(Cth) Require ATO Disclosure of Superannuation Death Benefit Information to Eligible Beneficiaries

Tania Thomas, Marina Gabra, Chelsea Lee, Mimi Kassem & Zak Russell
May 6
7 min read

Author: Tania Thomas, Marina Gabra, Chelsea Lee, Mimi Kassem & Zak Russell | Publish date: 6/5/2026

P: The Australian Taxation Office (ATO) is legally prohibited from disclosing the details of a deceased person's superannuation fund to their next of kin.
S: The Minister for Finance should amend Section 355-25(2) of the Taxation Administration Act 1953 (Cth) to allow the ATO to disclose a deceased person’s superannuation fund to eligible next of kin.

Problem Identification:

Section 355-25(1) of the Taxation Administration Act 1953 (Cth) states that an ATO officer must not make a record of, or disclose, protected information except where a legislated exemption applies. Section 355-25(2) sets out the limited exemptions to the ATO’s secrecy obligations. However, these exemptions do not extend to eligible next of kin seeking to locate a deceased person’s superannuation.

According to Super Consumers Australia (SCA), this means that families often cannot locate a deceased person’s superannuation fund, even when they are legally entitled to claim it. As such, it is known that they must contact multiple funds and repeat paperwork, delaying payments and compounding disadvantages.

Context:

Superannuation refers to compulsory retirement savings. Employers have to contribute a percentage of a worker’s pay into an account over their working life to help fund their retirement.

Death benefits refer to the superannuation paid after the account holder’s death, often to the next of kin.

The ATO has explained that many Australians have more than one super fund, contributing to billions of dollars in ‘lost’ or unclaimed superannuation managed by the ATO. In 2025, the total amount of lost and unclaimed Australian superannuation reached $18.9 billion.

Arguments:

Australian Securities and Investments Commission (ASIC) Commissioner Simone Constant stated that delays caused by death benefit handling ‘exposed grieving Australians to added and unnecessary distress after the death of a loved one.’ According to SCA, ATO secrecy provisions push claimants to navigate complex processes at a vulnerable time, which can cause significant emotional and practical harm. ASIC has noted that delayed death benefit payments can make paying for funeral expenses and meeting ongoing obligations such as rent or mortgage repayments difficult. Financial counsellor Alex Price-Busch from Indigenous Consumer Assistance Network (ICAN) has observed that ‘we see families fighting to claim death benefits while grieving’, and the complexity means ‘many just give up because it’s too hard.’

BusinessThink, connected to the UNSW business school, has reported that barriers to accessing information within the superannuation system disproportionately disadvantage vulnerable members. Xavier O’Halloran, CEO of SCA, has highlighted that First Nations peoples, older Australians and those living in remote communities are more likely to be excluded from administrative processes, including efforts to identify and claim superannuation entitlements. The Bankwest Curtin Economics Centre has further revealed that First Nations families face compounded barriers, such as limited access to identification, geographic remoteness, and administrative complexity. They emphasised that this has made it difficult to determine where a deceased person’s superannuation is held when the ATO is unable to disclose this information.

Some stakeholders have cited privacy and fraud risks to justify ATO secrecy provisions. However, Financial Counselling Australia (FCA) has noted that disclosure of fund-holding information need not bypass existing safeguards. They explained that beneficiaries could still be required to provide documentation, and the ATO could still enforce existing identity verification and anti-fraud controls. SCA stated that these existing verification procedures were ‘risk averse’ with ‘onerous and rigid processes’ put in place to prevent fraud.

Advice/Solution Identification:

SCA, FCA, and the Association of Super Funds Australia have all called for the ATO to be required to disclose superannuation fund details to eligible next of kin. According to FCA, disclosing these details could help to ‘reduce financial hardship for grieving families’, while making ‘government processes fairer and more efficient’.

Precedent:

There are international comparable reforms of reducing information barriers following a death. In the UK, the Tell Us Once service has enabled bereaved families to notify multiple public agencies through a single process, allowing information sharing to resolve financial and administrative matters.

