Cycle changes

Valid from 1 September 2003

About this bulletin

Under the pay as you go (PAYG) system, there are three categories of withholders: large, medium and small. Each category has different payment obligations under the law.

This bulletin explains:

• who is a large withholder
• who is a medium withholder
• who is a small withholder, and
• how a withholder's status may be changed.

The meaning of the terms 'large withholder', 'medium withholder' and 'small withholder' and the obligations to notify and send amounts withheld to the Commissioner, are set out in subdivision 16-B and subdivision 16-C of Part 2-5 of Schedule 1 in the Taxation Administration Act 1953. These subdivisions apply to amounts withheld on or after 1 July 2000.