ATO reports back on TBAR consultation

In November last year, the ATO initiated a consultation on plans to implement a streamlined framework for reporting transfer balance cap events.

There are currently two different time frames for transfer balance cap events-based reporting, depending on total super balances. 

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One of the proposals in the consultation is to move to a framework where all SMSFs report on a quarterly basis.

ATO deputy commissioner, superannuation and employer obligations, Emma Rosenzweig said that while the ATO is still making some final decisions on what the framework will look like, the Tax Office is very sympathetic to some of the issues raised around timing during the consultation.

“We know that there have been a lot of changes for people to come to terms with, including challenges with the pandemic and natural disasters, so one thing I can confirm is that we’re not going to make any changes for the coming financial year,” Ms Rosenzweig told delegates at the National SMSF Association Conference. 

Lodgement deadlines 

While Ms Rosenzweig acknowledged that some SMSF practitioners and trustees are struggling with SMSF annual return lodgements, she also said that the ATO was not considering an extension to the lodgement deadline.

“We know that accountants and tax agents are facing lots of pressures. We’ve had a couple of years of the pandemic and some natural disasters on top of that. We know there are challenges in keeping up and supporting clients,” she said.

“What we would encourage people to do if they are struggling to meet their lodgement deadlines is come and talk to us and request extensions, we’re very aware of the challenges that people are having and we’re looking to work with people in a way that’s really tailored to their situation to make sure that they’ve got time to do it.”

Ms Rosenzweig also ruled out any change to the two-week window for removing funds from SuperFund Lookup where the fund is late to lodge.

“We find it is a very effective way of getting people to lodge their returns and that is a growing challenge for us with new registrants entering the system,” she said.