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  • Super Communique January

    In this month's edition:

    December recap

    December was a busy month. We published 13 CRT Alerts, some of which included multiple announcements. In case you missed them, here are some of the important highlights.

    A single account identifier for MAAS and MATS

    In CRT Alert 083/2017 we said that after careful consideration and consultation with industry representatives, Member Account Transaction Service (MATS) and Member Account Attribute Service (MAAS) will use a single unique member account identifier.

    Previously, Member Contributions Statements (MCS) and Transfer Balance Account Reports (TBAR) have allowed two identifiers for member reporting.

    Next step:

    MAAS foundation data

    In CRT Alert 086/2017 we said we're working closely with industry to develop a foundation data strategy to initially populate MAAS with accurate and complete data.

    The alert included details on the foundation data strategy, in which you will report your foundation data via MAAS. We're working closely with industry representatives to finalise the approach, and we'll provide further details as they become available.

    Next step:

    Correcting structured settlements

    In CRT Alert 086/2017 we said structured settlement or personal injury (SSP) amounts will only be able to be corrected in MATS by cancelling the previously reported amount and then submitting the corrected amount.

    The alert clarified the process and provided details about correcting SSP amounts in MATS.

    Next step:

    Future of fund reporting

    Implementation readiness notification

    We issued a letter to trustees in December 2017 requesting readiness information about your planned adoption of the new event-based reporting services – Member Account Attribute Service (MAAS) and Member Account Transaction Service (MATS).

    In the letter, we provided a spreadsheet template for you to complete and return to us by 19 January 2018.

    Next step:

    Member Account Attribute Service (MAAS)

    Technical documents

    The following MAAS technical artefacts are now available:

    • MAAS Maintain Member Account (MMA) message structure tables, schemas, validation rules, and message repository have been published to the Standard Business Reporting (SBR) website. Refer to the 'ATO SPRMBR 2018 Package' zip file under the Super Member (SPRMBR)External Link heading.
    • MAAS MMA conformance suite has been published on the SBR Share FileExternal Link site (available to SBR registered developers).

    The following artefacts, currently available at Super Member (SPRMBR)External Link, will be updated on 18 January:

    • MAAS MMA validation rules will be updated to:
      • ensure timestamps are in Universal Time Coordinated (UTC) format to align with MATS rules
      • correct a problem with the 'care of' rule in Address Line 2
      • add processing response error codes.
       
    • The conformance suite will also be updated to remove 'location.path' in 'GEN.OK' responses (not required).

    The MAAS Provision of Details (POD) artefacts and conformance suite will be published on 15 February. They will be available under the Super Member (SPRMBR) heading on the SBR website.

    Next step:

    Member Account Transaction Service (MATS)

    Webinars

    We ran a series webinars on the Member Account Transaction Service (MATS) in 2017. Recordings, transcripts and presentation slides of the webinars are available on atoTV.

    Next steps:

    Protocol guidance material for MATS and MAAS reporting obligations

    To help you meet your Member Account Transaction Service (MATS) and Member Account Attribute Service (MAAS) reporting obligations in 2018, we are:

    • finalising additional guidance content
    • simplifying existing protocol guidance by providing it in a more accessible, user-friendly format.

    What is changing?

    All protocols will be made available in a single place on the ATO website in HTML format. We've also introduced a new feature on all ATO webpages that allows you to create a PDF version for download or printing. Look for the PDF icon (next to the print icon) at the top right of any page.

    Your feedback

    You told us you'd like to know when and where we've made changes to protocol content. Over the next few months we will release updated content on Let’s Talk with tracked changes so you can clearly see what's changed and provide us with your feedback.

    Next step:

    See also:

    SuperStream – implementation update

    Unclaimed superannuation money (USM)

    USM adjustments and non-lodgment advice

    The process for USM adjustments changed on 11 December 2017. You should now lodge all decrease, transfer and cancellation USM adjustments using a new template. USM non-lodgment advices should be lodged using their own template.

