The introduction of STP for employers with 20 or more employees will start on 1 July 2018, while employers with 19 or less employees will have to start reporting on 1 July 2019.
There have been concerns from digital service providers and practitioners over the feasibility of a timely implementation of STP, as the ATO has been slow to release final specifications and guidelines.
MYOB clients who are not using an STP enabled version of AccountRight, because they are using multi-currency, negative inventory, M-Powered Payment or ODBC and those using AccountEdge, have been granted an STP reporting deferral until 31 May 2019.
“We encourage our AccountRight customers to move to an STP enabled version of AccountRight to ensure you are ready to meet your STP reporting obligations,” MYOB told users last week.
Speaking to Accountants Daily, Mr Reed said he’s confident in a smooth rollout despite the deadline deferrals.
“We are on track and have developed all of our online accounting and payroll tools to be ready for STP,” said Mr Reed.
“The only clients we've applied for an extension for are those that use our multi-currency feature in our desktop product because at this stage we do not have an online solution that is ready for them to move online.
“For that very small slice of clients, we applied for an extension but for the vast majority of our clients, the 90 per cent plus that use our online accounting tools every day, we're not applying for an extension, we're ready to go.”
Responding to broadly-held doubts about an efficient rollout of STP, Mr Reed said there would always be issues raised in light of new regulations but believes the ATO has been on the right track in implementing the new requirements.
“We've been working with the ATO really closely and there are always concerns about regulatory change,” said Mr Reed.
“Everyone is always concerned about what it will mean, whether every case and scenario has been planned for and addressed.
“Broadly speaking, we feel that the program has been well run and well executed. It's only for businesses of over 20 employees this year so we think this is a good first step and when the government looks to all businesses next year, [and] if this year goes well, then that's a good sort of phased approach.”
Jotham Lian is the news editor of Accountants Daily, the leading source of breaking news, analysis and insight for Australian accounting professionals.
Before joining the team in 2017, Jotham wrote for a range of national mastheads including the Sydney Morning Herald, and Channel NewsAsia.