I'm confused reading the STP information provided.
If a trust or company (or partnership) makes a payment to a beneficiary/shareholder/partner, is this required to be reported via STP if it is NOT wages/salary or any other type of employee remuneration? What if the recipient is not an individual?
For example I have two client discretionary trusts:
1. One is in business, the sole employee receives some payments via payroll (and thus STP) but the balance of income is distributed to him & others by journal entry at 30 June and reported in the trust tax return as a distribution of income of the trust. The income usually remains in their beneficiary account and is not paid out. What is required to be reported via STP for this trust?
2. The other trust is an investment trust. Again, the income for the year is distributed by journal entry at 30 June and reported in the tax return as a distribution of income of the trust. The beneficiaries do receive two payments each during the year which are roughly based on the balance in the bank account but rounded to the nearest thousand dollars. Does this trust now also have a requirement to report via STP?
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