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Australia only

You need to assign an ATO reporting category to each of the wage, deduction and superannuation pay items you use. This lets the ATO know how to treat each type of payment you're reporting through Single Touch Payroll (STP).

STP Phase 2

STP Phase 2 is the ATO's expansion of their payroll reporting requirements. This includes expanding the list of ATO reporting categories to better define the amounts paid to employees. For example, the ATO reporting category Gross payments has been split into more specific payment types, like overtime and bonuses.

To learn more about STP Phase 2, visit the ATO website.

If you set up STP since mid-December 2021, you'll likely be set up for STP Phase 2. You can see if you're reporting on STP Phase 2 via the STP reporting centre (Payroll > Single Touch Payroll reporting).

When you move to STP Phase 2, you'll need to confirm the ATO reporting categories you've assigned to your pay items. For example, pay items previously assigned to Gross Payments might now need to be assigned to a new specific reporting category, like overtime or bonus.

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Which ATO reporting category should I assign?

As your business, award and employee agreements are unique, we can't tell you which ATO reporting categories you should assign to your pay items.

However, you can use the descriptions of reporting categories below to guide you.

For additional information and advice:

• consult your accounting advisor (don't have an accounting advisor? Get in contact with a Professional Partner)
• ask questions and learn from others at the community forum

• check the employer reporting guidelines on the ATO website: STP Phase 1 | STP Phase 2

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