STSL (Student Training and Support Loan) is included in the Tax (incl Adjust) value, and it is the Tax (incl Adjust) value that is withheld from the employee's Net Pay and reported to the ATO via STP reporting. Employee Enquiries and some reports show the STSL value separately, this is for display only.
If the STSL value is greater than Tax (incl Adjust) or a higher portion, there are two possible causes:
STSL does not refresh after changes are made in a Manual Calculation. This can occur when:
Tax is selected in the Pay Calculation field of a Manual Calculation
The pay is entered and processed.
The Manual Calculation is then amended, and Tax is unticked in the Pay Calculation.
The initial STSL amount remains and is visible in Reports and Enquiries.
The Tax (Incl Adjust) and Net Pay values will have been updated and are correct.
The maximum amount of Tax that can be calculated in a transaction is 47%. The STSL may be overstated when an employee's Tax is capped at 47%. The Tax (Incl Adjust) and Net Pay values will be correct.
To avoid the first cause, it is recommended that if you want to unselect Tax in Pay Calculation, you delete the transaction and re-enter without Tax ticked. Doing this will mean that no STSL will display.
To adjust the STSL value, use a Tax Adjustment deduction. Using this will not reduce the values for STSL on the Pay Advice or Employee Enquiries. It will update the total Tax value. However, you can nominate a description on the Tax Adjustment that specifies to the employee that the update is for their STSL.