reportable employer superannuation contributions (RESC) – a reminder to include on payment summaries
Due to changes in legislation, the PAYG Payment Summaries have now changed and you will be unable to use any payment summaries that you may have stockpiled from prior years!
From 1 July 2009, employers who make super contributions under a salary sacrifice arrangement or extra super contributions to a super fund for an employee are required to report these contributions on their employees’ PAYG payment summary.
These contributions, called “Reportable Employer Superannuation Contributions”, include contributions an employer makes for an employee where;
- the employee influenced the rate or amount of superannuation contributed for them; and
- the contributions are in addition to the amounts required under the super guarantee law (9%), industrial agreements or other federal, state or territory laws.
This means that where employees salary sacrifice into super, the contributions are reportable employer super contributions.
For those who employ themselves and have other employees, you are required to provide PAYG Payment Summaries to your employees by 14 July 2010. We can, however, request an extension for lodgement of your personal PAYG Payment Summaries with the ATO until September 2010 if you require extra time to complete. Should you require an extension, please let us know and we can arrange this on your behalf.
If you are in any doubt when preparing these summaries please contact us and we can assist you with completion. Errors made when reporting these amounts will result in a requirement to amend payment summaries.
stock on hand
We remind you to do your stock take for 30 June 2010, writing off any stock that is damaged or obsolete. The value of the closing stock for businesses registered for GST does not include GST.
claiming bad debts
Review your outstanding debtors to ensure that there are none that unrecoverable. In order to claim a bad debt the debt must be deemed to be unrecoverable and written off prior to 30 June 2010. To be able to do this, the debt must have already been accounted for as income and you are certain that this debt is not recoverable, e.g. the business has gone into liquidation or you have exhausted all measures in attempting to recover this debt. If you do write off any bad debts, we remind you to make the GST adjustment.
Please remember substantiation rules apply to motor vehicles, travel expenses and work related expenses claims. Should you have any queries with regards to what records are required to be kept, please contact us.
If you need assistance with planning for the end of Financial Year, call us today on 07 3833 3999 or email firstname.lastname@example.org.