I have read thoroughly the ATO publication “Single Touch Payroll employer reporting guidelines”, last modified 27 Mar 2020, QC 54550. Can read online or download a pdf copy. https://www.ato.gov.au/Business/Single-Touch-Payroll/In-detail/Single-Touch-Payroll-employer-reporting-guidelines/ . Thanks to Joseph Li for the inspiration.
I now understand the very simple approach to be as follows. In short, if an employer’s STP reporting software can’t report super salary sacrifice amounts (like us with the Reckon STP app), then the employer can send that “Reportable Employer Superannuation Contribution (RESC)” amount on an old-school paper payment summary to the ATO. The paper payment summary should only include amounts not reported through the STP app. Employee will effectively end up with 2 payment summaries, one generated electronically from the STP app (showing wages and salaries and 9.5% super), and the other submitted on paper showing the missing salary sacrifice super amount (RESC)
The ATO guidelines doc is 33 pages in pdf, but here are the key bits.
reporting” (page 13) it says:
You can also choose to include reportable employer superannuation contributions (RESC) ...for your employees. If you choose to include these amounts in a report by 14 July in the next financial year and complete a finalisation declaration you are not obliged to give payment summaries and a payment summary annual report to the Commissioner of Taxation covering these amounts.
If you choose not to report these amounts through STP, you will be required to give payment summaries to your employees and a payment summary annual report to the Commissioner covering these amounts.
Under “Reportable employer superannuation contributions” (page 23) it says:If you cannot (or choose not to) provide ... RESC through STP, you must provide this information on a payment summary and provide us with a payment summary annual report. The payment summary must not include amounts reported through STP.