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MICRO BUSINESSES & STP

23
May

MICRO BUSINESSES & STP

Thursday, May 23, 2019

In a worrying sign for the ATO is appears that over 70% micro businesses haven’t even heard of the new Single Touch Payroll scheme, set to be rolled out July 1.

A YouGov Galaxy survey of 517 business owners required to comply with the new regulation has found that most have no idea what’s ahead of them and more than half (55%) have “little knowledge” about how to become compliant.

The research, commissioned by QuickBooks owner Inuit Australia, has raised new concerns about the readiness of the more than 700,000 businesses who will technically be required to implement STP reporting by July 1.

Since mid-2018, only businesses with 20 or more staff have been required to implement and use Single Touch Payroll (STP). However, the passing of the legislation in February now means a business with any number of employees needs to be using STP from July 1.

A range of no-cost and low-cost Single Touch Payroll (STP) solutions are available already in addition to existing commercial STP solutions.

The no-cost or low-cost solutions have been developed for micro employers (those with one to four employees) who need to report through STP but do not currently have STP ready software. These solutions may include mobile apps, simple reporting solutions and portals.

Software providers have put forward product proposals to offer these solutions in response to a market request. The solutions are required to be affordable (costing less than $10 per month), take only minutes to complete each pay period and not require the employer to maintain the software.

For more information visit the Australian Tax Office website

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Thursday, May 23, 2019

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