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  • About Single Touch Payroll

    Single Touch Payroll (STP) is a change to the way you report payroll information to the ATO.

    If you had 20 or more employees on 1 April 2018 you will need to report to us through STP-enabled software from 1 July 2018, unless you have been granted a deferral.

    Employers with 19 or less employees can choose to report through STP for now. The Australian Government has announced STP will be extended to all employers from 1 July 2019 – subject to legislation being passed by parliament.

    Each time you pay your employees you will also be sending your employee salary and wage information, pay as you go (PAYG) withholding and super information to the ATO. These will be year-to-date amounts.

    You will need to make sure your current payroll software is updated by your digital service provider (DSP) to offer STP reporting, or choose payroll software that is STP-enabled.

    We have provided detailed tables in this document outlining mandatory reporting under STP, voluntary reporting, and payments that are out of scope and cannot be reported through STP-enabled software.

    Single Touch Payroll is part of the Australian Government's commitment to streamlining employer reporting obligations. It was legislated on 16 September 2016 as part of the Budget Savings (Omnibus) Act 2016External Link.

    What the changes mean for you

    Each time you run your payroll and pay your employees, you will also send us your STP data from your payroll software. This will be done through a pay event.

    If you need to, you will be able to make corrections to your employees' year-to-date (YTD) amounts in your next pay event, or through an update event. This is explained in detail in Correcting a pay report.

    Payment summaries

    You will not be required to provide payment summaries (including part-year payment summaries) to your employees for the payments you report and finalise through STP. We have provided more information about this at Finalising your STP data.

    • The ATO will make this information directly available to your employees online through myGov. This information will be called an employment income statement. It is the equivalent of a payment summary.
    • Once you make a finalisation declaration, the ATO will notify your employees that their employment income statement is 'tax ready' in myGov and they can use it to complete their tax returns.
    • STP information will be pre-filled into myTax for individuals who prepare and lodge their own tax returns. It will also be made available to tax agents.

    Reporting superannuation information

    You will continue to report and pay your employees' superannuation entitlements through your existing SuperStream solution (including the Small Business Superannuation Clearing House). This does not change as a result of STP.

    What will change is the requirement to report your employees' super liability or ordinary time earnings (OTE) each pay day. This is based on the amounts you currently provide on an employees' payslip.

    Super funds will report to the ATO when you make the payment to your employees' super fund.

    This will provide the ATO with visibility of an employer's super obligations and payments.

    Online employee commencement forms

    Some digital service providers will offer online employee commencement forms through their software, including the Tax file number declaration (NAT 3092), Superannuation (super) standard choice (NAT 13080) and Withholding declaration (NAT 3092) forms. This will be released progressively from July 2018.

    • If this is available you will have the option to invite your employees to complete the forms online through your STP-enabled software. The employee information captured within the online form will also be collected by your payroll software.
    • Online employee commencement forms are not compulsory through STP.
    • Even if your software offers these services, you can continue to provide these forms as you do now (for example, as papers forms).
    Last modified: 04 Jun 2018QC 54550