Did you know that if you are an employer (or group of employers) who employ in Queensland and your Australian taxable wages exceed the payroll tax threshold of $1.3 million per financial year, you may be liable to pay payroll tax in Queensland. If your annual Australian taxable wages are less than $1.3 million you will not be liable to pay payroll tax, how ever you may still need to register your business for payroll tax if your Australian taxable wages exceed the weekly threshold of $25,000.
Your Australian taxable wages may include payments made to employees and also contractors.
Here is a summary of the changes they have made to Payroll Tax in Queensland starting 1 July 2019:
- The threshold has been increased to $1.3 million in Australian taxable wages (previously $1.1 million)
- The payroll tax rate is 4.75% for employers who pay $6.5 million or less in Australian taxable wages
- The payroll tax rate is 4.95% for employers who pay more than $6.5 million in Australian taxable wages
- Regional employers may be entitled to a discount of 1% on the rate of payroll tax imposed on their taxable wages (applicable from 1 July 2019 to 30 June 2023)
- Eligible employers who can demonstrate that over a full financial year they have employed more than their level of full-time employees may be entitled to a payroll tax rebate of up to $20,000 on lodgement of the annual payroll tax return (applicable from 1 July 2019 to 30 June 2021)
- They are continuing to provide two more years of the 50% Apprentice and Trainee payroll tax rebate (up to 2020-21). Apprentice and trainee wages are exempt from payroll tax, however you can also claim a payroll tax rebate that further reduces your payroll tax payable amount.