Overview

The introduction of Single Touch Payroll V2 has brought updates to the employee record for AU employees. This article provides details on these changes to assist with updating CSV imports, and 3rd Party Integrations.

The changes can be summarised as follows:

Addition of new AU tax fields
Deprecation of existing AU tax fields
Change in business logic for setting tax scales

The impact of this will mean that you will need to:

Understand some fields are now deprecated and will not produce the expected behaviour in terms of setting employee tax scale
Additional STP V2 employee fields now need to be set
Certain employee tax scales are being deprecated

Employee Field Changes

The following table outlines the field changes on the employee record.

Field Name	Field ID	Field Type	Change	Details

Field Name	Field ID	Field Type	Change	Details
Has STSL	custentity_pr_au_has_stsl	Checkbox	Add	Replaces the deprecated “HELP/VSL/FS/SSL/TSL TYPE” field and is used to set the employee tax scale
Tax Treatment Code	custentity_pr_au_tax_code	Text	Add	This is a string that represents 1 char for each of the following fields: Char 1 = Tax Category Char 2 = Tax Option Char 3 = Has STSL Char 4 = Medicare Levy Surcharge Char 5 = Medicare Levy Exemption Char 6 = Medicare Levy Reduction
Tax Category	custentity_pr_au_tax_category	List / Record	Add
Tax Option	custentity_pr_au_tax_option	List / Record	Add
Medicare Levy Surcharge	custentity_pr_au_medicare_surcharge	List / Record	Add	Replaces “APPLY MEDICARE LEVY SURCHARGE”, Field would only be set based on a Medicare Levy Variation Form.
Medicare Levy Exemption	custentity_pr_ml_exemption	List / Record	No Change	Field would only be set based on a Medicare Levy Variation Form.
Medicare Levy Reduction	custentity_pr_au_medicare_reduction	List / Record	Add	New option Field would only be set based on a Medicare Levy Variation Form
Employment Basis	custentity_pr_au_employment_basis	List / Record	Add	The employment basis automatically sources from the “Payroll Employment Status” field for Full Time, Part Time and Casual.
Income Stream	custentity_pr_au_income_stream	List / Record	Add	New field
Home Country (WHM Only)	custentity_pr_au_income_country	List / Record	Add	Currently only required for Working Holiday Makers, sources onto payslip details.
Income Type	custentity_pr_income_type	List / Record	Deprecated	Automatically sourced from Resident Status: * Resident = S - Salary or Wages * Non Resident = S - Salary or Wages * Working Holiday Maker = H - Working Holiday Maker to 45000
HELP/VSL/FS/SSL/TSL TYPE	custentity_pr_help_sfss_var	List / Record	Deprecated	No longer used see has STSL checkbox.
APPLY MEDICARE LEVY SURCHARGE	custentity_pr_include_mls	Checkbox	Deprecated	No longer used see medicare levy surcharge.
CLAIM SENIOR AUSTRALIAN TAX OFFSET	custentity_pr_claim_senior_tax_offset	Checkbox	Deprecated	No longer used senior couple information is now represented by: Tax Category (Senior & Pensioners) Tax Option: - Single (S) - Member of Couple (M) - Illness Seperated Couple (I)
Senior Couple Status	custentity_pr_senior_couple_status	Checkbox	Deprecated
Termination Type	custentity_pr_termination_reason	List / Record	Updated Values	We have added additional options and split Normal Termination (Dismissal) into its own type
Payroll Employment Status	custentity_employment_status	List / Record	Updates Type	Change from Custom list to Custom Record to allow defaulting of employment basis. No change required

Change to Employee Tax Scale

With the introduction of our STP V2 release the employee tax scales have been simplified the key changes:

Update the client side logic that sets Employee Tax Scale to work with the new Tax Category / Tax Option
Deprecate duplicate legacy tax scales
Simplify Working Holiday Maker Tax Scale and support Un registered
Remove Flat Tax Scale

Supported Tax Scales

With the introduction of our STP V2 release the employee tax scales have been simplified the following table are now supported, these should be referenced by external ID in integrations as the internal ids may differ between accounts.

