Payroll Tax waived for some

The Victorian Government has announced their plan to have Payroll Tax waived for some employers as part of a range of tax measures to support businesses through Victoria’s State of Emergency . It all part of a broader economic survival package to support business and jobs in response to COVID-19.

Benefit

Eligible businesses will have their payroll tax waived for the 2019-20 financial year.

Eligibility

Businesses with annual taxable wages up to $3 million.

What about the tax already paid for the 2019-20 financial year?

The State revenue Office (SRO) will directly contact eligible businesses in relation to reimbursement for payroll tax already paid in the financial year.

When will the SRO start reimbursing businesses?

They will begin making reimbursements from 27th March 2020 and will endeavour to make all reimbursements as soon as possible.

Do I still need to lodge payroll tax returns?

Eligible businesses must continue to lodge returns but do not need to make further payments for this financial year.

More information?

The SRO will send eligible businesses more information about the administration of these relief measures. The SRO says that “you can also contact us or call the Business Victoria hotline on 13 22 15”.

What about the 2020-21 financial year?

Businesses with annual taxable wages up to $3 million can also defer paying payroll tax for the first quarter of the 2020-21 financial year until January 2021.

What if an employer is a member of a group?

The eligibility threshold applies to each employer, so any member of a group that pays taxable wages of less than $3 million per annum will be eligible for the relief.

Advice
If you need advice on the tax changes, you can contact Noel May or Amanda Klye of May Klye & Associates on (03) 9585 7555 orenquiries@mktax.com.au.

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