Issue 873, 18 October 2022
In this issue:
Cyber-security data sharing: telecommunications companies and APRA-regulated entities
As reported in ASFA Action issue 872, following the widely reported Optus data breach, the Government announced it had prepared amendments to the Telecommunications Regulations 2021 to allow Optus and other telecommunication companies to better coordinate with financial institutions, the Commonwealth, and states and territories, to detect and mitigate the risks of cyber security incidents, frauds, scams and other malicious cyber activities.
The Telecommunications Amendment (Disclosure of Information for the Purpose of Cyber Security) Regulations 2022 have now been registered and took effect on 12 October. The amendments made by the Regulations are temporary and will cease to have effect in 12 months.
The Regulations permit telecommunications carriers and carriage service providers to securely disclose government identifiers such as drivers’ licence and passport numbers to financial services entities regulated by APRA – including superannuation funds and government agencies.
If specified by the Minister, other information that relates to the identification of an individual that relates to the carriers and carriage service providers existing and past customers may also be securely disclosed under the Regulations. In addition, other related financial services entities or supporting bodies can be approved by the Minister. This secure disclosure is intended to help protect the customers of the particular carrier or carriage service provider in the event of a cyber security incident, fraud, scam, identity theft or malicious cyber activity.
The Regulations set out detailed conditions that must be satisfied before a disclosure can take place, consistent with the Government’s announcement.
SMSF auditor registration: consultation on regulations
Treasury has released for consultation regulations that will remake existing regulations in relation to registration of auditors of self-managed superannuation funds (SMSFs).
The Superannuation Auditor Registration Imposition Regulations 2012 (2012 Regulations) prescribe fees that are payable to ASIC by self-managed superannuation fund (SMSF) auditors for regulatory services provided by ASIC, including:
- registration as an approved SMSF auditor
- undertaking a competency examination
- cancelling an SMSF auditor registration.
The 2012 Regulations are due to sunset (expire) on 1 April 2023.
The draft Superannuation Auditor Registration Imposition Regulations 2022 remake and improve the operation of the 2012 Regulations by updating the amounts of the fees and updating the language about the method of indexation. According to the explanatory material, these changes “do not affect the substantive meaning or operation of the provisions but allow for greater ease of understanding. The Regulations broadly follow the structure and numbering of the 2012 Regulations.”
Treasury is seeking comments on the draft regulations by close of business Thursday 10 November.
Superannuation Data Transformation project: APRA FAQs and letter
APRA has published three new frequently asked questions (FAQs) and one updated FAQ on the reporting standards issued under phase 1 of its Superannuation Data Transformation (SDT) project.
The new FAQs relate to:
- SRF 251.3i – how registrable superannuation entity (RSE) licensees should report ‘insurance cover cost’ amount in SRF 251.3 table 2 column 10 where the default level of cover has been expressed as a percentage of salary
- General FAQ 1.24 – how RSE licensees should report ‘separately managed accounts’ or other ‘managed discretionary account services’ in SRS 550.0
- SRS 605.0v – how RSE licensees should report ‘investment option name text’ in SRF 605.0, table 3 column 3.
APRA has also updated FAQ 1.02 regarding the due dates for submission of data under the new reporting standards.
APRA has also written to RSE licensees about its revocation of some older reporting standards that overlap with newer standards issued under phase 1 of the SDT project.
Superannuation Guarantee: Aged Care Registered Nurses’ Payments
The Government has made regulations addressing the Superannuation Guarantee (SG) treatment of certain payments made to aged care registered nurses.
In the 2021-22 Budget, the then Government announced the Aged Care Registered Nurses’ Payment to reward clinical skills and leadership (“the Grant”), intended to help with the attraction and retention of registered nurses in the aged care sector. Eligible employers may apply for the Grant on behalf of their eligible employees from 1 November 2022.
The Superannuation Guarantee (Administration) Amendment (Aged Care Registered Nurses’ Payment) Regulations 2022 ensure that an employer is not required to make additional superannuation contributions for eligible employees, by exempting payments under the Grant from being included in the ‘salary or wages’ that are used to calculate an employer’s SG charge. The Regulations apply to payments made under the Grant on or after 1 November 2022.
ASFA REGULATORY WATCHLIST
ASFA’s Regulatory Watchlist (ARW) tracks developments in Legislation, inquiries, consultations
and other regulatory announcements relevant to superannuation.
