Yes, the employer still needs to submit the BAS return as required.
Yes, Fringe Benefits Tax (FBT), Eligible Termination Payments (ETP), & Reportable Employer Superannuation Contributions (RESC) are reported when the employer processes & files pay runs. FBT is reported when the employer finalises the STP for the relevant financial year end.
Once the employer starts STP, they will not need to produce payment summaries or a payment summary annual report. STP has a simple end of year process to finalise pay runs submitted for the financial year end. The process just sends a confirmation that the employer has fully reported for the financial year for each of their employees.
Once STP is started by an employer, wages payments etc can be accessed by employees via their “my gov” account. All employees will be required to set up a “my gov” account.
If the employer finds a mistake in pay run filed via STP, it can be corrected. There a few options depending on the type of mistake:
- reverse the pay run, make the change, post the pay run and file via STP or
- prepare a manual pay to fix the mistake in time for the next pay run
The answer is no. By implementing STP via their accounting software, the filed pay runs submit year to date payroll information for that financial year to date. Employers only need to start filing pay runs when they opt into STP.
The employer has to opt in with their ABN, if they file the pay runs.
The Bookkeeper has to opt in with their BAS agent number if they file the pay runs on behalf of the employer.
Both the employer and bookkeeper have to opt in if both parties file the pay runs on behalf of the employer.
The “salary” is finalised at the same time as the Income Tax Return. In some cases the payment summary would be finalised as late as June the following year. The concession recognises the nature of family owned businesses.
The Quarterly lodgement system for the BAS will be used for closely held businesses whereby the business will need to make a reasonable estimate each quarter re the amount to be paid to the relevant employees & tax withheld. The employer’s Tax Accountant will be able to assist with this task.