The extension to the Single Touch Payroll (STP) Bill has been passed by the government to include all small employers (those with fewer than 20 employees) from the 1st July 2019.

STP has changed the way employers report their employee’ tax and super information to the ATO.

Using STP complaint software, it allows employers to send their employees’ tax and super information to the ATO each time they run their payroll and pay their employees.

 

How will this affect you

This change will now affect a large percentage of our clients as many of you will either be using a software solution that is not STP complaint or in some cases doing payroll in a manual way.

The Commissioner in his press release stated:

  • Micro employers (1-4 employees) will have time to transition to a STP complaint software and allow us as your registered Tax Agent to report quarterly to the ATO for the first two years on your behalf;
  • Small employers (5-19 employees) will be given a grace period of until 30 September 2019 to be submitting live pay data.
  • There will be no penalties for mistakes, missed or late reports for the first year.;
  • Deferrals and exceptions are available for employers experiencing hardship, or in areas with intermittent or no internet connection.

 

What to do next

We have only four months to go before the deadline hits and let’s use this time wisely to complete a full review of the way your business currently runs payroll.

If you’re currently not running the latest version of software from your software provider or you’re running payroll manually I would highly recommend you get in contact with our office.

One of team members, will assist you in reviewing your current internal processes and will assist you with a cost-effective solution.

Also, keep your eye out for details of our Seminar which we will be running in May on STP.  Our office is taking registration of interest so if you are interested, please email your details to This email address is being protected from spambots. You need JavaScript enabled to view it..