Issue 576, 20 July 2015
In this issue:
- QROPS: update from Treasury
- Outsourcing of shared computing services: APRA information paper
- Supervisory levies for 2015/16
QROPS: update from Treasury
Treasury has provided ASFA with an update on discussions in relation to recent rule changes for Qualifying Regulated Overseas Pension Schemes (QROPS). (See ASFA Action issues 574, 571, 570 and 569 for more details.)
Treasury has advised the following:
“The Australian Government has been engaging with the UK Government and its tax authorities for several weeks on relief options for transferees as well as on ways of allowing QROPS transfers to Australia to resume in the future. As part of this process we have consulted with Australian industry representatives and their legal advisers.
We recognise that the current situation is causing problems for transferees, funds and advisers. For this reason, we are attempting to reach a mutually satisfactory resolution with UK authorities as soon as possible. Unfortunately, we are not yet in a position to give any indication of when this may happen.”
Members wishing to discuss QROPS should contact Fiona Galbraith.
Outsourcing of shared computing services: APRA information paper
APRA has published an information paper setting out prudential considerations and key principles in relation to outsourcing involving shared computing services, including cloud computing services.
The paper looks at shared computing services through the lens of Prudential Standard SPS 231 Outsourcing (and CPS 231 Outsourcing, for regulated industries other than superannuation) and in particular the requirements regarding notification of material outsourcing agreements to APRA, and consultation with APRA before outsourcing a material business activity offshore.
The paper provides guidance on a number of risk management considerations, and highlights weaknesses that APRA has observed during its supervisory activities. The areas covered include:
- governance
- the selection process
- the transition approach
- risk assessment and security
- ongoing management of material service providers
- business disruption
- the assurance model.
The information paper Outsourcing involving shared computing services (including cloud), and an accompanying letter to APRA regulated industries, are available on the APRA website.
Supervisory levies for 2015/16
The Superannuation Supervisory Levy Imposition Determination 2015 was made on 25 June 2015, and registered on 6 July 2015.
The determination sets the financial industry levies, which are designed to recover the operational costs of APRA, as well as certain superannuation related costs of ASIC, the ATO and the Department of Human Services (DHS). The determination began on 1 July 2015, and relates to the 2015/16 financial year.
- This year’s levy determinations, as announced in the May 2015 Budget, has seen the government move towards recovering full costs of two items from the superannuation industry:
- the ATO’s administration of the lost member and unclaimed money regimes
- the DHS’s administration of early release of superannuation benefits on compassionate grounds.
| Type of entity | Minimum restricted levy amount $ | Maximum restricted levy amount $ | Restricted levy percentage | Unrestricted levy percentage |
| Pooled superannuation trust | 1,000 | 130,000 | 0.00162 | 0.000989 |
| Small APRA fund | 590 | 590 | 0.00000 | 0.00000 |
| Other superannuation fund | 1,000 | 260,000 | 0.00325 | 0.008543 |
