How do Employers Amend a PAYG Payment Summary?

(last updated 27/03/2014)

At 30 June each year employers, bookkeepers and payroll officers are crazy preparing and issuing PAYG Payment Summaries for the end of the tax year. But what happens if they've all been issued and reconciled with the ATO and an employee (or the payroll office) notices an mistake?

You cannot change the information on a payment summary after you have:
  • given it to the payee, or 
  • provided your PAYG withholding payment summary annual report to the ATO.
If you find a mistake after giving the payment summary to the payee or the tax office, the ATO recommends you complete a new payment summary, marking the amending a payment summary box in your software.

When you complete amended payment summaries you must:
  • complete all payee, payment and payer information on each amended payment summary 
  • send it to the ATO, and 
  • give a copy to the payee.
You must show the payee and payer information as it was on the original payment summary. You must send the Tax Office copy to the applicable address in the PAYG payment summary statement (NAT 3447).

If the payee or payer information was incorrect, do not prepare a new payment summary. Advise the payee as soon as possible. Document the correct details and keep them in your files. There is no need to advise the ATO of the corrected details.

You must also give a copy of the letter to the payee.

Where payment amounts and/or tax withheld amounts have changed, you may also need to complete an amended PAYG payment summary statement.

If the payee loses their payment summary, do not issue a new one. Give them a photocopy of your own copy showing all the details from the lost payment summary.

Lost or Missing PAYG Payment Summaries:

See this post for a checklist of what to do if an employee has misplaced or lost a PAYG Payment Summary.

If the employee is happy with the details on the 30 June PAYG Payment Summary they will need to include the details on your 30 June tax return. See this post for details and checklist of eTax and Assessable Income & Allowances.

E-tax Return

See these posts with tips, calculators and checklists to help you prepare your eTax Return (and get a better refund) with less hassle:
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