Payroll tax annual reconciliation

Finalise your payroll tax returns, determine your or your group's actual deductable amount and applicable rate of tax, and calculate the total payroll tax payable for the financial year.

We allocate an estimated deductable amount and apply an estimated rate of tax to your monthly or quarterly returns during the financial year.

  • If you are an interstate non-group employer or designated group employer (DGE) - the estimated deductable amount and estimated rate of tax is applied to your monthly or quarterly returns during the financial year.
  • If you are a member of a group - the estimated rate of tax applies to your monthly or quarterly returns during the financial year. Members of a group are not allocated an estimated monthly deductable amount during the financial year.

After you and all of your group members have submitted the required wage information by 21 July. We then complete the annual reconciliation on your behalf by calculating the actual deductable amount and rate of tax.

We will complete the annual reconciliation process in August, and any adjustment(s) will be available on the assessment advice issued after 7 September. The credit or debit amount resulting from the reconciliation is due to the difference between the estimated and actual deductable amounts and/or the estimated and actual rate of tax.

Your assessment advice, which is accessible from the left hand menu in Online Payroll Tax, contains important information such as the calculation of tax payable and the payment due date for any payroll tax liabilities. You can also check your ROL account regularly for any payroll tax liability that might be due for payment.

Your June monthly or last quarterly return is separate to the annual reconciliation, but can be lodged using the 'End of Year' function in Revenue Online (Online Payroll Tax). This should be lodged with payment by 21 July to avoid penalties.

What to do

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Depending on your return frequency, grouping status and whether you employ in WA only or in multiple jurisdictions, you must

  • lodge your final return (monthly, quarterly or annual return) with payment
  • make any necessary adjustments to previous monthly or quarterly returns
  • if applicable, lodge the Australian taxable wages information and
  • if applicable, lodge the estimated taxable wages for the following year.

Complete these tasks through your Online Payroll Tax account by 21 July.

Contact us if you need to confirm your registration status.

Submit wages information

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Submit your wage information by 21 July using the End of Year (EOY) Lodgment function in Online Payroll Tax if you are

  • an interstate non-group employer or
  • a designated group employer (DGE), except annual DGEs of local groups.

This guided process prompts you to provide all the wage information required to complete the annual reconciliation.

The EOY Lodgment function is accessible from 1 July of the financial year following your return year.

You can modify your return or wages until we have reconciled the financial year.  You can apply for a reassessment for reconciled periods.  Applications for reassessment must be made within specified time limits.

If you are not eligible to use the EOY Lodgment function, lodge your June return (monthly, quarterly or annual return) using the Lodge Return or Modify Return functions.

Australian taxable wages

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Australian taxable wages are the total amount of taxable wages paid in all States and Territories, including WA, for all group members.

Lodge Australian taxable wages using the EOY Lodgment function or the Australian Taxable Wages function in Online Payroll Tax if you are an interstate non-group employer or the DGE of an interstate group. If you are the DGE, you must lodge the group’s Australian taxable wages on their behalf after all group members have lodged and completed any adjustments to their returns.

If you don't lodge the Australian taxable wages by the due date, this will result in

  • a loss of actual deductable amount and
  • the maximum rate of tax applied on the total WA taxable wages declared,

meaning a higher amount of tax will be payable for the financial year.

Estimated taxable wages

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Estimated taxable wages are the total amount of expected taxable wages to be paid or payable in all States and Territories, including WA, for the following financial year.

Lodge estimated taxable wages using the EOY Lodgment function or the Estimated Taxable Wages function in Online Payroll Tax if you are an interstate non-group employer or the DGE of a group. The DGE is responsible for lodging the group’s estimated taxable wages on their behalf.

These functions are available from 1 July each year.

If you don't lodge estimated taxable wages by the due date, this will result in

  • nil estimated deductable amount being allocated to your monthly or quarterly returns and
  • the maximum rate of tax applied to your or your group’s monthly or quarterly returns for the following financial year,

meaning a higher amount of tax will be payable for the financial year.

Page reviewed 19 September 2019