The Lander & Rogers Superannuation Alert is a brief overview of new developments in the superannuation industry.

Type Subject matter Source Description

Legislative update

New Legislative Instrument - Financial Sector (Collection of Data) Exemption No. 1 of 2017

Federal Register of Legislation

On 26 September 2017, the Financial Sector (Collection of Data) exemption No. 1 of 2017 was registered on the Federal Register of Legislation.

According to the Explanatory Statement, the instrument was issued by APRA and aims to reduce the reporting burden on RSE licensees by "exempting RSE licensees from reporting under SRS 703.0 in respect of 30 June 2017 on the condition that this information is provided in respect of 30 September 2017". APRA's reporting standard SRS 703 "sets out the requirements for the provision of information to APRA about the fees and costs required to be disclosed on a PDS relating to a MySuper product".


Accumulation phase value - reporting obligation modified by ATO

ATO October Superannuation Communique

On 5 October 2017, the ATO released its latest Super Communique and announced that it will be modifying the reporting obligations for accumulation phase values (APV) for 30 June 2017, in recognition that some funds may not be in a position to report the correct value. The APV is required to be "reported to enable correct calculation of an individual's total superannuation balance for 30 June of each financial year".

According to the ATO, "[f]unds will not be required to report an APV for 30 June 2017 if the difference between the Member Contribution Statement (MCS) account balance and APV is limited to the sum of exit and administration fees that would apply if the account was to cease at 30 June 2017". However, if the balance in the MCS is not in the APV, the ATO advises that "funds should report the APV separately in a transfer balance account report around the same time as MCS lodgement".

ATO Report to ATO required for events affecting retirement phase interests

ATO October Superannuation Communique

On 5 October 2017, in the same Super Communique, the ATO issued a reminder that superannuation providers must complete and lodge a transfer balance account report (TBAR) for any "events that affect the transfer balance account of your member". For example, if a retirement phase income stream becomes unclaimed superannuation money, the ATO has specified that a super provider will need to complete and lodge a TBAR.

The ATO has stipulated that once a provider has started reporting, "any further transfer balance account events will need to be reported via the TBAR within 10 business days after the end of the month in which the event occurred". Events which will not need to be reported include "pension payments, investment earnings and losses and circumstances when an income stream is closed because the interest has been exhausted".

The ATO has advised that reporting obligations may "commence in October 2017 [but] will start no later than 14 December 2017".