Are you ready for Single Touch Payroll?
ATO warns employers they must prepare for real-time payroll reporting.
The Australian Tax Office (ATO) has notified local employers they have less than a month to get ready for the start of real-time reporting to the ATO each time they pay their employees.
This change, known as Single Touch Payroll (STP), means employers will send tax and super information to the ATO electronically when they run their payroll. This includes their employees’ salaries and wages, pay as you go (PAYG) withholding and super information.
ATO assistant commissioner John Shepherd said employers with 20 or more employees need to plan for STP before 1 July.
“With less than a month to go our message is clear: Know when and how your software will be updated, get your business STP ready or ask us for more time if you need it.”
Some payroll software providers have been given a later start date (a deferral) by the ATO which covers their employer clients.
“Ask your software provider if they have a deferral from the ATO and check it applies to the software version you’re using. If they do, you’ll start reporting on or before that deferral date – not on 1 July.
“If your software will be ready by 1 July, but you need more time, apply for your own deferral using our online form. You’ll need to make sure you provide us with the right information,” said Shepherd, adding that a key part of getting ready is making sure payroll information is correct and up-to-date and the right people in a business know about STP.
“Even if you have a deferral, use our Get ready for STP checklist to make the most of your time now before you start reporting,” he said.
Employers can visit the ATO website ato.gov.au/stp for more information including a fact sheet, checklist, detailed technical guidance on information to report, along with helpful videos.
Check out the ATO STP infographic here - ATO STP infographic.pdf