• Schedule 2 - Tax table for individuals employed in the horticultural or shearing industry

    For payments made on or after 1 July 2017

    This document is a withholding schedule made by the Commissioner of Taxation in accordance with sections 15-25 and 15-30 of Schedule 1 to the Taxation Administration Act 1953 (TAA). It applies to withholding payments covered by sections 12-35 of Schedule 1 to the TAA.

    Next step:

    Using this table

    You should use this table if you make payments to individuals in the horticultural industry who:

    • work in any process associated with the production, cultivation or harvest of a horticultural crop
    • perform the process on the grower’s property
    • do not work for the same grower for a continuous period exceeding six months
    • have given you a valid Tax file number declaration and have claimed the tax-free threshold.

    Also, use this table if you make payments to individuals in the shearing industry such as shearers, crutchers, wool classers, cooks, shed hands and pressers who:

    • have given you a valid Tax file number declaration (NAT 3092) and have claimed the tax-free threshold
    • do not work for the same employer for a continuous period exceeding six months.

    For all other circumstances use the relevant PAYG withholding weekly or fortnightly tax table.

    See also:

    If you employ individuals under the Seasonal labour mobility program this tax table does not apply. For these individuals you are required to withhold at 15%.

    For more information about the program, refer to:

    If you employ individuals under a working holiday makers visa you must use the Tax table for working holiday makers.

    Working out the withholding amount

    To work out the amount you need to withhold you must

    1. Input your employees total earnings into the Withholding look-up tool (XLSX, 56KB)This link will download a file.
    2. Use the appropriate column to find the correct amount to withhold
      • column 2 if the resident employee has given you a TFN
      • column 3 if the resident employee has not given you a TFN
      • column 4 if the foreign resident employee has given you a TFN
      • column 5 if the foreign resident employee has not given you a TFN.
       

    Example

    An employee has earnings of $231.50.

    To work out the correct amount to withhold, ignore cents, input $231 into the Withholding look-up tool (XLSX, 56KB)This link will download a file.

    If the employee is:

    • a resident employee and has given you a TFN use column 2 to find the correct amount to withhold ($30)
    • a resident employee and has not given you a TFN use column 3 to find the correct amount to withhold ($108)
    • a foreign employee and has given you a TFN use column 4 to find the correct amount to withhold ($75)
    • a foreign employee and has not given you a TFN use column 5 to find the correct amount to withhold ($103).
    End of example

    Resident employees

    The standard rate of withholding of 13% applies if an employee has given you a valid TFN and you withhold amounts using the figures shown in column 2 of the Withholding look-up tool (XLSX, 56KB)This link will download a file.

    If the employee has not given you a valid TFN, you must withhold amounts using the figures shown in column 3 of the Withholding look-up tool (XLSX, 56KB)This link will download a file.

    When your employee is a foreign resident

    If your employee has answered no to the question ‘Are you an Australian resident for tax purposes?’ on their Tax file number declaration, you will need to use the foreign resident tax rates.

    There are two ways you can withhold from a foreign resident’s earnings:

    Foreign residents cannot claim tax offsets to reduce withholding. If your foreign resident employee has claimed a tax offset on the Withholding declaration, don’t make any adjustments to the amount you withhold.

    Pay period

    The rates in this tax table apply irrespective of the pay period.

    Last modified: 14 Jun 2017QC 52069