ATO issues warning to businesses as SG deadline nears
The Australian Taxation Office has warned businesses that the coronavirus crisis is no excuse to shirk your super guarantee obligations to your employees as a crucial deadline approaches.
The ATO issued the notice on its website as the businesses must pay SG to employee funds for the quarter ended 31 December 2020 by no later than 28 January 2021.
“We understand your business may continue to experience the impact of COVID-19 in the new year, and you may have missed regular super guarantee payments, paid late or not paid in full,” the ATO said.
“By law, we can't extend the due date to pay super. If you missed the 28 January deadline to pay your quarterly SG contributions, you need to lodge a superannuation guarantee charge statement to us by Monday, 1 March 2021 to avoid penalties.”
If you have partially paid or can't pay your SG in full, we can work with you to set up a payment plan that suits your circumstances.
The ATO said the superannuation guarantee charge is different to the regular contributions businesses pay and is made up of:
- SG shortfall amounts;
- interest on those amounts (currently 10 per cent); and
- an administration fee of $20 per employee, per quarter.
Significant penalties can apply if businesses don't lodge a statement by the due date, the ATO warned.
Earlier in January, the ATO also reminded businesses that disclosed unpaid super and qualified for the SG amnesty that they must either pay in full any outstanding amounts they owe or set up a payment plan and meet each ongoing instalment amount.
Businesses that have and continue to qualify for the SG amnesty can only claim a tax deduction for amounts paid on or before 7 September 2020.