Payroll tax overview
Payroll tax is a self-assessed tax on the wages that employers pay to their Queensland employees when the annual Australian taxable wages are more than a certain threshold.
As an employer, you must register for payroll tax within 7 days after the end of the month in which you:
- pay more than $25,000 a week in Australian taxable wages
- or
- become a member of a group that together pays more than $25,000 a week in Australian taxable wages.
Grouped businesses
Businesses may be grouped and treated as one unit for payroll tax if they are related or connected. One business, the designated group employer (DGE), claims any deduction entitlement on behalf of the whole group.
The DGE and all group members must lodge separate returns.
Employers can apply for an exclusion from grouping for payroll tax.
You need to know how to lodge your payroll tax returns, calculate your tax and apply any deduction correctly. In some cases, you may need to lodge a return even if you do not owe any tax for that period. The following tips will help you understand and meet your obligations.
Calculating your liability
Our lodgement system, QRO Online, will calculate your payroll tax liability.
Depending on your employer type and if you employ interstate, you may be eligible to claim a fixed periodic deduction in your periodic returns. Use the fixed periodic deduction estimator in QRO Online to work out and apply the deduction amount.
Learn how to calculate payroll tax.
Lodging returns
If you are registered for payroll tax in Queensland, you must lodge returns. You also need to lodge a final return if you cease employing or change your employer status.
The designated group employer (DGE) and all group members must lodge separate returns.
Records must be kept for 5 years from the date the record was made.
Our lodgement system, QRO Online, will calculate your payroll tax liability.
Complying with your obligations
As a Queensland employer, you have various payroll tax obligations and entitlements. Read about:
- obligations
- how to comply
- compliance activities that we conduct.
Also consider…
- See the due dates for payroll tax returns.
- Get help using QRO Online.
- Learn about record keeping and compliance.
- Refer to the Payroll Tax Act 1971 for more information.
- Find a payroll tax webinar or information session.