STP Phase 2 ready
Reckon are on track to release the new versions of Reckon Accounts Desktop and Reckon Accounts Hosted on June 13th, 2023. This version will include the following:
- The 23/24 tax tables
- The STP Phase 2 migration assistant
- STP Phase 2 submission format and new superannuation rates.
Reckon has developed the STP Phase 2 migration assistant to make your transition from STP Phase 1 to STP Phase 2 as streamlined as possible. You can watch the demonstration video here. The video also gives a good indication of the information you will need to have available to be able to update employee and payroll item information as required.
Reckon recommends businesses make the switch to STP phase 2 before their first pay run of the 23/24 financial year. It is, however, important to finalise the current year payroll and complete the STP final before upgrading.
STP Phase 2 changes
The expansion of STP reduces employers’ burden to report information about their employees to multiple government agencies. Key changes include:
- Disaggregation of gross
- Employment and taxation conditions
- Income Types
- Country codes
- Child support
- Business Management Software ID’s and Payroll IDs
If you wish to learn more about STP Phase 2, click here.
What’s not changing
Whilst you will need to provide the ATO with more information, there are a few things that won’t change in the transition to STP Phase 2, including:
- The way you report Single Touch Payroll
- The date you report Single Touch Payroll (on or before the payday)
- The types of employee payments that are required for Single Touch Payroll
- Reporting your current taxation and superannuation duties
- End-of-year finalisation requirements and submission responsibilities
Duel tax tables
What’s exciting about the 2023 software release is that there will only be one release instead of the usual two. This is due to the new software having dual tax tables. What does that mean? It means the software will determine which tax table to use depending on the pay run date. Reckon has advised that this will likely happen in all future releases. Going forwards, you won’t have to wait until the last pay run of the year to be completed before you upgrade.
Need help?
As always, we are here to help. If you need assistance with year-end finalisation, upgrading, or transitioning to STP Phase 2, contact us today to book for assistance.
