Free superannuation clearing house for small business through Medicare Australia
07 Jul 2010
The ATO advises that following the passage of Tax Laws Amendment (2010 Measures No1) Bill 2010 (which received Royal Assent on 3 June 2010 and takes effect from 1 July 2010), a free superannuation clearing house service is being offered to small businesses with less than 20 employees. This service is optional and is designed to reduce red tape and compliance costs for small businesses when meeting their super guarantee obligations.
The Small Business Superannuation Clearing House is administered by Medicare Australia and lets employers pay their super contributions to a single location in one simple electronic transaction. Small businesses that register to use the service will have their super guarantee obligation discharged when payment of the correct amount is accepted by the clearing house by the super payment cut-off date (so long as the payment is not rejected by the fund).
Employers who receive an employee's choice of fund nomination will have their choice obligation discharged if they pass the information to the Clearing house within 21 days of receiving the choice of fund nomination.