04-DEC-2025: Payroll Tax Amendment Bill 2025
On 30 June 2025, the Government proposed a payroll tax rate change. The Payroll Tax Amendment Bill 2025 was introduced to the Legislative Assembly on 3 September 2025 and passed on 4 December 2025. As a result, a new tax rate of 8.75 per cent applies to employers with annual Australia wide wages of more than $150 million from 1 January 2026.
The new rate will apply automatically from the January 2026 monthly return, based on figures declared in your returns. Employers with annual Australia-wide wages below $150 million will not be impacted by the new tax rate.