· Salaries and Wages;
· Pay-As-You-Go Withholding (PAYGW); and
This means the ATO gets this information in real-time, and if you have already been using it, you will know it’s the end of preparing those clunky end of year “group certificates” (phew!).
STP started on 1 July2018 for employers with 20 or more employees and 1 July 2019 for employers with 19 or fewer employees and is a mandatory obligation.The ATO has provided several concessions depending on business, industry, or employer types. Most of these ended on 1 July 2021 so chances are your STP reporting is up and running.
The ATO has outlined your various reporting options here so if you aren’t already connected, we suggest you have a read or speak with us about what you need to do.
In short, you either report automatically through your Cloud based accounting software package (like Xero, QBO, MYOB etc) or you can use a specific STP-enabled payroll software.
Gone are the days of receiving the hand-written Group Certificates by 14 July each year! This information has already been reported to the ATO each payday, the information is there and available in real time. Your employees can access their year-to-date and end-of-year payroll information via their MyGov account anytime of year, and their accountant can access this same information via the ATOTax Agent Portal.
Having this information readily available has been incredibly handy for both employees and accountants alike. It can help with reporting with government agencies such as Centrelink, applying for any personal finance and can help accountants when it comes to tax-planning time of year – ultimately saving everyone time and money.
If you’d like to learn more about payroll and STP, get in touch with one of our Attune Advisory team. Phone1300 866 113 or click here.