The ATO have announced that they will allow deferral of Single Touch Payroll (STP) Phase 2 transition.
Where employers can start reporting from 1 January 2022, the ATO will support and encourage them to transition.
If employers can start reporting the expanded data by 1 March 2022, they will be considered to have started on time.
They do not need to apply for more time.
Deferrals are available for Digital Service Providers (DSPs) who will not be ready. DSPs will advise their clients who are covered by their deferral.
There is no need for employers to apply for more time where their DSP has a deferral that will cover them. For any employers that need even more time, a delayed transition will be available.
An online tool for employers to apply for a delayed transition for Phase 2 will be made available in December 2021.
No penalties will be applied for honest mistakes made during the first year of reporting the expanded data. This will cover transitions until 31 December 2022. This includes employers who have already started Phase 2 reporting.
For more details on STP Phase 2, join the ATO’s webinar series.