Single Touch Payroll reporting has come into effect from 1 July 2018.
To find out if you need report through Single Touch Payroll, you will need to do a headcount of the employees you have on 1 April 2018.
If you have 20 or more employees you will need to report from 1 July 2018 to the Australian Tax Office (ATO) through a payroll solution that supports Single Touch Payroll.
If you have 19 or less employees, you can choose to report through Single Touch Payroll for the current financial year. However, it will be mandatory to report through a payroll solution that supports STP from 1st July, 2019.
A payroll solution is the accounting, business management or payroll solution you use to run your payroll and pay your employees.
About Single Touch Payroll reporting
When you pay your employees through your Single Touch Payroll-enabled solution you will be reporting payments such as their salaries and wages, allowances, deductions (such as for workplace giving) and other payments, pay as you go (PAYG) withholding and super information to the ATO at the same time.
Your payroll cycle does not need to change. You can continue to pay your employees weekly, fortnightly or monthly. You may have different pay cycles for different employees.
It simply means that when you complete a payroll, the tax and super information for each employee will be sent to us. This is a more streamlined way of reporting to the ATO.