Superannuation Alert - 24.10.13

Financial Services eBulletin - 24 October 2013

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

  • On 15 October 2013, the Superannuation Complaints Tribunal released three new publications on its website:  
    • New time limits for TPD complaints: The Tribunal has noted that recent legislative amendments have extended the time limits in which to make complaints to the Tribunal about trustee decisions relating to the payment of a disability benefit. The new time limits apply where the trustee's decision is made on or after 1 July 2013.
    • Reasons for Trustee decisions relating to the payment of death benefits - The Tribunal has noted recent legislative amendments concerning Trustee's inquiries and complaints obligations under section 101 of the SIS Act. In particular, it noted that section 101(1)(c)(i) was inserted with effect from 1 July 2013 to require a trustee to give written reasons for its decision in relation to a complaint that relates to the payment of a death benefit at the time the trustee gives notice of its decision.
    • Tribunal's jurisdiction expanded in relation to provider's ATO reporting - The SCT has noted recent legislative amendments that expand its jurisdiction in relation to decisions of trustees about the reporting the trustee makes to the Commissioner for Taxation about a member.
  • On 18 October 2013, the Federal Opposition Leader, Bill Shorten, announced details of Labor's shadow ministry, including Chris Bowen as Shadow Treasurer and Bernie Ripoll as Shadow Minister for Financial Services and Superannuation.
  • On 23 October 2013, APRA updated its website to include new and updated frequently asked questions on the reporting framework:

SRF 330.0 Statement of Financial Performance

  • FAQ 58: The instructions to item 21 on SRF 330.0 appear to require clarification. How should this item be derived?

Investments Reporting

  • FAQ 59: When should an RSE with a balance date other than 30 June cease reporting SRF 530.1 and commence reporting SRF 530.0 and SRF 531.0?
  • FAQ 60: Where an indirectly held investment contains derivative contracts, how should those derivative contracts be reported on SRF 530.1 and SRF 530.0?
  • FAQ 61: How does APRA expect the investment flows of an investment vehicle to be reported on SRF 530.1 and SRF 531.0 where an RSE licensee does not have the detailed information required to report flows by asset class, asset domicile and asset listing?

Audit Requirements

  • FAQ 62: In the Quality Control section of each reporting standard, there is reference to limited assurance audit requirements. However, Prudential Standard SPS 310 Audit and Related Matters requires some forms to be audited on a reasonable assurance basis. How should these provisions be read?
  • FAQ 63: Is the RSE auditor required to review and test the RSE licensee's systems, procedures and internal controls (refer to Prudential Standard SPS 310 Audit and Related Matters, paragraph 19(b)(ii)) or satisfy any of the other new audit requirements before the RSE licensee submits the first quarterly reporting forms to APRA?

Reporting - 2012-2013 Forms

  • FAQ 64: How should an RSE licensee complete the items in SRF 260.0 - Trustee Statement, that refer to provisions in the SIS Act that no longer exist (eg s29E(1)(c) and 29P)?

Defined benefit reporting

  • FAQ 65: Should the total benefit payments be reported in SRF 160.1 (item 3 column 2) gross or net of any tax amount on the benefit?

Further information

All information on this site is of a general nature only and is not intended to be relied upon as, nor to be a substitute for, specific legal professional advice. No responsibility for the loss occasioned to any person acting on or refraining from action as a result of any material published can be accepted.