Report under Single Touch Payroll Phase 2
Disaggregated payroll reporting to the ATO via STP-enabled software.
Who must comply
All employers.
What triggers it
Paying wages or salaries.
When due
On or before each payday.
Evidence required
STP submissions in payroll software; ATO STP reports.
Max penalty
Failure to lodge on time penalties; PAYG withholding penalties for incorrect reporting
Summary
STP Phase 2 requires employers to disaggregate gross income into income types, allowances and deductions, and report new fields including employment basis, tax treatment code, and cessation reason. From 1 July 2026, Payday Super extends STP with QE and Super Liability fields. STP Phase 2 is the standard reporting method for all employers.
Enforced by
Source legislation
Topics
Related obligations
- CWLTHPay superannuation on every payday (Payday Super)From 1 July 2026, super must reach the employee's fund within 7 business days of each payday.
- CWLTHLodge Business Activity Statements at assigned frequencyGST-registered entities must lodge a BAS monthly, quarterly or annually as the ATO assigns.
- CWLTHLodge an FBT return and pay FBT by 21 MayEmployers who provided fringe benefits in the FBT year (1 April – 31 March) must lodge by 21 May.
Frequently asked questions
- Who must comply with under Single Touch Payroll Phase 2?
- All employers.
- What triggers under Single Touch Payroll Phase 2?
- Paying wages or salaries.
- When is under Single Touch Payroll Phase 2 due?
- On or before each payday.
- What is the maximum penalty for under Single Touch Payroll Phase 2?
- Failure to lodge on time penalties; PAYG withholding penalties for incorrect reporting
- What evidence is required for under Single Touch Payroll Phase 2?
- STP submissions in payroll software; ATO STP reports.
Source: https://ato.gov.au/businesses-and-organisations/hiring-and-paying-your-workers/single-touch-payroll/single-touch-payroll-for-employers/expanding-single-touch-payroll-phase-2. Rules Mate is not a law firm. Always verify against the live regulator source before acting.