NSW Payroll Tax COVID-19 Relief
A 50% reduction of the 2022 financial year payroll tax liability is available for eligible employers required to be registered for payroll tax in NSW.
To be eligible, employers must have had total Australian wages, or total grouped Australian wages, of $10 million or less and:
- Qualified for the 2021 COVID-19 JobSaver scheme; or
- Qualified for the 2021 COVID-19 Business Grant Scheme; or
- Experienced a decline in turnover of 30% due to the impact of the Greater Sydney lockdown.
The reduction can be applied for when lodging the 2022 annual payroll tax reconciliation online, which is due for lodgement on 28 July 2022.
Further information can be found on the Revenue NSW website.
VIC Payroll Tax COVID-19 Relief
Eligible employers required to be registered for payroll tax in VIC may be entitled to a waiver or reduction of their 2022 financial year payroll tax liability via application of the New Jobs payroll tax credit against their liability for the financial year.
The New Jobs payroll tax credit provides a credit of 10 cents for every dollar of Victorian taxable wages paid or payable in the 2022 financial year that are above those paid or payable in the 2021 financial year.
An employer may be eligible for this relief if:
- Their total Australian wages did not exceed $10 million in the 2021 financial year; and
- The employer was an employer as at 30 June 2022; and
- The employer paid or was liable to pay Australian wages before 1 January 2021; and
- The employer has lodged their annual return for the 2021 financial year.
The credit is applied after the employer has lodged their 2022 annual return.
Groups of eligible employers have different eligibility requirements, depending on whether the group membership has remained constant or changed during the 2022 financial year.
Further information can be found on the State Revenue Office Victoria website.
For assistance in determining your eligibility for any of the above measures or for help in making your application please speak to your Prosperity contact.