If your business hasn't done anything about Single Touch Payroll (STP), read this.
The Australian Taxation Office has urged small businesses to get in touch if they have concerns about moving to Single Touch Payroll (STP) reporting.
The deadline for businesses with less than 20 employees to start using STP was September 30 this year. The ATO has stated that small employers who make a “genuine attempt” to move to STP or that miss STP reports or submit them late in the 2019-2020 financial year won't be penalised.
But it wants businesses to get in touch if they need help moving to STP. ”It’s really important for small employers to contact us if they have any concerns about their ability to transition to STP,” stated ATO Assistant Commissioner Jason Lucchese.
“You can also speak with your registered tax or BAS agent if you have one."
The ATO has published an online quiz to help small business people work out what to do about STP.
Lucchese provided three pathways for small business that aren’t sure where to start:
- start reporting now through an STP-enabled solution
- consider if you are eligible for a quarterly reporting concession
- apply for a deferral if you need more time.
More than 540,000 employers have moved to STP, according to the ATO.
Keep in mind that while any small employer can request an STP deferral, they must justify it. And not all sole traders need to move to STP.
Read our quick guide to STP for small businesses, which includes our look at the features of seven STP software solutions.