New payroll tax ruling on interest and penalty tax

Published on 30 March 2023

Following consultation with industry groups, we have published Revenue Ruling PTA-036v5 Payroll tax – interest and penalty tax.

This ruling replaces PTA-036v4 and takes effect from 1 April 2023.
 
Under PTA-036v5, when an employer makes a voluntary disclosure of a payroll tax default prior to the commencement of an investigation, the amount of premium interest assessed will be capped at 5% of the unpaid tax. This aligns with the approach for other revenue lines where penalty tax of 5% of the primary tax is assessed. The position on market interest is unchanged from the previous ruling (PTA-036v4).
 
This ruling is not harmonised and is only applicable in Victoria.