by Angela Marsden - Tax & Business Advisory Manager | Aug 29, 2018 | News
Single Touch Payroll (STP) commences on 1 July 2019 for all employers. Even if you employ just one employee (including yourself) you are obligated to move across to this new government reporting system.
You may have heard of STP, however, you may not be aware of the impact that non-compliance may have on your ability to claim a deduction for wages.
Originally announced as part of the federal budget, businesses will no longer be able to claim a deduction for payments to their employees where they have not met their PAYG obligations. This includes where the employer is required to withhold PAYG from gross payments, but fail to report or remit it to the ATO.
How do I get ready?
Although 1 July 2019 may seem a long way off, the sooner you commence preparations towards STP the less stress and worry will surround the implementation of this new system. EnVision Partners are offering three options to prepare:
Option 1: You are implementing STP yourself. This option is for you if you feel confident in your understanding surrounding the ATO requirements of STP, and you can implement STP via your existing software system without assistance.
Option 2: You require assistance to implement a payroll program. EnVision Partners can assist you in implementing a technology option that will automate and streamline your payroll processes, improve the accuracy of your payroll data and keep you up-to-date and compliant with the ATO. Full training and assistance is available for this option. You will not be left alone to work through your new program.
Option 3: You may wish to engage EnVision Partners to implement and administer your payroll. You can appoint EnVision Partners as your payroll administrator, meaning you can relax about your payroll obligations knowing that they are correctly managed on your behalf.
We are here to help you to ensure a smooth transition into STP reporting.