You must register for payroll tax if you employ in Queensland and pay (or are part of a group that pays) more than $25,000 a week in Australian taxable wages.
As an employer, you must register for payroll tax within 7 days after the end of the month in which this weekly amount was exceeded, even if you think that you (or your group) will pay less than $1.3 million in Australian taxable wages in the financial year. Businesses may be grouped and treated as one unit for payroll tax if they are related or connected.
The payroll tax rate is:
- 4.75% for employers or groups of employers who pay $6.5 million or less in Australian taxable wages
- 4.95% for employers or groups of employers who pay more than $6.5 million in Australian taxable wages.
From 1 July 2019 to 30 June 2030, regional employers may be entitled to a 1% discount on the rate.
From 1 January 2023, the mental health levy is:
- nil for employers or groups of employers who pay up to $10 million in Australian taxable wages annually
- 0.25% (primary rate) for employers or groups of employers who pay more than $10 million in Australian taxable wages annually
- 0.25% (primary rate) and 0.5% (additional rate) for employers or groups of employers who pay more than $100 million in Australian taxable wages annually.
There are payroll tax exemptions available, including for employee allowances and leave, and for wages paid to apprentices and trainees.
