Is Your Business Ready for STP Phase 2? We’ve Got your Back!
Posted 9 Dec '22
Posted 9 Dec '22
Single Touch Payroll Phase 2 was designed to require businesses to report additional information to the ATO each time payrun is filed. Therefore, every business in Australia with staff members are required to comply with STP reporting requirements.
Notably, the government has provided businesses utilising Xero payroll an extension to 31 March 2023 to report their first STP Phase 2 payrun. We don’t recommend waiting that long, though, to get your information in order as once that deadline hits, the ATO will expect you to have it setup and ready to go.
Check out the changes you can expect through STP Phase 2 and what you can do to get a head start!
There are quite a few changes that you can expect to see with STP Phase 2 to provide for more detailed reporting to the ATO in new areas.
Of course, your business’s transition will depend on your circumstances as well as the accounting software you use. Whether you use Xero, Myob, or even Quickbooks, you can begin your transition as soon as your STP reporting solution has been upgraded to offer Phase 2.
Conveniently, your payroll software will provide the step-by-step process of transitioning. However, as this will include remapping pay codes, employment types, and allowances, you may want to consider paying for someone to do this for you to ensure it is done correctly.
DIY Links
To help those out who want to do it themselves, please see the below links to provide more information dependent on the software you use.
Our STP Phase 2 Support
Our friends over at Empire Bookkeeping, have developed a service to support you with completing the updates required to your Xero file for STP Phase 2. For more information about our services, we invite you to contact our bookkeeping director, Natasha Spackman, who can tailor a solution for you.
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