk to an Ascent Accountants superannuation adviser in Perth.
Contact us here to schedule your consultation.