    These new templates are available on the adjusting unclaimed super page.

    Remember, you must now lodge these templates through the business portal. This change was announced in CRT Alert 073/2017 on 27 November.

    If your adjustment involves an increased USM amount, report this to us by sending a new USM lodgment for the additional amount via ECI or SuperStream.

    See also:

    • Read adjusting unclaimed super for information about the changes, the templates and how to lodge.
    • Read CRT Alert 073/2017 – USM reporting changes after 30 November – Update 

    USM data messages now arrive closer to payments

    On 9 December 2017 we successfully implemented a system change so that you'll receive SuperStream data messages closer to when you receive the associated payments.

    This change applies to USM remittances only – it does not apply to contributions processing and has been reflected in our processing schedule.

    Former temporary resident notifications (section 20C) and USM reporting

    Testing and business deployment verification (BDV)

    Funds started testing their former temporary resident notifications (FTR) and unclaimed super money (USM) SuperStream solutions on 23 October 2017. The overall test schedule remains on track.

    A business deployment verification (BDV) exercise will start on 29 January with a small control group of eight funds across three gateways. The BDV exercise will verify that business transactions, processes and system outputs function correctly after production deployment. BDV occurs in our production rather than our test environment.

    A successful BDV will determine whether the remaining funds can move to full production deployment.

    If you are not participating in BDV you still need to meet the following criteria before you cutover to production:

    • successfully complete testing to warrant self-certification
    • confirm that the necessary production systems and personnel are available
    • ensure there is an existing GROL2.0-X certification value on the Fund Details Register for each relevant USI using the Fund Validation Service.
    • submit a production readiness checklist to us via SuperStreamStandards@ato.gov.au.

    To receive former temporary resident notifications via SuperStream in February you must lodge your production readiness checklist with us no later than 15 February.

    ECI will remain open for those who aren't ready to receive section 20C notices via SuperStream in February.

    The conformance date for USM reporting is 30 April 2018. Talk to us as soon as possible if you need an extension beyond 30 April 2018.

    Next steps:

    Enquiries about incorrect DASP withholding

    Some funds have been incorrectly advising former temporary residents to contact us with their enquiries about the PAYG withholding rate applied to their departing Australia superannuation payment (DASP).

    You are required to review the information you hold and determine the appropriate tax rate when processing DASP applications for your members.

    If your member submits a PAYG enquiry with you and the payment was made in the same financial year you should assess the PAYG withholding enquiry. If there was an error you must correct it and adjust the withholding amount accordingly. If the payment was made in a previous financial year, the member is required to lodge an objection to us in writing.

    We ask that you share this information with your frontline staff so they can deliver a positive experience to your members by providing them with advice that's consistent with that provided by us.

    We are also developing DASP PAYG examples to be included in our information about incorrect withholding for super payments.

    See also:

    TBAR update

    We've started sending excess transfer balance determinations

    We have created transfer balance accounts for 1.167 million individuals and have started to send excess transfer balance (ETB) determinations to individuals who have exceeded their cap.

    As at 10 January we have sent approximately 1,300 ETB determinations and expect to continue to issue small numbers until late January.

    In late January we will issue ETB determinations to individuals who have exceeded their cap by a small amount and had until 31 December to rectify without penalty under the transitional rules.

    We expect to start issuing commutation authorities to funds in late March 2018.

    Next steps:

    • If you become aware of issues associated with TBAR information you have already reported to us, email SuperCRT@ato.gov.au so we can work with you to understand the issue and manage the impacts for your members.

    Structured settlement contributions and ETB determinations

    Members who have received a structured settlement contribution but whose transfer balance account has not been debited for that contribution may have recently received an excess transfer balance (ETB) determination from us or receive one in future.

    To ensure we don't issue ETB determinations incorrectly, you should report these structured settlement contributions to us as soon as possible. If your member has already received an ETB determination you must report this contribution before the due date given for them to respond.

