Frequently Asked Questions

STP and Payroll Summary show the same payroll tax in different ways. Payroll Summary shows one "Tax" total, while the STP report splits withholding across PAYG tax and Employment Termination Payment (ETP) tax. If the gross taxable figures reconcile between the two reports, the tax figure often reconciles once the STP tax categories are added together.

How to compare the reports

Payroll Summary Tax should be compared against the relevant STP tax fields:

+ PAYG tax

+ Termination tax (ETP PAYGW)

= STP comparable tax

An example may show:

Why is tax split on STP?

Payroll Summary stores one tax amount per pay run. When an employee has a taxable termination (ETP) payment, STP reports part of that tax against the termination payment and the remainder as normal PAYG tax. Adding both STP tax amounts brings you back to the Payroll Summary Tax total.

My numbers are not lining up?

• Check you are adding PAYG tax and Termination tax together, not comparing Payroll Summary Tax to the PAYG column alone
• Small differences can occur from rounding when tax is split between PAYG and termination
• Foreign Tax Paid on STP is separate from Payroll Summary Tax and should not be included in this comparison