If you haven’t paid the right amount of super guarantee (SG) to your workers, the SG amnesty is the time to come forward. If you disclose shortfalls during the amnesty, you can rectify past unpaid SG without incurring charges or penalties. The SG amnesty runs until 6th September 2020 however applications are accepted until 11.59pm on Monday 7 September 2020.
SG shortfalls for any quarter between 1 July 1992 and 31 March 2018 may be eligible if you have not been told the Australian Taxation Office is examining your SG obligation for the period your disclosure relates to.
If you disclose your SG shortfalls and are found eligible:
- you must pay the SG shortfall plus interest
- any payments you make before 11.59pm on Monday 7 September 2020 in your local time are tax deductible, including payments through a payment plan.
However, you must pay your SG shortfalls (or payment instalments) to remain eligible. If you default on your payment plan, you will no longer be eligible for the amnesty.
It’s important you act on this opportunity now to get your obligations up to date. If you’re aware of any unpaid SG for the periods covered under the amnesty and choose not to come forward, the consequences will be significant. Penalties include:
- up to 200% penalty on top of the SG and interest you owe (minimum 100% penalty)
- administration charges ($20 per employee per quarter).