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ATO to share superannuation information in family court proceedings
Under a new law passed through Parliament late last week, the Australian Taxation Office (ATO) can release superannuation information to a family law court in a move that will make it easier for victim-survivors to recover their share of entitlements.
Naomi Neilson
Changes in the Treasury Laws Amendment (2021 Measure No. 6) Bill 2021 will make it harder for parties to hide or under-disclose their superannuation assets to their former partners in family law court proceedings and will ensure that the details are handed over efficiently, at little cost and without unnecessary complexities.
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The law has been welcomed as an “important step” towards improving the economic outcomes for family violence victim-survivors, especially those who are unable to flee a relationship because of financial abuse. Women’s Legal Service Victoria said it will mean they now have a better chance of achieving financial security later in life.
“So many women leave violent relationships with no assets and this has an enormous impact on their ability to recover financially, as well as emotionally, from years of abuse,” CEO Serina McDuff said. “We still have a long way to go to make sure vulnerable women are not left high and dry after leaving their partner, but this new law removes one important barrier to a fair asset split."
To obtain the information, an applicant will have to be a party to a family law property proceeding and apply to a family law court registry to request their former partner’s superannuation information held by ATO. Parties can then seek up-to-date information about the superannuation fund.
Access to this information will better support separated couples to divide their property on a “just and equitable basis”, the federal Attorney-General’s office said. It will help to alleviate the financial hardship and negative impact on retirement incomes that women in particular can experience after a separation.
Australian Institute of Superannuation Trustees (AIST) CEO Eva Scheerlinck congratulated the government on delivering the legislation, adding that superannuation is often the biggest – or only – asset in a relationship.
“Allowing the courts to access ATO data is a simple measure that will make the process far more efficient, fair, and cost-effective both for the individuals concerned and the super industry.”
