Login
iscover
Employers can access vital information on the upgrade to single touch payroll.
Newsletter
ATO releases resources for STP phase 2
07 April 2022
•
9 minute read
The Tax Office has updated its resources to help employers understand the changes and prepare for STP phase 2 reporting.
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!
These include a fact sheet outlining the key differences between STP phase 1 and 2 reporting, and a to-do checklist for employers.
The ATO offers employers detailed guidelines on STP phase 2 reporting requirements along with webinars about the changes featuring industry professionals providing practical examples and suggestions.
These guidelines will help practitioners understand what is required for STP phase 2 reporting through their STP phase 2-enabled software. This will depend on whether the digital service provider has transitioned to STP phase 2 reporting.
The ATO said while STP phase 2 reporting started from 1 January 2022, businesses could only start STP phase 2 reporting when their digital service provider (DSP) updated the payroll product.
This is part of the current roll-out process from various software providers as part of the STP phase 2 transition.
“If your DSP has a deferral, it will cover you,” the ATO said. “They will let you know if they have a deferral, and when it’s time for you to start STP Phase 2 reporting.
“Many DSPs have a deferral in place to get ready and transition their customers.
“When your client’s product is ready, it is important that they do not delay their plans.”
Employers can start preparing now by reviewing the STP phase 2 reporting guidelines along with business and payroll processes.
The ATO said it was crucial that businesses understood the STP phase 2 changes and started preparations to report the additional information along with following the provider’s instructions.
It would be important to consider the client’s required start dates and if they needed more time for the transition process.
“You can apply for an extension if you need more time to transition,” the ATO said. “Your registered tax or BAS professional can also apply on your behalf.”
The updated guidance including the new Expanding Single Touch Payroll (Phase 2) fact sheet and information on the digital service providers’ transition can be found here.
The STP phase 2 reporting checklist also covers both employers and tax and BAS professionals.
You need to be a member to post comments. Become a member for free today!
