Payroll tax is a state tax that is calculated on wages paid or payable. Employers (or groups of employers) with Australian wages that exceed $1.25 million (or $24 038 per week during a month) are required to be registered in Tasmania. Australian wages comprise both Tasmanian wages and all interstate wages.
In general any remuneration attributed to employees is included in your total Australian wages. Common items are wages, salaries, commissions, bonuses, allowances, directors fees, fringe benefits, payments in kind, eligible termination payments and superannuation contributions.
For the 2020-21 financial year, if your total annual Australian taxable wages are been $1.25 million and $2 million, payroll tax will be calculated at 4%. If your total annual Australian taxable wages exceeds $2 million, payroll tax will be calculated at 6.1%.