Public support:

This list reflects publicly stated positions and should not necessarily be taken as endorsement of this specific brief.

News Coverage:

ABC News - “ASIC delivers scathing review into 'insensitive' super funds on death benefit claims”. The article reported on an ASIC review highlighting poor practices and significant delays by super funds in handling death benefit claims. By: Nassim Khadem | 31 March 2025 - Read the article here.
ASFA - “Superannuation sector apologises for death benefits problems, commits to getting it right”. The statement detailed the industry’s apology and new measures to improve the handling of death benefit claims following ASIC’s report. Media Release | 31 March 2025 - Read the article here.
The Guardian - “Super fund took more than 500 days to approve death benefit for grieving widow, ASIC says”. The article detailed one case cited in ASIC’s report, highlighting the emotional and financial toll of prolonged claim delays. By: Henry Belot | 31 March 2025 - Read the article here.
ABC News - “Millions of Australians will have no say in who inherits their superannuation”. This piece explained how superannuation law determines the distribution of funds after death, and the risks for members without binding nominations. By: Nassim Khadem | 26 August 2025 - Read the article here.

Where to go to learn more:

(2025) Building Futures Not Barriers: Superannuation That Works | Super Consumers Australia - Outlined key recommendations to make superannuation more accessible and equitable, including requiring the ATO to disclose superannuation death benefit information to eligible beneficiaries. View the 2022-23 Pre-Budget Submission here.
(2025) Submission to Treasury - Review of Tax Regulator Secrecy Exceptions | Financial Counselling Australia - Outlined how current tax secrecy laws can hinder families’ ability to access financial information, including for superannuation entitlements. They further recommended reforms to improve fairness and practicality, including requiring the ATO to disclose superannuation death benefit information to eligible beneficiaries. View the Review here.
(2025) Guide To Superannuation Death Benefits | MLC TechConnect - Provided step-by-step guidance on how super death benefits are managed and paid, including who can receive them, nomination choices, payment forms and tax considerations. Access the guide here.
(2025) ATO Privacy Policy - Explained how the ATO handles personal and superannuation information, including limitations on disclosure. Read the policy here.
Taxation Administration Act 1953 (Cth) - Sch. 1 Div. 355 set out the secrecy provisions that restricted the ATO from disclosing superannuation information, including in circumstances involving deceased persons. View the legislation here.

Human Perspective:

Trigger Warning: Grieving and mention of death

Priya is a 21-year-old student who became the primary carer for her younger brother with a disability after their mother passed away unexpectedly. She suddenly found herself responsible not only for planning the funeral, but also for managing financial responsibilities and household duties, whilst dealing with immense grief. Their mum had worked multiple part-time jobs over the years, and Priya suspected she had multiple superannuation accounts. But when Priya contacted the ATO for help locating her mum’s super accounts, she was told they couldn’t disclose which funds held the money. Priya called every major fund she could think of, filling out forms on her breaks and spending long evenings on hold. Each time a fund said they had no record of her mum, she had to start again. Bills kept building, her brother’s medical bills went unpaid, and Priya had to take extra shifts just to cover rent. Balancing these administrative steps alongside caregiving, study, and part-time work added pressure during an already difficult period. She felt stuck, overwhelmed, and hurt. The superannuation that could help Priya look after herself and her brother remained out of reach, locked away by rules preventing the ATO from sharing this basic information. For Priya, these privacy restrictions made her grieving even more challenging in such a difficult time.

To protect the anonymity of those involved, this is a fictionalised account drawn from an amalgamation of real-life stories, experiences and testimonials gathered during the research process for this brief. Any resemblance to actual individuals is purely coincidental.

Conflict of interest/acknowledgment statement:

N/A

Support

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Disclaimers

Please review all FORE disclaimers here.

