New South Wales Consolidated Acts New South Wales Consolidated ActsThis Schedule sets out provisions that apply only in this jurisdiction.
The amount of payroll tax that an employer is required to pay in relation to a return of wages in respect of a financial year or a part of a financial year is a proportion (equivalent to the ratio of the number of days to which the return relates to the number of days in the financial year) of the payroll tax that would be payable by the employer for the whole of that year.
For the purposes of this Part, the payroll tax that would be payable by an employer for the whole of a financial year is to be ascertained on the basis of the following assumptions--
(a) the assumption that the employer pays or is liable to pay taxable wages for the whole of the financial year,
(b) the assumption that the total amount of taxable wages paid or payable by the employer during the financial year is a multiple (equivalent to the ratio of the number of days in the financial year to the number of days to which the return relates) of the taxable wages paid or payable by the employer during the period to which the return relates.
For payroll tax payable in relation to a financial year commencing on 1 July 2008, 2009 or 2010--
(a) the amount of payroll tax that an employer is required to pay is to be ascertained in accordance with Schedule 2A rather than Schedule 1, and
(b) clauses 2 and 3 do not apply to the calculation of that payroll tax, and
(c) a reference in section 82 (Determination of correct amount of payroll tax) to Schedule 1 is to be read as a reference to Schedule 2A.
(1) An employer who is an eligible existing taxpayer or an eligible new taxpayer may opt to make payments of estimated payroll tax in respect of any month in a financial year (other than the month of June) as an alternative to making payments of tax based on wages paid or payable in the month.
(2) The amount that the eligible existing taxpayer or eligible new taxpayer is required to pay as payroll tax in respect of the month is to be ascertained in accordance with this Division.
(3) This Division does not affect the determination of the correct amount of payroll tax or the adjustment of payroll tax under Part 6 of this Act.
(1) An employer is an
"eligible existing taxpayer" if--(a) payroll tax was payable by the employer in respect of the whole of the previous financial year, and the amount of the payroll tax payable was less than $150,000, or(b) payroll tax was payable by the employer in respect of part only of the previous financial year, and the amount of payroll tax that would have been payable by the employer for the whole of the financial year (ascertained in accordance with Division 1) is less than $150,000.
(2) An employer is an
"eligible new taxpayer" if--(a) the employer has not paid and is not liable to pay payroll tax in respect of the previous financial year, and(b) the employer has lodged returns in respect of at least 3 separate months in the current financial year (other than the month of June), and(c) the amount of payroll tax that would be payable by the employer for the whole of the financial year (ascertained in accordance with Division 1) is less than $150,000.
(1) The amount of payroll tax that an eligible existing taxpayer is required to pay in relation to a return of wages in respect of a month (other than the month of June) in a financial year is the amount of dollars calculated in accordance with the formula--where--
"ME (existing)" is the amount of tax required to be paid by the eligible existing taxpayer.
"T" is the total amount of payroll tax paid or payable by the eligible existing taxpayer in respect of the previous financial year.
"R" is 0.03 or any other amount determined in respect of the financial year by the Chief Commissioner by notice published in the Gazette before 21 May in the preceding financial year.
"D" is the total number of days to which the returns lodged by the eligible existing taxpayer in the previous financial year relate.
(2) The amount of payroll tax that an eligible new taxpayer is required to pay in relation to a return of wages in respect of a month (other than the month of June) in a financial year is the amount of dollars calculated in accordance with the formula--where--
"ME (new)" is the amount of tax required to be paid by the eligible new taxpayer.
"T" is the total amount of payroll tax paid or payable by the eligible new taxpayer in respect of the periods to which the returns lodged by the eligible new taxpayer in the current financial year relate.
"D" is the total number of days to which the returns lodged by the eligible new taxpayer in the current financial year (inclusive of the first 3 returns, and any subsequent returns, lodged by the eligible new taxpayer in that year) relate.
Wages are exempt wages if they are paid or payable by a school or college (other than a technical school or a technical college) that--
(a) provides education at or below, but not above, the secondary level of education, and
(b) is carried on by a body corporate, society or association otherwise than for the purpose of profit or gain to the individual members of the body corporate, society or association and is not carried on by or on behalf of the State of New South Wales.
