It’s time to get your computers talking with Single Touch Payroll!
The ATO’s move into Single Touch Payroll in 2016 should be a huge relief for employers.
What is Single Touch Payroll?
The aim of Single Touch Payroll is to reduce the admin time a business spends on payroll and reporting for their employees. It is proposed this will be achieved by a business’s payroll software automatically reporting payroll information to the ATO when an employee is paid.
In addition, more straightforward, digital processes for Tax File Number declarations and Super Choice forms will also simplify how employers bring on new staff.
How will Single Touch Payroll Work?
In short, employers process their payroll using Standard Business Reporting (SBR) enabled software, which can:
- Read data in accounting systems
- Pre-fill forms
- Securely provide this information directly (and automatically) to the ATO
As you can see, by automating this process, there will no longer be a need for separate monthly, quarterly and annual reporting. In turn, this will greatly reduce the compliance related stresses felt by employers.
So what do you think? Is single touch payroll going to make your life easier? How much time will you save each week?
Read more about the proposal in this article by Taxpayers Australia Limited: Proposed “Single Touch Payroll” to cut red tape for employers