Dental practitioners are being urged to take note as the Australian Taxation Office (ATO) continues to raise concerns over a growing number of applications for early access to superannuation for dental treatments that do not meet eligibility requirements.
The ATO has identified several concerning practices, including inaccurate medical reports, undertaking inadequate patient assessments, recommending high-cost treatments without outlining all available options, providing financial advice without a license, and submitting applications for their patients through the collection of their myGov details.
“We have seen an increase in misleading advice and misconceptions around when individuals can access their super early,” ATO deputy commissioner Emma Rosenzweig said.
“Australians should not be considering early access unless they are eligible, and it is absolutely necessary for their circumstances.”
Rosenzweig stressed that superannuation is designed to support Australians in retirement.
“Early access should only be considered in exceptional cases, such as critical medical treatment, and only when all other payment options have been exhausted,” she said.
The ATO clarified that cosmetic procedures, such as veneers performed for aesthetic reasons, generally wouldn’t qualify for early super release. To be eligible, treatment must be necessary to address a life-threatening illness or injury, relieve acute or chronic pain, or treat a mental illness.
“Applicants should be aware that submitting an application for health treatments that are not necessary for one of these reasons would be making a false or misleading statement to the commissioner, which can attract severe penalties,” Rosenzweig said.
“These penalties can also apply to health practitioners who make false or misleading statements in medical reports.”
The ATO is working with regulators, including the Australian Health Practitioner Regulation Agency (Ahpra), to investigate inappropriate conduct. Practitioners are urged to act ethically, stay within their scope of practice, and avoid prioritising financial gain over patient care.
“We know most practitioners act in their patients’ best interests,” Rosenzweig said.
“But we are seeing more cases where that trust is being compromised.”
For guidance on compassionate release of super, visit the ATO website or call 13 10 20.