(1) Apprentice/trainee wages that are paid or payable before 1 July 2008 are exempt wages.
(2) An employer by whom apprentice/trainee wages are paid or payable on or after 1 July 2008 is entitled to a rebate of payroll tax paid in respect of those wages.
(3) The amount of the rebate in respect of apprentice/trainee wages paid or payable in a particular period is the amount of the reduction in payroll tax payable by the employer that would result if the wages paid or payable by the employer in that period were reduced by the amount of those apprentice/trainee wages.
(4) A rebate to which an employer is entitled under this clause is payable--(a) by refunding the amount of the rebate out of payroll tax paid by the employer, or(b) by allowing the amount of the rebate as an offset against payroll tax payable by the employer.
(5) Wages are
"apprentice/trainee wages" if the wages are paid or payable to--(a) an apprentice within the meaning of the Apprenticeship and Traineeship Act 2001 , or(b) a trainee within the meaning of the Apprenticeship and Traineeship Act 2001 , other than a trainee who has been continuously employed by the employer for more than 3 months full-time or 12 months casual or part-time immediately prior to commencing employment as a trainee, or(c) a person employed in accordance with a group apprenticeship scheme or a group traineeship scheme approved for the time being by the Secretary of the Department of Industry, Skills and Regional Development (other than a person employed as referred to in clause 6).
(6) The regulations may make provision for or with respect to the payment of a rebate provided for by this clause, including provision for or with respect to any of the following--(a) the time for payment of the rebate,(b) the method of payment of the rebate,(c) providing for an exemption from any requirement to lodge a return in respect of apprentice/trainee wages.
(7) An approval in force for the purposes of section 10 (1) (m) of the Pay-roll Tax Act 1971 immediately before the commencement of this clause lapses on that commencement and has no operation for the purposes of this clause.
(1) Wages are exempt wages if they are paid or payable to an employee who is employed--(a) by a non-profit organisation that is approved by the Secretary of the Department of Industry, Skills and Regional Development for the purposes of this clause, and(b) in accordance with a group apprenticeship scheme or a group traineeship scheme approved for the time being by the Secretary of the Department of Industry, Skills and Regional Development.
(2) An approval in force for the purposes of section 10 (1) (m) of the Pay-roll Tax Act 1971 immediately before the commencement of this clause lapses on that commencement and has no operation for the purposes of this clause.
For the purposes of Division 3 of Part 4 of this Act, a
"health care service provider" is--
(a) a public hospital, or
(b) a hospital that is carried on by a society or association otherwise than for the purposes of profit or gain to the individual members of the society or association.
Wages paid or payable by the Crown in respect of staff employed in connection with a public hospital or a local health district are exempt wages if the wages are paid or payable--
(a) for work of a kind ordinarily performed in connection with the conduct of public hospitals or of the local health district concerned, and
(b) to a person engaged exclusively in that kind of work.
(1) Wages paid or payable by the Crown in respect of staff of the NSW Health Service comprising the Ambulance Service of NSW are exempt wages if the wages are paid or payable--(a) for work of a kind ordinarily performed in connection with the provision of the services provided by the Health Secretary under Chapter 5A (Ambulance services) of the Health Services Act 1997 , and(b) to a person engaged exclusively in that kind of work.
(2) In this clause--
"Health Secretary" has the same meaning as in the Health Services Act 1997 .
In
this division--
"bulk billing arrangement" , for general practitioner services, means an
arrangement where--
(a) the person responsible for paying for the services assigns the person's right to a Medicare benefit for the service to the general practitioner who provided the service, and
(b) the general practitioner accepts the Medicare benefit as full payment for the service.
(a) by telephone, or
(b) using other technology that enables audio, or audio and visual, communication between persons at different places.
(1) Wages are
"relevant general practitioner wages" if--(a) the wages are paid or payable to a general practitioner--(i) under a relevant contract, and(ii) for the provision of general practitioner services through a medical centre, and(b) the relevant contract is part of a practice arrangement, and(c) a relevant proportion of all the general practitioner services provided by general practitioners through the medical centre in the relevant financial year are provided under a bulk billing arrangement.
