Single Touch Payroll is a government initiative to simplify business reporting obligations. In the previous issue of TaxWise Business, we noted that the Budget Savings (Omnibus) Bill 2016 which contains the Single Touch Payroll rules, had been introduced into Parliament. This has now become law.
The Single Touch payroll regime will enable employers to report salary or wages, pay as you go (PAYG) withholding and superannuation information to the ATO from their payroll solution, at the same time they pay their employees. This will mean simpler reporting obligations and more options for completing tax and super forms electronically.
Single Touch Payroll reporting will be available to all employers from 1 July 2017.
However, only employers with 20 or more employees will have to report this way under the law. They must start reporting through Single Touch Payroll from 1 July 2018.
Further information is available on the ATO website: Simpler-reporting-with-Single-Touch-Payroll.
Article Courtesy The Tax Institute
If you are an employer with 20 or more employees, you will need to look into your reporting to the ATO to ensure it complies with the requirements of the Single Touch Payroll regime.