POWERED BY MOMENTUM MEDIA
Many SMSF trustees still not compliant
Self-managed super fund (SMSF) trustees receiving contributions from small employers not compliant with the SuperStream data standards by July 1 will face a $3400 penalty and have their payments end up in their employer's default fund.
According to the Australian Taxation Office (ATO) there is a sizeable percentage of SMSFs that are not compliant yet, said the SMSF Association.
"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 at the last minute."
Commenting on payments ending up in the employer's default fund, Slattery said trustees will still be able to roll over money into their SMSF but it will be time consuming.
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."
Recommended for you
The impact of identity theft and its threat to superannuation savings were highlighted in a case that went before the Federal Court at the end of 2023.
A recent NSW Supreme Court decision is an important reminder that while super funds may be subject to restrictive superannuation and tax laws, in essence they are still a trust and subject to equitable and common law claims, says a legal expert.
New research from the University of Adelaide has found SMSFs outperformed APRA funds by more than 4 per cent in 2021–22.
The SMSF Association has made a number of policy recommendations for the superannuation sector in its pre-budget submission to the government.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
76.97 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
76.46 3 y p.a(%)
3
UBS Solactive Global Pure Gold Miners UCITS ETF Dis USD
51.13 3 y p.a(%)
4
Global X GlobalX FANG+ ETF
45.15 3 y p.a(%)
5
Select Baker steel Gold Institutional
43.78 3 y p.a(%)
