ATO to crack down on businesses over failed SG payments
The Tax Office has warned all Australian businesses that it will take action if correct super entitlements are not paid promptly.
The ATO has announced it will not hesitate to act against businesses that have not paid correct super entitlements on time as they are not “optional”.
Recent data revealed ATO actions led to the collection of $932 million of previously unpaid superannuation which reached the accounts of 797,000 employees over the past year.
ATO deputy commissioner Emma Rosenzweig said the latest super guarantee (SG) employer compliance figures reflected the ATO's work to ensure the unscrupulous minority did not benefit at employees’ expense.
“More than 92 per cent of superannuation entitlements are paid without the need for ATO intervention,” Rosenzweig said.
“The ATO takes non-compliance with super guarantee obligations seriously, and ramped up the number of audits and reviews of employers.”
Over the last 12 months, the ATO reached out to 167,000 employers with reminders and prompts to pay employees super, an increase of 24 per cent from the previous year.
The ATO said employers needed to pay super in full, on time and to the right fund each quarter by 28 January, April, July and October.
It was also noted for employers to prepare for the super changes coming from 1 July 2026 and that businesses could begin paying super more regularly now if preferred, with consideration of reconciliation at the end of every quarter.
Rosenzweig said the ATO now had better ways to detect and deal with non-compliance due to improved access to single-touch payroll and superannuation fund data.
“The vast majority of Australian employers are doing the right thing by their employees. Sadly, we still receive referrals from employees reporting their super had not been paid.”
“Our action against employers who aren’t complying with super guarantee obligations helps to protect employee’s superannuation and ensure a level playing field for all businesses.”
The ATO reminded employees that they could check their super account via myGov and that employers could also check their compliance with super obligations through ATO resources.