Payroll tax is a state tax calculated on wages paid, or payable, by employers and applies in all Australian states and territories.
For payroll tax purposes wages include:
- salaries
- allowances
- director’s fees
- super
- the grossed-up value of fringe benefits.
Contractors
Any payments made to contractors under a relevant contract are taxable.
Exemptions and rebates
You may be able to claim an exemption or rebate for payroll tax.
Common exemptions and rebates are listed below:
Exempt allowances—includes motor vehicle and accommodation.
Exempt employees—includes apprentices, trainees and certain other employees.
Exempt leave—includes maternity/paternity, adoption, surrogacy, volunteer worker and defence/military leave.
Film and TV rebate—includes rebates for certain feature films, telemovies and television series.
Queensland Payroll Tax Facts
- Payroll tax is paid by businesses or groups of businesses that pay more than $1.1 million a year in Australian wages.
- You must register for payroll tax within 7 days after the end of the month in which you:
- pay more than $21,153 a week in Australian taxable wages
- or, become a member of a group that pays more than $21,153 a week in Australian taxable wages.
- The current payroll tax rate is 4.75%.
- To calculate your payroll tax liability:
- determine your total taxable wages
- subtract any deductions
- multiply this amount by the current tax rate of 4.75%.
- You can lodge either periodic or annual returns. Periodic returns are due monthly, 7 days after the end of the return period. Annual returns are due by the 21st July each year.
For more information about payroll tax or to find out if you are liable to pay any payroll tax, contact the revenue office in your state or territory:
Australian Capital Territory – phone (02) 6207 0088 or visit www.revenue.act.gov.au
New South Wales – phone 1300 139 815 or visit www.osr.nsw.gov.au
Northern Territory – phone 1300 305 353 or visit www.revenue.nt.gov.au
Queensland – phone 1300 300 734 or visit www.osr.qld.gov.au
South Australia – phone (08) 8204 9880 or visit www.revenuesa.sa.gov.au
Tasmania – phone (03) 6233 2813 or visit www.sro.tas.gov.au
Victoria – phone 13 21 61 or visit www.sro.vic.gov.au
Western Australia – phone 1300 368 364 or visit www.dtf.wa.gov.a