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  • Super Communique August

    10 August 2017

    In this month's edition:

    SuperStream industry engagement forum

    We will host the next SuperStream industry engagement forum in Sydney on 29 August 2017.

    The forum will be co-sponsored by ASFA and themes to be discussed include SuperStream implementation, issues and benefits. We'll also provide an update on the SuperStream roadmap, including the next 12 months of delivery, and details of the future reporting requirements for large funds.

    If you can't attend in person you can watch the event live from your desktop or mobile device via live streaming. You'll be able to comment and chat publicly with other attendees in real time, as well as have access to supporting documentation like presentation slides.

    We'll provide registration and live streaming details soon.

    See also:

    Tell us what you think – ATO Online super account name display

    We are seeking your opinion about changing the ATO Online services super fund 'account name' display from 'legal entity name' to 'product name'.

    Currently, when your member is in ATO Online the ‘super accounts’ screen displays the super fund 'account name', which is the legal entity name, and a link to the fund's website.

    We have received suggestions to display the funds' ‘trading name’ rather than the legal entity name. While this is not possible, as we no longer maintain ‘trading name’ data for entities, we do maintain ‘product name’ data from the Fund Validation Service.

    We would appreciate your feedback about whether it would be valuable to display the ‘product name’ rather than the ‘legal entity name’.

    Next step:

    • Email SuperCRT@ato.gov.au with your feedback using the subject line 'ATO Online super account name display – feedback' by Friday 26 August.

    Large funds and ATO interaction client satisfaction survey coming soon

    Since February 2016 we've been asking for more feedback about how satisfied people are after interacting with the ATO.

    Large super funds are a critical ATO partner with an important role in ensuring correct outcomes for super fund members. We'll be asking you if your interactions with us meet your needs. These results will enable us to:

    • track performance over time of our frontline contact areas, including:
      • email inquiry channels such as the CAS Client Relationship Team mailbox
      • consultation groups
    • focus on adding more value to these interactions and, ultimately, improving the experience for your members.

    Client satisfaction survey

    The simple superannuation client experience survey has two main components:

    1. ATO client experience questions (core)
    2. superannuation-specific client experience questions.

    We may send a survey to you or your staff if:

    • an interaction with the ATO on a superannuation matter was concluded in the last month
    • we have an email address for you.

    It’s expected the survey will take less than 10 minutes to complete. If you are invited to participate in the survey, you will be excluded from future surveys for three months, but other staff members within a fund may be also be surveyed if they have interacted with us.

    Prepare for more co-contributions recoveries in August

    We are working to resolve an issue in which some individuals were incorrectly assessed as eligible for a co-contribution.

    Over the next month we'll remediate the problem by manually re-calculating the contributions eligibility for affected members. This will lead to a higher-than-normal level of co-contribution recoveries for our next recovery runs scheduled for 29 August in SuperStream and from week starting from 28 August in ECI.

    This problem is not related to the SuperStream contributions v2.0 implementation.

    If you haven't cutover to SuperStream for government contributions you should consider these increased volumes when planning for your production deployment.

    While you'll receive SuperStream messages from 29 August, you should note our backend processes will begin earlier than this. If the effective date of your cutover is after 24 August you may receive a recovery and remittance notice (RARN) via the old ECI channel rather than a SuperStream data message.

    If you have already cutover and can't process the recovery refer to Schedule 6 – error code management for how to reply. Specifically you should read section 7: Standard specific error codes and those used to respond to a GCTAR:

    • Error code: 47
      • SUPER.GEN.CNTRBTN.17
      • Severity: information
      • Short description: Government contribution amendment request has been processed successfully
    • Error code: 48
      • SUPER.GEN.CNTRBTN.18
      • Severity: error
      • Short description: Government contribution amendment request cannot be processed
    • Error code: 49
      • SUPER.GEN.CNTRBTN.19
      • Severity: warning
      • Short description: Insufficient funds in member account

    See also:

    Provision of addresses program

    Historically, we have provided updated Provision of Address (POA) data once fund reporting obligations had been finalised in April and October. This ensured that only the most current details from individual tax returns and lost member statements were provided.

