𝐈𝐭'𝐬 𝐭𝐡𝐞 𝐞𝐧𝐝 𝐨𝐟 𝐭𝐡𝐞 𝟐𝟎𝟐𝟐 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐲𝐞𝐚𝐫!

The end of the financial year is this week. I like to refer to this as Groundhog Day (referring to a Bill Murray movie from the early 90s). As a tax accountant, the end of the financial year is a new beginning and all the work completed over the last 12 months has to be completed again.

An important action for employers at the end of the financial year is to reconcile the salary and wages paid to your staff. You will need to complete the end-of-year STP Finalisation and prepare income statements for your staff. Income Statements are commonly known as PAYG Payment Summaries, if you are a bit older… group certificates.

You have until 14 July 2022 to have these reports prepared and available for your staff. As in the last couple of years, there is no paperwork to provide your staff. The information will be available online, via the MyGov portal or your tax agent can access the reports through the Tax Agent Portal.

When reconciling your wages, you have three figures to match. The salary & wages figures on the profit & loss report. The salary & wages report on the STP Finalisation and the wages & salary are reported on the activity statements. All three need to match.