STP Phase 2 will expand the data collected through STP. This expansion will reduce the reporting burden for employers who need to report information about their employees to multiple government agencies. It also supports the administration of the social security system.
Key benefits and features of STP Phase 2 include:
- reducing the duplication of information employers provide to Government including the need for separation certificates and reporting child support garnishee and deduction amounts through STP
- removing the need to send tax file number and withholding declaration information to the ATO
- better defining the components that make up gross income that will make it easier for employers to understand their obligations and help employees understand their earnings and help them with their interactions with Services Australia
- reporting employee payments by income type (or income streams)
To view more detail from the ATO, click here