Single Touch Payroll (STP) is a new way for employers to report tax and super information to the Australian Taxation Office (ATO) and from 1 July 2019, is compulsory for employers with 19 or fewer employees.
What is Single Touch Payroll?
Currently businesses report employee payroll information to the ATO on an annual basis. With the introduction of STP, businesses with 1 or more employees will be required to report to the ATO after each pay event.
It is important to note that your current business payroll cycles and payment due dates for PAYG withholding and super contributions will remain unchanged.
What is reported through STP?
ATO Compliant Software?
Software such as XERO will be required to lodge STP with the ATO. XERO currently includes payroll in all Business Editions and has announced it will soon be releasing a standalone payroll package for businesses who want to continue to use their custom built software and looking for a payroll solution.
What to do next for the introduction of Single Touch payroll!
Get Ready now!
If you need help getting ATO ready for STP, we recommend you contact Keryn Stack at “accounts all sorted” on email@example.com