Self-managed super fund (SMSF) trustees not compliant with the SuperStream data standards by its deadline will face a $3400 penalty and have their payments end up in their employer’s default fund.
With the 1 July deadline coming up SMSFs receiving contributions from small employers (19 employees or less) will be able to use SuperStream from that date but have until 30 June 2016 to implement the required changes.
Large employers have been required to comply since 1 July 2014.
“This represents a relatively big number of SMSFs, and when you consider that employers, both large and small, will probably take some time to update the relevant information, it’s a real issue,” SMSF Association chief executive, Andrea Slattery, said.
“There also will be a large inflow of information to the ATO [Australian Taxation Office] at the last minute.”
SuperStream aims to improve superannuation efficiency by only allowing SMSFs to accept contributions and other information from employers electronically.
“SuperStream will make it easier for employers to make contributions to all superannuation funds as contribution payments will be made in a standard method, no matter what funds are receiving it,” Slattery said.
“It’s in the interests of SMSF trustees to comply so I urge those who have not done so to consult their advisor and get organised now.”
