Apply for a payroll tax exemption
An exemption from payroll tax in NSW may be granted by Revenue NSW to eligible employers. Learn about the application process for an exemption.
Employers eligible for exemption
The wages you pay may be exempt from payroll tax if your organisation is a:
- religious institution
- non-profit:
- organisation whose sole or dominant purpose is charitable, benevolent, philanthropic or patriotic
- health care service provider
- private school or educational institution that provides education at or below the secondary level, or
- council, county council or local government business (with exceptions).
Read payroll tax exemptions for the full list of exempt and non-exempt employers.
See section 48 (1)(c) of the Payroll Tax Act 2007.
Please note
Being registered with the Australian Charities and Not-for-profits Commission (ACNC) may not result in an exemption from payroll tax. An organisation must satisfy Revenue NSW that it qualifies for an exemption.
Information required
To apply for an exemption from payroll tax you must provide:
- a completed application for exemption from payroll tax (PDF, 679.61 KB) form
- the organisation’s last audited annual report
- details of the day-to-day activities and services provided by the organisation
- details of other jurisdictions where wages are paid, and
- any other relevant information in support of your application.
If you are not registered with the ACNC you must also provide:
- your organisation’s constitution and/or memorandum and articles of association, or
- proof of incorporation under the Associations Incorporations Act 2009, including the organisation’s rules, showing the organisation’s objectives and non-profit status.
All documentation must:
- be signed and dated, and
- support the date you are requesting the exemption to start from.
How to submit an application
Email your completed application form and supporting documentation to [email protected]
What happens after an application is submitted
We will review the information you provide and compare it to information provided by other government agencies.
You will be notified of our decision.
If your organisation is not exempt we will ask you to register for payroll tax, if you have not already done so, and start paying payroll tax.
If you are not satisfied with a decision not to grant an exemption you can lodge a formal objection in writing. You have 60 days from the date of the decision to lodge an objection.
Read the objections and reviews page for more details.
Duration of exemptions
If your application is approved your organisation will be exempt from payroll tax for three years.
We will review your exemption status periodically to ensure your organisation still meets the requirements for an exemption.
Read more about exemption reviews.
Privacy policy
The information we collect helps us determine if your organisation qualifies for an exemption or is liable for payroll tax.
The information may be provided to third parties with your consent or as required or permitted by law. We will correct or update personal information at your request.
Read our privacy policy for more details.