December 2017 - Update
Fusion5 will be using a cloud-based intermediary provider for STP
To ensure our customers meet the new Single Touch Payroll (STP) requirements Fusion5 will work with a cloud-based provider, to transfer your tax data directly to the Australian Tax Office (ATO).
We will provide you with the information required, to help you understand what to do to get ready for STP.
Hosted and Outsourced customers
Your STP will be sent directly to a cloud-based intermediary provider, from Fusion5’s Cloud5 platform. The provider will then forward your tax data on to the ATO.
You will log into the cloud-based portal and upload your STP file there. This will then forward your tax data on to the ATO.
NOTE: For Inhouse customers, an API (Application Programming Interface) with the cloud-based solution is possible; your internal IT department will need to configure your firewall / security and carry out the integration process as required.
There will be an additional charge from Fusion5 for the delivery of the STP. However, the cost will be far outweighed by the decreased time commitment to do the Payment Summaries.
NOTE: There will still be the reconciliation process at the end of tax year however, this should take far less time as well.
This additional charge will be communicated to you in the new year. We are still defining the process with the cloud-based intermediary provider and the ATO.
We will deliver an Insight Session focusing on your STP Readiness. Keep a note, this session will be on 8 February 2018. You will gain an understanding of what you need to know from an EmpowerHR payroll perspective. We highly recommend you attend this session.
Are you ready for STP?
The most important preparation task for you is to get your data cleansed.
Here are some examples of what you will need to prepare. Review and clean your:
- PAYG data
- Superannuation Payments data
- Reinstatement of Employees data
- Records for each employee (especially if there are multiple records for the same employee)
You will also need to think about what issues you usually have, and why these occur around Payment Summary time. This will highlight the areas you definitely need to review.
Further information will be covered in the Insight Sessions presented in February 2018.
August 2017 - Update
Employers with 20 or more employees will need to start reporting through Single Touch Payroll from 1 July 2018.
Employers will be able to report salary or wages, pay as you go (PAYG) withholding and super guarantee information directly to the ATO from their payroll solution, at the same time they pay their employees.
The ATO is working with solution providers including EmpowerHR to implement Single Touch Payroll through Standard Business Reporting (SBR) software using the SBR2 channel.
It is likely that Fusion5 will work with an intermediary to provide this service for our payroll products including EmpowerHR.
NOTE: This is subject to change as the ATO have not finalised the full requirements across all the components of STP - payroll events, employee commencement events, update events, and superannuation reporting.
June 2017 - Update
Single Touch Payroll is a government initiative to streamline business reporting obligations.
From 1 July 2018, employers with 20 or more employees will be required to report salary and wages, pay as you go (PAYG) withholding and super information to the ATO from their payroll solution at the same time they pay their employees. There will also be options for employees to complete tax and super forms online.
We are currently reviewing the ATO’s scope of requirements and determining what development work will be required in EmpowerHR and then scheduling that development work.
Once we have completed the analysis and planning we will be able to provide a further update to our customers. We have an ATO development account manager who will be assisting us to work through the Single Touch Payroll development requirements.
We are planning for a legislative release of EmpowerHR in April / May 2018 to cater for Single Touch Payroll requirements.