(2) The
"relevant proportion" of general practitioner services that must be provided under a bulk billing arrangement is--(a) for a medical centre in Metropolitan Sydney--at least 80%, or(b) otherwise--at least 70%.
(1) An employer is entitled to a rebate of payroll tax paid or payable for relevant general practitioner wages if the wages are paid or payable on or after 4 September 2024.
(2) The amount of the rebate for a financial year for an employer is the difference between--(a) the payroll tax payable for the financial year by the employer when the relevant general practitioner wages are included, and(b) the payroll tax that would be payable for the financial year by the employer if the relevant general practitioner wages were not included.
(3) The rebate may be given to the employer--(a) as a refund, or(b) as an offset against other payroll tax liabilities.
(4) Regulations may be made about rebates under this clause, including--(a) specifying the time at which a rebate must be given, and(b) the circumstances in which a rebate will be given as a refund or as an offset.
(1) Relevant general practitioner wages paid or payable before 4 September 2024 are exempt unless payroll tax has been paid on the wages before that day.
(2) In this clause--
"relevant general practitioner wages" includes wages that would be relevant general practitioner wages if clause 10B(1)(c) did not apply.
For the purposes of section 60 (2) (e), the following activities are specified--
(a) the supply of liquefied petroleum gas or hydraulic power and the supply and installation of associated fittings and appliances and of pipes and apparatus,
(b) the operation of a transport service,
(c) the supply of building materials,
(d) the operation of a coal mine and the supply and distribution of coal.
(1) Wages are exempt wages for the purposes of this Act if they are paid or payable by--(a) a religious institution, to a person in respect of time when the person engaged in religious work of the religious institution, being a religious institution in existence immediately before the repeal of the Pay-roll Tax Act 1971 , or(b) a public benevolent institution (other than an instrumentality of the State), to a person in respect of time when the person is engaged in work of a public benevolent nature, being a public benevolent institution in existence immediately before the repeal of the Pay-roll Tax Act 1971 , or(c) by a non-profit organisation (other than a school or college, statutory body or an instrumentality of the State) having as one of its objects a charitable, benevolent, philanthropic or patriotic purpose, to a person in respect of time when the person is engaged in charitable, benevolent, philanthropic or patriotic work of the non-profit organisation, being a non-profit organisation in existence immediately before the repeal of the Pay-roll Tax Act 1971 , or(d) by an organisation (other than a school or college, statutory body or an instrumentality of the State) that--(i) was, immediately before the repeal of the Charitable Collections Act 1934 , a charity within the meaning of that Act and registered or exempted from registration under that Act, and(ii) has not, since the repeal of that Act, altered its constitution in so far as its constitution relates to its charitable objects,to a person in respect of time when the person is engaged in the charitable work of the organisation, or(e) by a society or an institution (other than a school or college, statutory body or an instrumentality of the State) which--(i) is, in the opinion of the Chief Commissioner, a charitable society or institution, and(ii) was immediately before the repeal of the Pay-roll Tax Act 1971 approved by the Chief Commissioner for the purposes of section 10 (1) (k) of that Act,to a person in respect of time when the person is engaged in the charitable work of the society or institution.
(2) Wages are exempt under subclause (1) (c) or (e) only if the organisation, society or institution concerned has not, since the repeal of the Pay-roll Tax Act 1971 , altered its constitution in so far as its constitution relates to its charitable, benevolent, philanthropic or patriotic purposes.
Wages are exempt wages if they are paid or payable by a joint government enterprise that has the function of allocating funds for water savings projects.
(1) Wages are exempt wages if they are paid or payable to an employee in respect of paternity leave, being leave given to a male employee in connection with the pregnancy of a woman with his unborn child or the birth of his child (other than sick leave, recreation leave, annual leave or any similar leave).
(2) It is immaterial whether the leave is taken during or after the pregnancy.
(3) The exemption is limited to wages paid or payable in respect of a maximum of 14 weeks paternity leave in respect of any one pregnancy.
