Unpaid SG? Amnesty: Pay now and avoid SG penalties
Are you a business owner who has been unable to make a superannuation guarantee (SG) payment for your employee? The Turnbull government has announced an amnesty for all unpaid SG contributions. So, if you lodge and pay all of your outstanding SG payments within the next twelve months, you will not be penalised. This is a BIG concession for small business owners.
Ordinarily, employers who fail to pay the superannuation guarantee charge are liable to pay the:
- The shortfall of any compulsory super payments;
- Interest to compensate an employee for forgone investment returns; and
- Administrative fees.
Not only this, but they cannot claim it as an expense if they fail to pay in time.
But the biggest slug is the penalty – employers are liable for penalties of up 200% of the shortfall due on any of their employee’s SG
The amnesty is a government instigated concession which can save you the fees and penalties, but action is required within the next 12 months. If you have failed to make SG payments any time since 1 July 1992 you may be able to receive this concession.
Contact Waterhouse Lawyers if you have unpaid SG contributions so we can assess your eligibility and help you through this difficult but worthwhile process.