суббота, 23 ноября 2013 г.

Superannuation guarantee payments

Smart Tax Bulletin
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Reasons to make your superannuation guarantee payments on time
Friday, 22nd November, 2013, by Ana Cox
In today's Smart Tax Bulletin:
  • Consequences of not paying your employees' superannuation guarantee on time
Dear Reader,
The superannuation guarantee charge is a fact of life for today's employers, but do you know what happens when you fail to pay it or pay it late? 
In today's Smart Tax Bulletin, our Editor-in-Chief, John Kelly, will be taking a look at:
  • when the superannuation charge is due;
  • what the superannuation guarantee surcharge is and how it is calculated; and
  • when you can't claim a tax deduction for employee superannuation.
Please read on for more details.

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And now over to John...
Have a great weekend!
Ana Cox
Ana Cox
Editor
Smart Tax Bulletin
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What happens if you don't make superannuation guarantee payments on time?
By John Kelly

Editor-in-Chief, Smart Tax HandbookEveryone knows that you have to pay the superannuation guarantee for employees. The rate is currently 9.25% of ordinary times earnings, which I talked about in a recent bulletin. But do you know what happens if you pay the superannuation guarantee late or not at all?

The superannuation guarantee must be paid by its due date, which is the 28th day of the month following the end of a quarter, e.g. the superannuation guarantee payment for the October to December 2013 quarter is due on 28 January 2014.

If you don't pay the superannuation guarantee by the due date, you are automatically required to pay the superannuation guarantee surcharge. You also have to pay it if you either haven't paid enough superannuation for your employees or you make a payment into a superannuation fund different from the one chosen by your employee.

The surcharge is calculated as the total of:
  • the superannuation owed, which is worked out on salary and wages paid, not ordinary times earnings;
  • a $20 per employee per quarter administration charge; and
  • a 10% per annum interest charge, which is calculated from the first day of the month in the quarter.
Note that if you pay the superannuation guarantee late, you can sometimes offset this amount against the surcharge.

If you are liable to pay the superannuation guarantee surcharge, you must lodge a superannuation surcharge statement within one month after the superannuation guarantee payment is due.

Oh, and you can't claim a tax deduction for the superannuation surcharge or any superannuation guarantee payment made after the due date. Just two more reasons to ensure your superannuation guarantee payments are made on time!
Warm regards,
John Kelly
John Kelly
Editor-in-Chief
Smart Tax Handbook


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