Employer warning regarding labour hire payroll processors

News story
Some payroll processes are not passing on payroll taxes despite receiving payments from the employer.
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Pile of invoices.

Have you recently contracted your payroll processing function to another company who pays your employee wages, benefits, PAYG, superannuation and payroll tax on your behalf?

Recent audits have identified that some payroll processors (particularly those using ‘labour hire’ contracts) are not passing on payroll taxes to relevant state revenue offices despite receiving payments from the employer.

It is strongly recommended you conduct appropriate due diligence before engaging a payroll processor to perform these services.

If you have a payroll processor, ask for proof that they have passed on payroll tax to the Office of State Revenue. If you are unsure payment has been made, contact us to confirm.

Help prevent scammers from operating

Please notify us if you have been approached recently by labour hire payroll processors offering to help your business, as your information could save others from the scam.

Further information