RE: STP2 Upload to Portal

Alison Hart
Alison Hart Member Posts: 38 Reckoner Reckoner

Just wanting someone to confirm the layout of details when uploaded to the portal as it now looks different.

Income Type : SAW

Gross Payment $amount = Type INB Gross

Leave $amount = Type 0

Other Payments

  • Super $amount = Type L
  • Fringe Benefits Tax $amount = Type X (the amount is correct but why does it say: FBT rather than RFB Tax Exempt.

Our RFB Tax Exempt, used to show under the heading, Fringe Benefits Tax, Tax Free Amount $amount.

I am concerned that I may have used a wrong Tax Tracking Code.


Thanks so much

Ali

Answers

  • Rav
    Rav Administrator, Reckon Staff Posts: 16,341 Reckon Community Manager Community Manager

    Hi @Alison Hart

    You're exactly right, there have been some updates made to GovConnect with STP Phase 2 in order to show additional detail around disaggregation.

    I'd recommend checking out the info in this article below for more info -


    πŸŽ‰ Get rewarded for contributing to the Reckon Community! Learn how you could get a $100 gift voucher each month HERE.

  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Hi Rav,

    Thank You.

    So does this mean what I have done is correct. Even though it shows as Fringe Benefits Tax and not the actual Reportable Fringe Benefits Tax Exempt?


    Thanks

    Ali

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Hi Ali

    Map it to the " ...Tax Exempt" option instead, then re-generate your STP file & submit it. Then it will be correct 😊 :


    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Hi Shaz,

    I have used the RFB Tax Exempt tracking type. But I still did the process again and it is still showing the same on the portal.

    I just noticed that your Payrol Item is RFB Company Contribution. We have always had the item as an addition. Does that make a difference.

    Thanks

    Ali

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Hi Ali

    Yes, RFB is a Company Contribution - rather than an Addition - because it's an employer-paid liability. This could be why it's not able to reflect it correctly 😬

    Try setting it up as a Company Contribution instead & it should work 😊

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Hi Shaz,

    I have setup a new payroll item as company contribution, but when I picked up the last pay and changed it to the new item it has moved it from Employee Summary to Company Summary and reduced the pay by the FB amount, $550. 00. Note: we have the same amount each pay of $550. I added the new Item to my pay record but still isn't working.


  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Also, changing the Payroll Item it wouldn't let me leave blank the GrossVnet option.

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert
    edited August 2023

    It hasn't deducted anything in your screenshot - The gross amount still totals $ 357.30:


    As a Company Contribution, it doesn't affect anything else, it just shows as an additional value (like Super)

    The final (grossed-up) RFB amount is determined by your tax agent when they submit the FBT return & should just be manually added to the applicable employee's last Paycheque in the FBT year.

    So ... from what you've said above I'm wondering if what you're actually referring to is a "Salary Sacrifice" (SS) amount ? This is an amount out of the employee's gross earnings every pay that reduces their PAYGW & it is from these SS amounts, that the tax agent CALCULATES the actual Reportable Fringe Benefit (RFB) annual amount.

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    The cheque amount should be $907.30.

    I am thinking it should be a SS as what you say above is correct, it reduces our Taxable Income.

    I do the year end adjustment with the grossed up figure on the last payrun for June.

    I think the confusion is we havent used the word SS here before, so I was getting confused πŸ€¦β€β™€οΈ

    Could you please point me in the direction of how to setup the pay item for SS.πŸ™

    This is how my pay usually looks.

    Really appreciate your help with this

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert
    edited August 2023

    OK ... that's not SS either then 😬 SS involves "sacrificing" part (or all) of the gross amount elsewhere to reduce PAYG, not adding it on. This looks like an additional amount being paid that's just not taxed ?

    Are you able to clarify further what the scenario is for this amount eg what it's for & why it's paid ?

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    This is due to us being a Public Benevolent Instutition with DGR status.

    We are entitled to tax concessions to a certain amount each year. The amount equates to $550 per fortnight and I provide receipts to cover this amount.

    Does this help or maybe I should have a conversation with our auditor for more clarification.

    Thanks

    Ali

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    I believe the issue is the initial setup on the Paycheque. The total gross should INCLUDE that $ 550 which is then "sacrificed" so I'm thinking it should look more like this (ignore the leave - I haven't set that up on this example):

    What are your thoughts ?

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Yes, looks good to me.

    I might just run this by the Auditor, if that's ok with you.

  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Hi Shaz,

    Just a question: going back to the way I had it originally setup, the Statement on the Portal shows Fringe Benefits Tax as discussed above but my Income Statement on my MyGov is correct.

    So this confuses me even more.

    Waiting to hear back from our Auditor as how to process it.

    Thanks for all your assistance, will let you know the outcome

  • Acctd4
    Acctd4 Accredited Partner Posts: 3,727 Reckon Accounts Hosted Elite Expert Reckon Accounts Hosted Expert

    Hi Ali

    "Salary Sacrifice" is another term for "Salary Packaging" where an employee forgoes part (or all) of their monetary gross pay in exchange for an alternative benefit (eg payment of expenses) to reduce their PAYGW.

    Unless exempt, "Fringe Benefit Tax" can be payable by the employer on the grossed-up value of these arrangements. This "Reportable Fringe Benefit" (RFB) value is shown on the employee's Income Statement.

    So ... Salary Sacrifice/Packaging is a type of Fringe Benefit.

    My concern is that your Gross Pay & Super are being under-reported on your original setup 😬

    Shaz Hughes Dip(Fin) ACQ NSW, MICB

    *** Reckon Accredited Partner (AP) Bookkeeper - specialising EXCLUSIVELY in Reckon Accounts / Hosted ! ***

    * Regd BAS Agent (No: 92314 015)* ICB-Certified Bookkeeper* Snr Seasonal Tax Consultant since 2003 *

    Accounted 4 Bookkeeping Services

    Ballajura, WA

    shaz@accounted4.com.au

    https://accounted4.com.au

    (NB: Please give my post a Like or mark as Accepted Answer if I have been able to resolve your query as this helps others when seeking solutions!)
  • Alison Hart
    Alison Hart Member Posts: 38 Reckoner Reckoner

    Hi Shaz,

    UNOH is exempt from Fringe Benefits Tax.

    I process a YTD Adjustment and gross up the Fringe Benefit Amount dated 31st March each year on the last pay run for June.