(4) In subclause (3)--(a) a reference to 14 weeks paternity leave includes a reference to an equivalent period of leave at a reduced rate of pay, and(b) a reference to wages paid or payable in respect of a period of leave is a reference to the total wages that would normally have been paid or payable for that period of leave.Note--: For a part-time employee, the exemption may apply to wages paid or payable for paternity leave that extends to 28 weeks at half of the part-time rate of pay that would normally apply to the employee.
(5) The exemption does not apply to any part of wages paid or payable in respect of paternity leave that comprises fringe benefits.
(6) An employer wishing to claim an exemption under this clause in respect of paternity leave must obtain and keep a medical certificate in respect of, or statutory declaration by, the employee--(a) stating that a woman is or was pregnant with the employee's unborn child, or(b) stating that a woman has given birth to the employee's child and the date of birth.
Note--: Section 53 of the Taxation Administration Act 1996 requires these records to be kept for at least 5 years unless the Chief Commissioner authorises earlier destruction.
(1) Wages are exempt wages if--(a) they are paid or payable for services that were performed under an employment agency contract by a service provider for a client of an employment agent, and(b) the service provider performed the services as an employee of the employment agent, and(c) the wages would be exempt wages under Part 4 (other than section 50 or Division 4 or 5 of that Part), or Part 3 of Schedule 2 (other than clause 5 or 13A), had the service provider performed the services as an employee of the client, and(d) the client has given a declaration to the effect of paragraph (c), in the form approved by the Chief Commissioner, to the employment agent.
(2) A reference in this clause to an
"employee" does not include a reference to a person who is an employee only because the person is taken to be an employee by Division 8 of Part 3 or any other provision of this Act.
(1) This clause applies in relation to any Public Service agency in which staff are employed under Part 4 of the Government Sector Employment Act 2013 to enable a statutory body to exercise its functions.
(2) For the purposes of this Act, each Public Service agency to which this clause applies is taken to be a separate employer with respect to the matters specified in subclause (3). If the agency concerned comprises separate parts each of which is assigned to a different statutory body, each such part of the agency is taken to be a separate employer with respect to the matters specified in subclause (3) in so far as they relate to that part.
(3) The matters that are specified for the purposes of subclause (2) are as follows--(a) the wages paid or payable to the staff of the agency or part of the agency,(b) any fees or other remuneration paid or payable to the members of the board or other governing body of the statutory body to which the staff of the agency (or part of the agency) are assigned,(c) any amount paid or payable under a relevant contract (within the meaning of Division 7 of Part 3 of this Act) entered into by the statutory body concerned.
(4) In this clause--
"Public Service agency" has the same meaning as in the Government Sector Employment Act 2013 .
(1) The persons, groups of persons and bodies who are Public Service agencies within the meaning of the Government Sector Employment Act 2013 (except a Staff Agency listed in Schedule 1 to that Act), the Independent Commission Against Corruption, the Judicial Commission of NSW and the NSW Police Force together constitute a group constituted under Part 5 (Grouping of employers) of this Act.
(2) However, an employer that is taken to be a separate employer under clause 14 and the Health Professional Councils Authority Office are not part of that group.
For the purposes of Part 5 (Grouping of employers) of this Act, a statutory State owned corporation (within the meaning of the State Owned Corporations Act 1989 ) is not a member of the same group as another statutory State owned corporation because of section 72.
(1) This Part applies if--(a) a person (referred to in this Part as the
"principal contractor" ) has entered into a contract for the carrying out of work by another person (referred to in this Part as the
"subcontractor" ), and(b) employees of that subcontractor (referred to in this Part as the
"relevant employees" ) are engaged in carrying out the work, and(c) the work is carried out in connection with a business undertaking of the principal contractor.
(2) If, at the end of the period of 60 days after the end of a financial year, any payroll tax payable by the subcontractor in respect of wages paid or payable to the relevant employees during the financial year for work done in connection with the contract has not been paid, the principal contractor is jointly and severally liable with the subcontractor for the payment of the payroll tax.
