If your employee STP headcount on 1 April 2018 is 20 or more you must join STP reporting on 1 July 2018. If your employee headcount is less than 20 you are still welcome to report optionally through STP – and, subject to legislation being passed in Parliament, you will need to do so by 1 July 2019.
You need to include the following employees in your headcount:
You do not include the following:
If your company is part of a company group, the total number of employees as defined above, employed by all member companies of the wholly-owned group, must be included in the employee headcount.
It is now very important to plan your journey to STP. Businesses will have various processes to check and adjust to get ready. The impact on your business may reach further than just the payroll department, HR and finance may need to review their processes that relate to onboarding employees, paying their wages and reporting/paying superannuation.
You may be eligible for a period of exemption; for example, an inflated employee headcount due to seasonal harvesting. Rural employers may also be eligible where they have an unreliable internet connection. If you feel your business is eligible for a period of exemption you should contact the ATO as early as you can to state your reasons.
Feel free to contact us for more information on Single Touch Payroll.