We work closely with large super funds to help them calculate their tax liabilities. We do this through our justified trust program and providing guidance to help funds comply.
The relatively low tax gap estimate for this group is a result of our engagement with funds and the investment industry more broadly, coupled with the regulatory supervision of this industry. In doing this, we:
- gather intelligence through assurance reviews, industry consultation and our rulings program to identify emerging risks
- focus on preventative action, including treatment strategies to address legal or systemic issues
- work with industry to resolve unsettled interpretive matters to promote willing participation
- help those that have proven they have calculated the right amount of tax that we expect to collect
- take firmer action against those that do not comply with the law.
Our key strategies include:
- our top 100 and top 1,000 tax performance programs to assure that these funds are meeting their obligations with expected collections of income tax through assurance reviews and the next actions program
- engaging early with key industry participants, including custodians and administrative service providers
- continuing our focus on fund governance, including ensuring that funds have adequate controls over third-party data and providing guidance for large super funds, managed funds, and insurance companies on third party data tax controls
- working with Treasury, the Australian Prudential Regulation Authority (APRA), and the Australian Securities and Investments Commission (ASIC) to support law design and settling areas of interpretative uncertainty
- identifying existing and emerging areas of uncertainty and consulting with industry to develop public advice and guidance to help large super comply, for example:
- Governance over third party data guide (PDF, 504KB)This link will download a file
- TD 2024/6 Income tax: trustee risk reserves - deductibility of payments made by a superannuation fund to its trustee
- TA 2020/5 Structured arrangements that provide imputation benefits on shares acquired where economic exposure is offset through use of derivative instruments
- TD 2020/7 Income tax: can capital gains be included under subparagraph 770-75(4)(a)(ii) of the Income Tax Assessment Act 1997 in calculating the foreign income tax offset limit?
- PCG 2018/2 Propagation arrangements adopted by registrable superannuation entities
- TD 2017/24 Income tax: where an amount included in a beneficiary's assessable income under subsection 99B(1) of the Income Tax Assessment Act 1936 (ITAA 1936) had its origins in a capital gain from non-taxable Australian property of a foreign trust, can the beneficiary offset capital losses or a carry-forward net capital loss ('capital loss offset') or access the CGT discount in relation to the amount?
- measuring the impact of our activities to give the community a better understanding of the tax and super system in operation.