The ATO has released a video for tax professionals with advice for implementing SuperStream for clients, including businesses, SMSFs and as part of a SMSF administration service.
Some important things covered in the video:
- Employers can start using SuperStream from 1 July 2014
- The ATO expects most employers will be using SuperStream by December 2014
- SuperStream standardises contributions data “so whether contributions are being sent to a default fund, a major choice fund or an employee’s self-managed super fund (SMSF), super contributions are treated in a similar way”
- The ATO encourages all employers to have a plan to implement SuperStream – “the earlier a business transitions in to SuperStream, the earlier it will see the benefits and the less chance it will get caught short for time”
- The ATO is committed to raising awareness and educating in the first two years of the SuperStream process
Phillip Hind also has some advice to tax professionals in different sectors:
Tax professionals giving advice to business clients
- Businesses with 20+ employees should “start preparing now to get ready”, including by:
- updating payroll software
- use of a clearing house
- use of a payroll service
- use of default fund portals
- Make use of the ATOs SuperStream employer checklist
- Though large employers have until 30 June 2015, the “ATO is urging employers not to delay and get on with preparations now”
Tax professionals giving advice to SMSFs
- If an SMSF receives contributions from medium or large employers they should “start preparing now for SuperStream to ensure they are ready to receive contributions electronically”
- When an employer starts using SuperStream the SMSF should “at the very least” have an implementation plan, or preferably “be ready at the same time”
- Up to 30 June 2015 the ATO will provide “compliance flexibility” for SMSFs receiving contributions from medium/large employers, “but this flexibility will only be provided where a genuine attempt to get ready is being made”
- SMSFs receiving contributions from small employers have an additional year to be ready for SuperStream
- If a SMSF only receives contributions from a related party employer there is no requirement to use SuperStream
Tax professionals providing SMSF administration services
- SuperStream should simplify administration of employer contributions
- Administrators should check with software providers for details of updates for SuperStream
- Administrators should consider a “bulk registration” with a messaging service provider
The video and transcript are available on the ATO website.
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