Quick Overview
- 1#1: Xero - Cloud-based accounting software with seamless ATO Single Touch Payroll and BAS lodgement integration.
- 2#2: MYOB - Comprehensive Australian accounting and payroll platform fully compliant with ATO requirements.
- 3#3: QuickBooks Online - Intuit's robust online accounting tool supporting ATO STP reporting and tax compliance.
- 4#4: Reckon One - Australian cloud accounting and payroll solution with direct ATO connectivity.
- 5#5: KeyPay - Specialized payroll software optimized for ATO Single Touch Payroll Phase 2.
- 6#6: Employment Hero - HR and payroll platform with full ATO compliance and STP automation.
- 7#7: Deputy - Workforce scheduling and payroll tool integrated with ATO for wage reporting.
- 8#8: Tanda - Employee rostering and payroll software with ATO STP Phase 2 support.
- 9#9: GXT - Australian-developed accounting software for STP and BAS ATO lodgements.
- 10#10: Sage Business Cloud - Cloud accounting solution with Australian ATO tax reporting capabilities.
Tools were selected based on rigorous evaluation of ATO compliance standards, integration capabilities (including STP Phase 2 readiness), user-friendliness, feature breadth (such as payroll automation and tax calculation), and overall value, ensuring they deliver robust support for Australian businesses.
Comparison Table
Navigating small business software? This comparison table simplifies choices by comparing popular tools like Xero, MYOB, QuickBooks Online, Reckon One, KeyPay, and more, helping readers identify standout features, usability, and cost to find their ideal fit.
| # | Tool | Category | Overall | Features | Ease of Use | Value |
|---|---|---|---|---|---|---|
| 1 | Xero Cloud-based accounting software with seamless ATO Single Touch Payroll and BAS lodgement integration. | enterprise | 9.6/10 | 9.8/10 | 9.3/10 | 9.1/10 |
| 2 | MYOB Comprehensive Australian accounting and payroll platform fully compliant with ATO requirements. | enterprise | 8.9/10 | 9.3/10 | 8.1/10 | 8.4/10 |
| 3 | QuickBooks Online Intuit's robust online accounting tool supporting ATO STP reporting and tax compliance. | enterprise | 8.7/10 | 9.2/10 | 8.4/10 | 8.1/10 |
| 4 | Reckon One Australian cloud accounting and payroll solution with direct ATO connectivity. | enterprise | 8.4/10 | 8.8/10 | 8.2/10 | 8.0/10 |
| 5 | KeyPay Specialized payroll software optimized for ATO Single Touch Payroll Phase 2. | specialized | 8.7/10 | 9.2/10 | 8.5/10 | 8.0/10 |
| 6 | Employment Hero HR and payroll platform with full ATO compliance and STP automation. | enterprise | 8.4/10 | 8.7/10 | 8.5/10 | 7.9/10 |
| 7 | Deputy Workforce scheduling and payroll tool integrated with ATO for wage reporting. | specialized | 8.2/10 | 8.5/10 | 8.0/10 | 7.8/10 |
| 8 | Tanda Employee rostering and payroll software with ATO STP Phase 2 support. | specialized | 8.2/10 | 8.5/10 | 8.3/10 | 7.7/10 |
| 9 | GXT Australian-developed accounting software for STP and BAS ATO lodgements. | enterprise | 7.8/10 | 8.0/10 | 7.5/10 | 7.6/10 |
| 10 | Sage Business Cloud Cloud accounting solution with Australian ATO tax reporting capabilities. | enterprise | 7.8/10 | 8.1/10 | 7.6/10 | 7.4/10 |
Cloud-based accounting software with seamless ATO Single Touch Payroll and BAS lodgement integration.
Comprehensive Australian accounting and payroll platform fully compliant with ATO requirements.
Intuit's robust online accounting tool supporting ATO STP reporting and tax compliance.
Australian cloud accounting and payroll solution with direct ATO connectivity.
Specialized payroll software optimized for ATO Single Touch Payroll Phase 2.
HR and payroll platform with full ATO compliance and STP automation.
Workforce scheduling and payroll tool integrated with ATO for wage reporting.