    A member’s transfer balance account may not include a debit for a structured settlement contribution because the contribution was:

    • not properly reported to us on an MCS
    • made prior to 1 July 2007.

    If you haven't reported a member's structured settlement contribution to us on the MCS you should notify us of the contribution as soon as possible. Amending a previous MCS to include a structured settlement contribution will not be sufficient for transfer balance cap purposes.

    Note: the law requires you to amend the MCS within 30 days of discovering an error, so please do this as well.

    If you are aware of a structured settlement contribution that was made prior to 1 July 2007 or was made to another fund prior to the member rolling their interest over to you and was not reported to us you can notify us of this on behalf of the member.

    You should email the following details to SuperCRT@ato.gov.au:

    • current provider ABN and name
    • full member name and date of birth
    • current member pension account details
    • the date the contribution was made
    • the amount of the contribution
    • the ABN and name of the provider the contribution was made to if different from the current provider
    • the reference number of any ETB determination we have issued (if applicable)
    • contact details so we can call you if we have queries.

    You can also report structured settlement contribution information on behalf of your members if we haven’t issued an ETB determination or check if a structured settlement has been taken into consideration.

    If you tell us about a structured settlement contribution made before 1 July 2007, your member won’t need to notify us using a Transfer Balance Event Notification (TBEN).

    Next steps:

    See also:

    TFN mismatches and possible fraud 

    In response to your feedback we would like to clarify where you should send your enquiries about tax file number (TFN) mismatches and possible fraud.

    Contact our Client Relationship Team if you have concerns regarding:

    • a TFN notification for a member that is different from the TFN result provided by SuperTICK, SuperMatch or a section 299 TA/TC notice
    • a rollover followed by a request to transfer to an SMSF, and you need to check:
      • if fraud may be an issue
      • whether your member is a member of the SMSF.
       

    Use the following codes for your enquiries:

    • MBR – Outcomes reported by SuperMatch, SuperTICK or suspected fraud involving an SMSF
    • FND – Outcome of fund lodgements including section 299 TA, TC and SuperMatch

    Next step:

    • Contact our Client Relationship Team at SuperCRT@ato.gov.au and we will raise your concerns with the appropriate area.

    Provision of addresses program

    As previously mentioned in the August 2017 Super Communique, we have historically provided updated provision of address (POA) data once fund reporting obligations had been finalised in April and October. This ensured that we provided you with only the most current details from individual tax returns and lost member statements.

    However, in response to your feedback we will send data for the next POA process in the week starting 29 January 2018.

    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 returns 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' 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
    • and you are unable to identify or locate the beneficiary, you must send the money to us as unclaimed super
    • and 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.

    Next steps:

    See also:

    APRA Fund Communications Reference Group

    In response to your feedback we established the APRA Fund Communications Reference Group comprised of 16 superannuation industry representatives to help us identify issues and develop solutions to improve our communication, engagement and collaboration with large super funds.

    The group is a short term, special purpose forum whose terms of reference is to act as a sounding board to:

    • identify, consider and co-design strategies to address irritants and improve communications, engagement and collaboration between the superannuation industry and the ATO
    • validate current communication, engagement and collaboration strategies to confirm their value and assess whether they should become, or continue to be, part of our day-to-day way of operating
    • prioritise identified changes and opportunities into three categories:
      • grass roots: quick-win, low-touch improvements
      • tactical: medium-term, low-touch improvements (which may require small IT changes)
      • transformational: strategic or aspirational improvements (which may require investment from the ATO and industry).
       

    The group will meet approximately every four to six weeks over the next six months, with meetings focussed on agreed discussion topics and areas of focus. Ideas requiring detailed consideration may be further developed by smaller working groups.

    Decisions from the first meeting

    At its first meeting on 6 December 2017 the group agreed upon its terms of reference and focus areas, and endorsed:

    • the following set of principles to guide their assessment of identified improvements:
      • Tailor information and deliver it to the right people.
      • Be transparent, clear, consistent and timely.
      • Consolidate, streamline and keep information up-to-date.
      • Structure content so it’s easy to navigate.
      • Provide access to information from one place.
      • Know the audience.
      • Speak the audience’s language.
      • Make things visual.
       
