Single Touch Payroll ( STP ) is a new system that will require all employers to maintain their payroll systems on a computerized payroll package that will communicate with the ATO. (Australian Tax Office)
Every Pay period, STP will provide the ATO with
This information will then prefill the Business Activity Statement ( BAS ) and Instalment Activity Statement (IAS) each reporting period.
For employers with 19 or less employees STP starts 1 July 2019 but they can start earlier.
It should be noted that the number of employees includes Part time or casual so getting to 20 in number may not be difficult
The ATO suggest that on 1 April 2018 you do a head count. If you have 20 or more employees, then 1 July 2018 is your start date. You are still compelled to comply with Single Touch Payroll, even if your head counts drops after 1 July 2018. Groups of companies are required to add together all their employees for the count.
You, the employer will be required to ensure that your payroll system will be STP compliant.
If you are unsure if your payroll system is comliant, please contact our office. AS Partners will be able to help you to confirm if it is or not and then if necessary provide an alternative for you that we know will be compliant.
Via Sam Rotberg, Director, FCPA, CTA, DFP, SMSF Specialist Advisor
You may have other questions about STP and AS Partners can provide all the answers and support you require.
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