29.08.2019

Single Touch Payroll for Building And Construction Employers

What building and construction employers need to know to get ready for Single Touch Payroll

Employers with 19 or fewer employees have until 30 September to start reporting their employees’ tax and superannuation information to the ATO through Single Touch Payroll.

More than 350,000 employers across the country are already reporting through STP. The ATO understands there may be challenges for some employers. All employers operate in slightly different ways and every industry has unique differences that can affect their payroll processes.

Employers in the building and construction industry may have challenges like fluctuating employee numbers, closely held payees such as family members, and micro employers with one-to-four employees.

Whether they are ready to take the next step and start reporting through STP, or still need time to get ready, the ATO has developed an information pack for building and construction industry employers to help them work out what they need to do.

Building and construction employers may be eligible for STP reporting concessions if they:

  • Don’t normally have employees for most of the financial year, but employ 19 or fewer seasonal or intermittent workers for three months or less.
  • Don’t have access to a reliable internet connection.
  • Have closely held payees (e.g. they employ family members) who may not be paid regularly
    • Closely held payees don’t need to be reported through STP in FY 2019/20 but can be reported quarterly through an STP-enable solution.
  • Employ between one and four employees
    • These micro employers may be able to choose a no-cost or low-cost STP solution or report quarterly through a registered tax or BAS agent.
    • A list of STP solutions costing $10 or less per month is available at gov.au/stpsolutions

ATO Assistant Commissioner Jason Lucchese, said the ATO wants to support employers to ensure they know what their next step is to get ready for STP.

“Regardless of the challenges employers face, we’re here to support them through the transition to STP. Whether that’s with information to help them understand what their options are, or providing concessions to give them more time to get ready,” Mr Lucchese said.

“We know there are challenges for some building and construction employers such as fluctuating numbers of employees due to seasonal or intermittent work, or they might currently have processes in place if they employ family members that might be complicated by STP. It’s actually pretty easy to get started and we have a range of resources on the ATO website to show you how.”

Click here to download the information pack for Employers in the Building and Construction Industry.