iscoverEmployers with closely held payees will be now granted a further one-year exemption from Single Touch Payroll reporting until 1 July 2021.
Closely held payees granted further STP exemption to 2021: ATO
23 April 2020
•
5 minute read
The ATO has now moved to extend the STP reporting exemption for closely held payees to 1 July 2021, in light of the ongoing COVID-19 crisis.
The exemption will be applied automatically by the Tax Office.
You’re out of free articles for this month
To continue reading the rest of this article, please log in.
Create free account to get unlimited news articles and more!
Closely held payees had previously been granted an exemption from STP reporting to 1 July 2020.
The ATO’s definition of a closely held payee is one who is directly related to the entity from which they receive payments, including family members of a family business, directors or shareholders of a company, or beneficiaries of a trust.
The Tax Office notes that all other arm’s-length employees must be reporting through STP on or before each payday, unless they are eligible for the micro employer reporting concession which allows registered tax or BAS agents to report on their behalf on a quarterly basis until 30 June 2021.
Once STP for closely held payees commences on 1 July 2021, they will be required to report a “reasonable estimate” on a quarterly basis, in line with the due date of lodgement of the BAS.
The ongoing quarterly reporting concession due date will include any concession that the registered tax and BAS agent gets for lodgement.
You need to be a member to post comments. Become a member for free today!
