Small employers (19 or fewer payees) are exempt from reporting amounts paid to closely held payees through Single Touch Payroll (STP) until 30 June 2021. You don’t need to apply for this exemption.

From 1 July 2021, amounts paid to closely held payees will need to be reported through STP. If you’re a small employer you can report these amounts on or before each payday, or you can choose to report this information quarterly.

If you have any other payees (also known as arm’s length employees) they must be reported on or before each payday.

Single Touch Payroll reporting for closely held payees

A closely held payee is an individual directly related to the entity from which they receive payments.

For example:

  • family members of a family business
  • directors or shareholders of a company
  • beneficiaries of a trust.

You must continue to report information about all of your other employees (known as arm’s length employees) via STP on or before each payday (the statutory due date).

If you only have closely held payees, you are not required to start STP reporting until 1 July 2021. You do not need to tell us that you only have closely held payees.

Ways to report amounts paid to your closely held payees

From 1 July 2021, amounts paid to closely held payees can be reported through STP in any of the following ways:

For information, advice and support contact our expert team


Yield Business Advisory

Yield Business Advisory has a team of qualified experienced professionals to guide clients through the many challenges they may face.

We offer comprehensive business advice and financial solutions, and can assist in the following areas:

  • Business and product profitability reviews
  • Analysis of key performance indicators
  • Analysis of industry benchmarking
  • Assist with the purchase and sale of a business
  • Bank finance and funding reviews
  • Employer obligations
  • Business restructuring
  • Strategic planning
  • Asset protection strategies
  • Business valuations.
  • Family and business succession and estate planning

Contact us today to see how we can help you and your business.

Phone: 08 8562 4332
Email Yield Business Advisory