When Are My Business Taxes Due? Payroll Tax Due Dates in Australia

Each state and territory in Australia has its unique regulations regarding payroll taxes. While many have similar features and due dates, they are not quite the same. And if your business operates in more than one region, then you’ll need to keep track of multiple payroll tax due dates. 

This comprehensive guide will navigate you through the key payroll tax payment dates for 2024/25, ensuring you stay compliant and avoid costly mistakes. We’ll break down the due dates by state, explain the annual reconciliation process, and provide tips for timely lodgement and payment.

What is payroll tax, and who needs to pay it?

Payroll tax is a state-imposed tax on wages that exceed a specific threshold. This threshold varies by state, and businesses are required to pay a percentage of their total taxable wages above this amount. For example, in Queensland, the threshold is $1,300,000, with a tax rate of 4.75%. Businesses that pay wages exceeding their state’s threshold are obligated to register for and pay payroll tax.

Payroll taxes cover more than just salaries and wages. They typically include other forms of employee compensation such as bonuses, commissions, director’s fees, and certain contractor payments. Regional payroll tax calculators can help you determine what you owe each year. 

Despite a harmonisation project that can begin in earnest in 2007, each state can define taxable wages differently, so it’s crucial for businesses to familiarise themselves with their regulations. Some states also offer exemptions or concessions for certain types of businesses or industries, which can affect the overall tax liability.

It’s important to note that payroll tax is a self-assessed tax, meaning that your business is responsible for calculating and remitting the correct amount to your state revenue office. This requires careful record-keeping and regular monitoring of wage levels, especially for businesses near the threshold. 

As your business grows and its wage bill increases, you may find yourself suddenly liable for payroll tax, making it essential to stay informed about current thresholds and rates. Additionally, if you operate in multiple states, you’ll need to be aware of payroll tax regulations in each jurisdiction.

Payroll tax due dates by state and territory

As we already mentioned, each state and territory has its own due dates, thresholds, and obligations for payroll taxes. Here is a breakdown of the payroll tax lodgement dates for the 2024/25 tax year. 

NSW payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month, except for December, which is due by January 14th. 
• The annual reconciliation return is due by July 28, 2025.

Victoria payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month. 
• The annual reconciliation return is due by July 21, 2025.

Queensland payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month. 
• The annual return and payment are due by July 21, 2025.

Western Australia payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month. 
• The annual reconciliation return is due by July 21, 2025.

South Australia payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month. 
• The annual reconciliation return is due by July 29, 2025.

Tasmania payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month. 
• The annual reconciliation return is due by July 21, 2025.

Northern Territory payroll tax due dates 2024/25

• Monthly returns and payments are due by the 21st day of the following month. 
• The annual reconciliation return is due by July 21, 2025.

ACT payroll tax due dates 2024/25

• Monthly returns and payments are due by the 7th day of the following month, except for December, which is due by January 14th. 
• The annual reconciliation return is due by July 28, 2025.

Important payroll tax payment dates

Across most states and territories, monthly payroll tax payments are typically due by the 7th day of the following month. For example, the July 2024 payment would be due by August 7, 2024. It’s crucial to note that if the 7th falls on a weekend or public holiday, the due date moves to the next business day.

Here is a table detailing the 2024-25 deadlines for all states and territories except the Northern Territory. 

Missing these deadlines can result in penalties and interest charges. To avoid this, you can set up reminders or automatic payments to ensure timely submission. Also, remember to check back each year for new payroll tax due dates. 

Payroll tax annual reconciliation due date 2024-25

Annual reconciliation is a crucial process where you reconcile the payroll taxes paid throughout the year with your actual payroll figures. This ensures accuracy and compliance with state regulations. 

For most states, the annual reconciliation due date for the 2024-25 financial year is July 21, 2025. However, some states have slightly different dates:

To prepare for the annual reconciliation, your business should:

1. Gather all payroll records for the financial year
2. Review and verify the accuracy of monthly returns
3. Calculate the total taxable wages for the year
4. Determine if any adjustments are needed
5. Prepare the annual reconciliation return
6. Submit the return and pay any outstanding tax by the due date

How to lodge payroll tax returns

Most states now offer online portals for lodging payroll tax returns. Here’s a general process:

1. Log in to your state’s revenue office portal (e.g., Payroll Tax Online for NSW)
2. Select the appropriate return period
3. Enter your taxable wages for the period
4. The system will calculate your tax liability
5. Review and submit the return
6. Make the payment using the provided payment options

Here are the links to online lodgement portals for each state and territory:

Remember to check your state’s specific requirements and deadlines for lodging payroll tax returns. Some states may have different processes for monthly returns versus annual reconciliations.

Payroll tax penalties for late lodgements and payments

Failing to lodge or pay payroll tax on time can result in significant penalties. These may include:

1. Late lodgement penalties
2. Interest charges on unpaid tax
3. Penalty tax (e.g., 25% in South Australia for default assessments)

To avoid these penalties:

• Set up reminders for payroll tax return due dates.
• Consider setting up direct debits for payments.
• Work with a specialised tax accountant to ensure proper calculations. 
• Contact your state revenue office immediately if you’re having difficulty meeting obligations.
• Apply for payment arrangements if needed.

Some states may offer penalty relief options or payment plans for businesses experiencing financial hardship. If you anticipate any issues with meeting deadlines, it’s always best to communicate with your state revenue office proactively.

FAQ

What is the due date for a tax return?

The due date for payroll tax returns varies by state, but it’s typically the 7th day of the month following the reporting period. North Territories is an exception, where payroll taxes are due on the 21st. 

Annual reconciliation returns are generally due by July 21 or 28, depending on your state.

Is NSW payroll tax annual or monthly?

NSW payroll tax involves both monthly returns and an annual reconciliation. Monthly returns are due by the 7th of the following month, while the annual reconciliation is due by July 28th.

Do all businesses have to pay payroll tax?

Not all businesses pay payroll tax. Only those with total taxable wages exceeding their state’s threshold are required to register and pay payroll tax. Thresholds vary by state, so it’s important to check your local regulations.

Final thoughts

Staying on top of payroll tax dates is crucial for Australian businesses to adhere to regional regulations and avoid penalties. By understanding your state’s specific requirements and setting up reminders for key dates, you can ensure full business tax compliance. 

Remember to consult your state’s revenue office for the most up-to-date information and any changes for the 2024-25 financial year. If you need further support, get in touch with the legal and tax specialists at Lawpath.