Single Touch Payroll

From 1 July 2018, if you have 20 or more employees, you’ll need to use Single Touch Payroll-enabled software to report your tax and super information to the ATO.

You’ll need to report the following on or before your payroll pay day:

• employee payments such as salaries and wages
• pay as you go (PAYG) withholding
• super information.

To find out if you need to report through Single Touch Payroll, you’ll need to do a headcount of the number of employees you have on 1 April 2018.

You can also ask a third party – like a payroll service provider to report for you if they use Single Touch Payroll-enabled software.

What’s Changing?

• You may not need to provide payment summaries to your employees at the end of financial year when you report through Single Touch Payroll.
• Your employees will be able to see their year-to-date tax and super information through myGov.
• In the future, Single Touch Payroll information will be used to prefill your activity statement.

What you need to do

• Talk to your payroll software provider to find out when your Single Touch Payroll-enabled software will be ready.
• Review your current payroll processes to see if they can be updated.
• Start developing an implementation plan

If you have any questions relating to this article please contact McFillin & Partners and we can help you get ready.

Alternatively visit https://www.ato.gov.au/business/Single-Touch-Payroll/