STP reporting broadened to include child support information
Employers will be able to voluntarily report child support deductions from salary or wages and child support garnishee amounts under the single touch payroll regime.
The government announced in the 2019-20 budget that it would expand the data collected through single touch payroll (STP) by the ATO, to reduce the compliance burden for employers and individuals reporting information to multiple government agencies.
This includes allowing for the voluntary reporting of child support deductions and child support garnishee amounts under the STP regime.
According to the new law, the Child Support (Registration and Collection) Act 1998 will be amended to ensure that an employer who reports child support garnishee amounts from salary or wages under STP is no longer required to report those amounts to the Child Support Registrar.
If an employer chooses not to, or fails to, report these amounts under STP, their ordinary reporting obligations under section 47 of the CSRCA continue to apply, the bill reads.
The government is currently seeking the community’s views on the exposure draft legislation.
Responses can be submitted up until 5 February 2020.