(3) Section 45 of the Taxation Administration Act 1996 (subsection (3) excepted) applies to an amount payable under this clause.Note--: Section 44 of the Taxation Administration Act 1996 provides that the amount of tax payable may be recovered by the Chief Commissioner as a debt to the Chief Commissioner. Section 45 of the Taxation Administration Act 1996 provides that if parties are jointly and severally liable for the payment of an amount under a taxation law, the Chief Commissioner may recover the amount payable from any of the parties. It also provides for the recovery of interest, penalty tax and costs from the parties who are jointly and severally liable for the payment of the tax.
(1) The principal contractor is not liable under this Part for the payment of any payroll tax payable in respect of wages paid or payable to the relevant employees during a period if the principal contractor has been given a written statement by the subcontractor in respect of that period.
(2) The written statement is a statement comprising the following statements--(a) a statement by the subcontractor that the subcontractor is registered as an employer under this Act or is not required to be registered under this Act (whichever is applicable),(b) a statement by the subcontractor that all payroll tax payable by the subcontractor in respect of wages paid or payable to the relevant employees during any period of the contract for work done in connection with the contract has been paid,(c) a statement by the subcontractor as to whether the subcontractor is also a principal contractor in connection with that work,(d) if the subcontractor is also a principal contractor in connection with that work, a statement by the subcontractor as to whether the subcontractor has been given a written statement under this clause in the capacity of principal contractor in connection with that work.
(3) The written statement may include any statement made by the subcontractor for the purposes of section 127 of the Industrial Relations Act 1996 or a similar provision under any other Act.
(4) The written statement is to be in a form approved by the Chief Commissioner.
(5) The subcontractor must keep a record of a written statement given to a principal contractor under this clause.Note--: Section 53 of the Taxation Administration Act 1996 requires the record to be kept for not less than 5 years after it was made.
(6) The principal contractor may withhold any payment due to the subcontractor under the contract until the subcontractor gives a written statement under this clause for any period up to the date of the statement. Any penalty for late payment under the contract does not apply to any payment withheld under this subclause.
(7) The written statement is not effective to relieve the principal contractor of liability under this Part if the principal contractor had, when given the statement, reason to believe it was false.
(8) A subcontractor who gives the principal contractor a written statement knowing it to be false is guilty of an offence.: Maximum penalty--100 penalty units.Note--: An offence against subclause (8) committed by a corporation is an executive liability offence attracting executive liability for a director or other person involved in the management of the corporation--see section 121 of the Taxation Administration Act 1996 .
The principal contractor is entitled to recover from the subcontractor as a debt in a court of competent jurisdiction any payment made by the principal contractor as a consequence of a liability arising under this Part.
(1) This Part does not apply in relation to a contract if the subcontractor is in receivership or in the course of being wound up or, in the case of an individual, is bankrupt and if payments made under the contract are made to the receiver, liquidator or trustee in bankruptcy.
(2) To avoid doubt, this Part extends to a principal contractor who is the owner or occupier of a building for the carrying out of work in connection with the building so long as the building is owned or occupied by the principal contractor in connection with a business undertaking of the principal contractor.
(1) If the Chief Commissioner is of the opinion that tax will not be payable by an employer, or, if paid, would be refunded, the Chief Commissioner may issue a certificate to that employer exempting the employer from lodging monthly returns in accordance with section 87 and any employer to whom such a certificate is issued may refrain from lodging monthly returns but must, unless the contrary is expressed in the certificate, lodge a return relating to each financial year within 28 days after the close of that financial year.
(2) A certificate issued under this clause may be either unconditional or subject to such conditions as are prescribed by the regulations or as the Chief Commissioner thinks fit.
(3) The Chief Commissioner may, at any time, by notice in writing, revoke any certificate issued under this clause.
(4) The issue of a certificate under this clause does not exempt an employer from the payment of any payroll tax, despite the fact that it may have the effect of postponing the time for payment of any payroll tax.
The Hardship Review Board constituted under the State Debt Recovery Act 2018 may exercise its functions under that Act and the Taxation Administration Act 1996 in relation to payroll tax payable under this Act.