    However, in response to your feedback we will send data for the next POA process in the week starting 28 August 2017.

    Registered users of the data transfer facility will receive an email when the data has been loaded. The data will be available for a maximum of 21 days.

    The extracts contain the latest ATO address, phone and email details we hold for your members (based on 2017 income tax return received to date) who are:

    • lost – inactive
    • lost – uncontactable
    • lost – inactive and uncontactable.

    We'll also provide details of members who are deceased or aged over 65 in separate spreadsheets.

    Note some of this information may appear in multiple spreadsheets due to the data extraction process.

    Where possible, we'll provide client tax file numbers previously quoted for superannuation purposes. This information should only be used as an extra identifier to find your members.

    What you need to do

    Tell us if:

    • there's been a change to authorised users of your data transfer facility (DTF) mailbox
    • DTF user email addresses have changed.

    Update your members' status

    You can update your members’ lost status after we provide you with a new address for a lost member where the member's situation is:

    • lost – uncontactable: the member can now be considered found
    • lost – transferred: the trustee must verify the member's address
    • lost – inactive: the trustee must verify the member's address
    • lost – inactive and uncontactable: the trustee must verify the member's address.

    If the member is deceased:

    • we will send you member details where we have been advised they are deceased
    • where you are unable to identify or locate the beneficiary, you are required to send the money to us as unclaimed super
    • if the date of death is available, we will pass this on to you.

    If the member is over the age of 65:

    • we will send you data to determine when the member's benefit should be reported and paid to us as unclaimed super money.

    See also:

    Next steps:

    Super changes survey – How ready are you?

    It’s now been a month since the 2016 Budget super changes came into effect. We invite you to participate in a short survey to understand how ready you are, how well we communicated the changes and what you may still need to do.

    The survey is voluntary and anonymous and should only take 1 to 2 minutes to complete. Only aggregated data will be reported.

    We also encourage you to share the survey with your colleagues for them to complete.

    The survey closes at 5pm Thursday 24 August 2017.

    We're asking a wide cross-section of the superannuation community to complete the survey. As a result, you’ll notice the first few questions are targeted more at individuals. We'd like you to answer these questions anyway, as your answers will help us get a complete picture of who is ready for the super changes.

    Next steps:

    See also:

    SuperTICK1, SuperTICK2 and SuperMatch ECI switch off on 31 August

    Last May we announced that SuperTICK1, SuperTICK2 and SuperMatch service within ECI would be decommissioned in mid-2017. Ninety-five per cent of large super funds now use SuperTICK3 and most have upgraded to SuperMatch2, making way for us to decommission older versions of these services on 31 August 2017.

    We've also enhanced the performance of the SBR2 platform that supports SuperTICK3 and SuperMatch2.

    We're working with the remaining small number of funds who are yet to migrate to the new services to confirm their implementation plans for SuperTICK3 and ensure they cutover before 31 August 2017.

    If you're still using the SuperMatch ECI service and won't be able to move to SuperMatch2 by 31 August, contact SuperStreamStandards@ato.gov.au.

    For information about the status and availability of superannuation services visit the Superannuation DashboardExternal Link.

    SuperStream – implementation update

    USM rollovers

    We acknowledge the effort required from industry to respond to defects and issues with the unclaimed superannuation money (USM) rollover release. These issues have delayed straight-through processing, causing reverse workflows for both industry and ATO, and ultimately affecting individual members.

    Our efforts to resolve or manage these issues have resulted in over 90 per cent of USM transactions working successfully and the number of transactions affected has reduced each month.

    We continue to monitor remittance processing and will report back to you on our work to review and respond to some of the longer-term systemic issues identified during the USM release.

    Government contributions

    We are working closely with funds to complete their testing and deployment of SuperStream government contributions. Many funds still haven't completed their testing with the ATO and we continue to work with these funds to ensure there are no further delays with testing and implementation.

    There will be no extensions to the 31 August 2017 date to implement SuperStream government contributions. The ATO and APRA are, however, taking a pragmatic approach with those funds experiencing delays. We encourage you to keep us up-to-date of changes to your implementation plans.

