POWERED BY MOMENTUM MEDIA
No retrospectivity on SG loophole closure
A key Parliamentary Committee has accepted Australian Taxation Office (ATO) urgings against making the closing of a loophole which allows unscrupulous employers to count additional employee superannuation contributions against their superannuation guarantee (SG) obligations retrospective.
The committee has decided to wave through making the legislation effective from 1 July, next year, because of the ATO’s argument that payroll providers would need time to update their software.
This was despite the Senate Economics Legislation Committee receiving a number of submissions arguing that the loophole should have been closed much earlier and that retrospectivity was justified.
Among those was a submission from the Institute of Public Accountants which said there appeared to be no obvious reason why the measure could not be imposed inside the current financial year.
It said that the legislation closing the loophole was effectively ending legalised theft.
However, the ATO argued that while it recognised the loophole was allowing some employers from doing the wrong thing, feedback from payroll providers needed time to update their software.
“So obviously making it retrospective doesn’t give them time at all,” the ATO said.
Recommended for you
The two funds have announced the signing of a non-binding MOU to explore a potential merger.
The board must shift its focus from managing inflation to stimulating the economy with the trimmed mean inflation figure edging closer to the 2.5 per cent target, economists have said.
ASIC chair Joe Longo says superannuation trustees must do more to protect members from misconduct and high-risk schemes.
Super fund mergers are rising, but poor planning during successor fund transfers has left members and employers exposed to serious risks.
TOP PERFORMING FUNDS
ACS FIXED INT - AUSTRALIA/GLOBAL BOND
Fund name
3y(%)pa
1
DomaCom DFS Mortgage
88.01 3 y p.a(%)
2
Global X 21Shares Bitcoin ETF
72.60 3 y p.a(%)
3
Global X GlobalX FANG+ ETF
44.24 3 y p.a(%)
4
Pengana High Conviction Equities B
40.36 3 y p.a(%)
5
Pengana High Conviction Equities A
40.34 3 y p.a(%)