Employee rostering and payroll software with ATO STP Phase 2 support.
Australian-developed accounting software for STP and BAS ATO lodgements.
Cloud accounting solution with Australian ATO tax reporting capabilities.
Xero
enterpriseCloud-based accounting software with seamless ATO Single Touch Payroll and BAS lodgement integration.
Direct ATO integration for STP Phase 2 payroll and BAS lodgment, eliminating manual filing errors.
Xero is a leading cloud-based accounting software tailored for Australian businesses, providing end-to-end financial management including invoicing, expense tracking, bank reconciliation, and payroll. It excels in ATO compliance with features like Single Touch Payroll (STP Phase 2), Business Activity Statement (BAS) preparation and lodgment, and e-invoicing support. Designed for real-time collaboration between businesses and advisors, it offers unlimited users and mobile accessibility for on-the-go management.
Pros
- Full ATO compliance including STP, BAS, and IAS direct lodgment
- Unlimited users and seamless accountant collaboration
- Automated bank feeds and AI-powered reconciliation
Cons
- Higher pricing tiers can be costly for micro-businesses
- Advanced custom reporting requires add-ons
- Inventory tracking is basic without third-party integrations
Best For
Small to medium Australian businesses seeking robust, cloud-based ATO-compliant accounting with real-time advisor access.
Pricing
Starts at $35/month (Early plan) up to $130/month (Ultimate plan), billed annually; includes unlimited invoices and bank transactions on higher tiers.
MYOB
enterpriseComprehensive Australian accounting and payroll platform fully compliant with ATO requirements.
Advanced multi-location inventory tracking with serial/batch numbers and automatic stock adjustments
MYOB is a leading Australian accounting software suite, offering cloud-based solutions like MYOB Essentials and AccountRight for invoicing, payroll, inventory, and financial reporting. It excels in ATO compliance, supporting Single Touch Payroll (STP) Phases 1 and 2, BAS lodgment, Income Activity Statements (IAS), and direct ATO data exchange. Ideal for small to medium businesses, it provides desktop and online options with robust multi-user capabilities.
Pros
- Comprehensive ATO compliance including STP, BAS, and payroll tax reporting
- Powerful inventory and job costing for complex operations
- Strong local Australian support and integrations with banks/POS systems
Cons
- Steeper learning curve compared to simpler competitors like Xero
- Higher pricing tiers for advanced features
- Mobile app lags behind in functionality
Best For
Australian small to medium businesses requiring advanced inventory management, detailed job costing, and full ATO tax compliance.
Pricing
Essentials from $30/month; AccountRight from $75/user/month (annual billing discounts available).
QuickBooks Online
enterpriseIntuit's robust online accounting tool supporting ATO STP reporting and tax compliance.
Direct ATO connectivity for automated STP Phase 2 payroll reporting and BAS lodgements
QuickBooks Online is a cloud-based accounting software designed for Australian businesses, offering robust tools for ATO compliance including GST tracking, BAS lodgement, and Single Touch Payroll (STP) reporting. It streamlines invoicing, expense management, bank reconciliations, and financial reporting with real-time data access across devices. Ideal for small to medium enterprises, it integrates directly with ATO services via myGov and supports automated tax calculations to simplify compliance obligations.
Pros
- Seamless ATO integration for BAS, STP, and IAS lodgements
- Comprehensive cloud-based accounting with mobile app support
- Extensive app marketplace for custom integrations
Cons
- Higher pricing tiers can be expensive for micro-businesses
- Steeper learning curve for payroll and advanced tax features
- Occasional sync delays with bank feeds
Best For
Small to medium Australian businesses seeking reliable, all-in-one ATO-compliant accounting with strong payroll and reporting capabilities.
Pricing
Starts at $25/month (Simple Start) up to $180/month (Advanced), billed annually; free trial available.
Reckon One
enterpriseAustralian cloud accounting and payroll solution with direct ATO connectivity.
