Choosing a designated group employer for payroll tax
As a group member, you can become the designated group employer (DGE) by being nominated by the group or chosen by the Commissioner of State Revenue.
DGE nominated by the group
You can nominate yourself as the DGE online using OSRconnect when registering as an employer. If you are already registered, complete an annual return if your status changes on 30 June. If your status changes on any other day, complete a final return.
DGE chosen by the Commissioner
For us to choose a DGE, you must tell us:
- the name of each group member
- an estimate of taxable and interstate wages for the current financial year to be paid by each member of the group
- if the members of the group are liable for payroll tax for prior periods and a deduction is to be claimed
- the actual taxable and interstate wages for each previous financial year paid or payable by each member of the group (or a reasonable estimate if the actual wages cannot be determined).
The estimates you provide must:
- explain why the actual wages cannot be supplied
- show the basis on which the estimates were worked out
- be acceptable to the Commissioner of State Revenue.
We usually select the group member with the largest wages to be the DGE. The DGE receives the deduction on behalf of the group, and can then nominate other members of the group to share any excess deduction after they have lodged their annual returns or when the group ceases to exist.
If we choose the DGE for your group, we will notify the DGE in writing.
Changing the DGE
You will stop being a DGE at the earlier of the following events:
- your group members tell us in writing that you are no longer the DGE, and we provide our written consent
- your group members choose a replacement DGE at the same time that you stop being the DGE.
We can change the DGE that we have chosen at any time by notifying the DGE in writing.
Your business can cease being the DGE by completing an annual return if your status changes on 30 June. If your status changes on any other day, complete a final return.
Learn more about reporting changes in business conditions.