Type to search

ATO urges small employers to make the switch to Single Touch Payroll

ATO urges small employers to make the switch to Single Touch Payroll


The ATO is urging small employers who’ve not yet made the switch to Single Touch Payroll (STP) to get in touch if they need help to transition.

Small employers with 19 employees or fewer are now required to start reporting through STP but ATO Assistant Commissioner Jason Lucchese says there is still time for businesses to start reporting if they haven’t already.

“If you are a small employer and not sure where to start, there are three possible pathways to take,” says Lucchese.

“You can:

  • start reporting now through an STP-enabled solution that is right for you
  • consider if you are eligible for a quarterly reporting concession, or
  • apply for a deferral if you need more time.”

“It’s really important for small employers to contact us if they have any concerns about their ability to transition to STP,” adds Lucchese.

“You can also speak with your registered tax or BAS agent if you have one. We want the transition to STP to be simple and manageable for all employers, and no penalties will be applied in the 2019-20 financial year for small employers who make a genuine attempt to transition or for missed or late reports.”

More than 540,000 employers across the country have successfully transitioned to STP.

Sydney-based small business Incy Interiors says the transition to STP was relatively simple once they were aware of what option was relevant to their business needs.

“Our accountant contacted me and said that it was time to happen, and we just clicked the button, it was as simple as that,” says an Incy Interiors spokesperson.

The ATO will continue to work with small employers to understand any barriers they may be facing and provide support to help them transition to STP reporting.

For more information about STP visit ato.gov.au/stp.

Further assistance

The ATO has launched a video series about small employers and their transition, so that others can hear about how they made the move to STP.

STP Case Study – Incy Interiors

STP Case Study – Direct Management

STP Case Study – Happy Chiropractic

STP Case Study – La Cruzada

STP Case Study – Strategium

STP Case Study – Spinn Business Solutions

The ATO has also developed an online quiz to assist small employers understand their options and determine what the next step should be. The quiz is available here.



You Might also Like

Leave a Comment

Your email address will not be published. Required fields are marked *