You will require this registration if you are an employer who pays wages in Victoria (and interstate, if applicable) that exceed $45 833 monthly or $550 000 annually.
Payroll tax is a State tax calculated on wages paid or payable by an employer to its employees and deemed employees, and in Victoria it is currently payable at the rate of 4.85 per cent. The amount payable is calculated on the Victorian wages component.
If you are an employer who is a member of a group, the total Australian wages paid or payable by all members of the group determines whether you should register for payroll tax.
Payroll tax is a State tax and exemptions (subject to qualifications) may apply in relation to:
- wages paid in certain circumstances by specified types of employers (for example, non-profit organisations having wholly charitable, benevolent, philanthropic and patriotic purposes)
- wages paid in certain specified circumstances (for example, workers' compensation payments, genuine redundancy payments, etc.).
Please consult the responsible agency for more information and to ascertain the level of compliance (if any) that may be required.
A licence defines the need to obtain recognition / certification and registration to undertake a certain business activity.
It is an ongoing requirement of this registration that you:
- Lodge a Monthly Return online (even if no tax is payable) with the State Revenue Office (SRO) by the 7th day of the following month (except June);
- Lodge an Annual Reconciliation Return online (e-AR) with the SRO by the 21st July each year which includes payroll tax payable for June and all adjustments for over/under payments made during the financial year; and
- Retain records to determine your tax liability for five years.
Registration for payroll tax will continue for the duration that you are liable to pay payroll tax.
Department of Treasury and Finance
State Revenue Office
Payroll Tax Act 2007 (Victoria)
The information contained on the Australian Business Licence and Information Service
(ABLIS) web site, or via packages or other sources is intended for general guidance
To the full extent permitted by law, the Federal, State, Territory and Local Governments
make no representations or warranties (expressed or implied) in relation to the
information, including its accuracy, currency or completeness.
The business information provided does not constitute professional or legal advice,
nor is the use of any third party resource an endorsement of the information contained,
the associated organisation, product or service. It is recommended that you obtain
appropriate professional and /or independent legal advice to ensure that the material
provided here is relevant to your particular circumstances.
To the full extent permitted by law the Federal, State, Territory and Local Governments,
their employees and agents do not accept any liability for any reason, including
without limitation, liability in negligence, to any person for the general information
which is provided herein, or in respect of anything, including the consequences
of anything done, or not done, by any such person in whole or partial reliance upon