Employee Tax Scale	Resident Status	External ID	Status

Employee Tax Scale	Resident Status	External ID	Status
Tax-free threshold claimed (2)	Resident	2	No Change
Tax-free threshold claimed (2a) with STSL debt	Resident	2a	No Change
No tax-free threshold (1)	Resident	1	No Change
No tax-free threshold (1a) with STSL debt	Resident	1a	No Change
No tax file number (4)	Resident	4	No Change
Foreign resident (3)	Non-Resident	3	No Change
Foreign resident (3a) with STSL debt	Non-Resident	3a	No Change
No tax file number (4a)	Non-Resident	4a	No Change
Full Medicare exemption (5)	Resident	5	No Change
Full Medicare exemption (5a) with STSL debt	Resident	5a	No Change
Half Medicare exemption (6)	Resident	6	No Change
Half Medicare exemption (6a) with STSL debt	Resident	6a	No Change
Senior Australian:Couple	Resident	s3	No Change
Senior Australian:Illness-Separated Couple	Resident	s2	No Change
Senior Australian:Single	Resident	s1	No Change
Working Holiday Maker (WHM-UREG)	Working Holiday Maker	hu	New
Working Holiday Maker (WHM-REG)	Working Holiday Maker	hr	New
Seasonal Worker Programme	n/a	wp	New
Nil Tax Withheld	Non Resident	nil
Manual Tax Component	n/a	mt	New

Merged Tax Scales

The following employee tax scale are now deprecated, integrations and csv imports should be updated to match the supported list above but will be supported for the 22/23 Tax Year.

Deprecated Tax Scale	Migrate to Tax Scale

Deprecated Tax Scale	Migrate to Tax Scale
No tax-free threshold (1b) with STSL debt	No tax-free threshold (1a) with STSL debt
No tax-free threshold (1c) with STSL debt	No tax-free threshold (1a) with STSL debt
Tax-free threshold claimed (2.)	Tax-free threshold claimed (2)
Tax-free threshold claimed (2.a) with STSL debt	Tax-free threshold claimed (2a) with STSL debt
Tax-free threshold claimed (2b) with STSL debt
Tax-free threshold claimed (2.b) with STSL debt
Tax-free threshold claimed (2c) with STSL debt
Tax-free threshold claimed (2.c) with STSL debt
Foreign resident (3b) with STSL debt	Foreign resident (3a) with STSL debt
Foreign resident (3c) with STSL debt	Foreign resident (3a) with STSL debt
Full Medicare exemption (5b) with STSL debt	Full Medicare exemption (5a) with STSL debt
Full Medicare exemption (5c) with STSL debt	Full Medicare exemption (5a) with STSL debt
Half Medicare exemption (6b) with STSL debt	Half Medicare exemption (6a) with STSL debt
Half Medicare exemption (6c) with STSL debt	Half Medicare exemption (6a) with STSL debt

Deprecated Tax Scales

Flat Tax Scales (12)
50% Flat Tax Rate	30% Flat Tax Rate	15% Flat Tax Rate
45% Flat Tax Rate	25% Flat Tax Rate	10% Flat Tax Rate
35% Flat Tax Rate	20% Flat Tax Rate	5% Flat Tax Rate
7% Flat Tax Rate	47% Flat Tax Rate	49% Flat Tax Rate
Redundant WHM Threshold Scales (4)
H - Working Holiday Maker to 45000 (WHM1)	H - Working Holiday Maker 45001 to 120000 (WHM2)	H - Working Holiday Maker 120001 to 180000 (WHM3)
H - Working Holiday Maker over 180000 (WHM4)

Integration Use Cases

For integrations and CSV Imports the following examples provide the most common variations that need to be supported, and less common including the medicare levy variations.

Common

TFN	Resident Status	Claim Tax Free	Cat (Char 1)	Option (Char 2)	Has STSL (Char 3)	MLS (Char 4)	MLE (Char 5)	MLR (Char 6)	Tax Code	Employee Tax Scale

