Overview

The Superannuation Supervisory Levy Imposition Determination 2013 was enacted to provide details for the levy imposed by the Superannuation Supervisory Levy Imposition Act 1998 on superannuation entities, specifically for the 2013-14 financial year. This legislation aims to address the need for a structured method of imposing supervisory levies on superannuation entities to ensure adequate funding for regulatory activities. The determination was made by the Treasurer under the authority of the Act and was published in accordance with the Legislative Instruments Act 2003. The primary policy objective of this determination is to establish a fair and calculated method for imposing levies that align with the financial capacities of different superannuation entities, particularly differentiating between standard funds and small APRA funds.

Scope and Application

The Superannuation Supervisory Levy Imposition Determination 2013 applies to superannuation entities as defined under the Superannuation Supervisory Levy Imposition Act 1998, with specific provisions for small APRA funds (SAFs) and larger superannuation funds. It outlines the maximum and minimum restricted levy amounts, the restricted and unrestricted levy percentages, and the methodology for calculating a superannuation entity's levy base for the 2013-14 financial year. For non-SAFs, the restricted component is set at 0.01848 per cent of assets, with a minimum of $590 and a maximum of $1,786,000, while the unrestricted component is 0.004614 per cent. SAFs are subject to a flat levy of $590. The determination is applicable nationwide, covering entities within Australia. Any obligations or liabilities incurred prior to the determination's registration remain valid, and its early commencement does not affect the rights of any person adversely nor impose any liabilities for actions taken before its registration. The application of the Act can be further defined or modified through subordinate instruments, as required by section 7(3) of the Act.

Key Provisions

The Superannuation Supervisory Levy Imposition Determination 2013 (the Determination) outlines the specifics of a levy imposed on superannuation entities, pursuant to the Superannuation Supervisory Levy Imposition Act 1998 (the Act). This Determination applies to the 2013-14 financial year and supersedes the Superannuation Supervisory Levy Imposition Determination 2012 upon its commencement on 1 July 2013. It is important to note that any obligations or liabilities incurred prior to this Determination's commencement remain valid, consistent with section 7 of the Acts Interpretation Act 1901. The Determination is enacted under subsection 12(2) of the Legislative Instruments Act 2003, allowing for its commencement before registration, without adversely affecting any person's rights or imposing any liability prior to registration. Section 7(3) of the Act mandates that the Treasurer, through legislative instrument, determine several key aspects of the levy: (a) the maximum and minimum restricted levy amounts for each financial year, (b) the restricted levy percentage, (c) the unrestricted levy percentage, and (d) the method for calculating a superannuation entity's levy base. For superannuation funds excluding small APRA funds (SAFs), the restricted levy for 2013-14 is set at 0.01848 per cent of the assets held, with a minimum of $590 and a maximum of $1,786,000. The unrestricted levy is set at 0.004614 per cent of the assets. SAFs, on the other hand, are levied a flat amount of $590 per fund, with both restricted and unrestricted components set at zero per cent of the assets. The Determination imposes specific obligations on superannuation entities, requiring them to calculate their levy based on the stipulated percentages and asset values. The restricted and unrestricted components of the levy must be accurately determined and remitted according to the thresholds and percentages outlined in the Determination. Furthermore, superannuation entities must ensure compliance with these calculations to avoid any non-compliance issues. The Determination also stipulates that the methodology for imposing these levies will be periodically reviewed, with further consultations undertaken with stakeholders to address any identified issues. In the event of non-compliance with the provisions of the Determination, superannuation entities may face civil or criminal consequences. While the specific penalties are not detailed in the Determination, they are likely to align with the penalties prescribed under the Superannuation Supervisory Levy Imposition Act 1998 or related regulations. Penalties for non-compliance could include fines or other sanctions, depending on the severity of the breach and the discretion of the relevant authorities. These consequences underscore the importance of accurate and timely compliance with the levy requirements stipulated in the Determination.