    When planning for your production cutover to SuperStream, you must consider the monthly super remittance and recovery processing schedule. Dates published in this schedule indicate when you can expect to receive data messages. However, our internal remittance and recovery processes usually begin a few days earlier.

    To receive government contributions via SuperStream you must ensure your GCON2.0-X certification change in the Fund Validation Service (FVS) – which indicates your unique super identifier (USI) is ready to accept SuperStream government contributions – has an effective date a few days before the dates for our remittance processing runs. For example, to receive SuperStream data messages for the LISC recovery processing run on Thursday 31 August you must update your contributions certification in the FVS with an effective date of Monday 28 August or earlier.

    Note the August LISC remittance processing run will be larger than usual as individuals who haven't lodged a tax return will receive their LISC payments in this aggregation run.

    See also:

    Error response messaging

    You must complete your implementation of contributions error response messaging by 31 August 2017. Failure to implement error response messaging by 31 August will be considered a breach of your legislative obligations and must be reported to APRA.

    We confirmed details and requirements for implementing business-to-business error response messaging in CRT Alert 017/2017 on 3 March 2017.

    There will be no further extensions past 31 August 2017 and all super funds are expected to be compliant from 1 September 2017.

    Next steps:

    Incorrect inbound messages

    We are seeing some incorrect messages from funds for both USM and contributions.

    To avoid processing delays, all mandatory fields in the response message must be completed.

    If you receive a rollover or contribution via SuperStream and you can't accept an individual’s entitlement, you must send an outcome error response message in accordance with the Standard along with the rejected payment. When you send an outcome error response there is no need to send us a separate payment variation advice via paper or an email advising you cannot accept an amount for a member.

    The most common missing or incorrect fields we are seeing are:

    • payment reference number (PRN) – missing or blank fields and case sensitivity errors
    • refund payment total not included
    • incorrect error codes for that transaction type.

    Update on the future of fund reporting

    Unclaimed superannuation money walkthrough

    We recently led a design walkthrough with key industry representatives to explain the proposed changes to fund reporting, including changes associated with Section 20c notices and fund-to-ATO USM rollovers. The walkthrough was well received and we are now updating the presentation in response to feedback from participants.

    We are also working to provide responses to questions posed by participants during the session. This information will be included in the supporting material we will circulate soon to the wider industry along with the updated presentation.

    Participants told us they would like more detailed information included in the Rollover User Guide v2.0. We are updating this now and plan to release the updated version by early September.

    Member Account Attribute Service

    The final Member Account Attribute Service (MAAS) business implementation guide (BIG) was distributed to industry stakeholders on 20 July 2017. This will be published to the SBR website and the Software Developers' homepage soon.

    We will host a walkthrough for industry in September.

    The draft legislative instrument was also circulated for comment. Feedback closed on Friday 4 August.

    The MAAS service will commence from April 2018 with an extended cutover period through to October 2018.

    Starting Transfer Balance Account Reporting

    The Transfer Balance Account Report (TBAR) is used to capture information about superannuation amounts moving into and out of retirement-phase accounts. This allows us to record and track an individual’s transfer balance cap and total super balance.

    All superannuation providers, including self-managed superannuation funds (SMSFs) and life insurance companies, will be required to complete and lodge this report with the ATO.

    Reporting can commence in October 2017 and will need to start no later than 14 December 2017.

    You may choose to begin reporting in three ways.

    1. Lodge your initial TBAR during October 2017.

    In this case your initial report should include all relevant events up to 30 September 2017, including details regarding superannuation income streams in existence just before 1 July 2017. The next TBAR must be lodged 10 business days after the end of October and will cover all relevant events from 1 October to 31 October 2017. You must then continue reporting within 10 business days after the end of each month in which a transfer balance account event occurs.

    OR

    2. Lodge your initial TBAR 10 business days after the end of October.

    This initial report should include all relevant events from 1 July to 31 October 2017, including details regarding superannuation income streams in existence just before 1 July 2017. The next report must be lodged 10 business days after the end of November and will cover all relevant events from 1 November to 30 November 2017. You must then continue reporting within 10 business days after the end of each month in which a transfer balance account event occurs.