TFN	Resident Status	Claim Tax Free	Cat (Char 1)	Option (Char 2)	Has STSL (Char 3)	MLS (Char 4)	MLE (Char 5)	MLR (Char 6)	Tax Code	Employee Tax Scale
Valid	Resident	Yes	Regular (R)	Tax Free Threshold (T)	No	None	None	None	RTXXXX	Tax-free threshold claimed (2)
Valid	Resident	No	Regular (R)	No Tax Free Threshold (N)	Yes	None	None	None	RNSXXX	No tax-free threshold (1a) with STSL debt
Valid	Working Holiday Maker	No (N/A)	Working Holiday Maker (H)	Registered Payer (R)	No (N/A)	None	None	None	HUXXXX	Working Holiday Maker (WHM-REG)
Valid	Non Resident	No (N/A)	Foreign Resident (F)	Foreign Residency (F)	Yes	None	None	None	FFSXXX	Foreign resident (3a) with STSL debt
Invalid (000000000)	Resident	No (N/A)	No TFN (N)	Australian Resident (A)	No (N/A)	None	None	None	NAXXXX	No tax file number (4)
Invalid (000000000)	Non Resident	No (N/A)	No TFN (N)	Non Resident (F)	No (N/A)	None	None	None	NFXXXX	No tax file number (4a)

Less Common Medicare Variation

Medicare variations are only available to employee’s who are Resident, and only the surcharge tier can be claimed if the employee is not claiming the tax free threshold. As a result the typical variations are as follows:

TFN	Resident Status	Claim Tax Free	Cat (Char 1)	Option (Char 2)	Has STSL (Char 3)	MLS (Char 4)	MLE (Char 5)	MLR (Char 6)	Tax Code	Employee Tax Scale

TFN	Resident Status	Claim Tax Free	Cat (Char 1)	Option (Char 2)	Has STSL (Char 3)	MLS (Char 4)	MLE (Char 5)	MLR (Char 6)	Tax Code	Employee Tax Scale
Valid	Resident	No	Regular (R)	No Tax Free Threshold (N)	Yes	1% (Tier 1)	None	None	RNS1XX	No tax-free threshold (1a) with STSL debt
Valid	Resident	Yes	Regular (R)	Tax Free Threshold (T)	No	1% (Tier 1)	None	None	RTX1XX	Tax-free threshold claimed (2)
Valid	Resident	Yes	Regular (R)	Tax Free Threshold (T)	No	None	Full Exemption	None	RTXXFX	Full Medicare exemption (5)
Valid	Resident	Yes	Regular (R)	Tax Free Threshold (T)	No	None	Half Exemption	None	RTXXHX	Half Medicare exemption (6)
Valid	Resident	Yes	Regular (R)	Tax Free Threshold (T)	No	None	Half Exemption	1 Children (1)	RTXXH1	Half Medicare exemption (6)

In Summary:

If an employee is making a Medicare Levy Surcharge they cannot also claim an exemption or reduction
If an employee is claiming a full or half exemption they cannot pay a surcharge
If an employee is claiming a full exemption they cannot claim a medicare levy reduction

Termination Reason Codes

With the introduction of the STP V2 release the termination reason codes custom list has been updated to reflect a more granular approach of reporting termination reasons. The supported list is now as follows:

Data Dictionary

Tax Category

Custom Record: AU Tax Treatment Category (customrecord_au_tax_treatment_category)

Custom Record: AU Tax Treatment Category (customrecord_au_tax_treatment_category)

Internal ID	Name	Notes
1	Regular	Set For Resident
4	Seniors & Pensioners (S)
5	Working Holiday Makers (H)	Set For Working Holiday Maker
6	No TFN (N)	Set For No TFN
7	ATO-Defined (D)
8	Voluntary Agreement (V)
10	Foreign Resident (F)	Set For Non Resident

Tax Option

Custom Record: AU Tax Treatment Option (customrecord_au_tax_treatment_option)

Custom Record: AU Tax Treatment Option (customrecord_au_tax_treatment_option)
The Tax Option is filtered by the Tax Category Option, attempting to set a tax option which is not available for a tax category will result in an invalid record ref error
Internal ID	Name	Tax Category Available For
2	Tax Free Threshold (T)	Regular (R)
3	No Tax Free Threshold (N)	Regular (R)
4	Single (S)	Seniors & Pensioners (S)
5	Member of Couple (M)	Seniors & Pensioners (S)
6	Illness Seperated Couple (I)	Seniors & Pensioners (S)
7	Registered Payer (R)	Working Holiday Makers (H)

STP V2 Employee Integration / CSV Mapping Changes