The Single Touch Payroll (STP) Phase 2 reporting is due to begin in January 2022. If you own a business that employs any number of staff, then you need to ensure that you are ready for the roll out of this phase and that you have all documentation in order.
Changes are to be made to the way that you report the amount that you pay to your staff, the income types and the employment conditions.
Rather than exhibiting in your reports a single figure that you are paying each of your staff, the STP Phase 2 rollout will expect you to separately show items such as paid leave, bonuses, commission and overtime. You will also be expected to elaborate on the type of income you are paying each of your employees. This could be a salary, wages or temporary seasonal income.
Employment conditions detail whether each of your staff members are working full time, part time or casual in your company and if they leave, why they did so.
This additional information will enable the ATO to clarify how your business works and better understand your employees and their tax obligations. This will eventually lead to a more streamlined and accurate system that will be better for everyone.
If you are uncertain what is expected of you with this STP Phase 2 rollout, then we here at ATS are available to talk you through your personal obligations to ensure that you do not hit any stumbling blocks come the beginning of next year.
The faster you get in touch with us at Accounting Tax Solutions for some experienced advice and support, the quicker we will be able to get you on track with this new system and this can have a distinct advantage where you can feel more in control as we enter into the busier, upcoming holiday period.
The way that you lodge your reports and the timeframe in which it is expected for you to do this does not change. The STP-enabled software that you use, or that your accountant does for you will be automatically updated to ensure a smoother transition with these changes.
We warmly invite you to get in touch if you have any questions regarding the STP system or other financial queries regarding your business. Email Accounting Tax Solutions now at firstname.lastname@example.org or call our office located at Shop 31, 3 Swan Lane, Mudgeeraba Market Shopping Centre, QLD 4213 on 07 5559 1200