The ATO is currently circulating reminders about the STP Phase 2 changes now in effect - check your payroll processing.
What you need to know :
STP Phase 2 started on 1 January 2022. Some Digital Service Providers (DSPs) needed more time to update their products and transition their customers (typically the ATO is talking about software providers like XERO/MYOB/Quickbooks/Reckon and payroll service providers such as ADP here). What this means is, if your DSP has a deferral, you have a deferral. If that's the case, make sure you understand when your product will be ready and that you are ready to start Phase 2 reporting when it has been updated, or no later than the first pay day after your DSP deferral expires. Most of the software providers have a deferral date of 31 December 2022.
As the ATO highlights, it's important though to understand which of the following circumstances apply to you:
- your payroll product is ready - it's time for you to start STP Phase 2 reporting now or have a plan in place to transition ASAP
- the product you're using is not being updated to offer STP Phase 2 reporting - if that's the case, your DESP should let you know if they have another product you can use, but if not, you'll need to choose another product/provider that does offer STP Phase 2 reporting
- your DSP has a deferral - you have a deferral - but make sure you provide the necessary detail to assist with the transition and that you understand when your product will be ready.
Phase 2 reporting is a requirement . The ATO has prepared resources such as a factsheet and a checklist to provide assistance - as have the DSPs. For detailed information about reporting requirements, visit the ATO website.
From our blog...
Contact Us
Ph.
07 3391 7566
Fax.
07 3391 7726
Level 1, 30 Lisburn Street
East Brisbane Qld 4169
PO Box 1420
Coorparoo DC Qld 4151
Tools
