Each week we’ll be counting down the list to reveal the country’s top 100 brokers
“To think that I was filling out CPAs by hand 18 months ago now seems incredible to me”
- 2018 Commercial Lenders Roundtable
- Top 10 Brokerages 2018
- 2018 Brokers on Aggregators
While more than 540,000 employers across Australia have successfully transitioned to Single Touch Payroll (STP), the ATO is reminding other small employers they are now required to start reporting through the new system.
STP is a new way of reporting tax and superannuation information to the tax office. While large employers with 20 employees or more began reporting through this system last year, smaller companies were expected to do so this year – and that includes many mortgage brokerages.
For those companies with fewer than 20 employees, STP began on 1 July 2019; but ATO Assistant Commissioner Jason Lucchese says there is still time for businesses to begin if they have not done so already.
Ahead of the 30 September cut-off date, Luchesse said, “The ATO understands that mortgage broking employers differ from each other, with some confronting some unique challenges in meeting the start date.
“These challenges may include operating a small business with only one to four employees or a family-run business with closely held payees.”
In acknowledgement of that, the ATO has produced an online quiz for employers to take, to help them understand the options available to them.
“If you are a small employer and not sure where to start, there are three possible pathways to take,” Lucchese says.
- start reporting now through an STP-enabled solution that is right for you;
- consider if you are eligible for a quarterly reporting concession; or
- apply for a deferral if you need more time.
“It’s really important for small employers to contact us if they have any concerns about their ability to transition to STP. You can also speak with your registered tax or BAS agent if you have one,” Luchesse adds.
“We want the transition to STP to be simple and manageable for all employers, and no penalties will be applied in the 2019-20 financial year for small employers who make a genuine attempt to transition or for missed or late reports.”
For more information about STP visit www.ato.gov.au/stp.
Have you switched to Single Touch Payroll already? Let us know.
- Here’s what brokers need to know about Single Touch Payroll
- ATO extends help to brokers transitioning to digital reporting