The WA Government's Payroll Tax Rebate was announced during the State Government's 2009/2010 budget as part of their "jobs protection package". Businesses in Western Australia with payroll bills below $3.2 million will be able to claim a special payroll tax rebate for the 2009-10 year, with about half of all businesses in the state likely to benefit.
Mr Buswell, the WA Treasurer, said the rebate, which will cost the Government $100 million, would help protect the jobs of about 68,000 employees in about 6700 businesses.
If your business or group has a payroll over $750,000.00 and you have not already registered for Payroll Tax you must do so
before 7 July 2010 to be eligible for the rebate:
For more information please see below the circular relating to this rebate.
PAY-ROLL TAX CIRCULAR 4
IMPORTANT INFORMATION FOR EMPLOYERS
PAY-ROLL TAX REBATE ACT 2010
As part of the 2009/2010 Budget, the Western Australian Government announced its intention to provide a one-off pay-roll tax rebate to employers, or grouped employers, who pay Australia-wide wages of up to $3.2million.
The Pay-roll Tax Rebate Act 2010, which received Royal Assent on 14 May 2010, provides for a pay-roll tax rebate to be paid to eligible employers automatically after their 2009/2010 reconciliation has been completed by the Office of State Revenue.
The reconciliation process is expected to commence in August 2010.
Employers who pay wages of up to $1.6million will be paid a one-off rebate to fully offset their 2009/2010 pay-roll tax liabilities. The maximum amount of the rebate, on wages of $1.6million, will be $46,750. The rebate will be phased down for employers who pay wages between $1.6million and $3.2million.
Eligibility for the rebate will be calculated on the Australia-wide wages of employers or grouped employers, with a group of related employers being eligible for only one rebate payment.
Other eligibility requirements include:
PAY-ROLL TAX REGISTRATION
Individual employers or members of a group of employers whose total wages throughout Australia exceed $750,000 for the 2009/2010 financial year are required to apply online to the Office of State Revenue for registration as an employer.
In order to qualify for the pay-roll tax rebate, unregistered employers who are liable for pay-roll tax must make application to the Office of State Revenue for registration as an employer,
by no later than 7 July 2010.
Employers who register after 7 July 2010 will not be eligible for the pay-roll tax rebate.
For the purposes of determining “wages” employers must include:
- All salaries and wages.
- Commissions and bonuses.
- Fringe benefits and allowances.
- Director’s fees and liable contractor payments.
- Superannuation.
- Specified taxable benefits.
For further information on what constitutes “wages” please see the ‘Wages Definition Fact Sheet’ on the Office of State Revenue website at
www.dtf.wa.gov.au/cms/content.aspx?id=200.
PAY-ROLL TAX RECONCILIATION
Employers must submit all returns and information required to perform the 2009/2010 reconciliation by
no later than 31 December 2010. This includes provision of Australia-wide wage details if applicable.
Employers who submit their reconciliation returns after 31 December 2010 will not be eligible for the pay-roll tax rebate.
Amendments to returns information submitted prior to 31 December 2010 can be made in writing to the Office of State Revenue and will result in a further reconciliation and rebate calculation.
Annual clients will not be required to pay their pay-roll tax liability at the time of lodgement of their 2009/2010 return, as the rebate will be calculated on the wages declared and offset against the amount due.
The information provided in this circular is not an exhaustive explanation of the Pay-roll Tax Rebate Act 2010. Reference should be made to that Act and its Explanatory Memorandum.
The Office of State Revenue will be holding seminars on pay-roll tax, which will include information on the pay-roll tax rebate, between June 2010 and December 2010.
Bookings can be made using our online registration service or by contacting Customer Education by email at
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Should you have any queries or require further clarification, please contact our office on:
Phone: (08) 9262 1300
Country Callers: 1300 368 364
Email:
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May 2010