Reference list:

Australian Securities and Investments Commission. (2025, March 31). Super industry hit with long list of actions in landmark death benefit claims handling report [Press release]. https://www.asic.gov.au/about-asic/news-centre/find-a-media-release/2025-releases/25-049mr-super-industry-hit-with-long-list-of-actions-in-landmark-death-benefit-claims-handling-report/

Australian Taxation Office. (2025, October 29). $18.9 billion lost and unclaimed super. https://www.ato.gov.au/tax-and-super-professionals/for-superannuation-professionals/super-funds-newsroom/18-9-billion-lost-and-unclaimed-super

Australian Taxation Office. (2023, August 2). Superannuation death benefits. https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/withdrawing-and-using-your-super/superannuation-death-benefits

Australian Taxation Office. (2023, August 2). What is super: Super for individuals and families. https://www.ato.gov.au/individuals-and-families/super-for-individuals-and-families/super/what-is-super

BusinessThink. (2025, November 18). One size doesn’t fit all: is the super system failing vulnerable members?https://www.businessthink.unsw.edu.au/articles/superannuation-system-vulnerable-members-retirement-inequality

Dockery, A. M., Owen, J., Dwyer, A., Sultana, N., Duncan, A., & Cassells, R. (2020, May). Aboriginal and Torres Strait Islander Australians and the superannuation system [BCEC Research Report]. Bankwest Curtin Economics Centre, Curtin University. https://bcec.edu.au/assets/2020/06/BCEC-ATSIA-and-the-Superannuation-System-Report-FINAL-1.pdf

Khadem, N. (2025, March 30). ASIC delivers scathing review into ‘insensitive’ super funds on death benefit claims. ABC News. https://www.abc.net.au/news/2025-03-31/superannuation-death-benefit-claims-delays-asic-report/105107640

Khadem, N. (2025, August 25). Millions of Australians will not have a say in who inherits their superannuation. ABC News. https://www.abc.net.au/news/2025-08-26/who-gets-your-superannuation-when-you-die-binding-death-benefits/105678326

Meyrick, D. (2025). Submission to Treasury – Review of tax regulator secrecy exceptions. Financial Counselling Australia. https://www.financialcounsellingaustralia.org.au/docs/submission-to-treasury-review-of-tax-regulator-secrecy-exceptions/

MLC Limited. (2025, December 5). Guide to superannuation death benefits [Technical guide]. MLC. https://www.mlc.com.au/content/dam/mlcsecure/adviser/technical/pdf/guide_to_superannuation_death_benefits.pdf

Peng, N. (2025, April 1). ‘Behind every claim is a grieving family’ Death benefits inquiry demands change. The University of Queensland News. https://news.uq.edu.au/2025-04-01-behind-every-claim-grieving-family-death-benefits-inquiry-demands-change

Ruting, B., & Millane, E. (2025). Building futures not barriers: Superannuation that works (Building Futures Not Barriers). Super Consumers Australia. https://superconsumers.com.au/wp-content/uploads/2025/07/Building-Futures-Not-Barriers_Report-Summary.pdf

SBS News. (2025, March 31). Super funds contributing to ‘genuine suffering’ by delaying death benefits, ASIC finds. https://www.sbs.com.au/news/article/super-funds-death-benefit-delays-cause-genuine-suffering-asic/tvqs00ygi

Super Consumers Australia. (2025, July 23). First Nations peoples locked out of super system – New report reveals urgent need for reform [Media release]. https://superconsumers.com.au/media-releases/first-nations-peoples-locked-out-of-super-system-new-report-reveals-urgent-need-for-reform/

Social Security Administration (U.S.). (n.d.). GN 03315.010 – Disclosure of tax return and return information without consent. Program Operations Manual System (POMS). Retrieved January 20, 2026, from https://secure.ssa.gov/apps10/poms.nsf/lnx/0203315010

Taxation Administration Act 1953 (Cth) Sch. 1 Div. 355. https://www.legislation.gov.au/C1953A00001/latest/text/3

UK Government. (n.d.). What to do after someone dies. GOV.UK. https://www.gov.uk/after-a-death/organisations-you-need-to-contact-and-tell-us-once