Make Superannuation Payments by 28th July 2010
27 July 10
Tis the season …. for quarterly Superannuation Guarantee Contributions (SGC). The contributions for the fourth quarter (1st April – 30th June 2010) are due to be paid to your employees’ super fund(s) by 28th July 2010.
If you don’t pay the minimum superannuation guarantee contributions for the quarter by this date, you’ll need to lodge a Superannuation Guarantee Charge (SGC) statement with the ATO by 28th August 2010.
“What is the Super Guarantee Charge?” you ask? This is what you will have to pay to the Tax Office if you:
• do not pay enough super contributions (at least 9%) for your employee (this is called a super guarantee shortfall)
• do not pay super contributions by the quarterly cut-off date for payment
• do not pay super to your employee’s chosen super fund (this is called a choice liability), or
• pay a super contribution to a fund after the cut-off date for payment.
There are three parts to the super guarantee charge and the bad news is they are not tax deductible:
• Super guarantee shortfall amounts (including any choice liability)
• Interest on the shortfall (10% per annum)
• An administration fee ($20 per employee per quarter)
So it’s best to make sure that you lodge and pay on time. Reasons why, if you are audited and it is determined that you failed to keep adequate records, the ATO will issue a maximum penalty of $3,300 for an individual and $16,500 for a corporation.
Please contact one of PJT’s Superannuation specialists, if you need any assistance.