Snap Apps modular system allowing businesses to mix-and-match features and pay only for what they use
Reckon One is a cloud-based, modular accounting platform tailored for Australian businesses, providing seamless ATO compliance through features like Single Touch Payroll (STP) Phase 2, BAS lodgements, and superannuation reporting. Users can select and pay for only the 'Snap Apps' they need, such as invoicing, payroll, inventory, and expense management, creating a customizable solution. It emphasizes automation, real-time reporting, and direct ATO integrations to simplify tax obligations for SMEs.
Pros
- Excellent ATO compliance with STP, BAS, and PAYG integrations
- Flexible modular Snap Apps for pay-per-feature scalability
- Strong payroll tools including superannuation streamlining
Cons
- Costs accumulate quickly when adding multiple modules
- Interface has a moderate learning curve for beginners
- Fewer native integrations than top competitors like Xero
Best For
Australian small to medium businesses seeking a customizable, ATO-compliant accounting suite without overpaying for unused features.
Pricing
Modular subscriptions start at $22/month for accounting, $20/month for payroll, and $12+ for other apps; bundles and annual plans offer discounts.
KeyPay
specializedSpecialized payroll software optimized for ATO Single Touch Payroll Phase 2.
Pay conditions engine that dynamically interprets and applies complex Australian awards, agreements, and pay rules automatically
KeyPay is a cloud-based payroll software tailored for Australian businesses, providing full ATO compliance including Single Touch Payroll (STP) Phase 2 for seamless tax and superannuation reporting. It handles end-to-end payroll processing, timesheets, rostering, leave management, and employee self-service via a mobile app. With extensive integrations and automation, it simplifies HR tasks while ensuring regulatory adherence.
Pros
- Robust STP Phase 2 compliance with automatic ATO lodgements
- Advanced pay conditions engine for complex awards and EBAs
- Strong integrations with over 300 apps including Xero and MYOB
Cons
- Pricing can be steep for very small businesses (under 10 employees)
- Steeper learning curve for advanced customisations
- Customer support response times can vary during peak periods
Best For
Medium-sized Australian businesses needing integrated payroll, rostering, and STP-compliant reporting without extensive manual intervention.
Pricing
Starts at $6 per active employee/month plus a base fee from $30/month; scales with add-ons for rostering and advanced features.
Employment Hero
enterpriseHR and payroll platform with full ATO compliance and STP automation.
Automated real-time STP2 reporting with ATO single lodgements for wages, PAYG, and super across all employees
Employment Hero is an all-in-one HR, payroll, and employee management platform tailored for Australian businesses, with deep integration to the ATO for Single Touch Payroll (STP) Phase 1 and 2 compliance. It automates payroll processing, PAYG withholding, superannuation guarantee payments, and real-time reporting directly to the ATO, including BAS and EOFY reconciliations. The platform also offers employee self-service, onboarding, leave tracking, and performance tools, making it a comprehensive solution beyond just tax compliance.
Pros
- Seamless STP Phase 2 automation with direct ATO lodgements and individual non-payment declarations
- Integrated superannuation clearing house and payroll tax calculations
- User-friendly dashboard and mobile app for employees and admins
Cons
- Higher cost structure with per-employee fees and minimums, less ideal for very small businesses
- Occasional delays in support response for complex ATO queries
- Limited advanced customization for highly specialized payroll scenarios
Best For
Mid-sized Australian businesses needing integrated HR, payroll, and robust ATO compliance in one platform.
Pricing
Custom quotes starting at $6-10 per employee/month for HR + $4-6 for payroll, with base fees from $99/month and annual contracts typical.
Deputy
specializedWorkforce scheduling and payroll tool integrated with ATO for wage reporting.
Intelligent auto-scheduling that factors in labour costs, employee availability, and regulatory compliance
Deputy is a workforce management platform tailored for shift-based industries, offering intuitive employee scheduling, time and attendance tracking, and task management. It excels in compliance with Australian regulations, integrating seamlessly with payroll systems like Xero and MYOB for accurate STP reporting to the ATO. The mobile-first design enables real-time communication and shift swaps, streamlining operations for businesses handling variable rosters.
Pros
- Robust scheduling with auto-fill and compliance checks for awards
- Strong ATO-compliant integrations for STP payroll
- User-friendly mobile app for clock-ins and shift management
Cons
- Pricing can escalate quickly for multi-location businesses
- Advanced analytics locked behind premium plans
- Steep learning curve for complex custom rules
Best For
Australian shift-based businesses like retail, hospitality, or healthcare needing ATO-compliant rostering and payroll integration.
