If you combine MATS and STP – what do you get? You get better matching of Super Guarantee (SG) payments by the ATO.
Member Account Transaction Service (MATS) is an ATO service that allows superannuation providers (other then Self-managed superannuation funds) to notify the ATO of an individual’s superannuation account transactions (contributions they receive on behalf of their members). STP provides the mechanism for employers to report their payroll information direct to the ATO including the super contributions made for their employees. Take the data from both sources, match them and what do you get? A perfect list of audit candidates for the ATO to audit where SG commitments have not been met.
A 2022 Report prepared by The Australian National Audit Office concluded that the ATO was only partly effective in its SG compliance approach, often taking on a reactive approach and investigating employers that had been dobbed in by an employee. With a shortfall of some $2.5 billion of Super Guarantee Charge, an ATO taskforce was formed to look at Super Guarantee Matching. The end result will see the ATO take on a very pro-active approach where employers are not meeting their Super Guarantee commitments. The implications of not paying SG on time is huge – costly both in terms of dollars and time! Tune in to hear what you need to know about SG Matching and what the implications are if your employer finds themselves in Super Guarantee Charge territory.
Source: Australian Bookkeepers Network (ABN)