The 2020/21 NSW State Budget has announced a temporary reduction in the payroll tax rate to 4.85 per cent for the 2020/21 and 2021/22 financial years. The threshold will also increase to $1,200,000 for the 2020/21 and subsequent financial years. These changes will apply retrospectively from 1 July 2020.
More information will be provided on our website once the Payroll Tax Act 2007 has been amended.
The payroll tax deferral period for monthly payments has now ended and you are required to make a payment or lodge a ‘nil return’ for the October 2020 return period onwards.
The monthly payment or ‘nil return’ for the October 2020 return period is due by 9 November 2020.
The 2020 Payroll Tax annual reconciliation is now available. The due date for lodgement and payment of the 2019/2020 annual reconciliation has been extended to 30 October 2020.
After lodging the annual reconciliation, customers will have the option of paying their outstanding liability in full or entering into a Stimulus Payment Arrangement, which can also include any monthly liabilities for the July, August and September 2020 return periods.
Customers can now establish a Stimulus Payment Arrangement for a period of up to 24 months. This option will only be available until 29 November 2020.
If you’re registered for payroll tax, you can use payroll tax online to
Use your client ID and correspondence ID, found on our recent correspondence. The correspondence ID is only valid for 12 months.