Business News

ATO warns SuperStream deadline looming

The ATO has given a final prompt to employers to be SuperStream complaint ahead of the approaching 30 June deadline.

Over 50,000 employers across Australia have now changed the way they make super contributions, in line with the reforms.

Through these employers, over 1 million super contributions were being made using the SuperStream standard every month.

All employers needed to adopt SuperStream.

Medium to large employers, those with 20 or more employees, must be operating under SuperStream from 30 June 2015.

Small employers with 19 or less employees must commence under the standard on 1 July 2015.

From 1 July last year, all super funds, including SMSFs, needed to receive any employer contributions sent to their fund in accordance with the SuperStream standard.

ATO data standards and e-commerce (SuperStream) national program manager Philip Hind said the tax office was seeing significant progress in employers changing the way they made super contributions.

“We’re impressed with the commitment of many employers to get SuperStream ready,” Hind said.

“We’re now seeing well over 1 million SuperStream contributions made each month and this will continue to grow in the lead-up to the 30 June deadline for medium to large employers.

“There will also be rapid increases in SuperStream contributions as small employers get on board.”

The ATO expected over 25 million member contributions would be processed using the SuperStream electronic standard during the first full year of operation from July 2015.

Many employers were able to continue using their current electronic channels with only minor tweaking and still be compliant with the new standard, it said.

Hind added there were already some clear indications of success being reported, with more automated and faster processing of super contributions to member accounts, as well as employers saving time and costs in their business.

“For employers, SuperStream is cutting red tape by making all super payments electronic and introducing a standard way to pay contributions,” he said.

“We know that making multiple super contributions to multiple funds has been a time-consuming and often complex process for employers or their staff.

“Some employers have cut processing times from several hours to minutes once they have put SuperStream in place.”

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