Registering for payroll tax
As an employer, if you pay Australian taxable wages that are above the threshold, you need to register for payroll tax.
You must register within 7 days after the end of the month in which your wages (or your group wages) exceed $21,153 a week, even if you think that you will pay less than $1.1 million in Australian taxable wages in a year.
The type of employer you are will have its own rules and requirements that may differ from the others. Before you register for payroll tax, you need to determine which of the 3 types of employer status applies to you:
- designated group employer (DGE)
- group member
- non-grouped employer.
Designated group employer
The designated group employer (DGE) is nominated by the group members to claim any deductions applicable for the group.
If you are registered as the DGE:
- your wages are combined with that of related businesses to determine if you need to register
- you can claim a deduction if the group's total Australian wages are less than $5.5 million
- you are responsible for lodging your own returns and paying payroll tax on your taxable wages.
A group member is a member of a group of employers. If you are a group member, your wages are combined with those of related businesses to determine if you need to register.
You lodge your own returns and pay your own payroll tax, but cannot claim a deduction.
A non-grouped employer is not a member of a group. If you are a non-grouped employer, your wages are not combined with those of another employer to calculate payroll tax.
What employer type are you?
Answer these questions to confirm your employer type and then register.
Do you employ in Queensland?