Issue 562, 7 April 2015
In this issue:
- Australian Bureau of Statistics data collection by APRA
- Changes to the standard choice form
- Superannuation co-contributions and lower income superannuation contribution reporting extension
- ASFA Thomson Geer regulatory update (March quarter)
- Discounted rate for ASFA members to attend the AFR Banking & Wealth Summit
Australian Bureau of Statistics data collection by APRA
APRA has released a letter from the Australian Bureau of Statistics (ABS) in relation to a recent consultation package on the collection of additional superannuation data by APRA on behalf of the ABS (see ASFA Action issue 558).
The letter outlines a number of changes that the ABS proposes to make to the data collection, in response to preliminary feedback from the industry on the consultation package.
The ABS is specifically seeking comments on:
- the extent to which the changes proposed in the letter
- address (at least in part) some of the concerns already raised by the industry (as outlined in the letter)
- reduce compliance costs
- whether other minor changes would reduce compliance costs further.
The letter is available for download from the APRA website.
Submissions are being sought on the proposal by 17 April 2015.
Comments on the original consultation package or the impact of the proposals outlined in the ABS letter should be sent in writing to Fiona Galbraith by close of business (COB) Friday, 10 April 2015.
Changes to the standard choice form
On 26 November 2014, the Minister for Small Business, the Hon. Bruce Billson MP, announced that from 1 July 2015, employers will no longer be required to give a ‘standard choice form’ to temporary residents, or provide this form to employees when their superannuation funds merge (see ASFA Action issue 553).
Treasury has now released an exposure draft of amendments to the Superannuation Guarantee (Administration) Act 1992 to implement this announcement.
If you have any comments on the proposed amendments or the accompanying explanatory memorandum that you would like ASFA to consider including in its response, please forward them in writing to Tony Keir by COB 10 April 2015.
Superannuation co-contributions and lower income superannuation contribution disclosure relief
The government has amended the Corporations Regulations Act 2001 to provide ongoing relief from the disclosure requirements in relation to the superannuation co-contribution and lower income superannuation contribution (LISC), ahead of the expiry of class order relief on 30 June 2015.
Following the passage of the Mineral Resource Rent Tax Repeal and Other Measures Act 2014, individuals will no longer be eligible for the LISC for financial years after 2016/17, and the Australian Taxation Office will not make any further determinations of LISC amounts after 30 June 2019.
The disclosure requirements for LISC, as originally introduced into the Corporation Regulations, required superannuation funds to separately disclose, in periodic statements issued to members, amounts of LISC and superannuation co-contribution received during a reporting period. Given the government’s election commitment to repeal the LISC, the Australian Securities and Investments Commission (ASIC) provided relief via class order [CO 13/1420], allowing funds to report an aggregate amount of LISC and superannuation co-contribution, provided some additional conditions were met. [CO 13/1420] expires on 30 June 2015.
The government has now effectively provided an extension of this relief, by amending the Corporations Regulations disclosure requirements. Treasury Laws Amendment (2015 Measures No. 1) Regulation 2015 includes amendments that give superannuation funds the option to disclose the amount of superannuation co-contributions and LISC received during a reporting period either separately, or as a single aggregated amount. The amendment provides funds with continued flexibility in disclosing these amounts to members and removes the need for information technology changes to be made to reporting systems.
ASFA Thomson Geer regulatory update (March quarter)
Delivered in partnership with Thomson Geer (and previously with HWL Ebsworth), the latest edition of the ASFA Thomson Geer regulatory update has been released and is now available for members to download from the regulatory update section of the ASFA Toolbox.
This free ASFA member service seeks to keep you up to date with the changing superannuation environment, new legislation, developing policy and pertinent case law developments. The update is issued quarterly, and provides essential information for those wanting to stay abreast of the challenges and issues facing superannuation funds.
The information will be of particular use to:
- trustees
- compliance managers
- risk managers
- operations managers
- administrators and self-managed superannuation fund (SMSF) service providers
- members of investment committees
- government and regulatory liaison managers.
For trustees, the update will provide an overview of key information, with more detailed information directed at senior managers and administrators.
Members wishing to discuss the update can contact ASFA general manager, policy operations, Tony Keir.
Discounted rate for ASFA members to attend the AFR Banking & Wealth Summit
ASFA is pleased to support the upcoming AFR Banking & Wealth Summit on 28 and 29 April, and to mark this, we’ve been able to secure our members a 10% discount to attend. The Banking & Wealth Summit is a high-level policy forum focusing on the findings of the Financial System Inquiry. It will include presentations from some of Australia’s leading thinkers in the financial services sector. You can view the full agenda and speaker faculty here.
Simply quote ASFA10 at the checkout to redeem your discount and join us at the event.
Download the event brochure here.
