What is tax planning? Essentially, tax planning is something you do to put your business into the best possible tax position. After all, nobody... Read more
By now, we have heard about Single Touch Payroll (STP), but have you made the transition? Business Advisor, Sam Crugnale investigates the impact if you have not yet put STP into practice.
While there will be no penalties for mistakes, missed or late reports for the first year of reporting for small businesses, larger employers with 20 or more employees have now crossed over the 12-month transition period, meaning penalties are now in full effect.
“As it stands, we have not issued any penalties to date to substantial employers, as, of course, we recognise that substantial employers are a pretty broad sector,” a statement from the ATO says. “However, we are seeing that some relatively large employers have not engaged with us yet, and the transition period ended on 30 June 2019.”
“While our immediate focus has been very much on helping employees transition to STP rather than penalising non-compliance – as the business community would expect – it’s getting to a time now where failure to do so may result in us taking some firmer actions.”
The ATO has also begun rolling out STP material in other languages to help various employers in different communities, as well as specific industry packs to help businesses in an industry understand their obligations.
If you have any questions or concerns about the transition to STP, please contact us.
Kerri Stutley, Tumby Bay Foodland
Phillip Cross, Royce Cross Agencies