13 September 2022
Pay as you go (PAYG) instalments are regular prepayments of tax on your business and investment income. When you pay regular instalments throughout the year, you should not have a large tax bill when you lodge your tax return.
You can vary your PAYG instalments if you think the current amount you pay will be more or less than your expected tax liability for the year. Your varied amount or rate will apply for all your remaining instalments for the income year, or until you make another variation. You can lodge your variation through myGovExternal Link or Online services for business.
If you’re a PAYG instalment amount payer, your instalments have been increased by the gross domestic product (GDP) adjustment factor. For the 2022–23 income year, the GDP adjustment factor is 2%.
We encourage you to review your tax position regularly, so that your PAYG instalments reflect your expected tax for the year. Calculating and paying the right PAYG instalments will help you manage a healthy cash flow.
Remember, registered tax agents can help you with tax advice.
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