Payroll tax

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.

Employers are required to self-assess their liability on a monthly basis, with an annual adjustment reconciliation performed at the end of the financial year.

Employers with an expected payroll above $550,000 per year should check registration requirements and payroll tax rates in their state.

We exchange wage-related and other information with the state and territory revenue offices help in the proper identification and accurate assessment of tax liabilities.

Next steps:

For more information or to find out if you are liable for payroll tax, contact the revenue office in your state or territory:

Last modified: 17 Jun 2015QC 42198