Rollover through SuperStream now mandatory

Date of article: 3 October 2021
Last updated: 27 March 2023

Rollovers in and out of SMSFs must comply with the SuperStream rules from 1 October 2021.

SuperStreamrequires the SMSF to use an Electronic Service Address, normally provided by the accountant/ administrator of the SMSF, for sending and receiving rollover information.

The payment must be made electronically, through electronic payment transfer.

Except applies to in-specie rollovers, which continue to be through paper-based rollover benefits statement.

Rollover-in to SMSF

Where a rollover is initiated by a member, the sending superannuation fund will send the rollover information using SuperStream to the receiving SMSF, and make the payment electronically to the SMSF’s bank account.

The sending fund will check with ATO:

• the SMSF compliance status (if your SMSF has overdue tax return, it will be likely that the ATO will withhold the compliance status of your SMSF to prevent rollovers).
• the fund/ member details.
• the SMSF is able to receive rollover information electronically using SuperStream – the SMSF has an Electronically Service Address on ATO’s record.
• the SMSF is able to receive payment electronically – the SMSF has its banking details on ATO’s record.

If you require an Electronic Service Address (ESA), please contact us.

Rollover-out of SMSF

Where a rollover is initiated by a member of the SMSF, the SMSF will send the rollover information using SuperStream to the receiving superannuation fund, and make the payment electronically to the superannuation fund’s bank account.

Important: the payment must be made within 3 business days of the rollover information being sent to the receiving superannuation fund.

Once having all necessary information, the accountant/ administrator for the SMSF will proceed to send the rollover information using SuperStream to the receiving superannuation fund. The accountant/ administrator will then provide the Payment Reference Number (PRN) to the Trustee of the SMSF. The Trustee of the SMSF must make the payment electronically to the receiving superannuation fund within 3 business days using the PRN.

The payment electronically to the receiving superannuation fund must be for the amount provided in the rollover information and be made in a single transaction quoting the PRN. It cannot be paid as multiple payments with the same PRN to make up the rollover amount.

A failure to comply SuperStream rules may result with the auditor having to report a breach to the Australian Taxation Office.

As part of our service, we provide clients with Electronic Service Address at no extra cost. If you require assistance with rolling-in or rolling-out of your SMSF, we can assist you.

Do you need help with your situation or if you wish to discuss the above, please contact us. Our contact details.