TAS Payroll Tax Rate 2026-27
Two rates: 4% on wages between $1.25 million and $2 million, and 6.1% on wages above $2 million.
TAS Payroll Tax Threshold
- Annual: $1,250,000 of Australian taxable wages
- Monthly: days in the month ÷ days in the year × $1.25 million ($24,038 a week)
Both thresholds ($1.25 million and $2 million) are apportioned by the Tasmanian share of Australian wages. An employer that chooses not to claim the threshold pays 6.1% on all Tasmanian wages.
How to Calculate TAS Payroll Tax
Above $2 million of Australian wages: 4% on the gap between the two apportioned thresholds, plus 6.1% on Tasmanian wages above the apportioned $2 million.
| TAS wages (all in TAS) | Threshold / deduction | Payroll tax | Effective rate |
|---|---|---|---|
| $1,500,000 | $1,250,000 | $10,000 | 0.67% |
| $3,000,000 | $1,250,000 | $91,000 | 3.03% |
| $5,000,000 | $1,250,000 | $213,000 | 4.26% |
| $10,000,000 | $1,250,000 | $518,000 | 5.18% |
Interstate example: an employer paying $2,000,000 in TAS out of $5,000,000 Australia-wide (40% in TAS) gets a threshold or deduction of $500,000 and pays $85,200 in TAS. It also pays payroll tax in the other states on the other $3m.
Who Must Register for TAS Payroll Tax
You are liable (and must register) when your — or your group's — Australian wages exceed $1.25 million a year, or $24,038 a week during a month, and you pay wages in Tasmania.
The test uses total Australian wages, including every business you are grouped with, so an employer with a small TAS payroll can still be liable. Grouped businesses add their wages together, and only the designated group employer claims the threshold.
TAS Payroll Tax Due Dates 2026-27
- Monthly returns: 7th of the following month (for example, the September return is due 7 October).
- Annual reconciliation: 21 July 2027 (the annual adjustment return replaces the June monthly return)
Returns are lodged and paid online with the State Revenue Office Tasmania. Late payment attracts interest and penalty tax.
What Counts as Wages for TAS Payroll Tax
Payroll tax law is harmonised across the states on what counts as wages, so the list is broadly the same everywhere. Taxable wages include:
- salaries, wages, commissions, bonuses and allowances;
- employer superannuation contributions;
- fringe benefits and employee share scheme benefits;
- director’s fees and termination payments such as paid-out leave;
- payments to many contractors (the “relevant contract” rules) and to employment agencies, unless an exemption applies.
Commonly exempt: government Paid Parental Leave, paid parental leave the employer provides (within limits), workers compensation payments, and the tax-free part of a genuine redundancy payment. Exemptions and their limits do differ by state, so check the revenue office’s list before you rely on one.
TAS Payroll Tax and Your Employees
Payroll tax is an on-cost, like super and WorkSafe Tasmania workers compensation premiums: the employer pays it on top of wages and none of it is withheld from pay. Employees who want their own figures should use the TAS pay calculator for take-home pay. For the full cost of a hire — salary, super, leave and payroll tax — use the employer cost calculator.
TAS Compared With Other States
| State | Rate | Annual threshold | Threshold phase-out / extras |
|---|---|---|---|
| NSW payroll tax | 5.45% | $1,200,000 | No phase-out; no surcharge |
| VIC payroll tax | 4.85% | $1,000,000 | Phases out $3m–$5m; 1.2125% regional rate; surcharges from $10m |
| QLD payroll tax | 4.75% | $1,300,000 | 4.95% above $6.5m; deduction nil at $10.4m; regional discount; mental health levy from $10m |
| WA payroll tax | 5.5% | $1,000,000 | Diminishes to nil at $7.5m |
| SA payroll tax | 4.95% | $1,500,000 | Rate phases in 0%–4.95% between $1.5m and $1.7m; $600k deduction |
| TAS payroll tax | 4% / 6.1% | $1,250,000 | 4% from $1.25m to $2m, 6.1% above |
| ACT payroll tax | 6.75% | $1,750,000 | Rate rises in bands to 8.75% above $150m |
| NT payroll tax | 5.5% | $2,500,000 | Tapers to nil at $7.5m; 6.5% from $100m |
Frequently Asked Questions
What is the TAS payroll tax rate for 2026-27?
Two rates: 4% on wages between $1.25 million and $2 million, and 6.1% on wages above $2 million.
What is the TAS payroll tax threshold?
$1,250,000 a year of Australian taxable wages; the monthly figure is days in the month ÷ days in the year × $1.25 million ($24,038 a week). Both thresholds ($1.25 million and $2 million) are apportioned by the Tasmanian share of Australian wages. An employer that chooses not to claim the threshold pays 6.1% on all Tasmanian wages.
How much TAS payroll tax is payable on a $3 million wage bill?
For an employer paying $3,000,000 of taxable wages, all in Tasmania, for the full 2026-27 year: the threshold or deduction is $1,250,000, leaving $1,750,000 taxed, and the payroll tax is $91,000 (3.03% of the wage bill).
When do I have to register for TAS payroll tax?
You are liable (and must register) when your — or your group's — Australian wages exceed $1.25 million a year, or $24,038 a week during a month, and you pay wages in Tasmania.
When is TAS payroll tax due?
Monthly returns: 7th of the following month (for example, the September return is due 7 October). Annual return for 2026-27: 21 July 2027 (the annual adjustment return replaces the June monthly return).
Does TAS payroll tax come out of an employee's pay?
No. Payroll tax is paid by the employer to the State Revenue Office Tasmania on top of wages. It is not withheld from pay and does not appear on a payslip, so it does not change an employee's take-home pay.
How these figures are worked out▼
Rates, thresholds and rules come from the State Revenue Office Tasmania and were checked on 23 September 2026. The calculator and tables assume a full 2026-27 year of wages with the threshold claimed in full (by the designated group employer, for a group) and no exemptions. They do not model part-year employers or monthly returns; the State Revenue Office Tasmania’s online return is the final word. The engine is tested against the worked examples the revenue offices publish.
Sources & References
- 1Tasmania payroll tax rates and thresholds— State Revenue Office Tasmania
- 2Lodge your return— State Revenue Office Tasmania
- 3Payroll tax annual adjustment return guideline— State Revenue Office Tasmania
- 4Lodging payroll tax returns— Payroll Tax Australia
Last verified: 23 September 2026. Our content is based on the latest information from official Australian government sources.
Anita Bell
AuthorFounder & Senior Bookkeeper
Accountancy degree (2015); certified in Xero, QuickBooks Online, MYOB, Saasu, Zoho and Reckon One
Anita Bell earned her accountancy degree in 2015 and has worked as a senior bookkeeper with Prime Bookkeeping for over 5 years. This built her skills in Australian and New Zealand tax legislation and industry regulations. She is certified in Xero, QuickBooks Online, MYOB, Saasu, Zoho and Reckon One, and works with payroll and rostering software including Gusto, Deputy, Tsheets and KeyPay. She has strong experience in hospitality, building and construction, financial services, real estate, ecommerce, and medical and health services.
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