Superannuation funds have been subjected to confusion and processing delays as the Australian Taxation Office (ATO) struggles to cope with the Federal Government's Simpler Super legislation.
The legislation was finalised at the end of June.
Confusion, however, remains on parts of the legislation, including the taxation of death benefits, audit requirements for self-managed superannuation funds and how payment rules now apply to superannuation benefits.
"There is still a lot of interpretation that needs to be finalised. We continue to work in the dark," Ausfund chief executive Matt McCory said.
As a large part of the legislation is tax driven, the ATO has been the central point of contact.
This means the agency has to direct relevant enquires to ASIC and the Australian Prudential Regulation Authority.
"This has put the ATO under a lot of pressure. They have had to do an enormous amount of work in a short period of time," Ernst and Young director of superannuation consulting and taxation Noelle Kelleher said.
Kelleher said the government agency had seconded staff from other parts of the organisation to work on clarifying parts of the legislation.
"Although there has been a lot of consultation with industry, like most legislative changes, the devil is in the detail," she said.
The ATO was unavailable for comment.
