A new legislation surrounding the reporting of child support from employee salary or wages has been introduced. If passed, employers will voluntarily be able to report on deductions through Single Touch Payroll (STP).
Withholding of these deductions from salary and wages will be reported by employers if the legislation is passed.
It will also see them able to report any garnishee amounts. This amount is paid to the Child Support Registrar via withholding of salary or wages.
A further amendment would see the Child Support (Registration and Collection) Act 1998 changed to ensure that if employers do choose to report under STP arrangement to the Commissioner of Taxation, they do not also have to report the amounts to the Child Support Registrar.
Employers who do not report any withheld amounts for such purposes within the STP system must still report to the Child Support Registrar.