The Government recently announced a red tape reduction initiative for employers in the form of simplifying tax and superannuation reporting obligations through Single Touch Payroll. An ATO consultation in relation to the initiative is under way:
Under Single Touch Payroll, employers will be required to electronically report payroll and super information to the ATO when employees are paid, using Standard Business Reporting-enabled software. It will be available from July 2016, but employers will be required to use appropriate payroll software to access it. The Government is yet to make final decisions on its implementation and hence is seeking stakeholder views.
The ATO is seeking views on various facets of this initiative, including the potential for employers to remit employee pay as you go withholding and the super guarantee at the same time employees are paid.
Should members have any comments, please send them through to Tax Policy as soon as possible.
Robert Jeremenko CTA is Senior Tax Counsel of The Tax Institute.