6 July 2004

Super Guarantee Reporting Made Simpler for Small Business

The Government today moved to help reduce the compliance burden on small business by making the reporting rules for Superannuation Guarantee (SG) payments simpler, the Minister for Revenue and Assistant Treasurer, Senator Helen Coonan said.

While employers will still be required to pay quarterly SG contributions to their employees, from 1 January 2005 employers will no longer have to provide SG reports to employees.

“The Government recognises the high compliance burden faced, in particular, by many small businesses especially those employing casual and seasonal workers,” Senator Coonan said.

“Removal of employer Superannuation Guarantee reporting will help reduce costs and duplication of information significantly for many small businesses.

“It is important that employees remain informed and engaged in relation to their superannuation entitlements.

“The Government believes that a combination of practices and safeguards found throughout other Australian legislation will allow employers and employees to remain informed about superannuation.

“Currently superannuation funds provide at least annual reports to members and there are a number of provisions in Australian workplace legislation and awards that require some employers to report superannuation contributions on pay-slips.

“In an environment where the Government has promoted greater transparency in the provision of information to members by fund managers, it is appropriate to ease the burden on employers.

“The Government will continue to consult with the superannuation industry and other stakeholders in order to ensure that employees can access reliable information about superannuation contributions.”