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ARTICLE · 31 JULY 2018

Preparation For Single Touch Payroll In Australia

Single touch payroll is effective starting from 1 July 2018 and here's what employers need to know to comply with the new reporting standard in Australia.

AustraliaEmployment and HR

All Australian substantial companies employing 20 employees or more are required to change the way salary and wage information are reported to the Australian Taxation Office (ATO) from 1 July 2018. This policy was introduced in 1 July 2017 as part of the government's Budget Savings (Omnibus) Bill 2016.

The intention of this initiative is:

  • to protect employee entitlements and greater viability of non-compliance through tracking and monitoring employee's salary and wage data per pay event
  • to have access to real-time payroll information, allowing the ATO to ensure accurate payment and timely calculation of government payments
  • to streamline payroll reporting and business process, thereby reducing the costs and complexity of reporting obligations to the ATO

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