Forum Discussion

Basketball's avatar
Basketball
Experienced Cover User
2 years ago

Working directors wages - Gross Payments in STP2

Hi there, Just need confirmation please that Working directors salary is classified as ATO Gross Payments category for STP2? Thanks
gavin12345's avatar
gavin12345
Ultimate User
2 years ago

Hi Basketball 

 

Best to check this sort of thing with your Accountant or tax adviser. Generally speaking (and this may or may not apply in your situation) a salary (whether paid to a director or any other employee) is assigned to Gross Payments. Directors Fees on the other hand should be assigned to Director's Fees.

 

The Income Type for a Director (on Taxes tab of Payroll Details on Employee Card) might be Salary and Wages or Closely Held Employee. Again best to check this with your tax adviser.

 

Regards

Gavin