Hi there aman,
For STP Phase 2 the common pay categories, leave categories, and deduction categories in the system have been updated with Payment Classification information, so you don't need to update.
If you don't use the common categories in QuickBooks Online Payroll, you'll have to check the payment classification of your pay categories, leave categories, and deduction categories to ensure you're reporting each category correctly to the ATO.
Here are the categories you need to check:
Once you've checked the settings and payment classification for each category, you're all set for STP Phase 2 and can lodge your pay run and pay event in the same process in STP Phase 1.
To learn more about STP Phase 2, you can check this link for more detailed information Preparing for Single Touch Payroll (STP) Phase 2.
Drop a comment below if you need more help with STP. I'll be here to help you. Have a great day!
