The Australian legislature recently approved a new Single Touch Payroll initiative, which is designed ‘to streamline the way employers report some tax and superannuation information.’ The basic idea behind this initiative is to make reporting easier, more convenient and more seamless for employers.
With a Single Touch Payroll system implemented at your business, you will be able to pay your employees while simultaneously reporting information to the Australian Taxation Office. When you pay your staff members, a Single Touch Payroll system will automatically report details about salaries, wages and PAYG withholding to the ATO.
ATO Requirements for Single Touch Payroll
In the long run, using Single Touch Payroll in Australia will make life easier for most employers. Upfront, though, the new requirements could lead to some confusion or headaches as businesses transition to compliant systems.
By when do those changes need to occur? According to the ATO, all businesses will be able to use Single Touch Payroll to report key tax details starting on 1 July 2017. Businesses with 20 or more employees will then be legally required to use Single Touch Payroll in Australia starting one year later, on 1 July 2018.
As of yet, there is no legal deadline for when smaller businesses—those with 19 employees or fewer—must comply with Single Touch Payroll. The ATO is trying to determine how small business needs in this area might differ from larger businesses. However, small businesses can still use Single Touch Payroll systems and enjoy the benefits they can provide. Furthermore, if the ATO does decide that small businesses must comply with this initiative at a later date, upgrading now would eliminate any hurry to make a change in the future.
Implementing Single Touch Payroll Software at Your Business
Whether you have a large or mid-sized business that needs to comply with Single Touch Payroll by 2018 or a small venture that could benefit from the convenience of the initiative, e-PayDay can help. Our team has been consulting on Single Touch Payroll and is therefore intimately familiar with the details of the plan. Our awareness of the initiative is reflected in our software, which is designed to provide complete payroll compliance—not just with Single Touch Payroll obligations, but with SuperStream requirements as well.
More than just being a piece Single Touch Payroll compliant software, e-PayDay can make your organisation’s payroll process simpler in other ways as well. For instance, our software allows you to access your payroll information from anywhere, so long as you have an internet-enabled device. We also offer complimentary telephone support with each piece of payroll software, so that solutions to your troubleshooting concerns are always just a phone call away.
Are you interested in learning more about e-PayDay or how it can help your business comply with Australia’s new Single Touch Payroll rules? If so, we invite you to give us a call today on 1300 372 932.