Reporting to us
You must provide an Employee Share Scheme (ESS) annual report to us by 14 August after the end of the financial year on the approved ESS annual report form.
The ESS annual report you provide to us must include, but is not limited to, the following information for each employee participating in an ESS and for each ESS that the employee is participating in:
- plan identifier – a reference that makes a plan unique within all plans offered by you
- acquisition date – the date the ESS interests were acquired
- plan date – the date a taxing point happens to an ESS interest; for a taxed-upfront scheme, this will be the acquisition date; for a tax-deferred scheme, this will be the deferred taxing point
- TFN amounts withheld from discounts on ESS interests if a taxing point arose during the financial year
- For start-up concession schemes (2016 and later financial years)
- the number of ESS interests acquired
- the market value of the interests
- the acquisition price of ESS interests that are shares
- the exercise price of ESS interests that are rights
- For taxed-upfront schemes
- number of ESS interests acquired under taxed-upfront schemes eligible for reduction during the financial year
- discount for ESS interests acquired under taxed-upfront schemes eligible for reduction
- number of ESS interests acquired during the financial year under taxed-upfront schemes not eligible for reduction
- discount for ESS interests acquired under taxed-upfront schemes not eligible for reduction
- For tax-deferred schemes
- number of ESS interests for which a deferred taxing point arose during the financial year
- discount on the ESS interests for which a deferred taxing point arose during the financial year
- discount for ESS interests acquired before 1 July 2009 for which a cessation time occurred during the financial year, whether or not the employee has made an election
- Optional for electronic lodgment
- the following information is not required if you are lodging a paper report for 2015 and prior years
- number of ESS interests acquired under a tax-deferred scheme during the financial year
- number of ESS interests acquired from a foreign source during the financial year
- discount for ESS interests that have a foreign source
- discount amounts are assessable or gross
- acquisition date.
Note: paper lodgment will not be available from the 2016 financial year.
When determining and reporting the discount at the deferred taxing point to us, if you know that the ESS interests were disposed of you must take account of the 30-day rule.
Extension of time
An extension of time to provide ESS statements to employees and to lodge the ESS annual report can be requested through the ATO-ESS mailbox with the following information:
- Email subject: 'ESS extension of time request'.
- Company name and ABN. If the entity is a non-Australian company that does not have an ABN, then the reported name of the entity is required.
- Contact name, phone number and email address.
- Reason for request.
Reporting amendments to us
You must tell us within 30 days if you become aware of any material change to or omission from any information given to us.
Report the following errors in employee details to us:
- TFN or ABN
- account holding number
- account holding type
- employee identifier
- date of birth
- number of ESS interests.
You do not need to report to us changes that the employee must report to us, such as a change of name or address.
If you provide an employee with a right to an employment benefit that could later become an ESS interest, see Indeterminate rights.
Amending a report
- To cancel a record report all of the transaction and employee details exactly as they were originally reported and report '0' in the monetary fields.
- To amend a monetary amount or number of interests, report the employee details and transaction details exactly as they were originally reported and amend the amount and number of interests.
When you send us reports with amended records, you must report the following information exactly as it appears on the original record:
- income year
- provider ABN
- provider employee ID
- employee TFN
- plan identifier
- plan date/taxing point.
Failure to replicate exactly these six identifiers will result in multiple records for your employee on the ATO system and ATO prefill and may result in unnecessary compliance audits for your employee.
If you want to correct any of the information listed above, we will need to remove existing records before including the correct details. For information on how to correct these records, refer to the instruction guide for your preferred method of reporting.