If super is not paid by the due date, it is not tax deductible. By law, the ATO cannot extend the due date to pay super. If you miss a deadline to pay your quarterly SG contributions, you need to lodge a superannuation guarantee charge statement to the ATO.
The ATO understand businesses may continue to experience the impact of COVID-19 in the new year, and that some business’s may have missed regular super guarantee (SG) payments, paid late or not paid in full. If you have missed paying the December 2020 SG by 28 January 2021, you need to lodge a superannuation guarantee charge statement by Monday 1 March 2021 to avoid penalties.
If you have partially paid or cannot pay your SG in full, we can assist you to set up a payment plan that suits your circumstances with the ATO.
The superannuation guarantee charge is different to the regular contributions you pay and is made up of:
- SG shortfall amounts
- interest on those amounts (currently 10%)
- an administration fee of $20 per employee, per quarter.
Significant penalties can apply if you do not lodge a statement by the due date. So take action now and call us if you would like our assistance with this.