APRA funds warned on consequences of unchecked errors for members
The ATO has urged APRA-regulated funds to ensure their reporting is accurate, with members relying on this information for decisions on contributions.
In an online update, the ATO said that as the end of the financial year approaches, now is a good time for large super funds to ensure that member contributions reported through the ATO’s member account transaction service (MATS) are accurate and complete.
The ATO warned funds that unchecked errors could result in unintended consequences for their members, which the ATO may not be able to reverse.
“When reporting MATS transactions for a member, make sure the contribution amounts and types are reported correctly at the correct label for that type of contribution and that fund ABN, USI and member account identifiers exactly match what was reported when the account was opened in a Member Account Attribute service,” the Tax Office stated.
Many processes within the ATO, and displayed to members through ATO Online, use the type and amount of contributions reported on the MATS reporting, the ATO noted.
“With the increase of automated processing, and the extension of release authorities into SuperStream, we are less likely to be able to assist funds to remediate any reporting errors before they’re used to assess members against contribution caps and other measures,” the ATO cautioned.
Miranda Brownlee
Miranda Brownlee is the deputy editor of SMSF Adviser, which is the leading source of news, strategy and educational content for professionals working in the SMSF sector.
Since joining the team in 2014, Miranda has been responsible for breaking some of the biggest superannuation stories in Australia, and has reported extensively on technical strategy and legislative updates.
Miranda also has broad business and financial services reporting experience, having written for titles including Investor Daily, ifa and Accountants Daily.
