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State Government Support (eg. Payroll Tax & Land Tax)

Written by Sarah Pogson . March 23, 2020
12 min read

With new rules and restrictions in place, State Governments are implementing measures with the intention to assist families and businesses during the expected tough months ahead. 

Below we outline the various measures currently available in each state, including certain state taxes for example Payroll Tax & Land Tax.

Contents

NSW State Government Response 

  • Payroll Tax Measures

    1. Business with grouped Australian Wages <$10M - Waiver of Payroll Tax

      If your grouped Australian wages for the 2019/20 financial year are no more than $10 million, you will have your annual tax liability reduced by 25% when you lodge your annual reconciliation, which is due on 28 July. 

      Where you lodge and pay monthly, no payment for the months of March, April or May 2020 will be required.

    2. Business with grouped Australian Wages >$10M - Deferring Payment

      If your grouped Australian wages for the 2019/20 financial year are greater than $10 million, you will have the option of deferring the payment of payroll tax for up to six months.

      The payment for your March period, normally due on 7 April 2020 will not be required.

    3.  Payroll Tax Threshold Increase

      The tax-free threshold will increase from $900,000 to $1 million for the financial year commencing on 1 July 2020.

The OSR has provided answers to FAQs about Payroll Tax and your obligations - see here for further explanations on the questions you may have. 

  • Land Tax Measures

    1. Payment Deferrals & Payments by Installments

      If you need more time to pay your 2020 land tax assessment, you can set up payments by installments. Simply login in to your Land Tax Online system to request a payment arrangement, or call the OSR on 1300 139 816 to discuss your Land Tax liability.

      The COVID-19 relief measures for NSW Taxes, including Payroll Tax and Land Tax, can be found on the Revenue NSW website here.

  • Other Measures

    1. Gaming Machine Tax

      Clubs and hotels will have their gaming machine tax payments deferred from March 2020 until 1 September 2020.

    2. Parking space levy
      Parking space levy payments will be deferred until 30 September 2020.

    3. Lotteries and Keno
      Lotteries and Keno payments will be deferred from 1 April 2020 to 30 September 2020.

More information on the current support from the NSW State Government is available here.

QLD State Government Response

    1. Concessional Loans of $250,000

      For eligible businesses, with an initial 12-month interest free period with the aim to assist with staff retention.|

    2. Deferred Payroll Tax Return Lodgements
      Businesses who have been impacted by COVID-19 can apply to have their payroll tax return lodgement due date deferred to 3 August 2020. See here for more details and here to apply for the deferral.

    3. Support for Fisheries - Market Diversification and Resilience Grants (MDRG) program

      • Equipment Purchases - $7,500 grants (excluding GST) to support new equipment purchases up to a maximum cost of $10,000 (excluding GST). Businesses must contribute 25% of the total cost to new equipment. See here for more details and here for criteria and applications. No application close date, application are assessed on an ongoing basis.

      • Project Grants – up to $50,000 (excluding GST) to support project activities – e.g. staff training, new equipment such as refrigeration and boat modifications necessary to meet market requirements. Applications close 20 April 2020.

      • Fees Waived for specific Liquor Licence fees - application fees associated temporary change or permanent change of licence areas and temporary or permanent change of trading areas have been waived for 6 months (from 1 February 2020 to 31 July 2020).

        More information on the current support from the QLD State Government is available here.

VIC State Government Response

Per the Victorian Premier’s media release, an “Economic Survival Package To Support Businesses And Jobs” is being introduced. This includes:

  1. Payroll Tax Refunds for 2019-20 - for small and medium-sized businesses with payroll of less than $3 million.

  2. Payroll Tax Deferrals – for small and medium-sized businesses, allowing July, August & September 2020 payroll tax until 1 January 2021.

  3. Rent Relief for Government Buildings – commercial tenants in Government buildings can apply for rent relief.

  4. 2020 Land Tax Payments Deferred – for eligible small businesses.

  5. Liquor licensing Fees Waived – for affected venues and small businesses.

    More details regarding the measures intended to be introduced by Victorian State Government are available
    here.

State Government Response – ACT, NT, SA, TAS, & WA

Each state and territory has their own stimulus package they are expecting to introduce. See the below links for details on each state based on the current information available:


If you would like to discuss any of these measures and what they mean for you and your business, our team is available to assist you. Please don't hesitate to talk with us on (02) 4229 2211 or you can send us your inquiry
online.

*The above information was correct at the time of publishing and subject to change*
Written by Sarah Pogson . March 23, 2020
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