Media release - Nat 2006/14
The Tax Office today reminded employers who pay superannuation contributions into the superannuation holding accounts (SHA) special account that it will close to employer contributions from 30 June 2006.
Deputy Commissioner Raelene Vivian said it is important employers make alternative arrangements now with a superannuation fund or retirement savings account for payment of their superannuation contributions.
"We want to give people plenty of notice so they don't miss the 30 June deadline and potentially face penalties.
"Superannuation contributions for this quarter are due 28 July 2006. As SHA closes before that due date, employers need to find another fund as soon as possible."
If employers don't make other arrangements they may have to pay the superannuation guarantee charge to the Tax Office. This is non tax-deductible and includes the unpaid superannuation contribution, nominal interest and an administration fee.
For more information, or a fact sheet, visit the Tax Office website at www.ato.gov.au/super or phone our information line on 13 10 20.
Background
The SHA special account, administered by the Tax Office, was established to receive small superannuation amounts from employers who could not find a superannuation fund to accept small amounts. The account is no longer needed, as there are now many superannuation funds and retirement savings accounts that receive small superannuation contributions.
The closure of the SHA special account was announced by the Government in March 2005.
11 May 2006
Last Modified: Friday, 15 February 2008