SINGLE TOUCH PAYROLL Preparing for Single Touch Payroll Contents - PowerPoint PPT Presentation

SINGLE TOUCH PAYROLL

Preparing for Single Touch Payroll

Contents What’s changing • Progress update • How will your report be sent to the ATO • • Authorisations/Declarations How to Authenticate and Send • UNCLASSIFIED – Single Touch Payroll

Moving Towards The Future Highly connected & Contemporary & Leveraging new digitised society convenient services technologies & trends 4 UNCLASSIFIED – Australian Taxation Office

What has changed?

How Single Touch Payroll works Payslip Salary or wages Employer completes their payroll run through their Business Management System (BMS) Payment to fund Bank file Bank SuperStream What’s new Pay event Member Account Submission Transaction Service Tax and super information Super contribution is sent to the ATO through amounts reported • Employer information: • Salary or wage information Standard Business to the ATO by the • Employee information • Tax withheld Reporting 2 (SBR2) every super fund • Superannuation contribution • Super Guarantee liability pay day. UNCLASSIFIED – Australian Taxation Office

How is STP progressing?

Progress update 56K+ 40K + substantial employers now reporting STP Total employers now reporting 16K+ small employers voluntarily reporting 4M+ employees can see STP information in myGov Employee Commencement Service1 & 2 now deployed UNCLASSIFIED – Australian Taxation Office

How will your report be submitted to the ATO? Your business structure will determine what authorisations and declarations you need 1. I am an employer preparing and 3. I am an employer using a Payroll submitting for myself Service Provider/Registered Agent. 2. I am part of a economic group and we have a centralised payroll processing team UNCLASSIFIED – Single Touch Payroll

How will your report be sent to the ATO? The way your STP report is sent to the ATO will depend on your software How do I send my STP file to the ATO ? Response Declaration/Authorisation Authentication ‘RANXEA/Self reporting device AUSKey SSID UNCLASSIFIED – Single Touch Payroll

How will your report be submitted to the ATO? cont.. Know what relationships are right for you and ensuring the correct relationships are authorised to report. 1. Decide what ABN will be the appointed ABN for STP reporting. 2. Each employer (ABN) appoints that ABN to act on their behalf THEN or NAT XEA- Related reporting party Access manager – to set up business appointment authorises sending party via business portal or NAT XEA form Note: If not completed the STP file will fail UNCLASSIFIED – Single Touch Payroll

How will your report be submitted to the ATO? cont.. Know what relationships are right for you and ensuring the correct relationships are authorised to report. RAN – Outsourced payroll provider, tax agent, BAS agent MUST be recognised in ATO systems 1. Make sure your employer has been added as your client. 2. Make sure your software knows the ABN that is associated with your RAN. THEN Contact the ATO Tax agent/BAS portal– Add a client Note: If not the Agent to employer relationship has not been completed the STP file will fail UNCLASSIFIED – Single Touch Payroll

Know how you will send the STP file to the ATO. AUSkey Explained - Secure access government services • Confirms the person/software holding the key is who they say they are • A secure ‘ handshake ’ Government Services AUSkey AUSkey Administrator/ Device Identifies a server or Standard software rather than a Identifies a person person. Must have a person as custodian 13 UNCLASSIFIED – Single Touch Payroll

1. Employer preparing and submitting for myself 1. I am an employer preparing and submitting for myself YES 1. Will your Software send the STP file to the ATO? Has my software NO NO provider advised I will use an SSID? My software provider has advised I Do you need to use a need to obtain an AUSkey to use in my YES Sending Service software. Provider to send your STP file to the ATO? • You will be responsible for obtaining an AUSkey and • Your Software Provider (ATO • No additional relationships/ authenticating the STP file. Hosted service provider) will be authorisations required responsible for obtaining an AUSkey and authenticating the STP file • Use Access Manager to make • Your Sending Service sure your AUSkey is set up for Provider will be responsible STP reporting. � Obtain an SSID and instructions from for obtaining an AUSkey your Software provider on how to notify and authenticating the STP • No additional relationships/ the ATO of your Software provider and file. authorisations required. the SSID. .

2. Economic group and XEA 2. I am part of a economic group and we have a centralised payroll processing team Appointed entity must sign the declaration. Other ABNs must have completed XEA for the appointed entity. Appointed entity - Will your YES Software send the STP file to the ATO? NO Has my software NO provider advised I will use an SSID? Do you need to use a Sending My software provider has advised I Service Provider to send your YES need to obtain an AUSkey to use in my STP file to the ATO? software. Your Software Provider (ATO Hosted service Your Sending Service Provider will provider) will be responsible for obtaining an Appointed entity obtain AUSkey Use be responsible for obtaining an AUSkey and authenticating the STP file. Access Manager to make sure your AUSkey and authenticating the STP � SSID relationship connects Appointed entity AUSkey is set up for STP reporting. file. and software. XEA relationship connects Appointed XEA relationship connects Appointed entity and other ABN XEA relatiionship connects Appointed entity and entity and other ABNs other ABN.s

1. Employer using a registered agent 3. I am an employer using a Payroll Service Provider/ Registered Agent. NO Registered Agent must sign the declaration. Registered agent to Employer relationship for STP reporting must be in place. ABN associated with RAN must also be sent to the ATO in the STP report. Contact ATO to find out more. YES Registered Agent - Will your Software send the STP file to the ATO? Has my software NO provider advised I NO will use an SSID? Do you need to use a Sending My software provider has advised I YES Service Provider to send your need to obtain an AUSkey to use in my STP file to the ATO? software. Your Software Provider (ATO Hosted service Registered agent obtains AUSkey under the Your Sending Service Provider will provider) will be responsible for obtaining an be responsible for obtaining an ABN associated with their RAN. AUSkey and authenticating the STP file. AUSkey and authenticating the STP Use Access Manager to make sure your � SSID relationship connects RAN and file. AUSkey is set up for STP reporting. software. RAN relationship connects Employer. RAN relationship connects Employer . RAN relationship connects Employer.

Authorisations/Declarations Ensure you have the correct processes in place to lodge STP reports Have you declared that your STP Have the authorised the correct Have you linked your registered agent data is true and correct? people to lodge STP reports? to report on your behalf?

How to Authenticate and Send Ensuring you are correctly linked to the ATO Do you need an AUSkey? Do you need to notify Do you need engage a us of your unique Sending Service software ID (SSID)? Provider?

Further Information Please contact us if you have any further questions. SingleTouchPayroll@ato.gov.au For further information about Single Touch Payroll please visit our website: www.ato.gov.au/singletouchpayroll 19