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Re: Coding Allowances for Single Touch Payroll

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Newbie

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Replies 2

Hi There, 

 

We are in the process of testing and preparing for Single Touch Payroll (Frontier currently having a defferal until next year). We have been told that our Allowances must come under the following: Travel, Car, Transport, Meals, Other. We are unsure of what KM's goes under, or what to put Uniform allowance under? 

 

The information provided to us so far is very limited. 

 

Regards 

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Best answer

ATO Certified

Community Support

Replies 0

Hi @NikkiTG,


Welcome to our Community and thanks for your question!


It’s great to see that you’re being so proactive preparing for Single Touch Payroll. In addition to the helpful advice provided by @Matthew-at-ICB, here is a link to our Single Touch Payroll employer reporting guidelines that may help you. There is also a handy PDF copy that you can print out.

 

The rules of reporting through Single Touch Payroll is another helpful area that discusses allowances and how to report them.


I hope this helps, JodieM

2 REPLIES 2
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Devotee Registered Tax Practitioner

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ATO website advises

Allowances

Not all allowances paid to employees are separately itemised as some allowances that are non-deductible form part of the gross payments.

What is changing under STP is that where the allowance is required to be separately itemised (deductible), they will need to be categorised in one of the following categories:

  • travel
  • car
  • meals
  • laundry
  • transport
  • other.

Employees will be able to see their allowances in ATO online services, accessed through myGov. The ATO will pre-fill these amounts into the employee's individual tax return once the employee's STP information has been finalised.

---- so it all becomes about where it will turn up on the employees prefill

Other is the default caatch all

Uniforms would appear "Other"

Kms would appear car as then it would match what they deduct under kms

 

Highlighted

Best answer

ATO Certified

Community Support

Replies 0

Hi @NikkiTG,


Welcome to our Community and thanks for your question!


It’s great to see that you’re being so proactive preparing for Single Touch Payroll. In addition to the helpful advice provided by @Matthew-at-ICB, here is a link to our Single Touch Payroll employer reporting guidelines that may help you. There is also a handy PDF copy that you can print out.

 

The rules of reporting through Single Touch Payroll is another helpful area that discusses allowances and how to report them.


I hope this helps, JodieM