What records must I keep?
You must keep records for at least five years. Records must be:
- sufficient for a payroll tax liability to be properly assessed
- in English, or a form easily translated to English
- readily available to us, if required.
If you’re selected for an audit, you may be asked to provide:
- balance sheets (with notes)
- trading and detailed profit and loss statements
- superannuation reports for employees and directors
- end-of-year employee and management payroll summary reports, including year-to-date for the current financial year
- fringe benefit tax (FBT) returns
- general ledger accounts detailing payments made to contractors or subcontractors engaged by the business, including copies of invoices
- letter from the NSW Department of Industry approving any apprentices or trainees for whom you wish to claim a payroll tax rebate
- details and supporting documentation for any share and option schemes for directors and/or employees, including any schemes operated by parent and/or overseas companies
- details of shareholders, directors and beneficiaries of the business, and their interest in other businesses or entities, if applicable
- details and supporting documentation for any payments treated exempt from payroll tax, such as maternity leave
- details of arrangements with contractors
If you’re a member of a group for payroll tax, you must have copies of the above records for all group members.