    • the combining of the SuperUpdate and Super Communique newsletters into one monthly newsletter, and structuring it along the lines of the current Communique.

    Next steps:

    • The next meeting is a phone hook-up on 31 January 2018, which will focus on the ATO's broadcast channels and how the ATO issues important, time-sensitive information
    • For information and feedback email SuperConsultation@ato.gov.au

    Small Business Super Clearing House update

    The Small Business Superannuation Clearing House (SBSCH) is joining our online services from 26 February 2018.

    This means 28 January will be the last quarterly super guarantee (SG) due date for which employers will make SG contributions using the current clearing house system.

    To manage the transition to the new system as effectively as possible, the SBSCH will be unavailable from Tuesday 20 February to Sunday 25 February 2018 inclusive.

    Employers who pay SG monthly should ensure their February payments are processed in the current system before this date.

    We communicate information about the clearing house transition to users via regular targeted emails. These emails guide users through the changes and highlight the help and support available.

    Funds that use the SBSCH to download statements will no longer have access to this function from 22 January 2018. You should use SuperStream data elements to reconcile payments from this date.

    See also:

    Monthly super remittance and recovery processing schedule

    The ATO super processing schedules for January and February 2018 are outlined below. This reflects the channel the files and payments will be sent through for each product.

    Table 1 – January 2018 SuperStream

    SuperStream

    Date From

    Co-Contributions Remittance

    Tuesday 09 January

    USM Remittance

    Wednesday 10 January

    USM Recovery

    Wednesday 10 January

    SG Recovery

    Tuesday 16 January

    SG Remittance

    Tuesday 16 January

    SHAsa Remittance

    Thursday 18 January

    LISC Remittance

    Tuesday 23 January

    USM Remittance

    Wednesday 24 January

    Co-Contributions Recovery

    Wednesday 24 January

    SG Remittance

    Thursday 25 January

    LISC Recovery

    Thursday 01 February

    Table 2 – January 2018 ECI/Paper

    ECI/Paper

    Week beginning

    Co-Contributions Remittance

    Monday 08 January

    USM Remittance

    Monday 08 January

    USM Recovery

    Monday 15 January

    SG Recovery

    Monday 15 January

    SG Remittance

    Monday 15 January

    SHAsa Remittance

    Monday 22 January

    USM Remittance

    Monday 22 January

    LISC Remittance

    Monday 22 January

    Co-Contributions Recovery

    Monday 29 January

    SG Remittance

    Monday 29 January

    LISC Recovery

    Monday 05 February

    Table 3 – February 2018 SuperStream

    SuperStream

    Date From

    Co-Contributions Remittance

    Tuesday 06 February

    USM Remittance

    Wednesday 07 February

    USM Recovery

    Wednesday 07 February

    SG Recovery

    Tuesday 13 February

    SG Remittance

    Tuesday 13 February

    SHAsa Remittance

    Thursday 15 February

    USM Remittance

    Wednesday 21 February

    LISC Remittance

    Tuesday 20 February

    SG Remittance

    Friday 23 February

    Co-Contributions Recovery

    Tuesday 27 February

    LISC Recovery

    Thursday 01 March

    Table 4 – February 2018 ECI/Paper

    ECI/Paper

    Week beginning

    USM Remittance

    Monday 05 February

    Co-Contributions Remittance

    Monday 05 February

    USM Recovery

    Monday 12 February

    SG Recovery

    Monday 12 February

    SG Remittance

    Monday 12 February

    SHAsa Remittance

    Monday 19 February

    USM Remittance

    Monday 19 February

    LISC Remittance

    Monday 19 February

    SG Remittance

    Monday 26 February

    Co-Contributions Recovery

    Monday 26 February

    LISC Recovery

    Monday 05 March

      Last modified: 19 Jan 2018QC 54403