Nominated
Every state and territory in Australia
For the payroll tax regime

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We in business have to pay tax to various states and territories if we employ too many people. They determine if a business needs to pay tax by a threshold of how much we pay employees. Each state and territory has different thresholds. The business may employ staff around Australia in every State and Territory or in more than one. Let's say that a business does not exceed the threshold in every jurisdiction – only, for example, in one. However, because they employ staff in more than one State or Territory they are required to pay payroll tax in each state and territory they employ, even in states or territory's where the business is not based and does not use any of that state or territory’s infrastructure.
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As an example, in NSW the threshold upon which payroll tax is imposed is $900,000. If a business has employees in NSW whose total wages make up 10% of that business’ Australia-wide wages, the business gets a new payroll tax threshold of 10% of $900,000. Therefore, the threshold upon which payroll tax is paid by that company becomes $90,000. So, any wages paid above $90k will have payroll tax applied at 5.45%. Very easy to understand and very logical – not. A business might need a water cooled quantum computer to determine how much they need to pay and to whom. Fail.
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