The Australian Government is implementing a new tax and superannuation reporting tool for small businesses that will take effect Monday, 1 July 2019.
Small businesses will be required to implement a Single Touch Payroll (STP) system that will immediately report tax and superannuation contributions made to employees to the Australian Tax Office (ATO).
The ATO understand that this is a significant transition for small business, particularly those who do not currently use payroll software. Therefore, they have special arrangements to support small businesses making the transition.
If you employ four or less employees you have additional support options to assist you during this transition. For instance, you may be permitted to rely on a registered tax or BAS agent to report quarterly for the first two years, rather than each payroll.
It’s important you familiarise yourself with the ATO’s STP requirements, however we have tried to answer some of the main questions coming from the small business community in our Frequently Asked Questions.