STP Update what you need to do

Single Touch Payroll (STP) is changing the way employers report to the Australian Taxation Office (ATO). STP becomes mandatory from 1 July 2018 for employers with 20 or more employees and is optional for all other employers.

To get ready, you need to do the following:

– Confirm your headcount now, to know whether you’re required to comply with Single Touch Payroll from 1 July 2018.
– Review and update your organisation details such as the ABN address if required.
– Review and update all your employee details such as dates of birth, tax file numbers and residential addresses.

Your software provider will be currently working closely with the ATO to adapt and update their software by the deadline (1 July 2018). The updates will make it simple to set up and process pay runs in compliance with the new requirements.

For businesses using Xero, QuickBooks Online and Reckon, they expect to roll out STP over the coming months, and you should receive notification when this has happened.
For MYOB users there are various updates expected:
– MYOB Essentials – this will be automatically upgraded
– MYOB AccountRight Live – you should update your software as soon as possible
– MYOB AccountRight v19 – not all versions will have the STP capability by 1 July 2018. If you are using this software, you should contact MYOB to see if you are eligible for a deferral for STP.
– MYOB AccountEdge – all users of this software have an automatic deferral until 31 May 2019 (Deferral number 43 164 997)

For users of other payroll software, you should contact your provider directly for information on when the updates will occur.

If you have any questions on Single Touch Payroll in general, please do not hesitate to contact one of our team members.