The Government will be recommending an amendment to the Superannuation Industry (Supervision) Regulations (SIS) to maintain the prescribed lodgement period for non-excluded superannuation funds that was in place in 1997/98 for the duration of 1998/99.
The amendment is necessary to alleviate concerns within the superannuation industry in relation to transitional problems that some superannuation funds may have experienced under the new prescribed period for the provision of annual returns.
On 30 June 1998 the Government made a comprehensive package of regulations to give effect to the Governments new regulatory framework for the financial sector. Included within this was an amendment to the SIS Regulations concerning the prescribed period that non-excluded superannuation funds are given after their year of income to lodge an annual return to the Australian Prudential Regulation Authority (APRA).
The new arrangements provide that trustees of all superannuation funds, other than excluded funds, will have 4 months after the funds year of income to provide an annual return. This is part of a series of measures designed to put reporting and levy payment arrangements on as consistent a basis as possible.
The Government became aware that this change may cause transitional problems for some superannuation funds which may be unable to bring forward their audit process in the first year to meet this new prescribed period for lodgement. Such a breach of their obligations under the Superannuation Industry (Supervision) Act and the risk of receiving a qualified compliance audit report are outcomes that are both unintended and undesirable.
In subsequent years, annual returns for all non-excluded funds will be due four months after the year of income.
2 July 1998
Contact:
Penny Farnsworth,
Assistant Treasurers Office
(02) 6277 7360
Ray Jones,
Treasury
(02) 6263 3849