    OR

    1. Lodge your initial TBAR 10 business days after the end of November.

    Include all relevant events from 1 July to 30 November 2017 in this initial report, including details regarding superannuation income streams in existence just before 1 July 2017. The next report must be lodged 10 business days after the end of December and will cover all relevant events from 1 December to 31 December 2017. You must then continue reporting within 10 business days after the end of each month in which a transfer balance account event occurs.

    If a transfer balance account event has not occurred then there is no need to lodge a TBAR for that month.

    Next steps:

    Responding to a commutation authority

    Once the Commissioner has issued you with a commutation authority, you must report the relevant CC1, CC2, CC3 or CC4 event to us via the TBAR. You can choose to do this by using:

    • the TBAR-BDE (Bulk Data Exchange) channel
    • an online form
    • a paper form.

    If you choose not to use the BDE channel we encourage the use of the online form to minimise processing delays.

    You should not use the “MCO” code to report any commutation that occurs in response to a commutation authority issued by the Commissioner.

    Visa validation process for DASP applications

    We're implementing a validation process for visa information entered in departing Australia superannuation payment (DASP) Online applications from Wednesday 16 August 2017. This process will ensure super funds receive correct visa information to determine the appropriate DASP tax rate(s) to apply to the payment and the amount of tax to withhold.

    From 1 July 2017 a higher tax rate applies if a DASP includes amounts attributable to super contributions made while the applicant held a working holiday maker (WHM) visa.

    While DASP applicants will supply visa information directly in some cases, we will source visa information from the Department of Immigration and Border Protection (DIBP) when necessary. To accommodate for this new process we will hold all DASP applications for 14 days.

    The introduction of this new 14-day holding period means you will not receive any applications via DASP Online from 16 August until 29 August 2017. From 30 August 2017 you will be able to access and process applications as normal.

    If you receive an application via DASP Online with no visa information this means the applicant has not held a WHM visa. If an application does include visa information it will have been provided either by the applicant or the DIBP and indicated as follows:

    • Applicant: “The applicant has provided the visa(s) below”
    • DIBP: “The Department of Immigration and Border Protection has issued the visa(s) below for the applicant”.

    The DASP Online system has been updated to display a message to applicants advising that their application will be held for 14 days before being forwarded to their super fund.

    You will still be able to view the original date the application was submitted in the DASP Online system.

    If you have questions about the validation process, email SuperCRT@ato.gov.au.

    See also:

    Monthly super remittance and recovery processing schedule

    The ATO super processing schedules for August and September 2017 are outlined below. This reflects the channel, files and payments for each product.

