Single Touch Payroll (STP) Reporting Starts 1 July 2018 – Is Your Business Ready?
From 1 July 2018 onwards employers with more than 20 employees must use Single Touch Payroll Reporting.
What is Single Touch Payroll?
Single Touch Payroll Reporting means that when you complete your payroll (weekly, fortnightly, etc), the tax, super, allowances, deductions, etc are all reported to the ATO immediately.
You will need to ensure the payroll system you are using is updated for Single Touch Payroll. Newer software packages such as cloud based MYOB, Xero and Intuit should be compliant but you will need to check with them.
Steps to Get STP Ready
- Download the “Get Ready Checklist” from the ATO
- Do a headcount of employees on 1 April 2018
- Talk to your existing software provider on how and when their product will be STP ready
- Employers who don’t have software should choose a product that offers STP. We can assist with suggesting a suitable product.
- Update the payroll software when it’s ready and start reporting to the ATO through STP
Some payroll software providers have asked the ATO for more time to get ready. As an employer you should ask your provider if they have been given a deferral from the ATO and check when their product will be updated to offer STP reporting.
Employers with 19 or less employees are not required to use STP until 1 July 2019 but they can choose to start reporting earlier if their software is updated for STP.
For further information please contact our office or refer to ATO Website
