RSM Australia

NSW payroll tax rebate scheme extended - 23 November deadline

The payroll tax rebate scheme has been extended to 30 June 2019. Payroll tax rebates can be up to $5,000 per employee in situations in which a business’s full time employee numbers have grown and in which new employees are retained for a two year period.

In 2011, the NSW Government has initiated a Jobs Action Plan which is aimed at encouraging jobs growth in NSW and providing incentives for NSW businesses to employ new workers and expand their enterprises. As a component of this plan, the NSW Government has implemented a rebate scheme whereby companies who employ additional staff and increase their full time staff numbers can become eligible for rebates to be offset against the payroll tax that they have paid. Your business may be eligible for significant rebates against payroll tax that you have paid.

The rebate is available to be claimed retrospectively for all employees starting employment after 1 July 2011 and meeting eligibility criteria. However, the NSW OSR has recently announced that claims that are more then 90 days late after an employee’s anniversary will be subject to greater scrutiny after 23 November 2015. We recommend that retrospective claims be lodged before 23 November to avoid potential rejection.

The Jobs Action Plan Payroll Tax Rebate scheme is administered through the NSW Office of State Revenue and, being a payroll tax rebate, is accessible for all businesses who have incurred payroll tax liabilities in the preceding year. The rebate scheme in its current format has a finite life but has recently been extended to 2019. The NSW Government has also advised that the total rebate pool available is limited. At RSM we have facilitated the application, calculation, lodgement and receipt of rebates for a number of clients under this scheme. We are available to assist you should you wish to understand the scheme in more detail, assess you business’s accessibility to the scheme or prepare and process a claim with the Office of State Revenue.

Should you wish to discuss your potential eligibility for access to this scheme please contact your nearest RSM office.