Are you ready for Single Touch Payroll reporting?

From 1 July 2018, employers with 20 or more employees will be required to comply with Single Touch Payroll reporting.

According to the ATO, the Single Touch system involves employers reporting payments such as salaries and wages, pay as you go (PAYG) withholding and superannuation information at the same time as employees are being paid.

If you are an organisation that employed 20 or more employees as at 1 April 2018, you need to ensure your payroll software will be ready for Single Touch reporting to the ATO from 1 July 2018. Electronic payroll providers (e.g. MYOB, etc) have already started providing software updates to enable Single Touch reporting.

For more information on Single Touch Payroll reporting – including knowing how to count your employees – visit the ATO website here.

You should also contact your electronic payroll provider for assistance with updating your payroll software and double-check they have not been granted a start-date deferral by the ATO.

If you will not be ready to comply with Single Touch Payroll reporting from 1 July 2018, the ATO may grant a start-date deferral, providing there are extenuating circumstances. You will need to apply for a deferral using the online form (which can be accessed through the abovementioned link to the ATO).

Employers with 19 or fewer employees will be required to comply with Single Touch reporting from 1 July 2019, providing the Turnbull Government’s proposed legislation – Treasury Laws Amendment (Taxation and Superannuation Guarantee Integrity Measures) Bill 2018 – is passed by Parliament. Read more about that proposed legislation here.