Months of uncertainty for small businesses ended yesterday with the Senate passing the Bill to now extend compulsory STP reporting to employers with 19 or less employees. Effective from 1 July 2019, it comes on the back of STP rolling out to larger employers from 1 July 2018.
ATO Commissioner Chris Jordan has urged small businesses not to panic. The gap between roll-outs has given the ATO time to work with software providers to ensure there are affordable and easy solutions for STP compliance.
Specifically, employers with four or less employees (termed “micro-employers”) will not be forced to purchase payroll software. There will be various alternative solutions for them.
ATO says “do not panic”
On the ATO’s STP webcast Commissioner Jordan said:
“Please, people do not panic, do not be concerned. We will take a very reasonable approach to this. We expect people to take a while to come on.
“I’m firmly of the view that solutions will come into the market, low-cost solutions. We are a capable bunch of people in Australia, and we will certainly take a reasonable approach.”
We know many of you will have questions about the roll out and encourage you to get in touch with a Synectic business adviser well before 1 July.