Most businesses are now working with the Single Touch Payroll system (STP), reporting payroll to the ATO in each pay period online. However, there are some micro businesses (less than 19 employees) with ‘closely held employees’ who have had the deadline for transition to STP further extended until 1 January 2022. Closely held employees include family business members, directors or shareholders of a company, and trust beneficiaries.

All businesses with less than 19 employees who have closely held employees must be ready to make the transition to STP for those employees by the 1 January 2022 deadline. Employees will then be able to access all information online through the MyGov service or through their tax agent.

If you have any questions regarding the STP requirements for your business, please contact dmca advisory this month.