Payroll tax is a general purpose tax imposed on wages paid by employers. The revenue is paid into the Central Holding Authority of the Territory, which is used to meet the costs of essential public services such as education, health, law and order, and public safety.
The current rate of tax and the annual threshold before it becomes payable is 5.9 per cent and $1 250 000 respectively. For historical rates and thresholds, click here.
From 1 Jul 2009, the Payroll Tax Act commenced replacing the former Pay-roll Tax Act to largely harmonise the legislation with that of most other jurisdictions. For a summary of the key changes and administrative arrangements, refer to Revenue Circular RC-PRT-002.
For a summary of the Northern Territory payroll tax scheme and obligations of employers, refer to the Employers' Guide to Payroll Tax in the Northern Territory or click on the link below to take you directly to a particular topic.
Wages subject to NT payroll tax
Exempt wages and non-liable payments