Single Touch Payroll starts from 1 July 2018
Single Touch Payroll is the next step in streamlining your payroll reporting. It will change the way employers report their employees’ payroll information to the ATO.
This is a law change that will start from 1 July 2018 for employers with 20 or more employees.
Employers will be required to send payroll information to the ATO as part of each payroll process.
This includes payments such as salaries and wages, pay as you go (PAYG) withholding and super information. You need to count the employees on your payroll on 1 April. If you have 20 or more, you will need to get ready.
Most employers will be able to do this from their existing payroll software, which will be updated by their payroll software provider to allow the information to be sent to the ATO in the required format.
The first year will be a transition and penalties will not apply unless the ATO has first given a written notice of future failure to lodgment which may attract a penalty.
Employers will be able to make corrections if they make a mistake.
To find out if you need to report through Single Touch Payroll, you'll need to do a headcount of the number of employees you have on 1 April 2018.
From the 1st July 2019, the requirement for Single Touch Payroll reporting will be extended to include ALL employers, even if you only have a single person on the payroll.
This is not a trivial undertaking, and represents the largest impost by government on businesses since the GST.
As a result, we at Xtrasoft, as well as other software developers have had to divert almost all resources to the project. Understandably we have now had to interoduce a feature freeze until after the financial year.
Minder Business Software aims to be ready for STP on the 1st June 2018. We are working closely with both the ATO and other software providers in order to make this happen.
Please keep in contact with your account manager if you have any further questions.