Excess Employer Contributions can be simply posted to account 24200/MEMBERCODE. Simple Fund 360 will not calculate any excess contributions tax on these contributions and they will be assessed at the normal fund rate.
The ATO will use information from the fund’s tax return and information from the individual’s income tax return to work out if they have exceeded the concessional contributions cap and assess the individual’s tax liability.
THE INDIVIDUAL IS LIABLE TO PAY THE EXCESS CONTRIBUTIONS TAX, NOT THE SUPER FUND.
If the individual has exceeded the concessional contributions cap the ATO will send them a notice of assessment for the relevant year which will include the amount that they have to pay. The individual can pay their excess concessional contributions tax in a number of ways.
- pay the tax themselves without drawing on their super
- pay the tax themselves and use the voluntary release authority to ask their Super Fund to release the money to them
Recording the expense when paid from the fund
|From the Main Toolbar, go to Accounting.||
|Select Transaction list||
- From the Transaction List screen, select New Transaction. From the drop-down list, select Bank Statement.
- Input the date of the expense and a reference number (Simple Fund 360 will automatically produce a reference number, but it is editable). You can include a description of the expense in the Description box.
- Under the Account heading, select the bank account from the Select an account box. Click on the next Select an account box. Begin typing and select account 44000/MEMBERCODE (the individual paying the tax).
- Input the expense amount. Simple Fund 360 will post a corresponding entry to the bank account fields on the screen (where you input the expense as a Debit Simple Fund 360 will post a Credit to the bank account).
- After you have entered all information for the transaction, select Post to add the transaction and to return to the Transaction List screen, or select Post & Add Another to add the transaction to the Transaction List, but remain on the Bank Statement screen.