Single touch payroll will change the way businesses report salary/wages, PAYG withholding and superannuation information to the Australian Taxation Office. What is Single touch payroll and how big is the change?
STP is a new regulation that changes when and how small businesses report payroll activity to the Australian Taxation Office (ATO).
Businesses used to report this information to the ATO once a year. Now, they need to send a report after each pay day. Reports must be submitted digitally, using a specific format. STP is a significant change that will require many employers to upgrade or replace their payroll system in order to meet new payroll reporting obligations.