Pricing
Starts at ~$35 AUD/month per location (Essentials), scaling to custom Enterprise plans based on users and features.
Tanda
specializedEmployee rostering and payroll software with ATO STP Phase 2 support.
AI-driven award compliance and auto-payroll calculations ensuring precise ATO STP submissions
Tanda is a workforce management platform tailored for shift-based industries like hospitality and retail, providing rostering, time tracking, and payroll solutions. It ensures ATO compliance through Single Touch Payroll (STP) Phase 2 capabilities, including automated tax reporting and superannuation processing via its integrated payroll module or connections to Xero and MYOB. The mobile-first app enables real-time employee clock-ins, leave requests, and shift swaps, streamlining operations for Australian businesses.
Pros
- Robust STP-compliant payroll with automated ATO reporting
- Intuitive mobile app for timesheets and scheduling
- AI-powered demand forecasting and award interpretation
Cons
- Pricing scales with active users or check-ins, potentially costly for large teams
- Limited advanced custom reporting options
- Initial setup and integrations can require support
Best For
Medium-sized shift-based businesses in hospitality or retail needing seamless ATO-compliant rostering and payroll.
Pricing
Starts at $6 per active user/month for Essentials plan; payroll add-on from $4.50 per payslip; custom Enterprise pricing.
GXT
enterpriseAustralian-developed accounting software for STP and BAS ATO lodgements.
Real-time ATO rule validation during data import to prevent lodgement rejections
GXT (gxt.com.au) is a specialized ATO-compliant software solution focused on automating GST, BAS, and IAS reporting for Australian businesses. It integrates with major accounting platforms like Xero, MYOB, and QuickBooks to extract transaction data and generate ATO-ready lodgements. The tool emphasizes error-checking, validation against ATO rules, and secure electronic submission, making tax compliance more efficient for SMEs.
Pros
- Seamless integrations with Xero and MYOB
- Automated ATO validation and error detection
- Secure direct lodgement to ATO portal
Cons
- Limited customization for complex reporting needs
- Interface feels dated compared to newer competitors
- Customer support response times can be slow
Best For
Small to medium Australian businesses reliant on Xero or MYOB seeking straightforward BAS and GST automation.
Pricing
Starts at $29/month for basic plan (up to 100 transactions), scaling to $99/month for unlimited; annual discounts available.
Sage Business Cloud
enterpriseCloud accounting solution with Australian ATO tax reporting capabilities.
Direct ATO integration for seamless STP Phase 2 payroll reporting and BAS e-lodgment without manual exports.
Sage Business Cloud is a cloud-based accounting platform tailored for small to medium-sized Australian businesses, offering invoicing, expense management, bank reconciliation, and inventory tracking. It excels in ATO compliance with features like Single Touch Payroll (STP Phase 2), Business Activity Statement (BAS) lodgment, and Income Activity Statements. The software provides real-time financial insights and reporting to help users manage cash flow and meet tax obligations efficiently.
Pros
- Strong ATO compliance including STP and BAS lodgment
- Integrated payroll and real-time reporting dashboards
- Mobile app for on-the-go access
Cons
- Pricing escalates quickly for advanced features
- Fewer third-party integrations than competitors like Xero
- Customer support can be slow during peak tax seasons
Best For
Small Australian businesses needing reliable ATO-compliant accounting with built-in payroll for 1-20 employees.
Pricing
Starts at $25/month (Starter, 1 user), up to $110/month (Advanced with payroll); annual discounts available.
Conclusion
These top tools represent the best in ATO compliance, with Xero leading as the most seamless and feature-rich option. MYOB and QuickBooks Online stand out as robust alternatives, each catering to distinct business needs. Together, they offer reliable solutions for efficient accounting and tax management.
Take the first step toward streamlined ATO compliance—explore Xero to experience its intuitive integration and comprehensive capabilities firsthand.
Tools Reviewed
All tools were independently evaluated for this comparison
Referenced in the comparison table and product reviews above.