Amending Payment Summaries

There are various reasons why you would need to amend a payment summary and the following outlines just a few:

• If you made a mistake with any of the amounts in your completed PAYG payment summary statement and you have already sent it to the ATO
• If you have amended any of the amounts of the payment summaries issued to payees
• If you are sending payment summaries that you did not send before
• If you reported an incorrect RESC value
• If you did not include all the wages categories used throughout the payroll year

There is a process that the ATO requires you to follow in sending an amended EMPDUPE file or NEW payment summary. All amendments must be reported to the ATO within 21 days after providing the amended payment summary to the employee.

From the ATO website:
The amended annual report file must only contain amended payment summaries and any additional original payment summaries that were not reported in a prior annual report for the same financial year. Do not include payment summaries that were previously sent and were not amended.


Lodging Electroncially:
It is possible to lodge amended PAYG Payment Summary electronically with the ATO using the BAS portal if your software produces an amended EMPDUPE file. The following shows the process for the main accounting software packages and where this isn’t possible, the manual process.

 

 

MYOB
Current versions of MYOB are unable to create an amended EMPDUPE file, therefore our solution is to lodge the Amended Payment Summary using GovReports.

1. Use MYOB to re-issue the payment summary to the employee/s
2. Re-create the EMPDUPE file—MYOB will create the EMPDUPE file with all employees in it
3. Upload to GovReports and ONLY tick the employee/s that have been amended—do not re-lodge all employees (unless all have been amended)
4. OR manually create the amended payment summary following the GovReports instructions, manually entering values for selected employee/s

Reckon

1. Un-publish the original payment summaries—you need to un-publish all employees
2. Make the corrections to the relevant employee/s
3. Re-generate payment summaries
4. Select those employees that need to be amended by selecting “yes” to be amended
5. Select “Publish All” to republish
6. Select General EMPDUPE file - you then get an option to download all payment summaries OR amended payments summaries only.
7. Select “Amended” which will then download the new EMPDUPE file

Intuit Quickbooks Online

1. Go to the Employees menu and click Process Payment Summaries.
2. Select the Tax Year (do not select any tax year prior to 2007/08).
3. Select Generate Payment Summaries as 'Amended'.
4. In the employees list, select only the employees that have had payment summary information amended.
5. Click OK.
6. Click Electronic File to create an EMPDUPE file and select a location to save it. The EMPDUPE file will indicate that the payment summary has been amended

Xero

1. Un-publish the original payment summary of the employee/s you need to amend—this will unlock the payroll data. You only need to un-publish the payment summaries you need to amend.
2. Make corrections to relevant employee/s
3. Publish the payment summary for relevant employee/s and tick YES to produce an amended payment summary
4. Reprint or email the amended payment summary to the employee/s
5. Remember you cannot report ETP amounts in Xero, the ETP payment summary must be done manually on the ATO form and posted to the ATO.

See this link for the full how-to instructions:
Xero Help - xero.com/help/PayrollEOFYTroubleshoot.htm


Saasu

Saasu does not currently have the facility to produce an amended payment summary.

1. Make corrections to relevant employee/s
2. Re-create the payment summaries. Saasu will produce payment summaries for all employees
3. The EMPDUPE file will include all employees whether they have been amended or not
4. See the instructions above for MYOB. Lodge the amended EMPDUPE file via GovReports or the PAYG payment summary statement paper form via mail to the ATO.

Lodging via Mail
If your software does not produce an amended payment summary and you do not have a GovReports subscription, you will need to lodge the amended payment summary statement via mail, by completing a paper form and posting it to the ATO.

You will need to order the paper forms.

Mail form to:
Australian Taxation Office
Locked Bag 50
PENRITH NSW 2740

Looking ahead for the Payroll Year 2014/15

If your payroll has 53 weekly or 27 fortnightly pay periods, you may need to withhold extra tax.

 Using the usual weekly or fortnightly tax tables may result in a shortfall of tax paid by the employee.

The employer should notify the employees early in the year if this is the case, and give the employees the option to have extra tax withheld as per the ATO guidelines for this situation.

 

When there are 53 pay periods in a financial year
In some years, you may have 53 pay periods instead of the usual 52.

As the tax schedule is based on 52 pays, the extra pay may result in insufficient amounts being withheld. You should let your employees know when this occurs so if they are concerned about a shortfall in tax withheld, they can ask you to withhold the additional amount in the table below.
 

Weekly Earnings               PAYG to Withhold
$725 to $1,524                  Additional PAYG $3
$1,525 to $3,449               Additional PAYG $4
$3,450 and over                Additional PAYG $10

 

 

 

When there are 27 pay periods in a financial year
In some years, you may have 27 pay periods instead of the usual 26.

As the tax schedule is based on 26 pays, the extra pay may result in insufficient amounts being withheld. You should let employees know when this occurs so if they are concerned about a shortfall in tax withheld, they can ask you to withhold the additional amounts in the table below.
 

Fortnightly Earnings         PAYG to Withhold
$1,400 to $3,049              Additional PAYG $12
$3,050 to $6,799              Additional PAYG $17
$6,800 and over               Additional PAYG $42

Reportable Employer Superannuation Contributions

Reportable employer superannuation contributions are additional contributions made to a superannuation fund on behalf of an employee.
Reportable contributions must be reported on an employee's payment summary because they may affect the employee's tax liability and their eligibility for various government benefits.
Generally, reportable contributions include:

• Contributions made under a salary sacrifice arrangement; and
• Additional amounts paid to an employee's superannuation fund as directed by the employee.

Extra superannuation contributions negotiated under an individual employment contract are usually considered reportable contributions, unless either of the following is demonstrated:

• The additional contributions are made for administrative simplicity; or
• A policy is documented, proving that the employee is not allowed to influence the contributions made by the employer on their behalf.

The following items are not regarded as reportable contributions:

• All superannuation guarantee contributions (minimum compulsory contributions);
• Compulsory contributions required by the governing rules of a superannuation fund or by a Commonwealth, state or territory law; and
• Employer contributions made under a collectively negotiated industrial agreement.

Click here for more information.