STP Phase 2 – Employee Configuration
- Michelle Russell
Analytics
The ATO requires payers to capture additional employee information for reporting via STP Phase 2. This will require the user to complete additional fields on the Employee -> Details and Employee ->Pay Setup tabs, as described below.
Employment Basis – Located on the Employee details tab, all employees will now require an employment basis to be filled out before an STP Phase 2 pay can be submitted. These options are:
Full Time
Part Time
Casual
Labour Hire
Voluntary Agreement
Death Beneficiary
Non-Employee
Termination Type – Located on the Employee details tab, the Termination Type describes the way the employee left the company. When an employee is terminated, a termination type must be entered. Moveware will consider an employee terminated when the Employee Status is set to ‘Terminated’. These options are:
Voluntary Cessation
Ill Health
Deceased
Redundancy
Dismissal
Contract Cessation
Transfer
Income Stream – Located on the pay setup tab, the income stream helps the ATO to identify employees that are being taxed differently. Moveware currently provides support for the following income streams as defined by the ATO:
SAW – Salaries and Wages – Assessable income paid to payees for work performed in Australia, other than that included as other Income Types.
CHP – Closely Held Payees – a payee who is directly related to the entity, from which they receive payments, such as family members of a family business; directors or shareholders of a company; beneficiaries of a trust.
WHM – Working Holiday Makers – income only for limited visa subclasses for foreign residents. This includes income for a WHM engaged by a Labour-Hire business as an employee but does not include contractors engaged by a Labour-Hire business.
LAB – Labour Hire – payments by a business that arranges for persons to perform work or services, or performances, directly for clients of the entity. Income for contractors only, does not include employees.
Income Stream
Important notes for Income Stream:
If the income stream is left blank, Moveware will automatically report the income stream as SAW
If the income stream is set to WHM,
Moveware user must select working holiday maker’s home country from the Country field
The employee must be on a working holiday maker tax scale