The ATO has opened public consultation on 30 October 2026 for draft Practical Compliance Guideline PS LA 2026/D4, which sets out the Commissioner’s approach to assessing superannuation guarantee (SG) liabilities under the new “Payday Super” regime. The Payday Super measure, legislated to commence from 1 July 2026, requires employers to pay SG contributions at the same time as they pay their employees’ salaries and wages, rather than quarterly. The draft guidance outlines the administrative framework for assessing SG shortfalls, including the calculation of the SG charge, the application of penalties, and the interaction with the existing SG gap provisions. Stakeholders are invited to provide feedback by 13 November 2026.
Key Takeaways
- Alignment with Pay Cycles: The guidance clarifies that SG contributions must be paid on each payday, with the SG charge calculated on any shortfall for that specific pay period.
- Penalty Framework: The draft outlines the behavioural penalty regime applicable to late or underpaid SG contributions, including the potential for increased penalties for repeated non-compliance.
- Transition Considerations: Employers and payroll providers must adapt systems to accommodate the increased frequency of SG payments and reporting, with the ATO signalling a compliance focus during the transition period.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement