Payroll tax
Payroll tax is imposed on an employer's liable NSW wages minus any threshold entitlement.
An individual employer or a group of related businesses may be liable for payroll tax if the total liable wages throughout Australia, including NSW, exceeds the payroll tax threshold for that year.
Recent changes to payroll tax
Payroll Tax Rebate Scheme (Disability Employment) Act 2011
This Act establishes a payroll tax rebate scheme intended to encourage the employment of people with disabilities.
This rebate is part of the Stronger Together 2 (ST2) initiative.The ST2 payroll tax rebate will be a one off rebate of up to $4,000 paid to employers of eligible workers from 1 January 2012. The rebate will be payable for the duration of the ST2 program (2011-12 to 2015-16).
The $4,000 rebate will be paid in two equal instalments - $2,000 after 3 months of employment and a further $2,000 after 6 months of employment.
Eligible workers are new employees that have completed the Family and Community Services funded Transition to Work program and are working a minimum of 12 hours a week, on average.
Applying for a rebate
To apply for this rebate, you must complete and send a claim form at the end of three and six months employment declaring the employee has been employed an average of at least 12 hours a week.
Payroll Tax Rebate Scheme (Jobs Action Plan)
One of the key priorities of the NSW Government is the Jobs Action Plan. This plan will assist in the creation of 100,000 new jobs in NSW from 1 July 2011.
Read more about Jobs Action Plan and eligibility criteria:
More information
