The McGowan Government has today introduced amendments to the Payroll Tax Assessment Act in State Parliament to introduce a temporary progressive payroll tax increase for the biggest companies in the State.
From July 1, 2018 until June 30, 2023, Western Australian employers with an Australia-wide payroll exceeding $100 million – but not exceeding $1.5 billion – will have that part of their payroll taxed at a rate of six per cent (up from the current rate of 5.5 per cent).
Western Australian employers with an Australia-wide payroll exceeding $1.5 billion will have that part of their payroll taxed at a rate of 6.5 per cent.
It is estimated that this measure will raise $435 million over the forward estimates, providing an important contribution towards the Government’s budget repair efforts.