    Table 1 – August 2017 SuperStream

    SuperStream

    Date from

    LISC Recovery

    Thursday 03 August

    USM Remittance

    Friday 04 August

    Co-Contributions Remittance

    Tuesday 08 August

    SG Recovery

    Tuesday 15 August

    SG Remittance

    Tuesday 15 August

    SHAsa Remittance

    Thursday 17 August

    USM Remittance

    Friday 18 August

    LISC Remittance

    Tuesday 22 August

    Co-Contributions Recovery

    Tuesday 29 August

    LISC Recovery

    Thursday 31 August

    Table 2 – August 2017 ECI/paper

    ECI/Paper

    Week commencing

    LISC Recovery

    Monday 07 August

    USM Remittance

    Monday 07 August

    First Home Saver Account Remittance

    Monday 07 August

    Co-Contributions Remittance

    Monday 07 August

    USM Recovery

    Monday 14 August

    SG Recovery

    Monday 14 August

    SG Remittance

    Monday 14 August

    SHAsa Remittance

    Monday 21 August

    USM Remittance

    Monday 21 August

    LISC Remittance

    Monday 21 August

    Co-Contributions Recovery

    Monday 28 August

    Table 3 – September 2017 SuperStream

    SuperStream

    Date from

    USM Remittance

    Friday 01 September

    Co-Contributions Remittance

    Tuesday 05 September

    SG Recovery

    Tuesday 12 September

    SG Remittance

    Tuesday 12 September

    SHAsa Remittance

    Thursday 14 September

    USM Remittance

    Friday 15 September

    LISC Remittance

    Tuesday 19 September

    Co-Contributions Recovery

    Tuesday 26 September

    LISC Recovery

    Thursday 28 September

    USM Remittance

    Friday 29 September

    Table 4 – September 2017 ECI/Paper

    ECI/Paper

    Week commencing

    LISC Recovery

    Monday 04 September

    First Home Saver Account Remittance

    Monday 04 September

    USM Remittance

    Monday 04 September

    Co-Contributions Remittance

    Monday 04 September

    USM Recovery

    Monday 11 September

    SG Recovery

    Monday 11 September

    SG Remittance

    Monday 11 September

    SHAsa Remittance

    Monday 18 September

    USM Remittance

    Monday 18 September

    LISC Remittance

    Monday 18 September

    Co-Contributions Recovery

    Monday 25 September

    LISC Recovery

    Monday 03 October

    USM Remittance

    Monday 03 October

    Super consultation report

    Here is the consultation report for July and August 2017.

    Send your feedback or questions to SuperConsultation@ato.gov.au.

    Visit Let's TalkExternal Link for a complete picture of all superannuation consultation and engagement activities.

    Table 5 – recap SuperStream July 2017

    Date

    SuperStream

    5 July & 12 July

    SuperStream Contributions Weekly Business Deployment Verification Triage

    7 July

    SuperStream Continuous Improvement Working Group

    12 July & 26 July

    SuperStream Technical Committee Sydney (12th), Telepresence (26th)

    13 July & 28 July

    Contributions Implementation Working Group

    14 July & 28 July

    Transaction Service Working Group

    27 July

    Walkthrough of the Business to Government (B2G), Unclaimed super money (USM)

    Table 6 – recap Single Touch Payroll July 2017

    Date

    Single Touch Payroll (STP)

    4 July

    Employee Commencement Webinar

    5 July

    Design Working Group – Focus Group

    5 July

    Meeting with Corporate Tax Association

    6 July

    Meeting with NSW Department of Education

    6 July

    Key Agent meeting Sydney

    7 July

    Readiness Working Group

    10 July

    Design Authority Forum

    11 July

    Individual Stewardship Group

    13 July

    Software Developer Technical Working Group

    18 July

    Design Working Group – Micro Group Deferrals/Exemptions

    19 July

    Design Working Group – Micro Group Employee Commencement

    20 July

    STP Advisory Group

    20 July

    Design Working Group – Micro Group Business Rules/Scenarios

    27 July

    Technical Working Group

    27 July

    Design Working Group

    27 July

    Small Business Stewardship Group

    Table 7 – recap super experience consultation July 2017

    Date

    Super experience consultation or engagement activity

    24 July Melbourne

    DASP Working Holiday Maker consultation regarding upgrading DASP Online to obtain real-time visa information.

    25 July Sydney

    DASP Working Holiday Maker consultation regarding upgrading DASP Online to obtain real-time visa information.

    Table 8 – upcoming events APRA-regulated fund consultation August 2017

    Date

    APRA-regulated fund consultation or engagement activity

    9 August PHU

    Commence ATO consultation on the design and administration of the proposed housing measures with a small group of nominated representatives 

    16 August

    Superannuation Administration Stakeholders Group (SASG) meeting

    Table 9 – upcoming super experience consultation August 2017

    Date

    Super experience consultation or engagement activity

    22 August

    Superannuation Industry Stewardship Group (SISG) formal meeting Melbourne

    11 August Canberra

    Super presentation on changes for large funds at the ASFA Roadshow

    15 August Adelaide

    Super presentation on changes for large funds at the ASFA Roadshow

    16 August Perth

    Super presentation on changes for large funds at the ASFA Roadshow

    22 August Brisbane

    Super presentation on changes for large funds at the ASFA Roadshow

    30 August Sydney

    Super presentation on changes for large funds at the ASFA Roadshow

      Last modified: 15 Aug 2017QC 53105