Overview
The Australian Taxation Office has withdrawn a superannuation guarantee ruling, SGD 96/2, effective 2 September 2026. The ruling previously explained how employers calculated superannuation obligations on labour-only contracts, where a contractor is treated as an employee under subsection 12(3) of the Superannuation Guarantee (Administration) Act 1992.
Why the ruling was withdrawn
The withdrawal follows changes introduced by the Treasury Laws Amendment (Payday Superannuation) Act 2025, known as the Payday Superannuation laws. Those laws changed the rules from 1 July 2026, replacing the old concept of salary or wages with a new concept called qualifying earnings.
Under the new framework, all payments under a labour-only contract that relate to the person's labour count as qualifying earnings under paragraph 10A(1)(d) of the Superannuation Guarantee (Administration) Act 1992.
New draft ruling
The ATO has carried the relevant guidance across into a new draft ruling, SGD 2026/D1. That ruling covers how to work out payments for labour-only contracts under the new qualifying earnings framework. SGD 2026/D1 is available on the ATO legal database at ato.gov.au/law.
Key dates
- 1 July 2026 - the new qualifying earnings rules take effect; the old salary or wages concept no longer applies to super calculations from this date.
- 2 September 2026 - SGD 96/2 is formally withdrawn and no longer applies to super calculations from 1 July 2026 onwards.
Key actions
- Stop using SGD 96/2 as a reference - it is withdrawn from 2 September 2026 and no longer applies to super calculations from 1 July 2026 onwards.
- For super calculations on labour-only contracts from 1 July 2026, refer to the new draft ruling SGD 2026/D1 on the ATO legal database at ato.gov.au/law.
- For quarters ending on or before 30 June 2026, the old salary or wages concept still applies - the ATO legal database holds the SGD 96/2 history for those periods.
- Confirm with a bookkeeper or accountant that payroll systems are calculating super on the new qualifying earnings basis for all payments made from 1 July 2026.
This is a plain-English summary for information only, not legal or compliance advice. Always check the official source or consult a qualified professional.