The Queensland Government recently announced that the Commonwealth Government’s JobKeeper payment is exempt from Queensland payroll tax.
From 30 March 2020, taxable wages paid or payable by an employer to an employee which are subsidised by the Commonwealth Government’s JobKeeper payment scheme are exempt from Queensland payroll tax. However, the exemption does not apply to wages paid or payable that are not subsidised by the JobKeeper payment. For example, if an employer pays $2,000 a fortnight in taxable wages to an employee, including the $1,500 a fortnight JobKeeper payment, only the $1,500 JobKeeper payment is exempt from payroll tax. The remaining $500 wages continue to be subject to payroll tax. Similarly, any superannuation paid to staff is also taxable since it’s not subsidised by JobKeeper.
If you have already lodged and/or paid your April payroll tax return, and you had declared the JobKeeper payments as taxable, you can simply account for this adjustment in your 2020 annual reconciliation.
If you need assistance with Queensland payroll tax, reach out to us here at Link Advisors.