Issue
Can surchargeable contributions received by a superannuation provider in a financial year be treated as being contributed in another financial year?
Decision
No, there is no discretion under the Superannuation Contributions Tax (Assessment and Collection) Act 1997 (SCTA) for the Commissioner of Taxation to apportion the surchargeable contributions reported by the superannuation provider
Facts
The taxpayer was a member of an superannuation (accumulated benefits) provider. During the financial year the employer made a superannuation contribution on behalf of the taxpayer to a complying superannuation fund. The superannuation contribution received by the fund related to employment income received by the taxpayer in earlier financial years. The taxpayer received a surcharge assessment based on the employer contribution made in the financial year.
Reasons for Decision
Under section 8 of the SCTA, surchargeable contributions are calculated by reference to contributions made to the superannuation provider for the financial year. Paragraph 8(2)(c) of the SCTA defines surchargeable contributions to include certain taxable contributions made by an employer to a complying superannuation fund in respect of a member for the financial year.
Section 13 of the SCTA requires the superannuation provider to report the amounts that were paid by the employer for that financial year to the Commissioner of Taxation.
Section 15 of the SCTA requires the Commissioner of Taxation to make an assessment of surcharge after determining the member's adjusted taxable income.
The surcharge liability in respect of the taxpayer has been correctly calculated based on the information reported by the superannuation provider.
There is no discretion under the SCTA, which permits the Commissioner of Taxation to vary the amount of surchargeable contributions reported to him.