The Government today introduced legislation into the Parliament which provides the legislative framework for its optional superannuation clearing house service for small business.
"This is an important measure which honours the Government's 2007 election commitment and will deliver real benefits to small business,"; Mr Bowen said.
"Consistent with the Government's commitment, the amendments contained in the Bill allow employers to discharge their superannuation guarantee obligations by paying to the approved clearing house,"; Mr Emerson said.
The amendments also allow employers to meet their obligation to promptly remit superannuation amounts deducted from employees' wages by paying them to the approved clearing house.
The amendments also extend the conditions under which superannuation contributions are made in compliance with the choice of fund rules to cover contributions made through the approved clearing house, and allow for the disclosure of taxpayer information to the approved clearing house for the purpose of performing its functions.
On 6 November 2009, the Government announced that its superannuation clearing house service for small business will be delivered through Medicare Australia. Following the passage of the Bill, a regulation will be made specifying Medicare Australia as the approved clearing house for the purposes of the legislation.
The clearing house service will be available to eligible small businesses (those with fewer than 20 employees) from July 2010. Businesses will be able to register with Medicare Australia from May 2010.
Medicare Australia has convened two Superannuation Clearing House Working Groups to consult on the implementation of the measure. The working groups, which include representatives from the superannuation industry and the small business sector, held their first meetings in January 2010.
The superannuation clearing house measure is contained in the Tax Laws Amendment (2010 Measures No.1) Bill.
10 February 2010