Forum Discussion

Trusted Cover User

5 years ago

Online BAS incorrect amount at W1 due to unused annual leave payment on termination

Hi, my online BAS is showing an incorrect amount at W1. It has not picked up the payment made to an employee on termination, of his unused annual leave & leave loading. I've checked the ATO payroll category in MYOB and it's set to Lump Sum A. The amount has been reported to ATO as usual with STP and the PAYGW for it is correct in the online BAS, the report was accepted.

Is this normal? Should I leave it as is or manually change the amount on the online BAS to include the unused annual leave payments?

Thanks for any help with this one..

Tracey_H
5 years ago
Hi sal2107

Thanks for your post. STP uses the assigned ATO reporting categories to report payments to the ATO, however, the BAS uses the payroll categories found in Payroll Categories>>Wages tab. For those unused leave payments to appear in the W1 field you will need to check that they have been selected in your BAS set up. You can do this by logging into your BAS and clicking on Settings. Once you have selected the unused leave categories, click on Update from ledger in the top right corner of the BAS lodgment screen to update those settings.

Please let me know how you go with this.

If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.

Tracey_H
Former Staff
5 years ago
Hi sal2107

Thanks for your post. STP uses the assigned ATO reporting categories to report payments to the ATO, however, the BAS uses the payroll categories found in Payroll Categories>>Wages tab. For those unused leave payments to appear in the W1 field you will need to check that they have been selected in your BAS set up. You can do this by logging into your BAS and clicking on Settings. Once you have selected the unused leave categories, click on Update from ledger in the top right corner of the BAS lodgment screen to update those settings.

Please let me know how you go with this.

If my response has answered your enquiry please click "Accept as Solution" to assist other users find this information.
- sal2107
  Trusted Cover User
  5 years ago
  Thank you Tracey! A great clearly explained solution :)
- DeeC
  Contributing User
  5 years ago
  Hi Tracey,
  
  My issue is the opposite.
  The unused annual leave for my terminated employee was picked up in the BAS, but the payroll category mapped to the ATO was mapped to not reportable - so has not gone through in STP, leaving the balance les than what was paid.
  Can you please advise a work around?
  The employee was marked as terminated back in March.
  Many thanks in advance.
  Dee
  - Tracey_H
    Former Staff
    5 years ago
    Hi DeeC
    
    You could delete those pays, correct the ATO reporting categories then reprocess the termination pays. You will need to remove the termination date from the employee card and make the card active. Once that STP report has been accepted by the ATO, process a $0 pay with payment date as 30 June, to update STP.
    
    Please let me know if you need further help.