To check whether the payer details of your organisation are correct:

1. Select Module > Payroll > Payroll Configuration Maintenance from the Main menu.
2. Click the Payer tab.

Business Management Software IDs (BMS IDs) are used to uniquely identify business management software applications to the Australian Taxation Office. Complete the following steps to generate a BMS ID 

To check whether a BMS ID has been generated for your organisation:

Overtime is now recorded using a new reporting category, Individual - Gross Overtime. Complete the following steps to configure pay codes to use the new reporting category.

1. Select Module > Payroll > Payroll Employee Configuration Maintenance from the Main menu.Search for pay codes used for either:
   - Mileage allowances
   - Task allowances
   - Tool allowances.
   
2. Select a pay code in the Pay Code Selector window.
Select the income stream type using the Income Stream Type drop-down list.
Note: Salary and Wages is selected by default. Select another income stream type if necessary.
Select one of the following options from the Reporting category drop-down list:
- Allowance - Qualifications/Certificates
- Allowance - Tasks
- Allowance - Tools.

3. Click OK.
4. Repeat steps 3 to 6 to update the remaining pay codes for the current allowance type.
5. Repeat steps 2 to 7 to update additional pay codes for the remaining allowance types. 
6. Where a required pay code does not exist you will need to create the new pay codes.

1. .
2. Click the BMS ID tab.
3. Check the BMS ID field. If the field is blank, proceed to step 4.
4. Click Image Added.
   The Warning window is displayed.
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5. Click Image Added.
   The Confirm window is displayed.

6. Click Image Added.
   The BMS ID is generated.

7. Click Image Added.

To check whether tax scales are correct:

1. Select Module > Payroll > Payroll Configuration Maintenance from the Main menu.
2. Click the Tax Rates tab.
3. Check the grid area to ensure the new tax scales have been loaded.
   
   Note: The new tax scales are four-letter combinations. For example RTXX - Regular, Tax Free Threshold. Each of the new tax scales should have values in the following columns: Category, Option, Loan and Levy Exempt as shown below.
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4. Deselect the Active field for any old tax scales.
5. Click Image Added.

Allowances now have additional reporting categories for example

ATO Allowance Code (Description)

• CD (Cents per KM) 
• AD (Award Transport Payments)
• LD (Laundry) 
• MD (Overtime Meal Allowances) 
• etc

You may already have pay codes for these allowance types.  Where you do complete the following steps to update these pay codes to use the new reporting categories.

To configure allowance pay codes:

1. Select Module > Payroll > Payroll Employee Maintenance from the Main menu.
2. Search for pay codes used for overtime at your organisationeither:
   
   - Mileage allowances
   - Task allowances
   - Tool allowances.
   
   
3. Select a pay code in the Pay Code Selector window.
4. Select the income stream type using the Income Stream Type drop-down list.
   
   Note: Salary and Wages is selected by default. Select another income stream type if necessary.
   
   
5. Select Individual - Gross Overtime using one of the following options from the Reporting Categorycategory drop-down list:
   
   - Allowance - Qualifications/Certificates
   - Allowance - Tasks
   - Allowance - Tools.
   
   
6. Click OK.
7. Repeat steps 3 to 6 to update the remaining pay codes for the current allowance type.
8. Repeat steps 2 to 6 to 7 to update additional pay codes for the remaining overtime allowance types. 
9. Where a required pay code does not exist you will need to create the new pay codes.

Return to work lump sump payments are now recorded using a new reporting category, Return to work. Complete the following steps to configure pay codes to use the new reporting category.

To configure return to work pay codes:

Employee terminations must be reported using Australian Government cessation codes. These cessation codes are mapped to termination reasons using the ExternalSystemType and ExternalSystemCode fields of the luPayrollTerminationReason lookup table.

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Note: Synergetic maps the cessation codes during installation, but the mapping must be checked to ensure it is correct.

Tax scales have been updated to use a four character code that combines with additional fields on the Tax tab of Payroll Employee Maintenance (see below) to define the tax treatment of each employee.

These tax scales can be viewed using the luPayrollTaxationRate lookup table. We recommend checking this lookup table to familiarise yourself with the new tax scales and understand how they relate to the previous tax scales (see the LegacyTaxScale field).

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Employees terminated during the 2022 payroll year must be terminated using termination reasons linked to the new Australian Government cessation codes. We have already mapped the records of the luPayrollTerminationReason lookup table to the new cessation codes, so now we will select a valid reason for each terminated employee on the General tab of Payroll Employee Maintenance.

To check whether valid termination reasons are selected for terminated employees:

1. Select Module > Payroll > Payroll Configuration Employee Maintenance from the Main menu.
2. Select 2022 in the Payroll Year field.
3. Select Yes in the Terminated Employees field.
   
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4. Click OK.
5. Click the BMS ID General tab.
6. Check the BMS ID field. If the field is blank, proceed to step 4.
7. Click Image Removed.
   The Warning window is displayed.
   Image Removed
8. Click Image Removed.
   The Confirm window is displayed.

9. Click Image Removed.
   The BMS ID is generated.

10. Click Image Removed.

1. Select an employee using the Payroll Employee Selector.
2. Select a termination reason using the Reason drop-down list.
3. Repeat steps 5 and 6 for the remaining employees.  

Synergetic automatically converts existing taxation details to the STP2 specification during the upgrade, but you must check the following fields for each employee to ensure the conversion was successful:

• Tax scale
• Medicare Levy Surcharge
• Medicare Levy Reduction
• Tax Treatment Code
• Employment Basis
• Super Liability/OTE Submit
• Income Type.

To check employee taxation details have been correctly converted:

1. Select Module > Payroll > Payroll Configuration Employee Maintenance from the Main menumenu.
2. Click OK.
3. Click the Tax Rates tab.Check the grid area to ensure the new tax scales have been loaded.
   Note: The new tax scales are four-letter combinations. For example RTXX - Regular, Tax Free Threshold. Each of the new tax scales should have values in the following columns: Category, Option, Loan and Levy Exempt as shown below.
   Image Removed
   
4. Deselect the Active field for any old tax scales.
5. Click Image Removed tab.
6. Select an employee using the Payroll Employee Selector.
7. Check whether:
   
   - Tax Scale field is populated with a valid (four character) STP2 tax scale code
   - Medicare Levy Surcharge and Medicare Levy Reduction fields are populated
   - Tax Treatment Code populates correctly
   
     Note: This read-only field is a combination of the values selected for the Tax Scale, Medicare Levy Surcharge and Medicare Levy Reduction.
   
   - Employment Basis field is populated with the employment of the payroll employee (e.g. Full Time Employee)
   - Super Liability/OTE Submit field is populated, if necessary
   - Income Type is populated with Salary or Wages.
   
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8. Repeat steps 4 and 5 for the remaining employees.