In some circumstances, you may no longer need to lodge Single Touch Payroll (STP) reports. When you can cease reporting and what you need to do will be different depending on your situation.
No longer employing staff
If you cease employing staff and continue trading without employees, you must submit a finalisation declaration for all your employees as part of finalising your STP data.
Once you do this, we'll pre-fill the employees’ tax returns and display the information as 'tax ready' in myGovExternal Link at the end of the financial year.
You can make a finalisation declaration at any time during the financial year when you have ceased employing.
When you've finalised your STP obligations, you can cancel your pay as you go (PAYG) withholding registration. This will let us know that you are no longer employing staff.
If you are a sole trader, the requirements will be different.
See also:
Closing your business
Before you close your business and cancel your Australian business number (ABN), you must bring all your lodgment obligations up to date, including STP reporting.
As part of your STP reporting, you'll need to make an STP finalisation declaration for all your employees.
Once you do this, we'll pre-fill the employees’ tax returns and display the information as 'tax ready' in myGovExternal Link at the end of the financial year.
You can make a finalisation declaration at any time during the financial year.
When you have finalised your STP obligations, you can cancel your PAYG withholding registration. This will let us know that you are no longer employing staff. Once this is done, you should cancel your goods and services tax (GST) and ABN registrations so we know you've ceased trading.
It is important that you finalise all outstanding STP reporting before you cancel your ABN and your software subscription in order to meet your STP obligations.
If you're a company but no longer operate a business, you can choose to keep your ABN registration. However, you must cancel your GST and PAYG withholding registration and lodge an STP finalisation declaration.
See also:
Changes to your business structure
If your business structure changes, the ABN and branch under which you have been generating your STP reporting may change. If this occurs, you must:
- finalise your STP reporting under the ABN and branch you have been using for your STP reporting
- start your STP reporting under the new ABN and branch using zero year-to-date employee amounts.
It's important to finalise your STP reporting under the ABN and branch before you lose access to it, or it is cancelled or deregistered.
See also:
- Transitioning from STP Phase 1 to STP Phase 2 reporting
- STP Phase 1 – The rules of reporting through STP
- STP Phase 2 – The rules of reporting through STP
No payments to employees for the rest of the year
If you won't be paying any employees for the rest of the financial year, or for a period greater than your reporting obligations, you should lodge a 'No requirement to report' notification.
To submit this request log in to Online services for business and complete the following steps.
- Select Employees, STP deferrals and exemptions, No requirement to report.
- Enter start and end dates.
- Attach any documents that we have asked for.
- Complete the declaration.
- Click Submit.
When the form is submitted, you'll receive an ATO receipt ID and be advised if the request has been accepted or has been sent for assessment.
See also:
Pausing your business due to COVID-19
If your business has been paused due to COVID-19 and you're not currently employing, you should submit a 'No requirement to report' request.
See steps above for how to submit this request using Online services for business.
See also:
When Single Touch Payroll (STP) reporting can cease and what to do if you no longer have STP reporting obligations.