09 Nov Get ready for the ATO’s Single Touch Payroll
Small businesses with 20 or more employees will need to adopt the ATO’s Single Touch Payroll (STP) system from 1 July 2018. The definition of an employee is anyone who is on the employers payroll regardless of whether they are full-time, part-time or casual as at 1 April 2018. Other businesses with less than 20 employees will need to adopt this system on 1 July 2019.
What this means is that at each payroll event (weekly, fortnightly or monthly) the employer will need to report to the ATO their PAYG withholding and superannuation guarantee contributions. I understand that accounting software, including MYOB & ZERO will have the capacity to report STP electroniclly at each event. It should be noted that payments of tax withheld from employees wages as well as the superannuation contributions will remain unchanged & paid under current arrangements. The ATO recognises that some adjustments may have occurred between, what was reported on under STP & when you remit the funds to the ATO.
Any business needing further information should go to the ATO website on www.ato.gov.au/SingleTouchPayroll